Suppliers welcome procurement guidance

The draft procurement guidance document was launched by the ODPM's Phillip Smith at the Fire Show on September 8--a move that was broadly welcomed by the Fire Service supply sector eager to discuss implications of the national procurement strategy and the formation of Firebuy

Reaction to the eagerly anticipated draft procurement guidance was best surmised by DCFO Gerry O'Brian, who expressed gratitude to the centre for issuing the guidance "You have given us what we asked for," he said. "We might not like it but at least we have it"

The consultation process is very much up and running: feedback on the draft should be supplied by midday December 3, while a series of meetings art pencilled in for the autumn. Although the formal has yet to be decided, initial feedback suggests they should be on an industry lather than regional basis: one for vehicles, one for clothing etc. The ODPM said they are willing to listen if further niche market meetings are required. Regular updates will be provided on the website and a newsletter will shortly be available while formal views of industry will be sought, the ODPM also said they were amenable to visit individual suppliers or consortium. Each regional management board win also be visited to explain the guidance in detail.

This primarily hinges around Firebuy, a national body to drive the national procurement strategy forward. It will be established as a company with stakeholders/shareholders coming from each the authority, plus the ODPM. It is proposed the board will consist of: one director for each of the regional management boards, one director appointed by the Secretary of State, and three independent non executive directors including a chairperson. The LGA would be represented at a strategic level through a non voting observer appointed by CFOA.

"Firebuy will be a creature of local government, not central," claimed Phillip Smith, Head of the Fire Service Effectiveness Division. "It will be a company with shareholders in local government and the Secretary of State will make sure it follows the national procurement strategy by April of next year. It will be operating to full capacity within three years," he affirmed.

First year estimate on funding is 1.2 million [pounds sterling], with ODPM providing some of this. "By year two we expect fire authorities will justify slowing down their contribution to procurement and can contribute to Firebuy," informed Mr Smith. "It is entirely possible to be self-financing," he claimed He expressed shock at the lack of detail fire authorities could provide on spending, identifying that ADO or equivalent is responsible for procurement across the hoard He suggested they were them to provide fire cover and were given procurement as something to do. "In future procurement will be done by those qualified to do it (although many have done a pretty good job) Fifty per cent of these posts will be recycled releasing 3/4 million [pounds sterling] spend. There will also be efficiency gains through contract management etc."

Firebuy will be the Fire and Rescue Service procurement body responsible for implementing the national procurement strategy. It will be augmented by regional centres of procurement excellence for local government disseminating best practice for common items. A National Technical Services centre will be established at the Fire Service College which will oversee a national database, specification support, risk assessments and acceptance tests. It will be one stop generic testing.

Technical Services was in particular broadly welcomed by industry and Fire Service representatives ACO John Taylor, providing an engineer's perspective on the draft, praised the re-introduction of a central research and development facility as "vital for verification," while "eliminating the need for specification tendering at a local level." It would provide permanency, continuity and development, he said, whereby best practice can be identified and shared throughout the Service "However, innovation is not the same as research and development," he advised. "We still need close contact between brigades and industry. We must be careful to embrace innovation at a local level."

These sentiments were echoed by Garry Smith, Managing director of TVAC, who provided a supplier's view. "We need to allow for the process of innovation," he stressed. "There is a major difference between research and development and innovation. I haven't heard anything that will allow for that. It does not allow the true potential for competition and will lead to customers getting what is delivered, not what they want."

In response Phillip Smith condemned the negative approach of identifying problems and not suggesting solutions. "There are a number of areas of the strategy that are not complete," he admitted, but urged attendees to contribute to ensure areas such as innovation can be progressed. He urged respondents to contact him personally oil high level policy questions.

The three month consultation process is well under way and FIRE urges involvement from all professionals involved in the procurement process. The centre should be congratulated for putting together a comprehensive consultation programme in the short period allowed and agree that the sector should look forward to formulating a strategy that provides the best possible support for fire and rescue services.

DRAFT RESPONSES IN BRIEF

Given a short time to digest the draft guidance, the speakers found much to be constructive about. They were: ACC John Taylor, providing an engineer's perspective: Garry Smith, TVAC, giving a supplier's view; Procurement Manager Steve Dutton, giving a county view; and Alan McClafferly, Chair FFVMA, giving a vehicle manufacturers response.

Constructive comments included formally seeking the views of industry--a must do to ensure full involvement to avoid repeating the mistakes of the new dimension programme. That we now have something to discuss was seen as a real bonus in itself and Fire Service representatives in particular stressed the importance of the Service retaining control over the procurement function and those carrying it out. Ownership and responsibility, especially as Firebuy is unfurled, was emphasised as being hugely important.

The emphasis on procurement specialist skills was also perceived as essential, as was the role of the Technical Services division at the Fire Service College--a step forward for standardisation and avoiding the pit-falls recurrent in the specification tendering process Concerns were expressed that inter-operability/standardisation is not always achievable by output based specification and risks to Service personnel needs primacy

while agreeing with the majority of the draft and looking forward to the consultation process, Mr McClafferty stressed that it is inappropriate that fire appliances are a part of national procurement, stating that it would be a disaster for anyone who won as there is not one single body-builder capable of coping with the order. For those who lose, there would be no second round. Of equal concern was Firebuy artificially controlling market share, something FFVMA could not figure out.

The speakers agreed that the next stage of development is crucial, and early involvement of industry in face-to-face meetings is important, as is the early involvement of other Service professionals.

Steve Dutton welcomed the strategy but urged for increased focus on brigade requirements, not just Firebuy's own objectives. He identified the potential for the centre to dictate what it thinks the customer wants, it, "one size fits all" and expressed concern at the day's proceedings: "It wasn't presented today, it was dictated ... we need to utilise current procurement expertise, develop out supplier base and give them direction it is really important to keep them on board."

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