Question: How can the Government devise a more cost-effective way
of awarding contracts, and save acres of rainforest into the
bargain? Answer: Produce a standard document for its qualifying and
pre-qualifying stages.
This is the message the National Contractors Group will soon be
hammering home to sponsoring Ministers at the Department of the
Environment. It is also set to become one of the central planks in
Sir Michael Latham's final report come July.
Judging by the responses Contract Journal elicited with its recent
survey on procurement (5 May), simplification of these arrangements
can not come a moment too soon. There is a crying need to
streamline what has become a nightmare process in the decentralised
post-PSA world. From the first phase of expenditure by contractors
- producing a brochure that explains why you alone are suited to
perform the work - through to the final whittling away and
emergence as winner, each tenderer will spend thousands of pounds.
Multiply this by all the contractors who expressed initial interest
and the overall cost may be hundreds of thousands of pounds. To
highlight just one absurdity, a recent MoD design and build
project, it is said, cost each bidding contractor over
œ250,000. Little wonder that the desire for a standard method
of public procurement emerged as one of the strongest messages from
the CJ survey.
Standard Government forms served their purpose well enough for
decades before being jettisoned a couple of years back. Their
return would present no problems - but offer many obvious
advantages. And contractors who claim that a standard approach
would militate against the more lateral thinking tenderer, who
welcomes his chance to react individually to client requirements
and thus differentiate himself, are missing the point. They would
still have every opportunity to offer cost-saving
alternatives.
This is an exciting opportunity to produce a recognised route to
pre-qualification and qualification that applies across the whole
public sector. It would ill behove a Government that has made such
play of its support for Construction to baulk the industry now.