Leading a Joint Tender process to achieve value for money outcomes

Background: This Australian State Government agency engaged ArcBlue to deliver a joint procurement tender that achieved value for money outcomes for the participating Councils and the agency.

 

Service:  Advisory & Change – Procurement Strategy; Infrastructure Procurement

infrastructure procurement

CHALLENGE

Through it’s Regional Services and Infrastructure Plan, this agency’s strategy identified the need to continue to build and improve local infrastructure such as roads, rail and bridges in regional and rural areas of the state. The strategy also recognised the need for a more integrated local and state network to provide seamless and safe journeys for all customers.

The participating Councils each entered into separate Funding Agreements with the state government agency, and ArcBlue was engaged to lead a joint tender process with the participating Councils before entering into a contract for design and construction, of six bridges across the four Councils.

Prior to entering into an MOU, the participating Councils agreed to engage with ArcBlue’s methodology and approach of delivering a joint procurement tender that achieved value for money outcomes for the participating Councils and the state government agency.

RESULTS

In order to achieve greater efficiencies and economies of scale, the participating Councils agreed to jointly conduct the procurement process, aiming to select a single contractor to enter into separate contracts with each participating Council in relation to the Works applicable to that Council.

Working closely with the participating Councils, the procurement process, led by ArcBlue, was the only wave 1 program that was delivered on-time and significantly under budget.