DFAT Annual Report 2007-2008 : Appendix 11 List of sponsors

Consultancy services

The department employs consultants for a range of purposes. The decision to use a consultant is based on whether there is a need for specialised or professional skills, independent research or assessment skills, or a set of skills that is currently unavailable in the department. This approach is consistent with the Government’s policy to focus available resources on core functions. It also recognises the valuable perspectives that consultants can often bring to policy and operational issues. All decisions to engage consultants are based on the principle of value for money and efficient and effective use of public funds.

All contracts (including consultancies) valued over $10 000 entered into in Australia, or entered into overseas with an Australian supplier, are published in the Government’s electronic gazettal system, AusTender (www.tenders.gov.au).

Selection processes

The process used for selecting consultants, both in Australia and at overseas posts, is consistent with the department’s broader procurement policies and the Commonwealth Procurement Guidelines (January 2005), and is based on the principle of value for money. Selection methods are as follows:

Open tender

This procurement procedure invites all businesses that satisfy the conditions for participation to submit tenders. Consultancies over $80 000 (GST inclusive) are advertised on AusTender, the Government’s electronic publishing service, and where deemed appropriate, in the print media, inviting all businesses that satisfy the conditions for participation to submit tenders. In Australia, open tenders are also advertised on the department’s website (www.dfat.gov.au/tenders). Overseas, open tenders are advertised on the post’s website.

Select tender

A limited number of organisations or individuals are invited to submit tenders for particular consultancies in accordance with mandatory procurement procedures—the Commonwealth Procurement Guidelines (January 2005). These firms are identified:

through their expertise in a particular field
as representing a particular cultural or other interest group
as belonging to a multi-use list (consisting of pre-qualified potential suppliers that have satisfied the conditions for inclusion on the list, for example, Government Endorsed Supplier Arrangement for IT services).

In Australia, select sourcing tenders are also advertised on the department’s internet site for the information of any other supplier that believes it would be competitive in meeting the tender requirements.

Direct sourcing

This is a form of restricted tendering, available only under certain defined circumstances as outlined in section 8 of the Commonwealth Procurement Guidelines (January 2005), which invites a single potential consultant or consultants to bid because of their unique expertise and/or their special ability to supply the goods and/or services sought.

Panel

An arrangement under which a number of suppliers, usually selected through a single procurement process, may each supply property or services to an agency as specified in the panel arrangements. Tenders are sought from suppliers that have pre-qualified on the agency panels to supply to the Government. This category includes standing offers and supplier panels where the consultant offers to supply goods and services for a predetermined length of time, usually at a pre-arranged price.

Consultancy services let

The following table lists consultancy services contracts let during the year to the value of $10 000 or more (inclusive of GST, where applicable), including the contract price for the consultancy and the reason for the decision to engage consultancy services.

TABLE 30. CONSULTANCY SERVICES CONTRACTS LET DURING 2007–08 OF $10 000 OR MORE

Consultant name	Description	Contract price	Selection process(1)	Justification(2)
Alamein Consulting	ICT services review	34 800	Panel	B
Alamein Consulting	Development of information technology infrastructure library	104 700	Panel	C
Analytical Service	Property suitability assessment	25 110	Panel	B
Arup	Specialist advice—physical security	251 187	Panel	B
Australia/Italy Cultural Promotions	Services to further the promotion of Australia in Italy	61 600	Direct sourcing	B
Beasley Intercultural	Development and design of APEC pilot twinning project	68 200	Select tender	B
Brian Sullivan Consulting	Review of passport production benchmarks	15 153	Select tender	C
CB Richard Ellis (Thailand)	Independent review of property market—Bangkok	12 838	Select tender	B
Gartner Australasia	IT research and advisory services	35 420	Direct sourcing	B
Grosvenor Management Consulting	Divisional structure review	27 500	Panel	C
HSBC	Actuarial services	13 091	Direct sourcing	B
Integral Consulting Services	Asynchronous transfer mode replacement	153 670	Panel	B
Integral Consulting Services	Design ICT storage solution	89 250	Panel	B
Intelligence Dynamics	Development of passport case management solutions	57 750	Select tender	C
International Economics	Economic modelling study for Australia–India FTA	104 000	Open tender	C
International Economics	Economic modelling study for Australia–Indonesia FTA	131 870â€	Open tender	C
International Economics	Economic modelling on the effects of trade liberalisation	72 600	Select tender	C
Iteco Cemat Geotech Services	Geotechnical Investigations Kathmandu	16 897	Select tender	B
KPMG	Market scan of companies engaged in secure document production	28 160	Select tender	B
Mallesons Stephens Jaques	Development of project proposal (tender documentation)	60 830	Panel	B
Marine Resources Assessment Group	Study on illegal foreign fisheries	150 000	Select tender	C
McGrathNicol Advisory Partnership	Quality assurance review of DFAT’s internal audit function	38 500	Select tender	B
Minter Ellison Lawyers	Provision of legal services in relation to contract management	22 000	Panel	B
Note Printing Australia Limited	Review of passport production security arrangements	15 000	Select tender	C
Oakton Limited	Development of a costing model for passport information management services	48 593	Direct sourcing	C
Pricewaterhouse coopers	Property management services audit	17 402	Panel	B
PT Property Advisory Indonesia	Advisory and representation services	31 250	Select tender	B
Rider Levett Bucknall	Development of life cycle costing model	48 308	Panel	B
Rob Brennan Facilitation & Training Services	Redevelop training program and associated materials	23 111	Select tender	B
Ryebuck Media	Scoping study for educational kit Explore the Arab world	18 700	Select tender	B
S-3 Consulting	Appraisal of CAIS project	50 600	Direct sourcing	C
Signet Group International	Property suitability assessment	15 072	Panel	B
Sinclair Knight Merz	Specialist advice—physical security	63 725	Panel	B
Sinclair Knight Merz	Specialist advice—physical security	22 100	Panel	B
The Realise Group	Review of passport client services	78 861	Select tender	B
Tim Noonan Consulting	Review of the smartraveller telephone service and website	15 000	Direct sourcing	A
WalterTurnbull	Business continuity planning projects	30 462	Direct sourcing	C
Watson Wyatt	Locally engaged staff remuneration review—Paris	34 945	Select tender	B
TOTAL		2 088 255

â€ Final value exceeded original contract price by $1870 to reflect expenditure on reimbursable items.
(1) Explanation of selection process terms drawn from the Commonwealth Procurement Guidelines (January 2005)
Open tender—A procurement procedure in which a request for tender is published inviting all business that satisfy the conditions for participation to submit tenders. Public tenders are sought from the marketplace using national and major metropolitan newspaper advertising and the Australian Government AusTender internet site.
Select tender—A procurement procedure in which the procuring agency selects which potential suppliers are invited to submit tenders. Tenders are invited from a short list of competent suppliers.
Direct sourcing—A form of restricted tendering, available only under certain defined circumstances, with a single potential supplier or suppliers being invited to bid because of their unique expertise and/or their special ability to supply the goods and/or services sought.
Panel—An arrangement under which a number of suppliers, usually selected through a single procurement process, may each supply property or services to an agency as specified in the panel arrangements. Tenders are sought from suppliers that have pre-qualified on the agency panels to supply to the government. This category includes standing offers and supplier panels where the consultant offers to supply goods and services for a predetermined length of time, usually at a pre-arranged price.
(2) Justification for decision to use consultancy:
A—skills currently unavailable within agency
B—need for specialised or professional skills
C—need for independent research or assessment.

Return to top of page