Procurement at DWP

How we use external suppliers for goods and services.

Details of Department for Work and Pensions (DWP) purchasing arrangements and information for those looking to become a supplier.

Doing business with DWP

DWP uses external suppliers for goods and services.

DWP Provider Guidance

Provider Guidance gives you information about your role as an organisation contracted to deliver provision for the DWP.

The Provider Referrals and Payments system (PRaP) enables secure, automated exchanges of information about customers referred to providers, and payments from DWP to Prime Providers. All Welfare to Work contracted provision is supported by PRaP.

How to become a supplier

All of our contracts are awarded by competition between potential suppliers, unless there are compelling reasons why competition cannot be used.

Contract opportunities

DWP contract opportunities, including the tender timetable and tender documents, can be found on Contracts Finder. Contracts Finder is the main source of government contracting opportunities worth more than £10,000.

When required, DWP contracts in the relevant categories are also advertised in the Tenders Electronic Daily (TED) , the supplement to the Official Journal of the European Community (OJEU) in line with the department’s obligation under the EU Procurement Directives.

eProcurement

Some of our current opportunities can be found on our web-based eTendering service, which we use to advertise tender opportunities and information on procurement projects. The service allows you to:

  • access tender documentation online
  • download and complete your tender
  • submit the tender electronically

The eProcurement service provides a simple, secure and efficient means for managing tendering and quotation activities.

Low Value Provision

Low Value Provision (LVP) is intended to provide opportunities for occupationally relevant training that will help job-ready or close to job ready customers into work, where no other suitable DWP contracted or non-contracted training is available.

How to bid for LVP opportunities

To bid for and supply LVP opportunities you need to complete an on-line application form.

Once you have lodged an application, it will remain current for 12 months or until your circumstances change, whichever is the earliest.

Your application information will enable us to send requests for quote directly to you and for you then to respond electronically to us.

As part of your application you will need to tell us the counties that you wish to deliver training in and the types of training that you can provide.

Important - before attempting to complete the online application form, it is important that you give due consideration to your responses as failure to meet the requirements will prevent you from delivering training.

On completing the application form, you will also be asked to state whether or not you agree to DWP Terms and Conditions of contract to deliver LVP.

Please take time to read the supporting documents below before submitting your application form:

LVP Supplier Guidance on using Procserve

LVP Example Application Questionnaire

LVP DWP Terms and Conditions

If you require further guidance please email - norcross.procurementoperations-support@dwp.gsi.gov.uk or call 01253 332970.

Providers need to be aware that as of November 2013 due to the restructuring of DWP, Shared Services Connected Limited (SSCL) has authority to carry out commercial activity on behalf of DWP. Find out more about this shared service strategy.

Improving opportunities for small and medium enterprises (SMEs)

The government recognises the important role of SMEs in delivering UK economic growth and prosperity. In March 2011, the government set a new target that 25% of spend with third party suppliers should go to SMEs by March 2015.

DWP is committed to supporting the achievement of this target and is putting processes in place to promote greater engagement with SMEs. We are working to increase the level of business they get from DWP, either:

  • directly, by winning contracts with us
  • indirectly, by winning contracts with prime contractors or further down supply chains

We actively consider SMEs when awarding contracts and try and reach out to the small firms sector to alert them to upcoming commercial opportunities. This section details the steps that DWP, the largest civil government department, is taking to actively engage and advise small firms of the best sources of information.

We have produced an SME Action Plan setting out actions we are taking towards helping meet the government target.

Contracts opportunities for smaller organisations

Details of current opportunities are published on Contracts Finder. Contracts Finder is the main source of government contracting opportunities worth more than £10,000.

DWP contracts in the relevant categories are also advertised in the Official Journal of the European Union (OJEU) in line with the Department’s obligation under the EU Procurement Directives. You can access information on such upcoming contracts by accessing the OJEU website.

Sub-contracting opportunities

Two big areas of DWP expenditure are governed by long-term strategic contracts. These are

There may be opportunities for small firms to provide services subcontracted to these suppliers. You should contact Hewlett Packard Enterprise Services, Telereal Trillium or BT direct to discuss this and to register your interest.

Free e-learning procurement course

A free online procurement course, winning the contract, run by learndirect is available to help SMEs learn about public procurement and how to bid for public-sector contracts.

SME Agenda: 2012-13 Year end figures

Good progress is being made in DWP on the SME agenda. DWP:

  • ensure the SME agenda is factored in future procurement strategies
  • identified specific areas on the IT Transformation Programme which are potential SME rich and are planning our pre-procurement market engagement according to best practice which will include an SME webinar and industry bootcamps
  • initiated the development of the Welfare to Work future strategy with SMEs in mind
  • improved visibility on SME spends through our supplier chain and obtained commitment from a number of key suppliers to increase their contributions
  • simplified our processes and introduced lean procurement
  • started publishing our likely commercial pipeline to provide greater visibility to the market
  • started to work with projects team to identify potential SBRI opportunities

As a result, DWP’s estimated direct and indirect spend with SMEs for 2012/13 has increased from 17% in 2011/12 to 20%, 2% higher than our target of 18% for that period.

Estimated figures are based on the small survey undertaken by the Cabinet Office which shows that the SME spend with the suppliers surveyed represents 8.9% of DWP’s procurement spend.

Competition

The Cabinet Office actively promote initiatives to reduce the bureaucracy involved in bidding for Government business and to make government contracts more attractive and accessible for smaller organisations. The Cabinet Office Efficiency and Reform Group provide details of measures announced to promote small business procurement.

Terms and conditions

DWP Standard Model Terms and Conditions for DWP Services Contracts are applied to all services contracts where the anticipated contract value is over £10,000.

DWP Standard Model Terms and Conditions for DWP Goods Contracts are applied to all goods contracts where the anticipated contract value is over £10,000.

Prompt payment to DWP suppliers

All central government departments are now required to pay 80% of undisputed invoices within five days. Suppliers need to be aware of the correct procedures involved to achieve this.

Suppliers must send invoices directly by post to:

Shared Services
DWP Purchase to Pay
3rd Floor Companies House
Crown Way
Maindy
Cardiff
CF14 3UW

In March 2014, the figures for DWP payment of invoices to suppliers were:

  • 99.8% within 30 working days
  • 99% within 10 working days
  • 95.2% within 5 working days.

Prompt payment to sub-contractors

Where suppliers use sub-contractors for the performance of their contract with DWP, these suppliers are now required to pay the sub-contractor invoices within 30 days.

Sub-contractors who want to report non-compliance with this requirement should provide details, including the nature of their contract with the DWP supplier and, where possible, details of the suppliers’ contract with DWP, by email to the DWP Supplier Enquiry Team.

DWP general terms and conditions of contract

The DWP general terms and conditions of contract are applied to any purchase order that is not already covered by any specific terms and conditions for a contract. They also apply to any framework agreement, previously agreed as part of a formal Invitation to tender process.

DWP general terms and conditions of contract for the supply of goods (PS1)

DWP general terms and conditions for the supply of services (including Hire, Rental, Lease and Facilities Management) (PS2)

Other DWP procurement and policy documents

HMG baseline personnel security standard: a guide for DWP contractors

Guide for DWP contractors on the DWP offshoring policy

DWP security policy for contractors

Guide for DWP contractors when delivering services to DWP customers in Wales

Code of practice

DWP follows an ethical approach to purchasing the range of goods and services needed to meet the requirements of our customers.

We are committed to public sector best practice. In all commercial activity DWP pursues the highest standards of professionalism, ethical conduct and impartiality. Competitive processes are governed by EU law and UK legislation and conducted in accordance with the government procurement policy.

Data protection and information security

DWP takes data protection and information security very seriously and is required to give assurance that personal data is being appropriately protected throughout its supply chain.

We have one of the largest and diverse supply bases in government and our suppliers are responsible for millions of pieces of personal and sensitive information and data. Protecting that data has been a key legal requirement since 1998 under the Data Protection Act. It is important that suppliers have measures in place to meet this requirement throughout the life of a contract.

The DWP security policy for contractors sets out how the Framework applies to DWP suppliers.

What is required of DWP suppliers?

Suppliers to the department must, in the contracts they deliver, protect personal information. They should focus on the following areas, to specific levels and degrees depending on the type of contract:

  • personnel security
  • information handling, transfer and storage processes (communication management)
  • premises security
  • portable media policies
  • security incident handling
  • information systems security

Data protection and information security information

The letters attached below are provided as examples of communications that DWP have previously issued to contractors:

DWP security of data handling procedures - example letter of assurance

DWP protecting customer data - example letter of assurance

We have developed a data security training and awareness slide pack for suppliers and their employees delivering DWP contracts. Suppliers can use the slides as training material for their employees.

Suppliers should consider the content of this slide pack along with:

  • the specific provisions within any contract that they deliver to DWP
  • any existing data security training/awareness within their organisation

Other data protection and information security communications

Data protection and security of information in DWP - May 2012

Sustainable procurement

The DWP is highly regarded in government for its commitment to sustainable procurement. To support its aims the department seeks to minimise its own environmental impact.

The DWP sustainable procurement strategy ensures that we specify sustainable goods and services wherever possible, and encourage best sustainable practice throughout our supply chains.

The activities of any organisation, however large or small, can contribute to meeting our Greening Government Commitments and objectives.

We aim to incorporate sustainable development into our thinking and our actions. We are making progress towards achieving this.

Sustainable procurement risk assessment methodology

DWP uses the sustainable procurement risk assessment methodology (SPRAM), a tool developed in-house for ensuring the department’s sustainable procurement targets and objectives are factored in to contract programs. All suppliers can expect to be subject to a SPRAM assessment.

Government Buying Standards

The Government Buying Standards (GBS) are a set of sustainable specifications for a range of commonly purchased products.

DWP will publish data as to how our suppliers are progressing against the GBS as and when it comes available.

Government Buying Standards DWP position for 2012 to 2013

DWP commercial strategy

The DWP commercial strategy sets out our long-term strategy for the management of commercial arrangements across DWP.

Although the strategy is written mainly for an internal audience, it gives suppliers and contractors an insight into the context in which the department carries out its commercial activity.

Using DWP brands

If you need to use our logos or anything else that represents our brand, you need to register with our communication centre.

Commercial complaints process

If you are making a complaint regarding our competitive processes please provide as much detail as you can.

We are fully committed to maintaining confidentiality and will take appropriate measures to ensure it. If you are currently involved in tendering for work with DWP you can be assured that your comments will not be allowed to prejudice the fair treatment of your tender.

We will acknowledge all complaints in writing within five working days and we will aim to respond within ten working days.

How to complain

Make your complaint in writing to the procurement manager shown in the tender documentation.

If you wish your complaint to be dealt with independent of the procurement manager write directly to the DWP Commercial Assurance team:

DWP Commercial Assurance Team
The Commercial Directorate
Phase 2, 2nd Floor
West Wing, Green Zone
Peel Park Control Centre
Brunel Way
Blackpool
Lancashire, FY4

Email: commercial.assuranceteam@dwp.gsi.gov.uk

If your complaint is not about DWP commercial practices (eg, it relates to benefits services) you can find advice on what to do in the DWP complaints and appeals guide.

What happens when I make a complaint?

If we made a mistake we will apologise and take any corrective action we can. We monitor and report on the complaints we have received.

We try to learn from them to improve our competitive processes and intend also that our complaints handling process reflects best practice and opportunities for learning.

Contact us

Contact the DWP Supplier Enquiry team if you have any procurement-related questions or would like further information.

Contact the Supply Chain Information Assurance team with enquiries about how DWP manages data protection and information.

Contact the Sustainable Procurement team for further information or advice about how DWP manages sustainable procurement.

Feedback on DWP’s procurement processes

We value feedback from existing and prospective suppliers, and always look to improve procurement processes and customer–supplier relationships.

If you are a current or prospective supplier, and would like to provide feedback on our procurement processes, please contact our Commercial Assurance Team by post or by email to:

DWP Commercial Assurance Team
The Commercial Directorate
Phase 2, 2nd Floor
West Wing, Green Zone
Peel Park Control Centre
Brunel Way
Blackpool
Lancashire, FY4

Email: commercial.assuranceteam@dwp.gsi.gov.uk

Providing feedback to DWP is entirely optional. Any feedback you provide will have no influence whatsoever on any future tendering opportunities with DWP or any other contracting authority.

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