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Evaluation, Supplier Selection and Contract Management

Title: Evaluation, Supplier Selection and Contract Management Assignment Question: This assignment is in two parts: Part 1 Evaluation and Supplier Selection For this part you are preparing the evaluation plan and evaluation criteria to support the selection of a Facility Management Company who will manage the cleaning and maintenance of the building fabric, hydraulic, electrical and mechanical services as well external parking areas and landscaping of your Organization’s buildings in Australia. Some buildings require refurbishments which will be managed by the FMC. The organisation has previously managed all the facilities with in house staff. Historical data shows the following $$$ spent on cleaning and maintenance in 2018 by location: City Maintenance Cleaning Perth 2 500 000 1 000 000 Sydney 5 000 000 2 000 000 Brisbane 3 401 000 1 500 000 Melbourne 6 600 100 3 000 000 Adelaide 3 000 000 1 250 000 Darwin 1 500 000 950 000 For this assignment assume the following: All buildings are within the respective CBD’s; Contract to start 1 January 2020; Facility Management companies offering all services are to be shortlisted; Your company uses a SAP corporate system and would require the successful FM company to be able to interface with the relevant SAP application: The organization will retain the current in house asset manager The Adelaide and Melbourne buildings are in need of refurbishment starting in 2020 which is estimated to cost $ 4 000 000 for Adelaide and $ 9 000 000 for the Melbourne building. ` When choosing weightings remember they need to reflect the relative importance of the items against the historical data and organisational values. This will drive the Total Cost of Ownership and negotiation strategy. You are required to: Produce an evaluation plan for this FMC selection, including an evaluation process that incorporates Total Cost of Ownership (TCO) and Value for Money (VfM); Design the evaluation criteria and weightings; Apply the criteria and weightings to arrive at a recommended FMC; and Provide, to be cited in the evaluation plan, at least two academic, professional or corporate references to support your material Part 2 Contract Management Plan You are required to produce a suitable contract management plan for the successful FMC above, containing all of the relevant sections. At least two academic, professional or corporate references to support your material are to be included. 4 Marking Scheme Topic Criterion Details Marks Available Evaluation Plan Structure, depth and breadth. Includes all necessary headings, and information in a logical order. 25 Evaluation Criteria and calculation A reasonable set of evaluation criteria with sensible weightings and correct calculation or recommended FMC Contains sufficient information to unambiguously describe the criteria and rationale for their inclusion and weightings and calculation. 25 TCO and VfM Analysis A description A reasonable representation of the steps or calculations that will result in the best long term result. 10 Contract Management Plan Structure, depth and breadth. Includes all necessary headings and information in a logical order. 20 Presentation Clarity and quality of included material. Is logical and concise. Information is sufficiently detailed and technically correct. 20 TOTAL 100
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