Beruflich Dokumente
Kultur Dokumente
au
Version 8.1
Date Issued August 2014
Review Date April 2016
Principal Contact State Procurement Board
Telephone 8226 5001
Contents
Overview ..................................................................................................................... 3
Acquisition Planning and its Relationship to Complexity and Value Quadrants ............ 4
The development of acquisition plans must have regard to, and be consistent with, these
objectives.
All expressions defined in the Act have the same meaning in this guideline.
Acquisition Plans must take into account the requirements set out in this guideline by
utilising the Acquisition Planning Template provided in Attachment 1.
The rigour of acquisition planning should be varied in line with the complexity and value of
the acquisition and should commence as soon as possible, so that commercial opportunities
can be identified and risks mitigated.
The time taken to plan, research and analyse a procurement significantly contributes to the
identification of the best value for money strategy. As such, this guideline emphasises the
importance of devoting greater time, resources and effort in the acquisition planning phase
of the procurement process.
High
High Complexity/Low High Complexity/High
Value Value
Simple Procurement*
(Quadrant 2) (Quadrant 4)
Complexity
Low
$220,000 $4.4M
Low High
Value
* For simple procurements valued up to and including $220,000, apply the Board’s Simple
Procurement Guideline.
Complexity
For government procurements, areas that add complexity typically relate to availability and
continuity of supply, quality standards, safety, and regulatory issues.
If the answer to all of the above questions is YES, the procurement is assigned to a low
complexity quadrant (quadrant 1 or 3). However, if the answer to any of the above
questions is NO, the procurement is considered in a high complexity quadrant.
While high complexity procurements are often associated with high risk, consideration of the
complexity of a procurement against the questions posed above is not, in itself, intended or
designed to be a risk assessment.
Value
For the purposes of this guideline, low value procurements (quadrants 1 and 2) are valued at
up to and including $4.4 million and high value procurements (quadrants 3 and 4) are valued
at above $4.4 million. All values are GST inclusive.
Value is the estimated total value of any contractual commitments that may result from a
single procurement exercise. It incorporates the GST inclusive cost over the potential life of
the contract including optional extensions.
The detail and scope of the Acquisition Plan will vary according to the nature, complexity
and value of the procurement being undertaken. Public authorities must adopt the template
(including headings and detailed requirements) but can add extra details under the relevant
heading, as long as these do not contradict other Board policies and guidelines or other
aspects of the template.
Alternatively, public authorities can include additional information in the template at Section
10 - Public Authority Additional Requirements.
Public authorities are able to brand the acquisition planning template to suit their own
internal requirements.
For procurements considered high in complexity and/or value (i.e. quadrants 2, 3 and 4), a
Procurement Risk Management Plan must be prepared and attached to the Acquisition Plan.
For all procurements greater than $4.4 million, public authorities must use the Supply
Positioning and Supplier Preferencing market analysis models outlined in the Board’s Market
Analysis and Acquisition Strategy Guideline to assist with the development of an appropriate
acquisition strategy.
Public authorities are expected to exercise judgement when applying these requirements to
specific procurements. Where the nature of the procurement prevents the requirement from
being properly addressed, the public authority must document the rationale for this in the
Acquisition Plan.
Limitation of Liability
Cabinet has approved the following default liability cap for low risk contracts valued up to $1
million:
“Low risk contracts” are considered to be contracts that have been assessed as having a low
risk (after risk treatments) as determined by the public authority’s risk management rating
matrix.
The default liability cap for low risk contracts with a contract value up to and including $1
million is five times the contract value.
Public authorities must undertake a risk assessment to determine the default liability cap for
the contract, in accordance with the Department of Treasury and Finance’s “Guidelines for
the Limitation of Liability of Suppliers, Consultants and Contractors”.
Contract Renewals
Where a contract is currently in place, it is important that forward planning is undertaken to
ensure that sufficient time is allowed for an appropriate acquisition strategy to be
developed, approved and implemented before the contract expires.
Where a contract has already expired, any subsequent actions will be considered a new
procurement. Where a contract has not yet expired and does not contain any extension
options, it can be extended before expiration by enacting a mutually agreed variation to the
contract, in accordance with the Board’s Contract Management Guideline, which provides
examples to assist public authorities to meet a short term need or imperative when this
occurs.
Where the procurement value exceeds the procurement authority of the public authority,
Acquisition Plans must be submitted to the Board for approval, except when using
Across-Government or Lead Agency contracts as discussed in the Panel Contract Guideline.
Note that acquisition plans that involve a single supplier market approach, within the limits of
the public authority’s procurement authority, must be approved by the principal officer.
Where the procurement value exceeds this limit, it must be endorsed by the principal officer
before being sent to the Board for consideration. In both situations, this endorsement by the
principal officer cannot be delegated.
An approval made by the Board in relation to a proposed procurement assumes that the
public authority:
has provided the Board with accurate information (containing no omissions or
representations) enabling the Board to make a proper assessment of the proposal;
principal officer remains accountable for the procurement as the Board’s decision is
based on the recommendation of the principal officer;
has answered all questions or clarified aspects of the proposal, to the Board’s
satisfaction, where requested by the Board;
will undertake all actions associated with the approval if requested by the Board;
will advise the Board of any material change in the nature or circumstances of the
procurement (following approval); and
will undertake the proposal with due process and comply with all relevant Board
policies, guidelines or legislation.
A higher approving authority may, at its discretion, select any acquisitions, of any value, to
review and/or examine to ensure Board policies and guidelines are adhered to and
implemented.
As a general rule, funding approval must be obtained before procurement approval is sought
and obtained. However, in cases where funding approval cannot be obtained prior to the
acquisition planning stage, approval of the Acquisition Plan by the delegate or Board will be
conditional on obtaining the required funding approval before the market approach is
undertaken. This applies to both one stage and two stage market approaches.
A Probity Plan is optional but should be considered for higher value and risk procurements.
The Acquisition Plan must clearly identify who will approve the Purchase Recommendation.
Where, in progressing the approved acquisition plan, a requirement deviates from the
approved plan, justification for that deviation must be documented and the deviation
approved in accordance with the Board’s Supplier Selection Guideline.
To ensure that deviations from approved acquisition plans only occur in exceptional
circumstances, an effort should be made in the acquisition planning phase to ensure that the
acquisition plan reflects the appropriate procurement strategy and process to be undertaken.
The likelihood of deviations to the acquisition plan occurring during the procurement process
may be identified and addressed in the acquisition plan and the delegation of authority to
approve such deviations sought in the plan.
A documentary record of all plans, processes and approvals must be maintained and be
made available for review by the Board on request.
Purchase Recommendations
The acquisition plan approver is also responsible for the approval of the purchase
recommendation, however, they may delegate this authority at the time of approving the
acquisition plan. For this reason, the acquisition plan must clearly identify who will approve
the purchase recommendation.
Instructions for use of this document: Guidelines for drafting this document are in italics.
Each Acquisition Plan will need to be customised as the length and details will vary
according to complexity and value.
Acquisition Plan
[Procurement Description]
[Date]
8. Probity ......................................................................................................... 21
9. Evaluation .................................................................................................... 22
10. Public Authority Additional Requirements ........................................................ 22
11. Procurement Timeframe ................................................................................ 22
12. Approvals ..................................................................................................... 23
12.1 Purchase Recommendation .................................................................... 23
12.2 Other Approvals .................................................................................... 23
Procurement – Endorsement:
☐ Approved
applicable)
Name and Title of Delegate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
................................
................................
................................
☐ Not approved
Comments:
Contact Details
Department / Section
Contact Person Details Name:
Title:
Phone:
Email:
Procurement Details
Procurement Description What is the problem or opportunity being addressed
(Brief) and what is the solution being acquired?
SPB Quadrant
Assessment Matrix Q1 ☐ Q2 ☐ Q3 ☐ Q4 ☐
Procurement Risk
Management Plan Yes ☐ No ☐
attached
Yes ☐ No ☐
Funding Approval Attached:
Yes ☐ No ☐
Funding Source . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. Acquisition Details
The achievement of value for money in a procurement process begins with
developing a clear understanding of the requirement and the procurement
objectives.
3.2 Background
State why the procurement is required and the expected outcomes.
Identify the specific procurement objectives which are relevant to the requirement
such as:
Quality;
Service;
Cost;
Risk;
Social; and
Environmental.
Provide objectives that are realistic, measurable and capable of being achieved in
light of the specific acquisition strategy proposed.
Ensure that these procurement objectives link directly to the background and the
description of the requirement.
Answer the following questions to identify which quadrant the procurement is within.
If the answer to all of these questions is YES, the procurement is assigned to a low
complexity quadrant (quadrant 1 or 3). However, if the answer to any of the above
questions is NO, the procurement is considered in a high complexity quadrant.
Provide an estimate of the proposed contracted cost(s) over the total contract term,
including any extension options (GST inclusive).
Ensure that all potential additional work is included within the contract value
(including options).
Provide an explanation of the basis for the estimate of value including the rationale
for any cost assumptions.
Ensure the cost estimate is based on market research and benchmarking, and is
congruent with the market conditions and the buyer’s relative market power.
Identify the total estimated whole of life cost of the acquisition (including contract
extension options), for example, purchase costs, lease, maintenance, training and
transition costs.
Determine if these costs are fixed, variable or subject to exchange rate fluctuation or
consumer price index considerations?
Separately identify and describe the costs associated with the project that are not
part of the actual acquisition but essential to the implementation of the project, for
example, in house costs, project management costs, engagement of specialist
consultants.
3.7 Funding
Identify the value and scope of any funding approvals obtained or being sought (be
it from Cabinet, the Minister or another approver) and ensure it is consistent with the
approval being sought from the Board. Where relevant, outline the reasons for any
difference, in terms of total value, contract periods (including any options) and other
key factors.
Outline any relevant government policies, regulations and requirements and how
they have impacted the acquisition strategy including, but not limited to:
applicable legislation;
work health, safety and welfare;
Treasurer’s Instructions;
Government strategic priorities;
liability and insurance considerations including (for example) public liability,
products liability and professional indemnity;
information technology;
environmental and sustainability;
free trade agreements;
intellectual property;
limitation of liability; and
Industry Participation Policy.
5. Market Analysis
5.1 Market Analysis – Internal
Identify any relevant existing or proposed government contracts that may have an
impact on the procurement. Provide justification if the existing arrangements are not
adequate to fulfil the need.
Note: Normally this section would require the contribution of a full time procurement
practitioner.
If informal discussions with potential suppliers have been arranged, summarise (in
line with the Potential Supplier Engagement Checklist within the Board’s Market
Approaches Guideline) any key outcomes of these discussions that are relevant for
this procurement.
Outline the external market analysis undertaken commensurate with the nature,
complexity and level of risk of the procurement including:
market/industry structure, level of competition, sources of supply, capability
of possible providers;
number of suppliers, their capability and capacity;
availability of alternatives;
size of acquisition in the marketplace, value of the public authority’s business
to the supplier; and
how other jurisdictions in Australia currently address the requirement and
identify any opportunities for collaboration.
If the project impacts upon stakeholders or specific groups, ensure the breadth of
the stakeholders is identified.
Note that all for all procurements greater than $4.4 million, public authorities must
use the Supply Positioning and Supplier Preferencing market analysis models outlined
in the Board’s Market Analysis and Acquisition Strategy Guideline to assist with the
development of an appropriate acquisition strategy.
The Procurement Risk Management Plan may be part of the project’s overall risk
management plan.
Where appropriate, demonstrate that subject matter experts have been sourced,
engaged and contributed to the risk management process.
7. Acquisition Strategy
7.1 Market Approach
Describe the market approach to be utilised and the rationale, with reference to the
market analysis and the procurement objectives, for selecting the proposed market
approach.
State whether the Board’s standard market approach documents will be utilised or
that exemption approval has been obtained from the Board. The Board’s Standard
Tender and Contract Document Policy and Guideline also outlines exemptions for
which Board approval is not required.
Ensure the specification avoids the use of proprietary standards and specify the
requirements in such a way as to maximise the opportunity for competitive offers
from a variety of suppliers.
7.3 Sustainability
What impact does the procurement have on sustainability and how will the public
authority ensure contribution to sustainability objectives across-government?
Identify potential sustainability issues (for example, the use of energy, social
responsibility or ethical practices).
Provide details of, and the rationale for, selecting the proposed contractual
arrangement:
type of contract (sole supplier, period or panel contract);
scope of contract (across agency, lead public authority or across-government
contract); and
length of contract (including any options).
State which of the Board’s standard contract documents will be utilised (if
applicable).
Where a lead agency or across government contract is proposed, identify the scope
of any mandate that is to apply.
Where contract extensions are suggested, provide the rationale behind a contract
extension and the explicit criteria for the contract being extended.
Outline which division or section within the public authority will manage the contract
and the contract management resources that have been allocated for the contract
management tasks.
8. Probity
Provide a clear explanation on how probity will be managed during the procurement
process.
A Probity Plan is optional but should be used for higher value and risk procurements
and is a useful mechanism that helps to ensure that probity issues are considered
throughout the procurement process.
9. Evaluation
Describe the evaluation strategy to be adopted that reflects the procurement
objectives and the public authority’s needs. This includes:
evaluation methodology;
criteria and weightings; and
composition of the evaluation team.
An Evaluation Plan must be developed and approved prior to the opening of tender
responses as per the procurement timeframes below.
The detail provided in the Acquisition Plan must be sufficient to demonstrate that the
evaluation strategy will facilitate the achievement of the objective.
Target Responsibility
Activity
Date (Name and Title)
Acquisition Plan submitted for approval
Acquisition Plan approved
Tender Document drafted
Evaluation Plan drafted and approved
Probity Plan (optional) drafted and approved
Tender advertised
Tender Briefing
Tender Closes
12. Approvals
12.1 Purchase Recommendation
Provide details of who will approve the purchase recommendation and any other
relevant details.
13. Recommendation
Provide a summary of the requirement and the recommended market approach for
approval.