Government Procurement Card Jim Parkinson CEng Head of ePayments 24th September 2009
Agenda •
Introduction to Buying Solutions
•
ePayments Team
•
Background to GPC & Fuel Card Framework Agreements
•
Current Framework Performance
•
Approach to New Framework Agreements
•
Strategy Overview
•
Framework Award
•
Calling off New Framework Agreement
•
Q&A
What is Buying Solutions? -
Buying Solutions is the national procurement partner for UK public services, we enable customers to improve value for money and efficiency
-
We are an Executive Agency in HM Treasury
-
We enable organisations to deliver improved value for money in their commercial activities, and provide expertise and professional support to our customers
Our Category Management approach -
What is category management? A proven approach to effective purchasing which provides a structured, objective method to analysing and meeting the needs of the organisation
-
What is a category? A discrete area of spend with boundaries determined by the market facing nature of the function or attributes of the goods or services being purchased.
-
Buying Solutions has six categories: ICT Energy Property and Office Solutions
Professional Services Travel eCommerce
Our Category Management approach -
What is category management? A proven approach to effective purchasing which provides a structured, objective method to analysing and meeting the needs of the organisation
-
What is a category? A discrete area of spend with boundaries determined by the market facing nature of the function or attributes of the goods or services being purchased.
-
Buying Solutions has six categories: ICT Energy Property and Office Solutions
Professional Services Travel eCommerce
Our range of products and services -
IT – hardware, software, associated services
-
Payment Cards – GPC, Fuel Cards, Pre paid Cards & associated services
-
Telecoms – mobile, managed telephony, specialist solutions
-
Travel
-
Consultancy
-
Energy and Liquid Fuels
-
Resourcing – interims, specialist contractors
-
-
Government Secure Intranet
Property Solutions including Estates and Facilities Management, Furniture Flooring and Catering
-
Office Solutions including Print & Recycled Paper, MFDs & Stationery and Postal & Courier
-
eProcurement services eSourcing, eAuctions, Zanzibar electronic marketplace
£732 million
“During 2008-09 our facilitated procurements reached £5.35 billion, delivering savings for the public sector purse of £732 million”
Saving time and money -
From pre-tendered, EU-compliant framework agreements to outsourcing services
-
Easy access to over 600 approved suppliers
-
Benchmarked products and services
-
Highly-skilled and experienced support provided
-
eProcurement Solutions – Zanzibar, eSourcing, payment cards
ePayments Team
•
Jim Parkinson – Head of ePayments
•
Neil Kitchen – Senior Category Specialist
•
Vacancy – Category Specialist
•
Peter Youngman – Category Specialist
•
Sheri Love – Category Executive
•
Dave Thorley – Implementation Manager
•
Steve Hulse – Senior Marketing Manager
Background to GPC
•
First Framework Agreement launched by OGC during late 1990’s, targeted at supporting Central Civil Government
•
Second Framework Agreement awarded by OGC during 2003 and was opened up to the wider public sector. We also introduced a separate T&S Card.
•
Management of Framework Agreement was passed to Buying Solutions in 2003
•
New Payment Cards Category Team established April 2004 in conjunction with Fuel/Fleet Card Service.
•
GPC II Banks include: Barclaycard Commercial, RBS, Nat West, Ulster Bank, Lloyds TSB & Co-op.
•
Projected spend for 2009 (Jan to Dec) approximately £1Bn
Background to Fuel Cards
•
First Framework Agreement launched with Arval PHH during late 1990’s, targeted to support Police with Circa £10m spend/annum
•
Second Framework Agreement awarded 23rd August 2004 to Arval, BP & Esso.
•
This procurement was conducted in collaboration with NHS PASA
•
All Fuel Cards were issued FOC
•
Rebates Offered to Large Users
•
On-Line Management Information
•
Carbon Emission Reporting
•
Projected Spend for 2009 (Jan to Dec) £325m
Current Framework Performance GPC II April 2008 to March 2009 Customers = 1,400 Cards = 130,943 Spend = ÂŁ957m Transactions = 6m
Current Framework Performance GPC II Spend Analysis
Au g Se p Oc t No v De c
l
2008 2007 2006 2005 2004 2003
Ju
Ja n Fe b M ar Ap r M ay Ju n
100,000,000 90,000,000 80,000,000 70,000,000 60,000,000 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 0
Current Framework Performance Fuel Card April 2008 to March 2009 Customers = 2,400 Cards = 218,000 Spend = ÂŁ323m Transactions = 6.7m Litres = 285m
Current Framework Performance Fuel Card 2008~2009 Spend by Supplier £90,000,000 £80,000,000 £70,000,000 £60,000,000 £50,000,000
Arval
£40,000,000 £30,000,000
Esso
BP
£20,000,000 £10,000,000 £0 Q1
Q2
Q3
Q4
Approach to New Framework Agreement
•
Initial research commenced June 2007
•
3 Stakeholder forums held
•
The project followed a Category Management approach
•
Full project plan and prince documentation issued
•
Gateway review 1 & 2
•
Monthly highlight reports
•
Project board formed July 2008
•
OJEU published 1st July 2008
Six Stage Category Management Process
Š Crown copyright 2007
Approach to New Framework Agreement
•
PQQ evaluation August 2008
•
ITN issued October 2008
•
ITN evaluation – November 08 ~ April 2009
•
Scoring via “Award” by selection of stakeholders
•
Consensus scoring
•
Clarification meetings with all bidders
•
Pricing/costing modelling
•
Award 23rd July 2009
Strategy Overview •
Greater Competition, with solutions that would cater for wider public sector
•
Standardised Management Information Format
•
Cabinet Office Data Security Compliance
•
Carbon Emission Reporting
•
Rebates For All with Free Issue Cards
•
Greater Fuelling Options for Larger Vehicles
•
On-Line Reporting
•
Fuel Audit
•
VAT Recovery Service
Framework Award GPC LOT 1 Amex Air Plus Barclaycard Commercial Co-op JP Morgan RBS LOT 2 Amex Barclaycard Commercial Citi RBS
Framework Award Fuel Card LOT 1 Arval BP Total Shell CH Jones RBS LOT 2 CH Jones Intelligent Fleet BP
Calling Off the New Frameworks
•
Great deal of work has been invested in the further competition process
•
Bravo portal has been configured to help support eFurther competitions (where required)
•
ITQ facility also being developed
•
Customer guide tool kit under development to assist decision process
•
Framework Summary
•
Customer Service Desk Fully Briefed
Other Related Projects
•
New GPC Card Design
•
New Card Spend Database
•
Review of Savings
•
Review of GMA
New Card Design
Next Steps
•
Web Update
•
Collateral Update
•
Tool Kit
•
Completion of Contract Documents
•
Customer Uptake
•
Ongoing Collaborative Contract Management
Question Time