Defence Equipment and Support soft market testing of strategic operating model options.

Defence Equipment and Support soft market testing of strategic operating model options.

The soft market testing is intended to test the thesis that improved DE&S performance and therefore best value for money for defence could be achieved through greater private sector involvement in DE&S. UK-Bristol: defence services

2012/S 51-083161

Prior information notice


Directive 2004/18/EC

Section I: Contracting authority

I.1)Name, addresses and contact point(s)

Defence Equipment and Support
Maple 2a, #2231, Abbey Wood
For the attention of: Mrs Jennifer Chard
BS34 8JH Bristol
Telephone: +44 3067934173

Further information can be obtained from: The above mentioned contact point(s)

I.2)Type of the contracting authority

Ministry or any other national or federal authority, including their regional or local sub-divisions
I.3)Main activity

I.4)Contract award on behalf of other contracting authorities

The contracting authority is purchasing on behalf of other contracting authorities: no

Section II.B: Object of the contract (Supplies or services)

II.1)Title attributed to the contract by the contracting authority:

Defence Equipment and Support soft market testing of strategic operating model options.
II.2)Type of contract and place of delivery or of performance

Service category No 27: Other services
II.3)Information on framework agreement
II.4)Short description of nature and quantity or value of supplies or services:

The Ministry of Defence is considering options for the future management of the defence equipment and support (DE&S) organisation and is issuing this PIN for a process aimed at obtaining the market’s views on some of the options it is considering (“soft market testing”).
In issuing this PIN and engaging with the market, DE&S is not committing to carry out any procurement in relation to the requirements stated in this PIN. Non-participation in this soft market testing will not be taken into account in any future procurement background.
As part of the strategic defence and security review (SDSR), published in October 2010 and in consideration of the recommendations of the Gray Report published in October 2009, a review of DE&S has been undertaken, known as The Materiel Strategy. This programme of work has identified three key problems that need to be addressed to improve defence acquisition performance across MOD, DE&S and industry: the overheated programme; the sub-optimal interface between the deliverer (DE&S) and customer (wider MOD); and the gap in DE&S’ business capabilities to plan and execute equipment procurement, support and logistics. To address these, DE&S needs a new organisational structure and two of the options that are being explored include private sector involvement:
— an executive non departmental public body with a strategic partner,
— a government owned, contractor operated (GOCO) entity.
DE&S’ objectives for the soft market testing process are to test some of the principles for each of these options, explore prospective roles for the private sector, explore market experience of related activities and perspectives on the proposals. The soft market testing is intended to test the thesis that improved DE&S performance and therefore best value for money for defence could be achieved through greater private sector involvement in DE&S. The opportunity will also be taken to test the interest and ability of the private sector to enter into either of these contractual arrangements with MoD.
This PIN has been issued by DE&S for the purposes of seeking views from organisations or potential partners that wish to take part in this soft market testing in relation to the proposals described above. DE&S anticipates inviting around 10-15 organisations who respond to this PIN to present their ideas. Failure to be invited to present will not preclude any organisation from submitting a tender in any future competition.
DE&S is aiming to engage with a broad cross-section of all potential suppliers at this stage including original equipment manufacturers and small medium enterprises as well as potential strategic partners or GOCO contractors. We are particularly interested in seeking views from organisations with expertise in one or more of the following areas:
1. Delivery of complex projects; successfully delivering large and complex acquisition projects (> 400 000 000 GBP).
2. Delivery of multiple projects; successfully managing the simultaneous delivery of multiple projects (100+ projects)
3. Delivery of equipment support; successful through-life management/sustainment of equipment capability;
4. Logistics delivery; successful provision and management of complex storage and distribution operations.
5. Working within Complex Government and international stakeholder environments.
6. Public Sector procurement; successful delivery of public contracts in the EU or international environment
7. Strategic Leadership and Organisational Change; specifically organisations with 5 000+ employees
8. Relevant Public/Private sector operating models; Public Private Joint Ventures, Strategic Partnerships or GOCO arrangements.
Any organisation wishing to present their ideas should notify DE&S in writing through the contact given above before 15:00 on 23.3.2012. The responses, which should be as succinct as possible (capped at three sides of A4 paper), should cover:
— category(ies) under which you are responding (original equipment manufacturer/small medium enterprise/potential strategic partners/ potential GOCO contractors/Other),
— relevant experience / track record,
— range of clients supported,
— availability to attend a briefing session on 30 march in Bristol and one of the 1-2-1 sessions on 10-13 april (UK, specific location to be confirmed).
Where respondents have relevant track record and expertise in more than one area, this should be clearly stated.
Please note late responses and/or those of more than three sides of A4 paper will not be considered.
To inform its decision on who to invite to the soft market testing process, DE&S will assess the responses and select a cross-section of respondents which, in its view, are together able to demonstrate a sufficient depth of experience and relevant track record in the kinds of business outlined in this notice.
DE&S will invite a limited number of organisations to participate in this soft market testing process and will inform them on 27 March, with the intention of an initial Briefing Event on 30 March and 1-2-1 sessions between 10-13 April. Further information will be supplied to these organisations on 27 March.
DE&S will not be liable to reimburse any costs incurred by any parties who respond to this PIN.

This contract is divided into lots: no

II.5)Common procurement vocabulary (CPV)


II.6)Scheduled date for start of award procedures

II.7)Information about Government Procurement Agreement (GPA)

The contract is covered by the Government Procurement Agreement (GPA): no
II.8)Additional information:

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract
III.1.1)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:
III.2)Conditions for participation
III.2.1)Information about reserved contracts

Section VI: Complementary information

VI.1)Information about European Union funds

The contract is related to a project and/or programme financed by European Union funds: no
VI.2)Additional information:

Advertising Regime OJEU:- This contract opportunity is published in the Official Journal of the European Union (OJEU),the MoD Defence Contracts Bulletin and GO Reference: GO-201239-DCB-3773533.

VI.3)Information on general regulatory framework
VI.4)Date of dispatch of this notice: