Making @ difference

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Making _at_ difference
Ron Fawcett Procurement Services
Manager Procurement Facilities Management (PFM)
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PFM - Procurement Services

• Standing Orders on Contracts
• EC Procurement Directives
• Leasing arrangements
• Selecting a partner supplier
• Identifying requirements and writing a
  specification
• Inviting tenders or quotations
• Furniture layouts for ICT Suites

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Standing Orders on Contracts

• Current Standing Orders
• Contracts below 5,000 adopt procedures that will
  provide best value
• Contracts valued 5,000 invite tenders from at
  least 3 contractors
• Contracts valued 30,000 invite tenders from at
  least 6 contractors

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Standing Orders on Contracts

• Contracts valued 144,000 require invitation of
  tenders in accordance with EC Directives
• Acceptance of tenders
• Other than the lowest tender requires approval of
  the Chief Executive and County Treasurer

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Standing Orders on Contracts

• Proposed changes from 1st April 2001
• (Subject to approval by Committee)
• Contracts less than 10,000 follow such
  procedures as considered will provide best value
  for money
• Contracts valued between 10,000 and 20,000 must
  obtain at least three written quotations

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Standing Orders on Contracts

• Contracts valued 20,000 - 50,000 invite tenders
  from at least 3 contractors
• Contracts valued 50,000 - 144,000 invite
  tenders from at least 6 contractors
• Contracts valued 144,000 require invitation of
  tenders in accordance with EC Supplies Directive

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Standing Orders on Contracts

• Acceptance of tenders and quotations
• Tenders or quotations not exceeding 20,000 -
  Governors shall accept the lowest price unless it
  would be in the best interests of the school to
  accept another tender or quotation. In doing so
  the Governors must have due regard to consider
  Best Value and their responsibility of managing
  within limits of funds available.

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Standing Orders on Contracts

• For tenders exceeding 20,000 the Governors may
  accept the lowest price. No other tender shall
  be accepted unless the full Governing Body
  resolve accepting another tender would provide
  best value to the school
• For tenders exceeding 50,000 the Chief
  Executive and County Treasurer must give their
  written approval to accept other than the lowest
  priced tender

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EC Procurement Directives

• Supplies, Services and Works are covered by EC
  Procurement Directives
• PFM issues all EC Contract notices for the County
  Council
• If schools wish to tender a contract valued
  144,000 they must request PFM to issue the
  appropriate notice
• Ron Fawcett will guide schools on the most
  appropriate procedures to follow

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Leasing

• All Leases must be approved by the County
  Treasurer before any commitment is made
• Only Operational leases may be considered not
  straight forward finance leases
• Before considering leasing as a way of financing
  a project contact PFM for advice
• PFM is currently involved in appointment of a
  Lease Agent for the County Council

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Leasing

• Features of an Operational Lease for ICT
• Equipment being leased never becomes the property
  of the school
• There will be an element of maintenance provided
• Usual lease period is 3 years, 4 years in
  exceptional cases never longer
• At the end of the lease the equipment must have a
  residual value of not less than 10

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Selecting a partner supplier

• Must have regard to Standing Orders
• If school wishes to make further purchases from
  an existing partner supplier must request PFM to
  seek an exemption from Standing Orders
• PFM will provide information to assist school in
  choosing an appropriate partner supplier

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Selecting a partner supplier

• PFM is currently working on the development of a
  new list of preferred suppliers
• New process will include a selection process that
  ensures suppliers can provide appropriate
  Managed Services in line with DfEE requirements
• Schools will be able to select suppliers from the
  list to provide quotations or tenders

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Tenders and Quotations

• PFM is able to assist schools in
• Identifying requirements
• Writing specifications
• Preparing tender documentation
• Handling the tender process
• Assessment of tender offers
• Making recommendations for acceptance of tenders

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Furniture layouts for ICT Suites

• PFM are prepared to help as follows
• Large or small projects simple or complex
• Help to decide best layout for furniture
• Assist in selection of supplier, if dealt with
  separately from the hardware provision
• Selection of other associated furniture, e.g.
  Chairs, tables, storage and display furniture as
  well as other equipment

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Software for schools

• PFM is a Microsoft Education Reseller
• Microsoft Education Select licenses and CD
  media
• Other software
• Adobe Computer Associates Corel JASC
  Macromedia Network Associates
• Very competitive pricing

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Total Cost of Ownership for ICT

• DfEE is anxious to ensure that schools deploy
  NGfL funding to provide ICT facilities which,
  provide the most efficient and effective
  facilities
• Total cost of ownership can be described as the
  costs involved in the purchase, installation,
  management, support and use of the ICT
  infrastructure. The TCO attempts to quantify the
  financial impact of deploying Information and
  Communications Technology

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Total Cost of Ownership for ICT

• In determining TCO need to consider following
• ICT Network infrastructure- Cabling Network
  Hardware Network Management Software ongoing
  support and maintenance
• General ICT Hardware- Servers PCs and
  peripherals ( printers, scanners, digital
  cameras)
• Software- generic software such as operating
  systems, server software, general applications
  e.g. Microsoft Office Suite and Curriculum
  software

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Total Cost of Ownership for ICT

• Technical support for the management of the
  facility which, can be provided in the following
  ways
• External provider
• In-house technician
• Teacher support
• Any combination of the above

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Total Cost of Ownership for ICT

• Replacements, upgrades and further enhancements
  to Network Infrastructure, Hardware and Software
• Other costs resulting from use of the ICT
  facility
• Consumables e.g. printer ink/toner
• DAT tapes for back-up system
• Teacher and administration costs in sorting out
  problems

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Total Cost of Ownership for ICT

• Some TCO examples
• A recent study into TCO in an FE College revealed
  the annual cost of providing ICT facilities to be
  800 - 1000 per workstation
• A primary school has recently calculated it needs
  to invest 10,000 per year in its ICT facilities
  this against a current budget of 6,000

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Managed Services

• There are three main types of managed services
• The BECTa model - fully managed service with all
  elements of supply, support and maintenance
  provided by a single supplier
• ICT network supported and maintained by a local
  supplier with regular technician visits
• ICT network managed remotely with minimal
  technical engineer call-outs

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BECTa Managed Services

• All elements of the network Cabling, Hardware,
  Software are supplied by the selected supplier
• The selected supplier provides maintenance
• The selected supplier manages the network through
  access to technical support services, engineer
  support, remote diagnostics
• A contract is signed for a set period of time
  usually 3 years

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BECTa Managed Services

• Advantages
• Fully costed making it easy to budget for
• Provides up to date facilities
• Guaranteed service support response times
• Upgrades to main software included
• Reduces time spent by teaching staff in sorting
  out problems
• No need to invite tenders

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BECTa Managed Services

• Disadvantages
• Relatively expensive
• High cost for short term investment
• Set format to contract not very flexible
• Difficult to incorporate existing equipment
• New equipment is not owned by the school

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Local Supplier Managed Service

• Build on existing facilities to update the
  infrastructure, hardware and software
• All elements of the network can be tailored
  specifically to meet the schools individual
  needs
• Local supplier providing engineer support
  tailored to individual schools needs
• The supplier assists the school to manage the
  network and agrees how this is done

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Local Supplier Managed Service

• Advantages
• Less expensive than BECTa model
• Flexible service tailored to schools needs
• School can select the level of support service
  required which can be changed at any time
• All equipment owned by school
• Will allow for add-on elements at any time

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Local Supplier Managed Service

• Disadvantages
• Total costs not known at outset therefore
  difficult to budget for support costs
• Requires some investment of teacher/technician
  time in managing the network

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Remote Managed Services

• All elements of the network supplied by the
  selected partner but tailored to schools needs
• The Server provided with a modem to facilitate
  remote diagnostics
• Engineer visits arranged as a last resort

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Remote Managed Services

• Advantages
• Is fully costed making budgeting easier
• Supplier is able to provide remote diagnostics
  and possibly correct some problems remotely
• Relieves some teacher time in sorting out network
  problems

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Remote Managed Services

• Disadvantages
• Can appear expensive compared with the local
  supplier option
• Still requires teacher to identify problem and
  initiate remote support
• Engineers visit only as last resort which may
  cause delays

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Managed Service options Costs compared

• A typical 15 station network
• BECTa - 16,278.75 per year for
  3 years 48,836.25
• Local supplier - 17,568.00 initial
  purchase plus 3 years support contract at 800
  per year 19,968
• Remote Service - 30,000 (year 1) plus 6,750
  per year (yrs 23) 43,500