Forward procurement plan - for the Gold Coast 2018 Commonwealth Games
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Forward procurement plan for the Gold Coast 2018 Commonwealth Games™
CS3259 06/14 © State of Queensland, 2014. The Queensland Government supports and encourages the dissemination and exchange of its information. The copyright in this publication is licensed under a Creative Commons Attribution 3.0 Australia (CC BY) licence. Under this licence you are free, without having to seek our permission, to use this publication in accordance with the licence terms. You must keep intact the copyright notice and attribute the State of Queensland as the source of the publication. Note: Some content in this publication may have different licence terms as indicated. For more information on this licence, visit http://creativecommons.org/licenses/by/3.0/au/deed.en.
Contents
Introduction 1
Background 1
Purpose 2
Application 2
Procurement plan reviews 2
Procurement objectives 3
Policy direction and principles 3
Queensland Procurement Policy 4
Queensland Charter of Local Content 4
Procurement strategies and approach 5
Procurement strategies 5
Procurement approach 5
Forward procurement schedule 6
Evaluation methodology and probity 7
Evaluation methodology 7
Probity 7
Procurement practices 8
Supplier development and capability 9
Procurement capability 9
Supplier contact 9
Complaints process 10
Procurement systems 10
Business and industry portal 10
Industry Capability Network (ICN) Queensland Gateway 10
Queensland Government QTenders 10
Appendix: Categorisation for GC2018 procurement activities 11Introduction
Background
The Gold Coast 2018 Commonwealth Games™ (GC2018) will be staged from
4 to 15 April 2018. At GC2018, 71 Commonwealth countries will compete across
a range of sports:
Core sports: 10 Optional sports: 7 Para-sports: 4
Athletics Basketball Athletics
Aquatics (Swimming/Diving) Cycling Aquatics (Swimming)
Badminton Gymnastics Lawn Bowls
Boxing Shooting Powerlifting
Hockey Table Tennis
Lawn Bowls Triathlon
Netball Wrestling
Rugby Sevens
Squash
Weightlifting
Approximately 80% of the venues for GC2018 will be on the Gold Coast; however,
some events will be held elsewhere in Queensland. For example, track cycling and
shooting will be held in Brisbane and basketball preliminaries will be played in
Townsville and Cairns.
Following broad public consultation, the Queensland Government determined and
published its objectives in hosting the Games:
Demonstrate Queensland’s
ability to stage a successful,
inspiring and memorable
international event
Maximise long-term Gold Coast 2018 Leverage GC2018 to derive
community, sport and economic benefits and
Commonwealth Games™
health benefits develop local business
from GC2018 (GC2018) and workforce capability
Strengthen Queensland
as Australia’s premier
tourism destination
The current estimated whole-of-Games expenditure budget is approximately
$2 billion, and a large majority of this is relating to procurement activities.
Procurement will occur across a range of agencies.
Collaboration between Games partners is an integral and essential part of
GC2018, given the complexities, synergies, risk of duplication and specific
procurement requirements.
Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 1Purpose
The primary purpose of this document is to inform businesses of potential supply
opportunities for GC2018 and indicative timeframes for these, to encourage a more
competitive marketplace.
This document also aims to:
• set supplier expectations and outline important information in relation to
procurement activity for GC2018
• provide a consistent, whole-of-government view for procurement activities for
GC2018 through the forward procurement schedule (FPS)
• outline probity requirements
• summarise the level of capability committed to achieving planned GC2018
procurement outcomes.
Application
This document applies to procurement undertaken by:
• the Gold Coast 2018 Commonwealth Games Corporation (GOLDOC)
• budget-sector state government agencies
• other statutory authorities and bodies.
Local governments may use this plan in undertaking their procurement for GC2018.
Procurement plan reviews
This plan, including the FPS, will be developed and reviewed regularly, and
updated as required between now and Games time (April 2018).
2 Forward procurement plan for the Gold Coast 2018 Commonwealth Games™Procurement objectives
Achieves value for
money and optimises
commercial outcomes
Provides seamless and
timely supply of high-quality,
Addresses and mitigates fit-for-purpose
procurement risks goods and services
Planned, consistent, timely
and documented approach Works across
Aligns with government values for all activities that: agency boundaries
and government tiers
• reduces duplication, waste
and supplier confusion
• maximises industry
opportunity
• optimises legacy benefits
Analyses, understands and
optimises supply markets Actively consider the benefits
and supply chains of utilising local suppliers
and enhances the
development of local industry
Ensures accountability,
transparency and probity Enhances public understanding
are maintained and support through consistent
communication, policy, principles
and stakeholder engagement
Policy direction and principles
Procurement provides an opportunity to enable innovative solutions, attract
investment and grow local business capacity.
Two critical policies will apply to and set the direction for all state government
procurement undertaken for GC2018:
• the Queensland Procurement Policy (QPP)
• the Queensland Charter of Local Content.
Other legislation, policies, state and federal agreements and international trade
agreements also impact upon particular procurement activities and must be
adhered to. These will be clearly outlined as part of each individual procurement
activity. They will lead to specific outcomes such as providing opportunities for
Indigenous employment within the activity.
Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 3Queensland Procurement Policy
The QPP will provide the overarching policy direction to ensure procurement
delivers benefits for government, suppliers and the community. This will be
achieved by applying the six principles of government procurement:
Principle 1: We drive value for money in our procurement. This is the primary
policy principle.
Principle 2: We act as ‘one government’, working together across agency
boundaries to achieve savings and benefits.
Principle 3: We are leaders in procurement practice—we understand our needs, the
market and our suppliers and have the capability to deliver better outcomes.
Principle 4: We use our procurement to advance the government’s economic,
environmental and social objectives and support the long-term wellbeing of our
community. This includes ensuring competitive local suppliers1 are afforded a full,
fair and reasonable opportunity to supply government.
Principle 5: We have the confidence of stakeholders and the community in the
government’s management of procurement.
Principle 6: We undertake our procurement with integrity, ensuring accountability
for outcomes.
The above principles will be applied through the procurement strategies to be
developed against the FPS.
Queensland Charter of Local Content
The Queensland Government is committed to supporting competitive local
industries and is aiming to maximise the opportunity for participation in GC2018
by local suppliers.
The Queensland Charter of Local Content (the charter), which is consistent with
the QPP, provides the policy framework for local participation. It has the core
objective of maximising local content by providing full, fair and reasonable
access by capable local industry to government procurement opportunities,
including GC2018.
The charter does not mandate the use of local suppliers; however, it encourages
agencies to consider a wide range of potential suppliers when making
procurement decisions.
1 ‘Local suppliers’ are defined by regulatory instruments as Australian or New Zealand suppliers.
4 Forward procurement plan for the Gold Coast 2018 Commonwealth Games™Procurement strategies and approach Procurement strategies The FPS (available at www.business.qld.gov.au/commonwealth-games) lists anticipated procurement activities required for GC2018. A range of procurement strategies will be developed and used for these activities, in line with the principles of the QPP. The specific strategies developed for the activities in the FPS will depend on a number of factors including, but not limited to, value, risk, sponsorship opportunities, capability and capacity of the marketplace, resourcing, urgency/ timing and legacy benefits. Examples of procurement strategies that may be employed for GC2018 are: • reusing/recycling existing government resources • leveraging existing government arrangements (local, state and federal) • sponsorship opportunities • public tender and/or strategic sourcing exercises • direct negotiations • closed/restricted tenders/quotes • partnerships • prequalified arrangements • lead/head contractor arrangements with a range of subcontracting opportunities directly managed by the head contractor • sole/specialist sourcing • extending/varying existing contracts with optional extension provisions, subject to value for money, satisfactory performance, stakeholder satisfaction, ongoing business requirements and meeting the QPP principles. Procurement approach All procurement activities for GC2018 will use consistent whole-of-government categorisation of spend under the following megacategories: • building construction and maintenance • general goods and services • information and communications technology • medical • road construction and maintenance • social services. The categories to be used for GC2018 are outlined in the appendix to this plan and are specified in the FPS for each procurement activity. However, the categories may be updated before GC2018 during plan reviews if necessary. The categories identified in the FPS may be packaged together or separately, to bring optimum outcomes for both the supply market and Queensland, and to drive value for money while ensuring whole-of-government outcomes are achieved. The approach taken will be determined through aligning requirements with what the supply market can deliver (individually or through partnerships) and minimising duplication. Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 5
How categories of spend are packaged will be developed as part of the
procurement strategy through:
• consultation with key internal and external stakeholders including industry
bodies
• detailed market research
• learnings from past Games activities.
The strategy for packaging items will consider:
• the capacity of market participants to deliver (e.g. quality, technical expertise,
supply chain)
• whether the package is realistic and whether it will drive value from the market
• where goods and services could be sourced from, possible supply shortages,
risks, mitigations and innovative strategies to address shortages
• market dynamics (to determine the appropriateness of each package)
• any urgent ‘Games time’ procurement activities that may fall outside specific
packages.
Categories of spend may be packaged into large bundles, but one large contract
will not necessarily be awarded for each package of work.
Each FPS activity may have its own unique procurement outcomes, delivery
mechanisms, number of contracts awarded, sponsorship opportunities,
whole-of-government approach and local industry influence.
During the development of procurement strategies, packages of goods and
services may be broadened or narrowed to ensure all potential value-added
services that suppliers can provide are identified, and to maximise opportunities
for suppliers.
Forward procurement schedule
The detailed FPS is available at www.business.qld.gov.au/commonwealth-games.
For each project, it clearly outlines:
• the project name
• its megacategory and category
• its subcategory and/or examples of items to be procured
• the anticipated market invitation timeframe
• subcontracting opportunities where they exist, including the type of
opportunities available (where known).
The current FPS is subject to change, as it includes anticipated activity only. Many
activities are in the early stages of planning and so delivery mechanisms and
supply requirements are not finalised. A number of activities may be supplied
through direct sponsorship negotiations or alternative procurement strategies.
6 Forward procurement plan for the Gold Coast 2018 Commonwealth Games™Evaluation methodology and probity
Evaluation methodology
Evaluation methodology, criteria and weightings will be documented before any
responses are evaluated, regardless of the value of the activity. The criteria will be
published in the invitation to offer and can include, but are not limited to:
• value for money, including consideration of
–– the overall objective of the procurement and the outcome being sought
–– cost-related factors (e.g. up-front price, whole-of-life costs and transaction
costs associated with acquisition, use, holding, maintenance and disposal)
–– non-cost factors (e.g. fitness for purpose, quality, delivery, service, support
and sustainability impacts)
–– sponsorship
• capability, including experience and track record
• capacity to provide goods and services to the required scope and scale
• legacy benefits and disposal options, including innovative solutions
• sustainability (economic, social and environmental)
• surety of supply, including business continuity and disaster recovery
processes
• quality
• safety
• ability to report and measure initiatives
• adherence to Australian standards and codes
• use of local and small to medium-sized enterprises (SMEs) and Indigenous
enterprises (where applicable)
• compliance with terms and conditions.
Probity
Probity is the evidence of ethical behaviour in a particular process. All procurement
activities for GC2018 will be undertaken with integrity, and probity and
accountability will be maintained, by adhering to the following guidelines:
• One lead agency (and contact officer) will be identified for each procurement
activity and will be the single point of contact for that activity.
• Evaluation criteria and methodology will be established with the aim of
securing the most advantageous arrangement and value for money (not
necessarily the lowest price).
• Evaluation methodology, criteria and weightings will be documented before
any responses to an invitation to offer are evaluated, regardless of the value of
the activity.
• The information dealt with during the evaluation will be considered
commercially sensitive for both the industry and our Games partners, and will
be treated accordingly.
• All procurement decisions will be documented and fully auditable.
• Existing conflicts of interest will be declared and dealt with at the start of a
project, and others will be dealt with progressively as they arise.
Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 7• All involved individuals, including sign-off managers and members involved
in evaluation, as well as authorising committees and boards, will be fully
accountable for their actions. These staff will avoid all situations that would be
or could be seen as conflicts of interest, and will be required to sign conflict of
interest declaration forms.
• All bidders will have access to the same information and for the same amount
of time.
• Confidential information will be protected and no information will be provided
for the benefit or to the detriment of particular parties.
• Deadlines, including dates for submission of bids, will be enforced, and any
extension of time permitted must be granted to all bidders.
• All bids, submissions and expressions of interest will be evaluated by more
than one person.
Procurement practices
A number of standard procurement practices will be employed for all GC2018
procurement activities. The aim of this is to enable innovative solutions and
ensure supplier expectations are met while maintaining a simple, consistent look
and feel that does not increase red tape. The following list will be developed and
expanded over time and will be updated regularly, as more detailed procurement
activities occur.
The current standard practices include:
• providing feedback sessions for suppliers
• using consistent tender and contract templates
• using consistent whole-of-government terms and conditions, including
supplementary terms and conditions specifically for GC2018
• following consistent reporting practices that comply with GC2018 requirements
and existing government reporting requirements (e.g. contract disclosure
reporting as per the QPP)
• where beneficial, providing face-to-face briefing sessions before tender, with
all information available online
• maximising accessibility for suppliers through the use of webinars and access
to online solutions
• using consistent procurement platforms and websites for all opportunities
• publishing forward procurement opportunities through the FPS from 2014.
8 Forward procurement plan for the Gold Coast 2018 Commonwealth Games™Supplier development and capability Developing suppliers and improving their capabilities is an important objective for GC2018. The Queensland Government currently offers a range of programs and other assistance measures designed to improve companies’ capabilities to tender effectively for the supply of goods and services to government, including GC2018. These programs are generally provided free of charge and include, for example, the tier barometer assessment, SME involvement in tender and capability enhancements. Businesses interested in supplying to GC2018 should monitor the events calendar on the business and industry portal, www.business.qld.gov.au. This calendar provides information on the programs as well as details on when and where they will be held. Procurement capability The development of skills and competencies in procurement—across contract management, category management, relationship and supplier performance management, supply chain management and negotiations—will be a focus across the Queensland Government over the next four years, as part of whole-of-government procurement transformation. Improving the capability of procurement staff and ensuring they have professional skills is a key priority, and ongoing training and development will be provided to staff across the state. The Procurement Transformation Division (within the Department of Housing and Public Works) will facilitate this training and development. Staff undertaking procurement activities for GC2018 will be part of the Procurement Working Group. To ensure they adhere to the approved procurement framework, they will: • have demonstrated high standards of integrity • have appropriate skills for the type of work being performed • have their skill levels assessed • be given the opportunity to develop new skills • have their performance assessed at least once per year. Supplier contact Given the volume of activity and interest in GC2018, individual face-to-face supplier contact may not be possible, and will depend on the procurement strategy employed. Once individual procurement strategies are known, the relevant avenues for information and details for each procurement will be clearly communicated in the FPS. Other supplier events—including business development opportunities—are being planned. General supplier forums will be held annually and dates for these will be published and communicated through www.business.qld.gov.au. All general procurement enquiries should be emailed to betterprocurement@hpw.qld.gov.au. Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 9
Complaints process
Existing Queensland Government complaints processes will be used for complaints
surrounding GC2018 procurement.
• Complaints about specific procurement activities should be directed to the
agency administering the procurement, in the first instance.
• General complaints and complaints relating to the procurement plan should be
emailed to betterprocurement@hpw.qld.gov.au.
Procurement systems
Business and industry portal
This one-stop shop, at www.business.qld.gov.au, will provide GC2018 information
and tools for suppliers. It will also have links to the latest versions of this plan and
the FPS as well as to GC2018 procurement opportunities and tendering sites such
as the following.
Industry Capability Network (ICN)
Queensland Gateway
This site will enable suppliers to prepare and better position themselves for
tendering for GC2018. It will:
• publish forward procurement opportunities
• allow suppliers to register their interest against work packages
• facilitate prequalification and capability assessment against work packages
• help suppliers identify and engage in partnership opportunities
• allow suppliers to register interest in sponsorship.
Queensland Government QTenders
This site will enable suppliers to submit tenders for GC2018. They will be able to:
• view upcoming, current, closed and awarded tenders
• upload and download tender documents
• tender for all GC2018 published tender opportunities.
10 Forward procurement plan for the Gold Coast 2018 Commonwealth Games™Appendix
Categorisation for GC2018 procurement activities
Megacategories Categories
Building services Civil works
Building construction
Floor coverings Floor structures
and maintenance
Major construction project
Appliances Banking and financial services
Call centre services Cleaning—consumables
Cleaning services Clothing and personal protective equipment
Electrical Entertainment
Equipment hire Flags, banners, backdrops
Fleet Food and beverage and catering
Freight and logistics Fuel
Furniture, fittings and equipment Hardware
Hoardings Insurance
Labour hire Landscaping
Laundry and linen Legal services
Marketing and printing Measuring and monitoring
General goods and services Media services Merchandising
Miscellaneous services Office consumables
Photographic services Professional services
Publications Records management
Recruitment services Retail services
Security equipment Security services
Signage Specialised design services
Specialist printed items Specialist services
Sporting equipment Staging and platforms
Structures and poles Temporary/portable buildings
Training Travel
Utilities Venue hire
Waste
Audiovisual—equipment Audiovisual—services
Information and Communications ICT equipment
communications technology ICT hardware ICT services
ICT systems Security equipment
Labour hire Medical equipment
Medical Medical furniture and fittings Medical services
Medical supplies
Road construction Traffic and pedestrian monitoring Traffic control
and maintenance Traffic equipment
Forward procurement plan for the Gold Coast 2018 Commonwealth Games™ 11For more information on procurement opportunities for the Gold Coast 2018 Commonwealth Games™ please visit www.business.qld.gov.au
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