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LGP News - September 2014 

Procurement insights

Procurement IS a driver of change

OK I’m biased but I do believe that the impending changes in the local government sector in NSW can be assisted greatly by more emphasis on the importance of procurement. Why? As much of 75% of all council expenditure (excluding salaries and capital items) is often the responsibility of procurement staff. How much could this expenditure be? I would suggest many millions of dollars in larger councils and hundreds of thousands of dollars in smaller councils. So if you could potentially save say 10% of that expenditure by ensuring you have the right practices, the right suppliers and the right governance and transparency in place, why wouldn’t you? That’s savings of hundreds of thousands of dollars in larger councils and tens of thousands of dollars in smaller councils. Sounding more interesting?

Often the challenge in a council is HOW DO I IMPLEMENT the changes necessary or IMPLEMENT THE TECHNOLOGY required to improve procurement to achieve this level of savings?

Two quick potential solutions:

Number 1 – Give us a call or email and arrange a 30 minute meeting where we can walk you through some strategies. LGP consulting staff are highly qualified professionals with extensive council and private sector procurement experience. 

Number 2 - Attend the upcoming Local Government Procurement conference in Sydney on 20/21 November. Such is our commitment to raise the importance of procurement that we have a special offer for the conference.

Every council general manager is invited to attend the conference FREE of charge. The two day conference includes procurement case studies from four councils. We have a series of internationally recognised speakers including the Chartered Institute of Purchasing and Supply International President, Craig Lardner. The conference includes an awards dinner and working breakfast. The conference content will certainly assist even the most advanced of councils.
So just repeating – general managers (or a director) may attend free of charge where another council staff member is a paying attendee.

So come along and see how procurement IS a driver of change. Suppliers – opportunities to be an exhibitor at the conference are available. If you have a solution for councils this is an ideal forum for you. Make any conference inquiries at info@lgp.org.au. Conference details are included in this newsletter.

Do you know someone in procurement who deserves to be recognised by their peers?

The LGP 'NSW Local Government Procurement Professional Award' and the 'NSW Local Government New Procurement Professional Award' (less than 2 years procurement experience within local government) recognise those procurement professionals who are making a difference in their council and their community. These awards are also a great way to highlight your council as a leader in procurement innovation and best practice.

These awards allow you to nominate that special person in your council who deserves to be recognised by their peers at the LGP Annual Conference. You can even nominate yourself.

The awards consist of a plaque and professional development of the winner's choice to the value of $2,500. The awards will be presented at the LGP Annual Conference Dinner on 20 November.

Click here to nominate yourself or a peer. Nominations close on Wednesday 29 October 2014. For further information contact Emma Murray or call 02 8270 8710.

Previous winners include:

NSW Local Government New Procurement Professional Award

2013       Suzanne Cameron, Narrabri Shire Council
2012       Taryn O'Donnell, Lake Macquarie City Council.

NSW Local Government Procurement Professional Award

2013       Mary-Ellen Wallace, Wyong Shire Council
2012       Michael Robinson, Port Macquarie-Hastings Council.

Local Government Procurement Annual Conference

The 2014 conference theme is Procurement – a Driver of Change. The conference will bring together a diverse group of speakers with relevant and ‘on the ground’ experience covering a variety of topics, which will assist procurement professionals in their roles within council. The content of this conference will be relevant to the most experienced professional as well as those new to the procurement field.

This year's conference includes a conference dinner on the Thursday evening and a breakfast seminar on the Friday morning.

Date: Thursday 20 and Friday 21 November 2014
Location: Sydney Masonic Centre, 66 Goulburn Street, Sydney

Your conference investment includes:

  • Full attendance at two day conference
  • Conference pack
  • Conference dinner on Thursday evening
  • Breakfast on Friday morning.

Early bird: $715 inc GST (registrations received up to 24 October)
Regular: $990 inc GST (registrations received after 25 October)
First timer: $495 inc GST

SPECIAL OFFER for general managers and directors
Attend the conference  free of charge (when attending with a registered council officer).

About the program

The conference program is almost complete, following is a snapshot of the program.

Craig Lardner, 2014 Global President and Board Member of CIPS will be conducting two sessions.  Beyond just buying and an overview of modern procurement practises.

Craig Swift-McNair, General Manager - Port Macquarie-Hastings Council will be talking about the importance of procurement to an organisation and the journey Port Macquarie has been on with its procurement strategy.

Claire Parry, Director of Hiller Parry.  Claire's session will be about achieving social and economic development through strategic approaches to major project procurement, drawing on examples from Transport NSW and the North West Rail Link.

Michael Maclean, Manager Procurement and Contracting - Ku-ring-gai Council.  A council case study about the procurement roadmap implementation; then, now and the way forward. How we are progressing at Ku-ring-gai.

Terry Quinn, Supply Manager - Kiama Council.  A council case study about Kiama Council's 4 year procurement journey.

Chris Newman, Director - ArcBlue Consulting.  Chris will be talking about local government spend analysis, comparing data from regional and metropolitan councils.

The popular Question and Answer procurement panel will be  held on the Friday afternoon.

For further information

For information about the conference view the LGP website or  click here to register online.

Sponsorship opportunities

Click here to view the sponsorship prospectus.

For further information contact Emma Murray or call 02 8270 8710.

In the pipeline

Road and Traffic Signage, Hardware and Roadside Products - RFT scheduled for release in October 2014
In conjunction with the WSROC group, LGP is in the process of developing documents for this RFT. Surveys have been circulated to all councils for input and to 'recruit' for a working group. The scope of the contract is likely to be:

  • standard signage
  • non standard signage
  • hardware and accessories
  • gabions, mesh and geosynthetics.

It’s not too late to offer your comments. We ask that you let your usual suppliers know about this opportunity.

IT&C Products, Services & Consulting - RFT scheduled for release May 2015
LGP intends to run processes prior to the RFT release to appoint an independent pricing analyst to assist councils utilising the contract and another provider to assist in the development of scope. We anticipate a high volume of responses and therefore a long lead time for the contract release in early 2016. The intent is that there will be a number of high level categories with a greater number of sub categories – incorporating those in the existing contracts (IT Hardware, IT&C Professional Services and Telecommunications) and any additional categories. In the coming weeks we will be contacting councils via survey for feedback and to ascertain their interest in being involved in the working group. This will entail surveys, interviews and forums. All are welcome no matter what time you can afford.

For further information contact Angela O’Dea (nee Tesoriero), Category Manager on 0428 289 878.

LGP GAS tender

LGP is in the process of preparing to conduct the next GAS tender and will be sending out notifications to all NSW councils and Not For Profit organisations in the coming days.

Previous participants with an expiring contract in the near future will be invited to renew their contract in this upcoming tender. Councils and other eligible organisations that have not previously participated in this tender process are warmly invited to join in. 

For further information or an explanation of the process involved, please contact LGP’s Category Manager, Marie Talevska or phone 02 8270 8707 or 0477 354 962.

Procurement and supplier relationship training

Upcoming training 
Specification Writing will be held on 30 October 2014.
Click here for a detailed look at the unit outline or r
egister here.

New Module: Managing Relational Sales Tactics
The objective of this module is for council staff to effectively manage relational selling tactics. We have developed a specific training package for council staff that have any form of liaison with a council supplier or suppliers. Specifically, this training is designed to upskill council staff on areas of proper communication and managing relational selling practices. Click here to view the outline. 

FREE - How to Purchase Tool

Local government customers have access to a free tool called 'How to Purchase'. This simple tool allows LGP customers to customise their council policies and embed them on their intranet. This great tool can help purchasing departments with compliance to policy and raise staff awareness of how to purchase before they do, in a simple step by step process.

LGP have put together a mock up of how we think councils might want to utilise this free tool. Click here to see the mock up version of the How to Purchase Tool LGP created for councils.
If you would like to use this as a guide for your own purchasing guide, LGP has also put together the details in an excel spreadsheet for ease of transitioning the data. Click here to download the template information. 
To create your own How to Purchase Tool, click here to get started. If you have any questions regarding this, or would like some assistance, please contact your local LGP Business Manager.

AS4905 Minor works

We have had some queries regarding AS 4905-2002 Minor works contract conditions (superintendent administered) supplementing the standard LGP terms and conditions for Playground, Open Space and Recreational Infrastructure (LGP308-2) in scenarios where installation or minor works are required for a playground or other. Fundamentally, LGP would support the use of this standard but in all instances LGP should be consulted prior.

Providing feedback to suppliers

Good procurement is not only about buying a dooverlackie at the cheapest price. We have all probably heard that before but at the end of the day we have budgets to meet and savings to demonstrate. We get that. So, I have a suggestion that won’t cost anything extra. But you might find this saves you a little something down the track.

First, some questions: Are you absolutely sure you’ve got your procurement process right? Did you get the result you expected from vendors? Could you have gotten a better result? How will you ever know? How might you get those answers - feedback!

A complete response to a quote is not just the one you expected to get but also the one you didn’t. Often the response we didn’t expect can tell us more about our processes and also the understanding our vendors have about those processes. You can get that information through feedback. And all too often, our research shows that it is a lack of understanding of a council’s expectations that leads to poor responses.

Your council can go a long way to making those responses to your quote and tender requests even better. If you can tell a supplier that they have been successful in a quote due to a thorough evaluation, you should also be able to tell the others why they were not successful.

Your feedback goes a long way to helping suppliers understand:

  • your council’s expectations
  • your price points
  • their own weaknesses
  • how to improve their chances with better responses or offerings
  • what modifications they may need to make to range or service to accommodate you.

With useful feedback suppliers will not become despondent and will keep quoting for you. When finalising your RFQs in VendorPanel, you have the option to provide some feedback. People appreciate genuine comments and honesty - not a brush off. This is a way of fostering a good relationship with your suppliers. If you work with them and help them develop their business you might find that one day the roles are reversed.

Social Procurement Australasia (SPA)

LGP is a founding member of SPA. A group committed to delivering social outcomes through procurement above and beyond the product or service being purchased. LGP was involved in the Greater Western Sydney Social Procurement and Economic Development Forum in May 2014 and Central Coast and Hunter Social Procurement and Economic Participation Forum in Wyong in August 2014. Both forums attracted participants from all levels of government and the not-for-profit (NFP's) and private sectors. Click here to keep up with exciting developments in this area by subscribing to SPA newsletters.

Blacktown City Council project receives an Audio Visual Industry Award (AVIA)

Each year the audio visual industry recognises the delivery of outstanding projects across our region at the annual AVIA awards ceremony. It is particularly pleasing that of the 4 awards made this year Fredon Technology received the special commendation award for 'Innovative use of Technology' (Blacktown Council video conferencing project). The project was delivered via the LGP panel.

I believe this award is a great example of how Blacktown City Council is committed to delivery excellence and also recognition of their ability to 'think outside the box' going to market to find a technology solution that would deliver real value for their customers and the broader community. The link below is hot off the press and provides a short overview of the projects and some photos of the guys delivering their acceptance speeches. Click here to view the image.

Scholarships for NSW public officials to attend ANZSOG / ICAC executive short course

The ICAC is offering scholarships for executive or senior level NSW public officials to attend the ANZSOG / ICAC executive short course, strategic responses to corruption.

Only ten scholarships, each valued at $4,995 inc GST are on offer. The scholarship covers the ANZSOG course fee only. All other expenses (salary, travel, per diems and accommodation) remain the responsibility of the employing agency, council or the individual. Scholarship holders who require accommodation will be able to access ANZSOG’s residential rate.

For more information click here.

Upcoming events

Current contracts

The contract categories have been updated to include a new category – which is Services. The suite of LGP contracts available have been re-defined into the categories below.

Engineering and Works

  • Asphaltic Concrete (AC) Materials & Related Services LGP213
  • Horticultural, Pest, Pool and Water Management (LGP408-2)
  • Pipes, Associated Fixtures, Pumps & Concrete Products (LGP908-2)
  • Playground, Open Space and Recreational Infrastructure (LGP308-2)
  • Professional Consulting Services (Engineering, Planning, Environment, Community & Assets) LGP1208-2
  • Supply of Workwear and Personal Protective Apparel (NPN3.11)
  • Traffic Management Services (LGP113)

Fleet and Plant

  • Heavy Plant & Equipment (LGP707-3)
  • Mobile Garbage Bins, Industrial Containers & Bins, Static Compactors, Associated Products and Services (NPN1.11-2)
  • Small Plant & Outdoor Power Equipment (LGP508-2)
  • Specialised Truck Bodies & Machines: Waste Collection, Civic Cleaning, Removal and Access (LGP1608-2)
  • Trucks for Local Government (Aust.) NPN04-13

Information and Technology

  • IT&C Professional Consulting Services (LGP1008-2)
  • Microsoft Licensing and Associated Products & Services via Large Account Resellers (LGP108-2)
  • Operating Lease Services to cover Information and Communications Technology, Photocopiers, Printers & other Equipment. (LGP1107-2)
  • PCs, Notebooks, Servers & Associated Services & Equipment (LGP306-2)
  • Telecommunications Services (LGP407-2)

Services

  • Corporate Wardrobe (NPN2.11)
  • Debt Recovery Services (LGP109-2)
  • HR Temporary Placements & Associated Services (LGP808-2)
  • Library Books and Resource Materials (LGP507-2)
  • Media Sydney Metropolitan Daily Newspapers & On-line Recruitment (LGP106-2) and Advertising Agencies (LGP406-2)
  • Office Supplies & Janitorial (including; Heavy Duty Cleaning) & Associated Products (LGP1007-2)
  • Radio Frequency Identification (RFID) Systems, Equipment, Associated Products & Services (LGP309-2).

View the LGP website for further detail or contact your local LGP Business Manager.

Current tenders

Supply of Fitting and Service of Tyres, Tubes and Automotive Batteries

LGP is participating in a National Procurement Network tender for the Supply of Fitting and Service of Tyres, Tubes and Automotive Batteries. This tender closed on 18 July 2014 and is now in evaluation. This tender will replace the non-renewal of the NSW state government contract – Tyres & Ancillary Services - (state contract 367).

Tenders were received from:

  1. BATTERIES PLUS
  2. Bob Jane Corporation Pty Ltd
  3. Bridgestone Australia Ltd
  4. Complete Tyre Solutions
  5. Goodyear Dunlop Tyres (Beaurepaires)
  6. Michelin Aust
  7. R&J Batteries Pty Ltd
  8. Southern Tyre Services (NSW) Pty Ltd
  9. Toyo Tyres & Rubber Australia Ltd.
  10. Tyre & Tube Australia (Services) Pty Ltd
  11. Tyremax Pty Ltd
  12. Tyrepower Limited
  13. Tyres4U Pty Ltd
  14. Yokohama Tyre Australia.

For further information contact the LGP Tender Team.

Amendments to contracts

Debt Recovery LGP109-2
Custom Commercial Services Pty Ltd has refreshed its pricing schedule incorporating statutory changes to awards applicable to local government from July 1 2014.

Traffic Management Services LGP113
Site Group Pty Ltd and Coast Traffic Solutions have refreshed their pricing schedules incorporating statutory changes to awards applicable to local government from July 1 2014.

Bitumen, Emulsion and Asphalt Materials and Services LGP213
Mid Coast Road Services has been added to the categories of stabilisation, asphalt lay and mill only to their range of services under the contract and has refreshed their pricing schedule accordingly.

SRS Roads Pty Ltd has refreshed its pricing schedule, to add spray sealing rates for the Murray Region to their range of services under the contract.

Playground, Open Space and Recreational Infrastructure LGP308-2
Annual Anniversary. Contractors have been asked to refresh their pricing schedules. The following panel contractors have refreshed their pricing:
StraBe, Exeloo Pty Ltd, Star Structures Pty Ltd, Court Craft Australia Pty Ltd, Cam Shelters, Moodie Outdoor Products Pty Ltd and Synthetic Grass and Rubber Surfaces Australia Pty Ltd.

Ellis & Sons trading as Shadespan Shade Sails & Structures has novated to Ellis & Sons Group Pty Ltd. LGP note their ABN and ACN details have changed.

Library Books and Resource Materials LGP507-2
LGP is pleased to announce the ACT has been added as a customer to this contract. Agreement has been sought from panel contractors and all panel contractors have welcomed this addition.

Elan Media Partners Pty Ltd and Digital Education Services have refreshed their pricing schedule.

HR Temporary Placements and Associated Services LGP808-2
As of July 1 2014, changes to the awards applicable to local government have come into effect. Panel members on this contract have accordingly been invited to submit updated pricing schedules in relation to pricing directly affected by the statutory changes.

The following panel contractors have updated their pricing schedule to incorporate statutory changes to awards applicable to local government from July 1 2014:
Hays Specialist Recruitment (Australia) Pty Ltd, Challenge Recruitment Limited, Early Learning Placements Pty Ltd, Capstone Recruitment Group Pty Ltd, Workforce Recruitment and Labour Services Pty Ltd, Eather Recruitment and Labour Hire, Conduit Recruitment and McArthur.

Pipes, Fittings & Fixtures and Associated Products & Services LGP908-2
Grundfos Pumps Pty Ltd has amended their pricing schedule.

Q-Max Pumping Systems Pty Ltd has added new products to the associated products and services category to the range of services under the contract and has updated its pricing schedule accordingly.

Professional Consulting Services (Engineering, Planning, Environment, Community and Assets) LGP1208-2
Gyte Consulting International Pty Ltd has updated its registered business name to Gyte Consulting International Pty Ltd trading as GCI.  

Leckring Pty Ltd trading as MacDonald International has changed its registered business name to Leckring Pty Ltd trading as MI Engineers. LGP note there is no change to the ABN. 

Moultrie Survey Pty Ltd has changed its registered business name to Cadence Consulting Surveyors Pty Ltd. LGP note there is no change to the ABN. 

Specialised Truck Bodies and Machines: Waste Collection, Civic Cleaning, Removal and Access LGP1608-2
Garwood International Pty Ltd has updated their range of services under the contract and are now supplying street sweepers and have updated their pricing schedule accordingly.

Please ensure you refer to the LGP website for the most up to date versions of pricing.

WHAT'S GOING ON WITH LGP APPROVED CONTRACTORS?

Art of Multimedia

IT&C Professional Services and Associated Products LGP1008-2

The first in a series of introductory videos Art of Multimedia created for Sydney Water has been released internally with a focus on how this new video could be re-purposed to suit other audiences for increased return on investment.

Click here for more information and to watch the video. For more information please contact Beata Kade or 02 9209 4309. Alternatively you can visit their website.

Cadia Group

Small Plant and Outdoor Power Equipment LGP508-2

Cadia Group has some great specials for the month of September as well as for the spring-summer seasons. We are also having a training day on 8 October, numbers are strictly limited so if you wish to attend please contact Amanda to confirm a place.

For more information on specials or anything else about Cadia Group, please contact Amanda or 1300 422 342. Alternatively visit their website.

Quest Security Solutions

IT&C Professional Services and Associated Products LGP1008-2

As providers of IP surveillance solutions to councils across Sydney from beach to suburbs, our professional  consulting expertise will equip your council with the knowledge to best secure your car parks, city streets, parks and public areas.

Click here for more information. Contact their sales team or 1300 304 478. Alternatively visit their website.

Phrase of the month

Don't judge each day by the

harvest you reap but by the

seeds that you plant.

 

 

                                              Robert Louis Stevenson