Urban Development | QinetiQ
London’s Olympic Games 2012 saw procurement of contracts worth over
£5 billion, involving over 470 projects, and more than 4,600 suppliers.
to a decision based on confidence that the bidder will be able to deliver the requirements, balanced against price.
Using this method, QinetiQ has been able to successfully support the introduction of some highly complex and innovative procurement programmes – from the London Olympics to education, health, defence and transport projects – in a cost-effective manner. Our approach and methodology can be applied easily to improve any major procurement programme. London’s Olympic Games 2012 saw procurement of contracts worth over £5 billion, involving over 470 projects, and more than 4,600 suppliers. In such a complex programme, there can be a danger that the buyer dives immediately into the detailed technical requirements of the product or service being procured, e.g. an Olympic Stadium.
global-opportunity.co.uk
But what is the most important thing when building an Olympic Stadium? The ultimate goal is likely to be that the venues are ready in time to be commissioned for the Games. Relevant criteria, therefore, might include: l sufficient resources – skilled staff available, a robust resourcing plan, and effective supplier relationships, l a robust plan – with a critical path well-understood and de-risked; and l a supply chain – for materials and waste removal (in this particular case suppliers were required to use local canals, therefore experience of this method of transportation was critical). By understanding the high-level goal, it was possible to develop a set of structured criteria which the Olympic Delivery Authority used to successfully evaluate the substantial amount of suppliers, as well as to quickly feed back to losing bidders. Another complex project, Crossrail’s £14.8 billion railway development works for London and South East England, included 21 km of twin-bore tunnels under the centre of London, and eight new underground stations. Using our SCD approach, we were able to support the improvement of the procurement process and systems to deliver projects on time and to budget, ensure rigorous repeatable processes, transparency, robust defensible decisions, and give advice on best practice.
Successful strategic procurement should enable transparent best value and defensible decisions. Together with QinetiQ’s strategic procurement solution, AWARD®, SCD gives control over projects. Complementing existing sourcing software, AWARD® provides full document management capability, allowing secure audited communication with bidders. It reduces timescales in awarding contracts and enables visualisation of real-time results, ensuring compliance and increasing efficiency. The entire process is supported and underpinned by a fully automated audit trail. To date AWARD® has been used on projects worth more than $140bn in the government, commercial and utility sectors.
Successful procurements focus
‘The procurement of over £5 billion of contracts, involving over 470 projects and more than 4,600 suppliers, evaluated to time and cost without delay or challenge, has demonstrated the benefits of a robust procurement process effectively supported by e-Evaluation [part of AWARD®, QinetiQ’s strategic procurement solution].’
ODA Learning Legacy Micro- report, May 2011
on criteria rather than requirements, and successful evaluations look at relative value for money rather than the cheapest compliant solution. Intelligent analysis of requirements at the outset of any major procurement programme will enable your key criteria to be set, and from there it will become clear what questions you need to ask to in order procure with complete confidence.
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To find out more about the Complex Procurement services on offer, please visit the QinetiQ Commerce Decisions website at
www.cd.qinetiq.com or speak with one of our team by calling us on +44 1865 781 350.
A FTSE250 company, QinetiQ uses its domain knowledge to provide technical support and knowhow to customers in the global aerospace, defence and security markets. QinetiQ’s unique position enables it to be a trusted partner to government organisations, including defence departments, intelligence services and security agencies.
FURTHER INFORMATION For more information about the full range of QinetiQ offerings, please visit
www.qinetiq.com or call us on +44 (0) 8700 100 942
ISSUE 01 | GLOBAL OPPORTUNITY 2014 89
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