Glossary

A glossary of terms frequently used in procurement:

 

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A list approved by the Council of potential contractors, suppliers or service providers, who have met pre-set criteria; for more details, please see Approved Contractors List.

The detailed and fully priced offer submitted by the bidder for the contract following the Council's invitation to submit BAFO documentation.  Where the Council accepts the offer, it becomes legally binding on both parties.

A contract made following a formal tendering process with one or more contractors, suppliers or service providers for a defined range of works, goods or services covering terms and conditions (including price) which users 'call off' to meet their requirements. See also 'framework agreement'.

 

This tender procedure is only used in particularly complex or highly specialised procurements where a specification for the goods, works or services cannot be established.  A contract is advertised and interested parties complete a Pre-Qualification Questionnaire.  The questionnaires are evaluated and a shortlist is drawn up.  The short-listed organisations are then invited to develop one or more solutions with the Council to meet the requirements.

Awarding contracts by the process of seeking competing bids from more than one organisation.

 

An unincorporated group of firms or individuals, often formed to tender for a contract, with a view to forming an organisation or working in some other way in the event of winning.

 

A binding agreement made between two or more parties, which is intended to be enforceable by law.

The total monetary value of a contract over its full duration (not annual value)

 

An organisation or individual who has made a contract to undertake works, supply goods or provide services.

 

Corporate contracts are negotiated for the use and benefit of the Council as a whole.

The use of electronic methods in every stage of the purchasing process from identification of requirement through to payment, and potentially to contract management.

 

Detailed assessment of contractor, supplier or service provider offers, against financial and quality criteria.

An arrangement under which a contracting authority establishes with a provider of goods, works or services, the terms under which contracts subsequently can be entered into, or 'called-off' (within the limits of the agreement) when particular needs arise. See also 'call-off contract'.

An invitation to contractors, suppliers or service providers to bid for the provision of works, goods or services.

The Market Brief is for information only, and provides an outline of the requirements for the contract.

 

Tenderers’ proposals for dealing with aspects of the work which are outlined in the specification, and where detailed operational information about the delivery of the contract is required.

 

The tender that will bring the greatest benefit to the Council having taken a number of factors into consideration, including quality and cost.

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The supplier's offer to provide goods and/or services in response to a buyer's enquiry.

 

The Official Journal of the European Union.  This is the publication in which all contracts from the public sector which are valued above a certain threshold must be published.

 

The open procedure is a one-stage tender process, where a contract is advertised, and all interested parties may submit a tender.  If you apply for a contract that is tendered under this procedure you will receive all of the tender documents to complete by a specified deadline.

Discussions with a supplier, or suppliers, after their offers have been received, with the aim of achieving clarifications and/or improvements.  (Strict guidelines apply to conduct during this process.)

The first stage of a two-stage procurement process (either competitive dialogue or restricted); the information provided in this questionnaire is evaluated to assess the suitability of organisations to tender for the contract, in terms of their technical, economic and financial capability.

 

A route for procurement where, instead of owning the assets needed for their services, public authorities arrange for private sector bodies (often in the form of consortia) to provide and own them.  These bodies then make the assets available, under operating leases, to enable public authorities to deliver the services required.

The process or acquiring goods, works and services, covering acquisitions from third parties and from in-house providers.  The process spans the whole life cycle, from identification of needs, through to the end of a contract or the end of the useful life of an asset.

A tender which is qualified because it does not fully meet the intended contractual requirements.  Such tenders are not normally acceptable.

 

A discipline to assess quality standards, covering all activities and functions concerned with the attainment of quality.

 

A written or verbal price given by a contractor, supplier or service provider, after being requested either orally or in writing.  A quotation may be the written confirmation of an earlier, oral offer.

The restricted procedure is a two-stage tender process, where a contract is advertised, and interested parties must first complete a Pre-Qualification Questionnaire.  Following this evaluation, a shortlist of the organisations that meet our criteria is drawn up.  These organisations are invited to submit a tender and will be sent full tender documents to be completed by a specified deadline.

Services provided by the Council by an external service provider (an individual or organisation).

 

The specification details the Council’s requirements and standards for individual contracts, including the scope and specific details of the activities we require.  It should present you with a clear, accurate and full description of our needs, so that you can propose a solution to meet them.  You must read the specification carefully; if you are not sure about what is being asked for, contact the named contact in the tender for clarification.

 

The Council’s rules and procedures that govern its activities, including procurement of goods, works and services.

 

The process where a contractor assigns part of the contract to another contractor(s).

 

Goods, either purchased or hired.  Those that have a value exceeding the current threshold defined by the EU rules will be subject to the European tendering requirements.  Standing orders may have different values covering works, services or supplies.

An official written offer to an invitation that contains a costed proposal to perform the works, services or supplies required, and is provided in response to a tendering exercise.  This normally involves submission of the offer, in a sealed envelope, to a specific address, by a specified time and date.

 

The Transfer of Undertakings (Protection of Employment) Regulations 1981 (as amended from time to time) implementing the Acquired Rights Directive on the acquired rights of workers.

The provision of the right goods and services from the right source, of the right quality, at the right time, delivered to the right place and at the right price (judged on whole-life costs and not simply initial costs).

Building, construction and engineering related to works.  Those that have a value exceeding the current threshold defined by the EU rules will be subject to the European tendering requirements.  Standing Orders may have different values covering works, services or supplies.