ELEMENT

PERFORMANCE CRITERIA

1. Prepare appropriate documentation

1.1 Preparation of documentation is managed.

1.2 Conditions of tendering the contract and specifications meet organisation/government policies and guidelines.

1.3 Tendering process conforms with tender/supply code.

1.4 An appropriately experienced officer is identified to handle all inquiries during the tender process and all tenderers are advised of clarifications.

2. Establish the basis of tendering

2.1 The form of tender, public or selective is determined.

2.2 Expressions of interest are sought.

2.3 Expressions of interest are evaluated and potential tenderers short listed.

3. Receive and assess tenders

3.1 Documents are received and opened in accordance with organisational policies and procedures.

3.2 Tenders are checked for compliance with conditions set out in request for offers.

3.3 Details of tenders are compared with established evaluation criteria.

3.4 Checks are made to ensure that principles of probity, fairness and commercial confidentiality are met throughout the tender process.

3.5 Issues which may require negotiation are identified.

4. Select successful respondent/s

4.1 Selection is based on evaluation criteria and relevant factors affecting the tender.

4.2 Selection is ethically sound and does not breach probity principles.

4.3 All actual or potential conflicts of interests are disclosed.

4.4 Where possible the contractor is selected from a registered panel of contractors who are proven to have the relevant expertise and capacity.

4.5 Contractor's price and conditions are examined in order to determine that the offer is clear, calculable and not open to manipulation.

4.6 A cost-benefit analysis shows that the selected contractor offers best value for money.

5. Finalise contract details

5.1 Letter of acceptance outlines all relevant requirements for signing of documentation and satisfaction of pre-commencement conditions.

5.2 Discrepancies and disagreements about proposed supply arrangements are clarified and resolved prior to entering into the agreement.

5.3 Contract is properly executed by the successful proponent and is in accordance with legal requirements.

5.4 Unsuccessful tenderers are briefed if appropriate.

5.5 Contract conditions are read and understood by all personnel involved in contract administration.

5.6 Contract documents are prepared, approved and distributed.

5.7 Fulfilment of any outstanding requirements is checked and rectified if necessary.

6. Evaluate performance of the contract on completion

6.1 Contract conditions and responsibilities are reviewed with relevant personnel to ensure satisfactory completion of contract.

6.2 Contract completion is authorised in writing to confirm completed services have been undertaken according to contract objectives and specifications.

6.3 Contractor performance/level of service is evaluated against agreed benchmark.

This describes the essential skills and knowledge and their level, required for this unit.

Required Skills

establish effective feedback and monitoring systems

implement risk management plans

monitor and review contract performance

plan effectively and solve problems

supply information relevant to contract performance

Required Knowledge

assessment of tenders

award of contracts

basics of contract law

contract administration

contract requirements

negotiation processes

organisational procedures and guidelines for the calling of tenders

principles of quality assurance

risk management principles

sources of legal advice

terms and conditions

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Demonstration of knowledge and skills required to award, manage and evaluate a contractor's performance and attend to any variations and difficulties which arise during the course of the contract.

Consistency in performance

Evidence should be gathered over a period of time in a range of actual or simulated contract management environments.

Context of and specific resources for assessment

Context of assessment

Evidence should be gathered over a period of time in a range of actual or simulated contract management environments.

Specific resources for assessment

Evidence of competent performance by observing an individual in a contract management role within the workplace or simulated environment. Knowledge may be assessed through written assignments, project reports, debriefings and action learning projects.

The Range Statement relates to the Unit of Competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording in the Performance Criteria is detailed below.

Forms of tenders may include:

public

selective

Evaluation criteria may include:

project objectives

technical specifications

risk

user requirements

timing resources – staff

supplies

budget

environmental policies

Selection of contractors may be based on:

assessment against evaluation criteria

expertise of contractor

resources allocated to project

contractor’s proven performance record

contractor’s reputation for quality

contractor’s background knowledge of the project

contractor’s understanding of organisational requirements

availability of contractor

estimated cost

Performance of contractors may be evaluated on:

progress towards milestones and objectives

adherence to proposed timelines

adherence to estimated costs

access to resources

staff

supplies

materials

goods

advice

implementation of recommendations

technical specifications

quality assurance

environmental policies

Outstanding requirements may include:

insurance (public liability

professional indemnity

WorkCover

personal accident)

evidence of covers

security deposits/bank guarantees

warranties of equipment performance

Monitoring of contractor performance may include:

site visits

inspections

project management meetings

progress meetings

reports validation of quality systems

partial or full audits

Organisational policy and procedures may vary between sectors and organisations and may include:

legislation relevant to procurement

legislation relevant to the organisation

operational corporate and strategic plans

operational performance standards

organisational personnel practices and guidelines