Step 4 - SERVICE PROVIDER SELECTION
The project procurement plan has been approved.
The market is typically approached through Request for Tender (RFT) documentation. The RFT provides the information necessary for tenderers to understand the tender process, selection criteria and the requirements of the contract. These requirements should be consistent with the business case.
The process for selecting tenderers, evaluating tenders and awarding the contract to the service provider that demonstrates best value for money must be fair, ethical and transparent.
Prepare request for tender documents and obtain approval for release
The RFT outlines the tender and contract objectives and requirements, with details of the roles and responsibilities of all parties. It must be logical, clear and precise document and include all necessary information for the tenderer to understand the tender process and contract and how the evaluation panel will select the tenderer offering best value for money. Standard terms and conditions should be used where available.
The RFT also clearly states whether alternative tenders will be considered and the basis upon which they are to be submitted and considered.
Obtain formal agency approval to release the RFT.
The property and accommodation markets in Australia have traditionally presented a challenge for acquirers to achieve best value and advantage for their rental dollar. In consideration of this, the most common method used for procurement of leased office accommodation is negotiation with one or more property agents through either a selected approach or through an EOI.
Prepare tender evaluation plan
The Tender Evaluation Plan must describe how the evaluation process will be carried out, including the evaluation criteria and their weightings. It allocates responsibilities and must be consistent with the evaluation process described in the RFT documentation.
The Tender Evaluation Plan must be completed before tenders close.
Seek offers from the market
The tender period must be sufficient to encourage service providers to submit a competitive tender.
Where open tenders are invited, information on the request for tender must be made available on the NSW Government electronic tendering site (www.tenders.nsw.gov.au).
The invitation and receipt of tenders must be conducted using ethical behaviour and with probity. The process is to be transparent, with fair competition that achieves and identifies the best value for money for government.
The procedures for the receipt, opening and registration of tenders must safeguard the security and confidentiality of the tenders.
Evaluate offers and select service provider(s)
The evaluation process must be a fair comparison of tenders, using the same documented evaluation method and criteria for each tender. The evaluation process must be conducted by personnel with sufficient skills and knowledge in matters appropriate to the nature, value and importance of the procurement.
Under the Gateway Review Process a Tender Evaluation Review can be undertaken before the contract is formalised to confirm that the recommended decision appears appropriate. The review also aims to provide agency decision makers with confidence that the process used to select the proposed service provider is robust.
Obtain approval to award contract to service provider(s)
An evaluation and recommendation report must be prepared and submitted to the agency’s delegated authority for approval to accept the recommended supplier. Reasons for the recommendation, and for passing over of any lower priced tenders, must be clearly documented and approved.
Following approval, agencies formally award a contract, for example by notifying the successful tenderer of acceptance of the tender. Unsuccessful tenderers must be advised as soon as possible after a tender is accepted. If requested, unsuccessful tenderers are debriefed.
Unless otherwise authorised by the tenderer or required by legislation, information included in unsuccessful tenders is to be treated as commercial-in-confidence.
Information on contracts over $150,000 must be disclosed on the NSW eTendering website within 60 days of contract award.