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Association of Colleges - Further Education Library of Procurement
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Further Education Library of Procurement
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Steps
Route map for procurement - five step journey to achieving procurement excellence.
Step 1 - A strong lead – getting the right people on board
AoC Procurement Development Team
Improving Procurement in FE Colleges
Government’s Requirement of Colleges – Efficiency Savings
An introduction to procurement
What is the Difference between Procurement and Purchasing
Why is procurement important?
What is value for money?
Quality
Key principles of achieving value for money
Have a strategic approach to procurement
Make appropriate use of electronic procurement
Manage procurement risk
Develop appropriate contract strategies that are actively managed
Partnerships and longer-term collaboration
Reliable management information
Measure and evaluate performance
Value
Assessment of risk
Budget exceeded
Goods/services do not meet user's expectations
Goods/services not delivered on time
Change in strategic direction
Technology shift
Good Practice Guide Thresholds
Training
Step 2 - Getting a clear picture
Procurement
Procurement Cycle
Procurement Cycle Graphic
Purchasing requirement identified
New Procurement Risks
Plan the process
Identify the competitive process
Option Appraisal
Outline Business case
Different financing methods
Risks when planing the process
Prepare the documentation
Risks when preparing the documentation
Identify possible suppliers
Market research
Risks when sourcing suppliers
Issue and receipt of RFQ and RFT
Risks when sending out tendering documentation
Evaluation of submissions
Bid Clarifiaction
Risks when evaluating submissions
Post tender negotiation
Risks of post tender negotiations
Award and place the Contract
Risks when awarding and placing contracts
Delivery
Risks when taking delivery
Supplier is paid
Risks once payment has been made
Manage and monitor performance
Risks of not managing and monitoring contracts
Review the process
Risks of not reveiwing a procurement
National Benchmarking Programme
Spend Analysis
Step 3 - Putting Structures in Place
Procurement Strategy
Benefits of having a strategy
Informed way forward
Types of procurement function
Strategic function
Supportive function
Commercial function
Clerical function
Self assessment exercise
Procurement Plan
Aims and objectives
Local community relationships
Dealing with this Institution Guide
Value to your local community
Procurement Policy
An endorsement
An introduction to procurement policy
Vision, aims and objectives
Authority to commit funds
Procurement authority
Sourcing New Suppliers and Required Quotations and Tenders
Responsibility statements
Nominated, or Lead, Buyers
Unauthorised expenditure
Separation of Duties
Fraud
Definitions of fraud
Legislation
Step 4 - Into Action
Procurement Procedures
The processes
Identify need for goods or services
Challenge and ask questions
Stationery cupboard
Halls of residence
Competition
The competitive process
Overview of competitive process
When to use Quotations and tenders
Producing a specification
Writing specifications
Output specifications
Brand names
Vague words
Use of jargon
Using Purchasing Consortia
Identifying potential suppliers
Sourcing Spreadsheet
Commodity arrangements
Tender documentation
Advertising - contract notice
Letter of acknowledgement
Sample Letter of acknowledgement
Pre-Qualification Questionnaire
Letter of Invitation
Sample Letter of Invitation to Tender
Instructions to tenderers
Sample Instructions to Tenderers
Conditions of tender submission
Sample Conditions of Tender Submission
Evaluation (award) criteria
An Assessment Method
Form of tender
Sample Form of Tender
Terms and Conditions of Contract
Additional information required
Sample Additional Information Required
Alternative (Variant) proposals
Sample Alternative (Variant) Proposals
Qualification of the contract
Sample Qualification of the Contract
Bona Fide declarations
Sample Bona Fide Declaration
Quotation documentation
Service level agreements (SLA)
Bought-in services
Supplier responsibilities
Institution's responsibilities
Managing Department responsibilities
The contract
In-house services
Internal service provider responsibilities
Managing Department responsibilities
End-users
Internal or 'captive' companies
Receipt of sealed bids
Governemnt Procurement Cards (GPC)
Who should have a card?
Financial limits
When to use procurement cards?
Blocked categories
Spend or merchant category codes (MCC)
Control issues
Day-to-day purchasing
Transaction log
Bank reconciliation
VAT issues
Recharging transactions
Procurement card administrator
International trade
Transportation issues
Re-importation of repaired goods
Control considerations
Access to the Institution
Funds availability
Authorised signatory list
Confidentiality
Ordering goods and services - purchase orders
Warning
Pricing arrangments
Preparing purchase orders
Goods received documentation
Payment of invoices
Ethics
Managing and monitoring suppliers' performance
Some examples areas to monitor
Financial considerations
Committing funds
VAT and other taxes
UK VAT rates
Zero-rating purchases
Budgets
International trading
Tax & duty liabilities - non-UK suppliers
Forms of payment
Import duties, custom charges
Useful Web Links
E-Tendering - Useful Web Links
EU Tendering - Useful Web Links
SME's - Useful Web Links
Sustainability - Useful Web Links
Other procurement agencies and Guidance - Useful Web Links
Step 5 - Measuring, reviewing & improving
Efficiency Measurement Model
Price Reduction
Added Value
Risk reduction
Process Re-engineering
Sustainability
Key Performance Indicators
Good Efficiency Ideas and Case Studies
Models and Toolkits
Legislation
EU Public Procurement Legislation
Types of Communication
Contract Types - definitions
Central Purchasing Bodies
Valuation of a contract and current EU thresholds
Supply contracts
Services contracts
Works contracts
Aggregation
Award procedures
Open procedure
Restricted procedure
Competitive dialogue
Negotiated procedure
With call for competition
Without call for competition
Contract award notice
Extension to a contract
Accelerated restricted and negotiated procedures
Framework agreements
Dynamic purchasing systems
Electronic auctions (e-auctions)
Award Criteria
Contract notice
Before the auction
Mathematical formula
During the auction
Closing the auction
Choice of procedure
Common Procurement Vocabulary
Timescales
PIN timescales
Open procedure timescales
Restricted procedure timescales
Accelerated restricted procedure timescales
Competitive dialogue timescales
Negotiated procedure timescales
Accelerated negotiated procedure timescales
Contract award notice timescales
Extreme urgency
Non-mandatory notices
Electronic issue of documents not available
Summary of timescales
Supplier selection criteria
Selection - grounds for exclusion
Award Criteria
Lowest price
Most economically advantageous tender (MEAT)
MEAT Sustainability - environmental and social criteria
Abnormally low tenders
Abnormally low tenders
Tender documentation
Advertising requirements
Technical specifications
Variant bids
Conditions for performance
Other obligations
Prior Information Notices
Living PINs
Notification of contract award
Notification - Tenders started on or after 20 December 2009
De-briefing
Standstill period
Suggested wording
Remedies
Remedy of Ineffectiveness
Remedies - UK
Law of Contract
What is a contract?
Elements of a contract
Intention
Offer
Counter-offer
Battle of the forms
Acceptance
Acceptance of the goods or services
Rejection of goods or services
Verbal contracts
Consideration (not in Scotland)
Capacity to contract
Consent
Possibility of performance
Legality
Discharge of the contract
Discharge by performance
Discharge by release
Intervening circumstances (frustration)
Time
Termination of contract
Bankruptcy or insolvency
Breach of contract
Laws concerning contracts
Sale and Supply of Goods legislation
Goods sold by description or by sample
Satisfactory quality / Fitness for purpose
Transfer of ownership
Supply of services - faulty goods or materials
Exclusion clauses (unfair contract terms)
Product liability
Product Liability and damages (Sale of Goods Act)
Product Liability and damages - Consumer Protection Act
Product Liability and damages - negligence
Terms and conditions of contract
Potential problems
Potential solutions
Penalty clauses and liquidated damages clauses
Payment terms
Fixed price versus variable prices
Contract price adjustments
Stage payments
Retention payments
Payment of invoices
Discounts for prompt payment
Glossary of commonly used phrases in contract law
Freedom of Information
FOI Act and Data Protection Act
Sample clauses
Clause for inclusion in tender documentation
Terms and Conditions - long version
Terms and Conditions - simple version
Health and Safety
Waste Electrical and Electronic Equipment
Equality and Race Relations
Integrated Benchmarking Information System (IBIS)
Importance of Procurement
Procurement Influence
Procurement Arrangements
Commodity Areas
Monitoring Compliance
Internal Benchmarking
External Benchmarking
Key Performance Indicators
Transactional Analysis
Simple measures
Simple measures - using the information
National Benchmarking Exercise
Whole Life Costing
What is whole life costing?
WLC of building
Decisions based on initial price
Net Present Value (NPV) and Present Value (PV)
Qualitative judgements
Fitness for purpose
Sustainability - WLC
Cost
Benefits of WLC
To institution
To users
To procurement staff
To Finance Directors
Whole Life Costing Calculator
Sample Documentation
Strategies, Policies and Procedures
Procurement Strategies
Procurement Policies
Procurement Procedures
Other Policies and Procedures
Template Documentation
Generic Tender Documentation
Generic quotation documentation
Specialist Documentation
Tender Specifications and Contract Information
Audio Visual, Multimedia, Entertainment and the Arts
Library and Periodicals
Catering
Medical, Surgical & Nursing
Agricultural, Fisheries, Forestry, Horticultural, Oceanographic & Geology
Furniture, Furnishings & Textiles
Janitorial & Domestic
Utilities
Computing
Laboratory
Workshop & Maintenance (Laboratories & Estates)
Printing and Reprographics
Telecommunications, Postal and Mailroom
Professional Fees and Bought-in Services
Stationery & Office Supplies
Transport & Transports incl vehicle hire & subsistence
Safety & Security
Vehicles
Estates, Buildings & Facilities Management
Waste Management Guidance
Miscellaneous
Estates / Construction Specifications
Finance & Administration Specifications
IT and Telecoms Specifications
Terms and Conditions of Contract
Other Guidance Material
List of Contributors
How to submit sample documents