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  Scottish Water is using Delta eSourcing to run this tender exercise

Notice Summary
Notice type: Contract Notice - Utilities
Authority: Scottish Water
Nature of contract: Services
Procedure: Negotiated with competition
Short Description: To provide the services of expertise in reward and compensation
Published: 14/09/2021 13:20
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UK-Glasgow: Human resources management consultancy services.
Section I: Contracting Authority
      I.1) Name and addresses
             Scottish Water
             6 Buchanan Gate, Glasgow, G33 6FB, United Kingdom
             Tel. +44 7976460907, Email:
             Main Address:
             NUTS Code: UKM
      I.2) Joint procurement
      The contract involves joint procurement: No.
      In the case of joint procurement involving different countries, state applicable national procurement law: Not provided       
      The contract is awarded by a central purchasing body: No.
      I.3) Communication
      The procurement documents are available for unrestricted and full direct access, free of charge, at:
      Additional information can be obtained from: the abovementioned address
      Tenders or requests to participate must be sent electronically via to the abovementioned address       
      Electronic communication requires the use of tools and devices that are not generally available. Unrestricted and full direct access to these tools and devices is possible, free of charge, at: Not provided

      I.6) Main activity:

Section II: Object
II.1) Scope of the procurement
      II.1.1) Title: REWARD CONSULTANCY       
      Reference Number: SW19/ACP/1275
      II.1.2) Main CPV Code:
      79414000 - Human resources management consultancy services.

      II.1.3) Type of contract: SERVICES
      II.1.4) Short description: To provide the services of expertise in reward and compensation       
      II.1.5) Estimated total value:
      Value excluding VAT: 3,000,000       
      Currency: GBP
      II.1.6) Information about lots:
      This contract is divided into lots: No       
II.2) Description
      II.2.2) Additional CPV codes:
      79414000 - Human resources management consultancy services.
      II.2.3) Place of performance:
      II.2.4) Description of procurement: Scottish Water has a workforce of c4200 employees which consist of employees on collectively bargained terms and conditions, and managers on individual contracts. In the main the conditions and mechanisms in place were created when Scottish Water was formed in 2003. These have served us well but are no longer working well in the present. They fall short of the mark for what we need for the future. Scottish Water is undertaking a period of transformation to which a changed reward foundation is seen as critical.

The changes we undertake will be on a range of reward and compensation themes, and so we believe having a framework of providers with expertise in the various themes to be scrutinised will deliver well and enable us to provide an up to date and progressive reward and compensation offering to our employees.
It is critical that our changes move us towards a culture of transparency where our mechanisms are seen as fair. They must support strong organisational performance and out performance, and increasingly cater for a diverse set of roles with different reward needs.

Any supplier will have to be confident working within a highly unionised environment along with having experience in utilities and public sector. We are also interested in your ability to play in insights from as wide a base as possible.

What we envisage the shape of the work within the themes to be:

•Jobs and Salaries
A refreshed and transparent approach to job evaluation, with updated salary ranges which consider both internal and external comparisons (benchmarking). Providing up to date data sources on which benchmarking can be based. Creating the right mechanism for pay progression. This will be delivered within constraints such as working within Public Sector Pay Policy (Scotland) and cost management principles.

Supporting improved recognition at all levels within our organisation. This is likely to focus on non-financial reward, although funding recognition is a possibility. This could be through embedding recognition with currently existing mechanisms, culturally, and through leadership. This is also likely to include creating new and purposeful recognition digital platforms, that create engagement and energy as we transform. We are interested in how recognition can align with employee and organisational aspirations, such as creating a learning organisation.

•Performance Management
Creating the right culture and system round holistic performance conversations. This will follow the removal of the link to pay, enabling a more holistic approach. New approaches must focus on the value Scottish Water place on our people being flexible in the role they operate, being open to stretch and grow their capability, make the most of our learning organisation, where growth and development as critical to organisational performance as goal completion.

•Working Time and Patterns (Out of Hours Working Arrangements; Shifts; Allowances Supplements etc.)
Helping our business determine when resources are needed on a planned and reactive basis, to deliver in the future. Determining how this would be best addressed by working arrangements, different working patterns which may involve shift arrangements. Determining the options for reward, and the best fit fairest way to reward differently for different arrangements. This will be done in alignment with business projects which will identify new ways of working, likely to require new reward solutions. Joint working on pilots and proof of concepts to test different reward scenarios and see what works best for our business and our people. Negotiation engagement and seeking agreement from our Trade Unions will be critical to success. A successful delivery will lead to improved reliability of available resource with fair compensation for 7 day a week working.

•Contractual Terms
Pro’s and cons of contractual v non contractual payment methods. Methods by which to gain acceptance of contractual change. Collective v individually agreed terms. Terms and condition changes that may be necessitated.

•Bonus arrangements (Annual Outperformance Bonus, and Long Term Incentives)
Support the delivery of effective incentive arrangements at all levels in the organisations over appropriate timescales. Incentivising ethical business performance. For example net zero emissions part of SW Strategic plan, which now forms part of our business performance to which incentives must now be aligned. This must be considered in the context of incentive payments in the public sector

•Equality Impact Assessment
Considering reward implications of changes from an equality perspective. This may include gender pay reporting, and wider people analytics

Nature of work applicable regardless of theme:
When working on any of these themes we may request any of the following types of support:
•Advising on up-to date mechanisms and thinking including pros and cons
•Establishing best fit “to be” reality for Scottish Water
•Providing live examples from other sectors and organisations
•Creating the design
•Implementation consultation and negotiation support
•Honest broker? Arbitration? Negotiation?
•Producing documentation policy and training materials
•Employee Engagement and Training Support
•Data analysis trends and insights
•Other Stakeholder engagement

Scope/Advert Description
Scottish Water are seeking to establish a framework agreement with a number of suppliers with expertise in reward and compensation. These suppliers may be asked to support both, business as usual and change projects within the business. The Framework is anticipated to cover an 8year period, where suppliers could be called upon at any point to complete discreet pieces of work. These themes give an indication of the nature of the work, but work is not limited to this:
1.Jobs and Salaries
3.Working Time and Patterns
4.Performance Management
5.Bonus arrangements
6.Contractual Terms
7.Equality Impact Assessment

Bidders may offer to provide services in one or more of these themes.
      II.2.5) Award criteria:
            Price is not the only award criterion and all criteria are stated only in the procurement documents            
      II.2.6) Estimated value:
      Value excluding VAT: 3,000,000       
      Currency: GBP       
      II.2.7) Duration of the contract, framework agreement or dynamic purchasing system:
      Duration in months: 96       
      This contract is subject to renewal: Yes       
      Description of renewals: 3 x 1 years
      II.2.9) Information about the limits on the number of candidates to be invited:
             Envisaged minimum number: 3
      Objective criteria for choosing the limited number of cadidates: Not provided
      II.2.10) Information about variants:
      Variants will be accepted: No
      II.2.11) Information about options:
      Options:       No             
      Description of options: Not provided
      II.2.12) Information about electronic catalogues:
      Tenders must be presented in the form of electronic catalogues or include an electronic catalogue: No
      II.2.13) Information about European Union funds:
      The procurement is related to a project and/or programme financed by European Union funds: No       
      Identification of the project: Not provided             
      II.2.14) Additional information: The PQQ documents can also be accessed by logging in through the Scottish Water Delta e-sourcing webpage hhtps:// and through the response manager section using the following Access Cose : 623708915       

Section III: Legal, Economic, Financial And Technical Information
   III.1) Conditions for participation
      III.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers
      List and brief description of conditions:          
      Not Provided       
      III.1.2) Economic and financial standing       
      List and brief description of selection criteria:       
      Not Provided    
      Minimum level(s) of standards possibly required (if applicable) :       
      Applicants will be expected to be of sufficient financial and economic standing to support the anticipated contract value. All applicants must complete the financial questions within the pre-qualification questionnaire and tender documents. Financial standing relevant to the anticipated contract value will be determined by Scottish Water based on the response to the pre-qualification questionnaire and any further financial checks deemed necessary.    
      III.1.3) Technical and professional ability
      List and brief description of selection criteria:       
      Not Provided      
      Minimum level(s) of standards possibly required (if applicable) :          
      Not Provided   
      III.1.4) Objective rules and criteria for participation
            Not Provided      
      III.1.5) Information about reserved contracts (if applicable)   
      The contract is reserved to sheltered workshops and economic operators aiming at the social and professional integration of disabled or disadvantaged persons: No       
      The execution of the contract is restricted to the framework of sheltered employment programmes: No    
      III.1.6) Deposits and guarantees required:
      Scottish Water reserves the right to require deposits, guarantees, bonds or other forms of appropriate security.    
      III.1.7) Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:
      All prices quoted shall be in Sterling (UK) and all payments shall be made in Sterling (UK). Payment shall be made on the basis of completed services in accordance with the agreed contract rates, schedules and conditions of contract   
      III.1.8) Legal form to be taken by the group of economic operators to whom the contract is to be awarded:
      In the event of a group of companies submitting an accepted offer it will be necessary for each member of the group to sign an undertaking that each company in the group will be jointly and severally liable for the satisfactory performance of the contract      
   III.2) Conditions related to the contract
      III.2.1) Information about a particular profession    
      Reference to the relevant law, regulation or administrative provision:          
      Not Provided    
      III.2.2) Contract performance conditions       
      Bidders must comply with modern slavery act and operate an ethical supply chain          
      III.2.3) Information about staff responsible for the performance of the contract
      Obligation to indicate the names and professional qualifications of the staff assigned to performing the contract: No
Section IV: Procedure
      IV.1.1) Type of procedure: Competitive procedure with negotiation   
   IV.1.3) Information about a framework agreement or a dynamic purchasing system    
         The procurement involves the establishment of a framework agreement    
         Framework agreement with several operators       
         Envisaged maximum number of participants to the framework agreement:
Not Provided                     
         In the case of framework agreements justification for any duration exceeding 8 years: Not Provided    
   IV.1.4) Information about reduction of the number of solutions or tenders during negotiation or dialogue: No.
   IV.1.6) Information about electronic auction:
      An electronic auction will be used: No
      Additional information about electronic auction: Not provided
   IV.1.8) Information about the Government Procurement Agreement (GPA)
      The procurement is covered by the Government Procurement Agreement: Yes       
   IV.2) Administrative information
      IV.2.1) Previous publication concerning this procedure:
         Notice number in the OJ S: Not provided       
      IV.2.2) Time limit for receipt of tenders or requests to participate
       Date: 05/10/2021 Time: 13:00
      IV.2.3) Estimated date of dispatch of invitations to tender or to participate to selected candidates: Not Provided       
      IV.2.4) Languages in which tenders or requests to participate may be submitted: English,       
      IV.2.6) Minimum time frame during which the tenderer must maintain the tender:
         Duration in month(s): 4

Section VI: Complementary Information
   VI.1) Information about recurrence
   This is a recurrent procurement: No    
   Estimated timing for further notices to be published: Not provided
   VI.2) Information about electronic workflows
   Electronic ordering will be used No       
   Electronic invoicing will be accepted Yes       
   Electronic payment will be used Yes       
   VI.3) Additional Information: Scottish Water will not accept the ESPD. We will only accept a completed Scottish Water PQQ document. This notice does not preclude Scottish Water from issuing other notices for specific requirements. Responses to the OJEU Notice will be evaluated and only successful applicants following PQQ evaluation will be invited to submit a tender. Scottish Water reserves the right to divide the scope of the contract into lots at tender and contract award stages as it deems appropriate. Applicants who fail to supply all the information requested in response to this notice or any resulting tender exercise may risk elimination
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   VI.4) Procedures for review
   VI.4.1) Review body:
             Scottish Water
       6 Buchanan Gate, Glasgow, G33 6FB, United Kingdom
       Tel. +44 7976460907, Email:
   VI.4.2) Body responsible for mediation procedures:
             Scottish Water
          6 Buchanan Gate, Glasgow, G33 6FB, United Kingdom
          Tel. +44 7976460907, Email:
   VI.4.3) Review procedure
   Precise information on deadline(s) for review procedures:    
    Not Provided    
   VI.4.4) Service from which information about the lodging of appeals may be obtained:
Not provided
   VI.5) Date Of Dispatch Of This Notice: 14/09/2021

Annex A

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