Supply of temporary agency workers for clerical and telephony staff

Report: 12
Date: 24 May 2004
By: Commissioner

Summary

This report describes a formal competitive tendering exercise for the supply of agency workers for clerical and telephony staff and recommendation for the MPA to join the established Emergency Services Collaborative Framework Agreement.

A. Recommendation

1. Members are asked to approve the MPA joining the established National Emergency Services Collaborative Agreement for the supply of clerical and telephony temporary staff for a period of up to five years and approve a preferred managing agent.

B. Supporting information

Background

1. The MPA currently has a number of agency contracts for various categories of temporary workers. The strategic aim of this recommendation is to rationalize the current supply base through the introduction of a single managing vendor solution.

2. A National Emergency Services Collaborative Framework Agreement led by Thames Valley Police is already in existence. This was drawn up following a business case carried out in accordance with ACPO procurement strategy.

3. This process was conducted with the full support of MPS Procurement Services who along with nine other forces sat on the project board throughout the procurement cycle process. The group worked to ensure a cost effective quality solution to meet any Emergency Services requirement for temporary staffing services in the UK.

4. An OJEC Notice for the national agreement was issued in August 2002. The process was conducted in accordance with the European Union’s Procurement Directive. One hundred and six companies responses were reviewed. Following financial and technical assessment, seven suppliers were short listed and issued with a tender in November 2002. Two declined to respond. Four responses to tender were evaluated by a cross functional panel including representatives from ten police forces in January 2003. Three suppliers were short listed from the ITT response. These suppliers were then reviewed through further selection processes including presentations and site visits. The evaluation panel met for a final time and recommended award of the National Emergency Services Collaborative Agreement to two companies. This decision was made to allow effective coverage for all UK forces. Procurement Services actively contributed to the evaluation process and conducted the technical and commercial evaluation on behalf of the MPA.

5. On 1 April 2003 Thames Valley Police awarded the contract for the national agreement for a period of three years with the provision to extend for a further three years.

6. The MPA already has different contracts in place to manage the supply of agency workers. The first of such contracts requiring renewal relates to the supply of agency workers for clerical and telephony staff. Accordingly, in September 2003, Procurement Services considered the options to re-tender. The existing national agreement offered the best value option. The MPS Human Resources and Procurement Services visited both successful companies appointed as managing agencies on the national agreement. This was with a view to evaluating their suitability for the MPA’s specific requirements and assess price and quality. Feedback previously obtained from consultation reviews conducted with managers was taken into consideration during this process. This has led to the recommendation of one supplier to act as the master vendor.

7. The MPA’s predicted contribution to the total contract value over five years exceeds the Commissioner’s delegated authority, and therefore requires approval by the MPA.

Overview of the Managing Vendor Solution

8. As the managing agent or master vendor, the supplier will source appropriate temporary staff directly and manage other vendors within a defined framework to support the supply. This arrangement gives the MPA the efficiency and convenience of dealing with one supplier without losing the benefits of a large supply base. The managed service platform provides a technology solution, ensuring automated management information reporting capabilities. This innovative method of supply is used by many leading organisations, operating throughout the UK. A diagram showing an example structure is depicted at Appendix A.

Benefits

9. Whilst the MPA only contracts with the master vendor all companies sitting on the framework are required to sign up to the same pricing and service level agreements with the master vendor. The range of suppliers are given the opportunity to supply the Authority and performance is measured against each other. Ranked performance will affect the position within the structure for the allocation of future vacancies, thus seeking the very highest level of service at all times.

10. This type of contract greatly reduces the complexity and risk of having to engage with a large number of companies. As new requirements emerge, specialist agencies can join the agreement behind the master vendor thereby offering a common structure to manage diverse needs.

11. The master vendor agreement offers the MPA a single contact point to deal with the vast majority of recruitment needs. All interaction is managed through the master vendor regardless of which supplier fills the placement. This includes conditions, invoices, time sheets and management information. This will streamline the delivery processes whilst providing effective control mechanisms and cost savings to the MPA and end users.

12. It may be possible to assimilate other existing MPA agency contracts into this arrangement. However this will only take place upon agreement from the client units concerned and on expiry of the current contracts. The first area to transfer onto this contract will be clerical and telephony workers. All temporary workers currently working with the MPA will continue to do so without disruption. It is proposed that the agencies on the existing contract will be offered the opportunity to work with the master vendor to ensure continuity of supply.

13. The use of technology has also been incorporated where possible to minimise transactional processing costs and to assist with the in-house management activities.

C. Race and Equality impact

The contractor’s approach to equality and diversity was evaluated during the site visits and presentation process. The contractor’s staff will be governed by the same rules and guidelines as permanent employees with respect to behavior and the needs of special groups.

D. Financial implications

Financial details of the contract and the recommendation to award are contained in a separate exempt report to be considered in the linked exempt report on the agenda for this meeting.

E. Background papers

None

F. Contact details

Report author: Paul Bentley, MPS Procurement Services
Danny Mays, MPS Human Resources

For more information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18

Send an e-mail linking to this page

Feedback