Session 12:Preparing Your Offer

Evaluating Your Proposal

At the end of the workshop you should have an understanding of:

the processes that government follows when undertaking an Expression of Interest or Request;

key considerations when responding to a government tender; and

where to access information and further assistance.

Outcomes from this Session

Open and Effective Competition:Minimum Requirements

Monetary Threshold Minimum Requirements

Below $5,001 Direct Purchase

$5,001 - $20,000 Verbal Quotes (2-5)

$20,001 - $150,000 Written Quotes (2-5)

Above $150,000 Open Tender

Exemptions from the Tender Process

Open and Effective Competition Policy

Exemptions from competitive requirements may apply where:

bona fide sole source of supply;

purchasing from an Australian Disability Enterprise;

similar sourcing within the last 12 months;

integration or standard operating environment; or

emergency situation.

Exemptions from the Tender Process

Exemptions from competitive requirements may also apply when:

Entering into a contracting arrangement to purchase a community service from a not-for-profit organisation (in accordance with the DCSP Policy), and the Accountable Authority considers that:

no service provider exists with the necessary skills and there is a need to develop such;

an existing service provider is continuing to meet its contractual obligations, represent value for money and will be retained under preferred service provider provisions of the DCSP Policy; or

there are strategic considerations, such as the viability of other funded services that make direct negotiation desirable.

Request - Structure

Part A – Procurement Process Information

Part B – Service Agreement Details

Part C – Service Requirement

Part D – Response Form

PART D: Response Form

• Respondent Details – Fill out all of your details.

• Mandatory Requirements – Yes/no response. If you do not meet the mandatory requirements, your offer will be excluded from further consideration.

• Qualitative Criteria – Written response required. Essentially this section provides information about your organisation and the services you are able to provide.

• Disclosure Requirements – Yes/No response. They do not automatically exclude a Respondent from the process.

• Pricing – Price schedule will be included in Request document. You need to insert your prices into the schedule.

Tender Evaluation

Accountable Authority

endorses the decision

Report endorsed by Community Services

Procurement Review Committee

Nominate evaluation panel

members and distribute offers

Panel members individually

evaluate (score) offers

Evaluation panel is convened to assess offers

(scores agreed)

Panel makes a value for money assessment and

drafts report

If over $1 million or high risk

Value for Money

• “Value for Money” is a key principle in Government procurement policy.

• It says government should select the offer that represents the best value for money, taking into consideration cost factors (that is, whole of life cycle costs) and non-cost factors (such as suitability, risk, sustainability, etc).

• Value for Money means finding good prices and good

quality. It doesn’t necessarily mean the lowest price.

Value for Money

“Value for Money” considerations include:

• Continuity of Service Delivery

• Suitability of Proposed Service

• Organisational Capacity

• Demonstrated Experience

• Organisational Viability / Sustainability (not necessarily financials)

• Quality Standards (if applicable)

• Risk

• Price

Things To Consider:

• Knowing your strengths (i.e. competitive advantage)

• Managing risk

• Flexibility and innovation

• Sustainable pricing

Pricing Your Services

The Request asks for you to submit your pricing.

Price may be one of the factors used in assessing your submission when considering value for money.

Better services, not cheaper services

Key Tips for Tendering

Check Tenders WA and add an alert for your relevant categories

Register and log in on Tenders WA to ensure you receive any addenda

Make sure you get all of the documents that make up the Request

Plan to respond a day early

Know the closing time and place, it is not the same for all tenders

Key Tips for Tendering

Use the selection criteria as a heading when addressing them and try to follow the sequence in the Request

Address all of the selection criteria

If you have any questions, ask!

Do not assume that the person reading your offer knows you or your organisation

Ask for feedback after the contract award, whether successful or unsuccessful

Further Education, Training and Support

•Peak Bodies

•FaCS Website

http://www.finance.wa.gov.au/cms/content.aspx?id=12603

Mark BrydenAssistant Director, Policy & Educationmark.bryden@finance.wa.gov.au

Funding and Contracting Services Unitfundingandcontracting@finance.wa.gov.au 6551 1515

Kylie TowieDirector, Funding and Contracting Serviceskylie.towie@finance.wa.gov.au

Tim McKimmieAssistant Director, Direct Agency Supporttim.mckimmie@finance.wa.gov.au

Glaucia HylandAssistant Director, Special Projectsglaucia.hyland@finance.wa.gov.au

Further Education, Training and Support

Questions?