1. Business Services Marketplace Update
Presented By:
Tom Crowe, Head of Procurement

2. Introduction LLWR Requirements Business Services Marketplace
Dynamic Purchasing System – What & Why
Procurement Process
Next Steps

3. Business Services Marketplace
What LLWR need…….
LLWR require supply chain support across the following categories:
Business (Change Management / Business Cases / Technical Authors )
Commercial (Sourcing / Claims / Quantity Surveying)
Engineering (Advice / Asset Management / Maintenance / CDM)
Environment (Advice / Consultancy / Ecology)
Finance (Advice / Taxation / Auditing)
Health and Safety (Advice / Consultancy / Specialists)
Human Resources (Recruitment / Training / Facilitation)
Legal (Advice / Corporate / Contract / Employment / Planning)
Portfolio, Programme and Project Management
Programme Controls (Planning / Estimating / Cost / Risk Management)
Public Affairs (Photos / Reprographics / Marketing / Comms. / Events)
Quality (Assurance / Process Improvements / Management System)
Security (Advice / Consultancy / Specialists)

4. What features must it have…….
Business Services Marketplace
What features must it have…….
Desired Characteristics from the Business:
Simple (We can just get quotations rather than tenders)
Fast (Be in contract in less than 2 weeks)
Flexible (Tell suppliers what we think we need)
Dynamic (Add in new suppliers when needed)
Value Added (We can access the companies that care about our needs?)
Desired Characteristics for the Commercial Team:
Suppliers that care about the SLC, the community and see meaningful opportunities
Accessible to All Suppliers (Level the playing field)
Range of Pricing Options (Fixed / Reimbursable)
Cost Efficient (Reduce multiple tiers of sub-contracting)
Simple to administer (Electronic / Standard Terms)

5. What LLWR chose to use…….
Business Services Marketplace
What LLWR chose to use…….
A Dynamic Purchasing System
NEC3 Professional Services Short Contract.
Multiple pricing options, based on further competition scopes.
NDA Flowdowns included on a ‘case by case’ basis, price dependant.
Insurance levels expected to be as low as legally required.
A duration of four years

6. What is a Dynamic Purchasing System (DPS)
Business Services Marketplace
What is a Dynamic Purchasing System (DPS)
An efficient ‘route to market’ compliant with the Public Contract Regulations Feb
A DPS is a two stage process:
Initial setup (Qualification) stage
Further Competition stage
A DPS can be divided into multiple categories.
Suppliers, in accordance with the Regulations, ‘self-certify’ their compliance with the selection requirements.
Suppliers can join the DPS at any time within the ‘term’.

7. Business Services Marketplace
Why choose a DPS……
Establishing a Dynamic Purchasing System achieves the following:
Simpler solution for Buyer and Supplier
Use of existing IT solution
Easier to be fully compliant (reduced sole source demands)
Suppliers go through Selection once
Ability to add in new suppliers over time
Accessible to Large Enterprises / SMEs / Local Suppliers
Can breakdown requirements into small one-off packages
Can contract for larger multi-year services
Cost of tendering / evaluation reduced
Increased competition

8. Procurement Process Overview
Business Services Marketplace
Procurement Process Overview
Tender process conducted via CTM:-
An ‘open market’ product designed to provide access to a pool of Potential Suppliers where new Potential Suppliers can join at any time.
Potential Suppliers wishing to join the Business Services Marketplace must ONLY complete a Pre-Qualification Questionnaire (PQQ).
The completed PQQs are evaluated on a pass/fail basis to establish the Supplier’s general capability for provision of the required services.

9. Our reasons for something NEW….
Business Services Marketplace
Our reasons for something NEW….
Unsuccessful suppliers can reapply at any time;
Level of effort to access the DPS is decreased;
SME Friendly;
Opportunity to stimulate the Local Supply Chain;
Suppliers choose whether to bid for each further competition.

10. Timescales Business Services Marketplace Sourcing Strategy
LLWR Internal Sanctioning
HoPs
SSAG
February 2016
DPS Questionnaire
Publish to Supply Chain
April 2016
Further Competitions
Issue to Approved Suppliers
May 2016 Onwards

11. Business Services Marketplace
Questions