Provision of Organisational Strategy Consultancy

PROVISION OF ORGANISATIONAL STRATEGY CONSULTANCY

STATEMENT OF REQUIREMENTS

REFERENCE NUMBER

RM4870

ATTACHMENT 2

Attachment 2 – Statement of Requirements Provision of Organisational Strategy Consultancy RM4870 Version 1.0 1

CONTENTS

1. PURPOSE ...... 3 2. BACKGROUND TO THE AUTHORITY ...... 3 3. BACKGROUND TO REQUIREMENT/OVERVIEW OF REQUIREMENT ...... 3 4. SCOPE OF REQUIREMENT ...... 3 5. THE REQUIREMENT ...... 4 6. KEY MILESTONES ...... 4 7. REPORTING ...... 5 8. VOLUMES ...... 5 9. CONTINUOUS IMPROVEMENT ...... 5 10. QUALITY ...... 5 11. PRICE ...... 6 12. STAFF AND CUSTOMER SERVICE ...... 6 13. SERVICE LEVELS AND PERFORMANCE ...... 6 14. SECURITY REQUIREMENTS ...... 6 15. INTELLECTUAL PROPERTY RIGHTS (IPR) ...... 6 16. ADDITIONAL INFORMATION ...... 6 17. LOCATION ...... 6 18. DURATION OF THE CONTRACT ...... 7

Attachment 2 – Statement of Requirements Provision of Organisational Strategy Consultancy RM4870 Version 1.0 2

1. PURPOSE 1.1 The Crown Commercial Service is an executive agency of the Cabinet Office and part of its role is to improve commercial capability across government working in support of the Government Chief Commercial Officer who is Head of the Commercial Profession. 1.2 A small team from the Crown Commercial Service (on behalf of the Cabinet Office) is working with a small team from HM Treasury to conduct a series of Commercial Capability Reviews across Government to identify systemic issues that are hindering Government’s overall commercial capability and to provide assurance that departments and the ‘Centre’ are on track with clear plans that will ensure they have the right commercial capability, both in the short-term and for their future requirements. 1.3 The purpose of this procurement is to secure continuation of support to the Reviews.

2. BACKGROUND TO THE CONTRACTING AUTHORITY 2.1 For further information on the Crown Commercial Service please refer to www.ccs.cabinetoffice.gov.uk

2.2 For further information on the Treasury please refer to www.gov.uk/government/organisations/hm-treasury

3. BACKGROUND TO REQUIREMENT/OVERVIEW OF REQUIREMENT 3.1 Crown Commercial Service on behalf of Cabinet Office and with HM Treasury are undertaking a joint review of departments’ commercial capability, led by Bill Crothers (Government’s Chief Commercial Officer and functional leader for commercial) and John Kingman (Second Permanent Secretary at HMT). 3.2 The Reviews will provide assurance that departments are on track with clear plans to ensure they have the right commercial capability, both in the short-term and for their future functions. 3.3 Reviews have been completed in four departments already; this requirement is for supporting the remaining reviews (mix of in-depth and lighter touch) of around eight to ten departments, plus synthesis and analysis of overall systemic issues.

4. SCOPE OF REQUIREMENT 4.1 We have completed reviews of four central Government departments. We are now focussed on securing external support for the remaining departments. This will include: 4.1.1 Applying the existing review methodology and undertaking an in-depth review (circa 9-12 weeks) of departments, led by a small Cabinet Office or Treasury lead team.

4.1.2 Helping develop a lighter-touch approach for the other reviews (4-6 weeks) and undertake these lighter-touch reviews in departments with Cabinet Office or Treasury leading the department engagement.

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4.1.3 Synthesis and analysis of systemic issues identified across all the reviews and preparation of summary and detailed reports, with evidence, including recommendations.

5. THE REQUIREMENT 5.1 Each review of departments will need to be conducted in a similar manner to the previous reviews, based on a tested methodology (Annex A) the Cabinet Office and Treasury hold. Each review will be led by a senior civil servant from Cabinet Office or HM Treasury. In addition programme management support will be provided by civil servants. Specifically we will need the supplier to: 5.1.1 Participate in and synthesise findings from interviews with internal government senior staff and with suppliers. 5.1.2 Tailor and run the structured on-line questionnaire used in previous reviews so as to make it relevant to other reviews within departments. 5.1.3 Gather data and conduct analysis in a comparable manner to previous reviews on resource allocations to key activities and decision and accountability rights. 5.1.4 Conduct private sector benchmarking, as necessary, to enrich the data we currently hold. 5.1.5 Facilitate workshops 5.1.6 Develop draft findings and recommendations 5.1.7 Draft the initial report 5.1.8 Attend and lead relevant meetings with key personnel throughout the review, including with the Government Chief Commercial Officer and 2nd Permanent Secretary to the Treasury. 5.2 It is anticipated that there will be a maximum of ten reviews carried out during the contract duration. The timescales per project will be as follows:

5.2.1 In-depth review – 2-3 weeks preparation, 6-7 weeks review in department, 1-2 week to finalise report.

5.2.2 Light touch review – 1 week preparation, 2-3 week review in department, 1-2 week to finalise report. 5.2.3 Senior oversight across all the reviews; as well as, an interim report synthesising systemic issues across government, with analysis and recommendations.

6. KEY MILESTONES 6.1 The Potential Provider should note the following project milestones that the Contracting Authority will measure the quality of delivery against: Milestone Description Timeframe Completion of each of the individual initial reports with findings and recommendations 9-12 weeks from start of 1 agreed with the Government Chief each review Commercial Officer and the 2nd Permanent Secretary to the Treasury.

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A complete evidence pack supporting each 9-12 weeks from start of 2 in-depth review. The evidence pack will each review consist of the above points (5.1.1 – 5.1.6) Completion of each of individual initial reports with findings and recommendations 4-6 weeks from start of each 3 agreed with the Government Chief review Commercial Officer and the 2nd Permanent Secretary to the Treasury.

A complete evidence pack supporting each 4 light-touch review. The evidence pack will 4-6 weeks from start of each consist of the above points (5.1.1 – 5.1.6) review Overall synthesis and analysis, with findings and recommendations of systemic issues across Government agreed with the 5 End of all reviews Government Chief Commercial Officer and the 2nd Permanent Secretary to the Treasury.

7. REPORTING 7.1 There will be weekly meetings with the joint Cabinet Office / HM Treasury team. 7.2 Fortnightly checkpoints with the Government Chief Commercial Officer and 2nd Permanent Secretary to the Treasury.

8. VOLUMES 8.1 We anticipate a maximum of ten reviews.

8.1.1 We anticipate a minimum of five reviews consisting of three in-depth, two light-touch and the overall synthesis.

8.2 We anticipate a mix of five in-depth and five light-touch reviews of departments, plus synthesis and analysis of overall systemic issues encountered across Government. 8.3 The exact mix of reviews will be decided in consultation with the appointed supplier. 8.4 The above quantity breakdown is estimated and the Contracting Authority reserves the right to amend the split between the types of reviews if required.

9. CONTINUOUS IMPROVEMENT 9.1 Not Used

10. QUALITY 10.1 Not Used

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11. PRICE 11.1 There is a maximum budget of £500,000 set aside for this project. 11.2 There will be a price per review type and a price for the overall synthesis. 11.3 Prices are to be submitted via the eSourcing Suite excluding VAT – please see Attachment 8 for Pricing Information.

12. STAFF AND CUSTOMER SERVICE 12.1 The Contracting Authority requires the Potential Provider to provide a sufficient level of resource throughout the duration of the Organisational Strategy Consultancy Contract in order to consistently deliver a quality service to all Parties. 12.2 Potential Provider’s staff assigned to the Organisational Strategy Consultancy Contract shall have the relevant qualifications and experience to deliver the Contract. 12.3 The Potential Provider shall ensure that staff understand the Contracting Authority’s vision and objectives and will provide excellent customer service to the Contracting Authority throughout the duration of the Contract.

13. SERVICE LEVELS AND PERFORMANCE 13.1 The Contracting Authority will measure the quality of the Supplier’s delivery by: 13.1.1 Weekly checkpoint meetings during the contract period with the joint Cabinet Office and HM Treasury team. 13.1.2 Fortnightly checkpoints with the Government Chief Commercial Officer and 2nd Permanent Secretary to the Treasury. 13.1.3 Delivery of each interim report, following the review of a department, setting out findings and recommendations; with detailed appendices setting out methodology and supporting evidence.

14. SECURITY REQUIREMENTS 14.1 There are no specific security requirements for this contract arrangement, although evidence of security clearance would be helpful.

15. INTELLECTUAL PROPERTY RIGHTS (IPR) 15.1 Not Used

16. ADDITIONAL INFORMATION 16.1 Not Used

17. LOCATION 17.1 The location of the Services will be carried out mainly in London. While the team will be based in central London (1 Horse Guards Road, SW1A 0HQ), interviews will be conducted on the premises of the department being reviewed. On occasion this may involve travelling in the UK, but we expect this to be minimal.

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17.2 Travel costs outside the M25 will be reimbursed on request in-line with the department’s travel & subsistence policy for staff. A copy of this can be provided on request.

18. DURATION OF THE CONTRACT 18.1 The duration of the Contract will be for the delivery of 10 reviews over an expected period of 3 months. 18.2 The Contracting Authority reserves the right to extend this Contract by up to 3 months. 18.3 The Potential Provider agrees that the option to extend is entirely at the discretion of the Contracting Authority and that there is no guarantee of this extension being implemented.

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ANNEX A

Interview pre-read

Commercial capability “DNA” diagram

£ Policy development Procurement Contract and supplier and market shaping Process management High Hypothesis: Our commercial resources are currently focussed on the middle part of Time the lifecycle spent on value Simplifying process added Developing and reducing activity requirements that turnaround times & Improving contract and shape markets and the supplier bid costs supplier management supply base to capability Government

Before Goal Low

1 Overall dept strategy

2 Policy development 3 4 5 6 7 8 9 10 11

Methodology – level 1 detail

Preparation Preparation Calibration and Kick-off Fieldwork for Kick-off for review Moderation

• Collate existing • Hold ‘kick-off’ • Agree initial • Conduct fieldwork: • Revisit interim knowledge e.g. meeting hypothesis and report and confirm Reviews, . Interviews • Agree final Terms areas of enquiry. the latest position feedback etc. . Questionnaire on of Reference • Request data and recommendations. • Methodology and including the initial documents. . Focus groups approach agreed. interview list, key • Revise interim • Develop script for . Workshops documents, lines report based on • Prepare outline interviews and of enquiry. . Benchmarking feedback and Terms of schedule these. Reference, • Agree key contact . Document review findings from other • Develop identifying key for review team to commercial questionnaires and • Agree findings, identify documents and liaise with. capability reviews. recipients. capability gaps and interviewees • Agree timetable underling drivers. • Finalise report. • Plan external • Preliminary with checkpoint benchmarking • Develop draft review of meetings. recommendations. commercial • Plan focus groups landscape to and workshops. • Prepare interim report. identify key themes to be explored further

Outputs Outputs Outputs Outputs Outputs Terms of Reference. Agreed Terms of Fieldwork planned Interim report: findings and Final report Reference (interviews, workshops, recommendations Input to overall report Agreed timetable focus groups. Questionnaire launched

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