The ABC of PQQs (pre-qualification questionnaires)

Presentation to Finditinworcestershire meeting to help people bid for public sector contracts

1. 17July 2012
Trevor Kitching B.Sc, Ph.D, FCIPS

The ABC of PQQs

2. 2
Who are ACS Supply Chain Consultancy ?

3. 3
What is a PQQ ?
Advertise
Advertis
e
PQQ Tender Award
Tender AwardOPE
N
RESTRICTED

4. What is the Purpose of PQQ ?
The main purpose of a PQQ is to ensure
that all companies who are invited to
tender can meet the minimum financial
and technical requirements to undertake
the advertised work.
When public sector organisations place
advertisements for tenders and request
expressions of interest, they may receive
hundreds of responses. A PQQ is almost
always used as a way to shortlist these
responses.
Complian
t
Compelling

5. What Do they Ask for in a PQQ ?
General Company Information
Technical Capability
Financial Information
Insurance
Statutory Information

6. 6
Why are They Different ?
They need to create a shortlist –
can’t do this if everyone gets right
answer to standard questions
Watch out for “Killer questions”
Standardised PQQs (eg SQUID)
still have killer questions

7. Why do People Ask Silly Questions?
Have you ever been or are you now
involved in espionage or sabotage; or in
terrorist activities; or genocide; or between
1933 and 1945 were you involved, in any
way, in persecutions associated with Nazi
Germany or its allies?
(not from a PQQ but from US DHS ESTA
form)
What is the correct answer ?
7

8. 8
What is the Correct Answer to these Questions ?
Do you have a :
Health and Safety Policy
Equal Opportunities Policy
Environmental Policy
http://www.hse.gov.u
k/simple-health-
safety/write.htm
[DOC]
Equal Opportunities
Policy – EXAMPLE
www.artscouncil-
ni.org/award/forms/.../sa
mple_equal_ops_policy.
do...

9. 9
What is the Correct Answer to this Question ?
Does your organisation hold recognised
and relevant quality management
certifications ? For example ISO9000 ?

10. How Can I Demonstrate Technical Capability ?
Experience
Case Studies
References
Standards and competence of your staff in
relation to this type of work
Registration, licenses or particular
technologies that you may need to deliver
the contract

11. What Financial Information is Required ?
Typically 3 years accounts, and if 3 years
are not available, accounts for the period
that you have been trading
Banker's references (usually just contact
name)
Contract value/Turnover ratio
Credit rating
Levels of reserves and profit and loss accounts
Parent company accounts (if applicable)

12. What Level of Insurance is Required ?
Varies according to contract but typically:
•Public Liability – £10m
•Employer’s Liability – £5m
•Professional Indemnity (if applicable) - £2m
If higher than your current levels – promise to
obtain on contract award – evidence helpful

13. How are PQQs Evaluated ?
13
PQQ RESPONSE Scoring Criteria
Compliance and CompletenessPass/Fail
Good Standing Pass/Fail
Basic Company Details Information Only
Financial information Pass/Fail
Experience 40%
Case Studies 30%
Quality Certification 5%
Equal Opportunities 5%
Environmental/Sustainability5%
Insurance 5%
Health & Safety 5%
Bribery Act 5%
EXAMPLE

14. How are PQQs Evaluated (2) ?
Health and Safety and equal opportunities (F1, F2 and F7) policy and
training will be scored:
Comprehensive and realistic = 5
Partially complete = 3
No suitable documentation = 0
Health and Safety and Equal Opportunities prosecutions/compliance (F3,
F4, F5, F6) will be scored
No Findings/breaches = 5
Minor breaches with adequate steps taken as a consequence = 4
Major breaches with adequate steps taken as a consequence = 3
Minor breaches with no steps taken as a consequence = 2
Major breaches with no steps taken as a consequence = 0
Major breaches with no steps taken as a consequence may result in
exclusion
14
EXAMPLE

15. How Can I get it Right ?
Consider the objectives of the buyer
Why is the question there?
What do they want to know?
How can you evidence what you are saying?
Quality of the writing
Is it logical, concise and grammatically correct?
Is it easy to read?
Have your followed the guidelines (word count)?
Have you answered the question?

16. What Sort of Mistakes do People Make ?
Simple administrative failures such as not signing
the document
Late delivery or delivery to the wrong place
Not following instructions
Not answering the questions
No evidence offered
Poor presentation

17. Is it Worth it ?
17

18. Is it Worth it ?
£220 Billion spend
Prompt payment (typically 10 days)
Guaranteed payment
Enhanced client list
Loyal client – repeat business
Referrals to other public sector bodies
Increasing focus on social value
Opportunities to get in “under the radar”
18

19. www.acssupplychain.co.uk
0780 329 0473
01527 451991
Trevor Kitching B.Sc, Ph.D, FCIPS

The ABC of PQQs
Questions ?