IT Transformation Tender for Royal Mail

IT Transformation Tender for Royal Mail

Lot 1 desktop services (contract), Lot 2 application management (framework agreement) NB includes three sub-lots, Lot 3 application development (framework agreement), Lot 4 infrastructure and hosting (contract), Lot 5 systems integration and asset management (SIAM) (contract).

UK-Chesterfield: IT services: consulting, software development, Internet and support

2012/S 190-312883

Contract notice – utilities

Services

Directive 2004/17/EC

Section I: Contracting entity

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

Royal Mail Group
BG24, Rowland Hill House, Boythorpe Road
Contact point(s): See Section VI.3
S49 1HQ Chesterfield
UNITED KINGDOM

Internet address(es):

General address of the contracting entity: http://www.royalmail.com

Electronic access to information: https://rmg.frictionless.com/fsguestvendor/vendordesktop/register?ui=ui4

Electronic submission of tenders and requests to participate: https://rmg.frictionless.com/fsguestvendor/vendordesktop/register?ui=ui4

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

Specifications and additional documents (including documents for a dynamic purchasing system) can be obtained from: The above mentioned contact point(s)

Tenders or requests to participate must be sent to: The above mentioned contact point(s)

I.2)Main activity

Postal services
I.3)Contract award on behalf of other contracting entities

The contracting entity is purchasing on behalf of other contracting entities: no

Section II: Object of the contract

II.1)Description
II.1.1)Title attributed to the contract by the contracting entity:

Information technology service transformation (ITST).
II.1.2)Type of contract and location of works, place of delivery or of performance

Services
Service category No 7: Computer and related services
Main site or location of works, place of delivery or of performance: Chesterfield and other sites across the UK.
NUTS code UK

II.1.3)Information about a public contract, a framework agreement or a dynamic purchasing system (DPS)

The notice involves the establishment of a framework agreement
II.1.4)Information on framework agreement

Framework agreement with several operators
maximum number of participants to the framework agreement envisaged: 5
Duration of the framework agreement

Duration in years: 4
Estimated total value of purchases for the entire duration of the framework agreement

Estimated value excluding VAT
Range: between 550 000 000,00 and 700 000 000,00 GBP

II.1.5)Short description of the contract or purchase(s):

Royal Mail Group (RMG) is looking to procure a range of IT related services and associated goods, from a number of suppliers within a multi-supplier environment. The procurement is divided into five lots namely:
— Lot 1 desktop services (contract),
— Lot 2 application management (framework agreement) NB includes three sub-lots,
— Lot 3 application development (framework agreement),
— Lot 4 infrastructure and hosting (contract),
— Lot 5 systems integration and asset management (SIAM) (contract).
A fuller description of each lot is provided in Annex B.
The following principles underpin the multi-supplier environment to be created:
1) Suppliers will be expected to ensure the success of end-to-end service delivery, support processes and the optimisation of services and processes across the estate.
2) Suppliers will work within an RMG defined Integration Framework that will include:
— Architectural standards and codes of practice,
— Service management & delivery processes and an integrated service management toolset across suppliers,
— Tools, middleware and data definitions including end-to-end alert/event monitoring, application monitoring and scheduling systems,
— Collaborative governance, reporting, IT strategy development and innovation.
3) Suppliers of all Lots will be required to:
— Design & deploy applications and infrastructure alerting and events in accordance with the integration framework so they fit into RMG systems management tools,
— Collaborate with the suppliers of other Lots as logical extensions of RMG in line with the integration framework including the provision of test environments for 3rd party use (e.g. for integration testing),
— Accept shared success and failure in the delivery of multi-supplier projects and services,
— Incorporate RMG selected technologies and subcontractors into their solutions,
— Provide innovative and flexible pricing structures,
— Implement business-relevant SLAs, associated service credit and bonus regimes.
Applicants should reflect these principles in their responses to the pre-qualificaiton questionnaire (PQQ) (see III.2 and VI.3).
II.1.6)Common procurement vocabulary (CPV)

72000000, 72100000, 72200000, 72300000, 72400000, 72500000, 72600000, 72700000, 72800000, 72900000

II.1.7)Information about Government Procurement Agreement (GPA)

The contract is covered by the Government Procurement Agreement (GPA): no
II.1.8)Information about lots

This contract is divided into lots: yes
Tenders may be submitted for one or more lots
II.1.9)Information about variants

Variants will be accepted: no
II.2)Quantity or scope of the contract
II.2.1)Total quantity or scope:

Please see Annex B.
Estimated value excluding VAT
Range: between 600 000 000,00 and 2 500 000 000,00 GBP
II.2.2)Information about options

Options: yes
Description of these options: Options to extend as detailed in the individual Lots contained within Annex B.
II.2.3)Information about renewals

This contract is subject to renewal: no
II.3)Duration of the contract or time limit for completion

Duration in months: 48 (from the award of the contract)

Information about lots

Lot No: 1 Lot title: Desktop services (contract)

1)Short description:

Lot 1 is intended to provide RMG with a comprehensive range of end-user computing services and associated devices. See further details at section 5 below and the relevant background information available with the PQQ.
2)Common procurement vocabulary (CPV)

72100000, 72110000, 72120000, 72130000, 72140000, 72150000, 72250000, 72500000, 72540000, 72590000, 72600000

3)Quantity or scope:

The following figures from the existing RMG estate provide an indication of the scope and scale of Lot 1:
Approximately.
— 25 000 end user devices,
— 5 100 printer devices,
— 29 000 active email and collaboration accounts,
— 600 shared email mailboxes.
Estimated value excluding VAT: 100 000 000,00 GBP
4)Indication about different date for duration of contract or starting/completion

Duration in months: 36 (from the award of the contract)
5)Additional information about lots:

Lot 1 encompasses a number of Services:
— The provision of a single front end service desk facility, supplying first line support for all RMG IT related services included in scope of this procurement and of other existing contracted services. This lot will develop and operate/co-ordinate (between RMG and all other IT suppliers) a full suite of service management processes, and the applications to support these processes,
— The supply, maintenance, replacement and disposal of end user devices which will include desktops, laptops, tablets and printers/multi-functional devices which are sited at locations across the United Kingdom and the software which runs on these devices. (Note that Lot 4 (Infrastructure) will provide the application hosting services for applications delivered by and/or used by this Lot),
— Service management,
— Security operations centre,
— End-user compute services,
— Managed print,
— Collaboration and messaging,
— Directory management,
— Peripheral device maintenance,
— Projects and advisory.
Lot 1 comprises activities which engage with the whole of the RMG IT user community. The supplier of Lot 1 services and associated devices will be required to deliver a high level of integration and collaboration with other relevant providers of IT related services to RMG.
RMG expects to let this contract for an initial term of 36 months however, it is envisaged that RMG may extend this initial term up to four times for a period of up to two years per extension.
Lot No: 2 Lot title: Application management services (framework agreement)

1)Short description:

Lot 2 is intended to create a framework to provide RMG with a comprehensive range of application management services and associated tools. See further details at section 5 below and the relevant background available with the PQQ.
2)Common procurement vocabulary (CPV)

72200000, 72300000, 72900000, 72600000, 72210000, 72220000, 72230000, 72240000, 72250000, 72260000

3)Quantity or scope:

The following figures for the existing RMG estate provide an indication of the scope and scale of Lot 2:
Approximately.
— 400 applications of varying scale and complexity,
— 60 applications are considered critical applications and require 24*7 support.
Estimated value excluding VAT: 250 000 000,00 GBP
4)Indication about different date for duration of contract or starting/completion

Duration in months: 48 (from the award of the contract)
5)Additional information about lots:

This lot encompasses the provision of maintenance and delivery capability for applications in respect of which Lot 4 (infrastructure & hosting) will provide the hosting service. This lot focuses on the maintenance and operation of existing applications to cope with business-driven and technological changes and to meet business-relevant service level agreements. It will require release management techniques and seamless integration with RMG’s ITIL service management processes and toolsets.
High level lot description.
Lot 2 is intended to create a framework to provide RMG with a comprehensive range of application management services including but not limited to:
1) Application maintenance & support, for example:
— Proactive management of applications to ensure long term application health,
— Supporting business effectiveness, functional enhancement and maintaining technical currency,
— Fixing application errors,
— Taking on the management and support of applications developed by RMG and third parties,
— Data and database management,
— Functional enhancements and changes.
2) Application Services delivery, for example:
— Second and third line support,
— Service Management, including participation in such processes across all RMG IT services.
3) Knowledge management, for example:
— Maintaining accurate, up to date documentation on all aspects of applications,
— Maintaining a library of template application builds.
4) Application change management, including:
— the provision of small changes, enhancements, fixing application errors and providing updates and patches,
— Project management, deployment and rollout services,
— Collaboration in all stages of multi-supplier and RMG projects,
— Integration of applications into the service and business landscape,
— Provision of technical and business expertise such as business change management and process re-engineering.
5) Transformation Services (for known transformation prior to contract signature), for example, to reduce the cost and increase the flexibility, efficiency and effectiveness of the applications estate.
RMG expects to establish this framework agreement for an initial term of 48 months. However, it is envisaged that RMG may extend this initial term up to four times for a period of up to two years per extension.
Participants in the framework will be required to deliver a high level of integration and collaboration with other relevant providers of IT related services to RMG.
Lot No: 3 Lot title: Application development services (framework agreement)

1)Short description:

Lot 3 is intended to create a framework to provide RMG with a comprehensive range of application development services and associated tools. See further details at section 5 below and the relevant background available with the PQQ.
2)Common procurement vocabulary (CPV)

72210000, 72220000, 72230000, 72240000, 72250000, 72260000, 72300000

3)Quantity or scope:

The following figures provide an indication of the scope and scale of lot 3:
Approximately.
— 70 projects or programmes per year of varying scale or complexity.
Estimated value excluding VAT: 375 000 000,00 GBP
4)Indication about different date for duration of contract or starting/completion

Duration in months: 36 (from the award of the contract)
5)Additional information about lots:

This lot is intended to provide an applications development capability for applications which will be supported by the suppliers of the application maintenance services (Lot 2) for which the infrastructure and hosting services Lot (Lot 5) will provide the hosting service. Lot 3 is intended to cover a number of different applications development environments.
Lot 3 is intended to cover the full development lifecycle from business analysis to deployment on the appropriate hosting platform. It will cover a number of development lifecycle methods – e.g. waterfall, agile, etc. There will be requirements to support application portfolio rationalisation and applications consolidation.
High level lot description.
Application development services, including but not limited to:
— Requirements gathering & analysis,
— Functional systems analysis,
— Technical systems design,
— Information architecture,
— Application development,
— Application testing,
— Application deployment,
— Projects & advisory,
— Transformation.
Participants in the framework will be required to deliver a high level of integration and collaboration with other relevant providers of IT related services to RMG.
RMG expects to establish this framework agreement for an initial term of 36 months. However, it is envisaged that RMG may extend this initial term up to four times for a period of up to two years per extension.
Lot No: 4 Lot title: Infrastructure & hosting services (contract)

1)Short description:

Lot 4 is intended to provide RMG with a comprehensive range of infrastructure and hosting services and associated devices. See further details at section 5 below and the relevant background available with the PQQ.
2)Common procurement vocabulary (CPV)

72110000, 72120000, 72130000, 72140000, 72150000, 72300000, 72510000, 72540000, 72590000, 72600000, 72800000, 72900000

3)Quantity or scope:

The following figures from the existing RMG estate provide an indication of the scope and scale of Lot 4:
Approximately.
— 17 datacentres,
— 1,300 Wintel servers,
— 530 mainframe MIPS on 4 LPARs,
— 4 500 SAP Mainframe MIPS,
— 120 Tb storage.
Estimated value excluding VAT: 350 000 000,00 GBP
4)Indication about different date for duration of contract or starting/completion

Duration in months: 48 (from the award of the contract)
5)Additional information about lots:

For the purposes of this Lot IT infrastructure and Hosting includes the following equipment, system software, and services:
— Hosting services,
— Architecture services,
— Service management,
— Project and advisory services for the duration of the service.
The supplier of Lot 4 services will be required to deliver a high level of integration and collaboration with other relevant providers of IT related services to RMG.
RMG expects to let this contract for an initial term of 48 months. However, it is envisaged that RMG may extend this initial term up to 4 times for a period of up to 2 years per extension.
Lot No: 5 Lot title: Systems integration and asset management (SIAM) (Contract)

1)Short description:

Lot 5 is intended to provide RMG with a comprehensive range of IT systems integration and asset management services. See further details at Section 5 below and the relevant background available with the PQQ.
2)Common procurement vocabulary (CPV)

72500000, 72220000, 72260000

3)Quantity or scope:

Estimated value excluding VAT
Range: between 15 000 000,00 and 55 000 000,00 GBP
4)Indication about different date for duration of contract or starting/completion

Duration in months: 36 (from the award of the contract)
5)Additional information about lots:

Lot 5 is intended to provide RMG with:
1) Design services:
— Reviewing the adequacy of existing operating model for SIAM Services,
— Working with RMG to agree and specify any changes to the operating model that may be required.
2) Build services:
— Adapting as needed, RMG’s standard service management processes to work with the integrated toolset,
— Developing systems integration working methods for all projects that cover more than one lot. This includes the integration of all lifecycle stages such as design, testing and implementation,
— Developing processes to implement system integration working methods and adapt, as required, RMG’s standard project management processes,
— Provide skilled and experienced personnel to manage and administer the operate services.
3) Operate services:
4) Service management services
— Manage the deployment of tools, including end-to-end alert/event monitoring, application monitoring and scheduling systems, across all Royal Mail’s service providers,
— Work with RMG’s Service Providers to ensure that they use RMG’s toolset and standard processes.
5) Service integration services
— Work with RMG’s Service Providers to ensure that they use RMG’s Systems Integration processes.
6) Governance services
— Work with RMG to strengthen Governance processes to deal with the challenges of a Multi-supplier environment, including the Project Governance process and the Technical Design Authority as vehicle for managing technical quality.
7) Transfer services
— Assist RMG to strengthen its organisation to deal with the Services on a business as usual basis,
— Design a knowledge transfer approach,
— Developing a transition plan and, once approved by RMG, execute it to transfer responsibility back to RMG.
8) Associated project and advisory services
It is RMG’s intention to undertake all or some of these SIAM services internally, however RMG may have also have a requirement for a supplier to provide some or all of these services.
In that case RMG would expect to let a contract for an initial term of 36 months and would envisage extending this initial term up to 4 times for a period of up to 2 years per extension.

Section III: Legal, economic, financial and technical information

III.1)Conditions relating to the contract
III.1.1)Deposits and guarantees required:

Parent company or other guarantees or performance bonds may be required (as requested by and in a form acceptable to RMG).
III.1.2)Main financing conditions and payment arrangements and/or reference to the relevant provisions governing them:

To be defined during the negotiation stage.
III.1.3)Legal form to be taken by the group of economic operators to whom the contract is to be awarded:

Requests to participate will be accepted from groupings of economic operators (consortia). RMG reserves the right to require groupings of entities to take a particular legal form and/or require that a single consortium member takes a primary liability, or that each member undertakes joint and several liability irrespective of the legal form adopted.
III.1.4)Other particular conditions:

The performance of the contract is subject to particular conditions: no
III.2)Conditions for participation
III.2.1)Personal situation of economic operators, including requirements relating to enrolment on professional or trade registers

Information and formalities necessary for evaluating if the requirements are met: Interested parties must complete the PQQ. See VI.3 for instructions on how to obtain the PQQ and relevant background information.
III.2.2)Economic and financial ability

Information and formalities necessary for evaluating if the requirements are met: Please refer to the PQQ.
III.2.3)Technical capacity

Information and formalities necessary for evaluating if the requirements are met: Please refer to the PQQ.
III.2.4)Information about reserved contracts
III.3)Conditions specific to services contracts
III.3.1)Information about a particular profession

Execution of the service is reserved to a particular profession: no
III.3.2)Staff responsible for the execution of the service

Legal persons should indicate the names and professional qualifications of the staff responsible for the execution of the service: no

Section IV: Procedure

IV.1)Type of procedure
IV.1.1)Type of procedure

Negotiated
Some candidates have already been selected (if appropriate under certain types of negotiated procedures): no
IV.2)Award criteria
IV.2.1)Award criteria

The most economically advantageous tender in terms of the criteria stated in the specifications or in the invitation to tender or to negotiate
IV.2.2)Information about electronic auction

An electronic auction will be used: yes
Additional information about electronic auction: Electronic auctions may be an option as part of any mini competition process in the lots where framework agreements are established.
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting entity:
IV.3.2)Previous publication(s) concerning the same contract

no
IV.3.3)Conditions for obtaining specifications and additional documents

Payable documents: no
IV.3.4)Time limit for receipt of tenders or requests to participate

9.11.2012 – 12:00
IV.3.5)Language(s) in which tenders or requests to participate may be drawn up

English.
IV.3.6)Minimum time frame during which the tenderer must maintain the tender
IV.3.7)Conditions for opening tenders

Section VI: Complementary information

VI.1)Information about recurrence

This is a recurrent procurement: no
VI.2)Information about European Union funds

The contract is related to a project and/or programme financed by European Union funds: no
VI.3)Additional information:

This notice covers both contracts and framework agreements as follows:
Lot 1 – desktop services = contract.
Lot 2 – application management = framework comprised of up to 5 participants.
Lot 3 – application development = framework comprised of up to 5 participants.
Lot 4 – infrastructure and hosting = contract.
Lot 5 – systems integration & asset management = contract.
It is envisaged that the Lots will be contracted for varying durations, as indicated along with the estimated contract values within Annex B.
Expression of interest (EOI) & PQQ. Please read all of the following information carefully.
1. Complete the Supplier Registration Form at: https://rmg.frictionless.com/fsguestvendor/vendordesktop/register?ui=ui4. The form includes options to express interest in individual or multiple lots. Important: when completing the form please do so from a windows PC using the latest version of Internet Explorer, or specifically Microsoft Internet Explorer 6 SP2, Microsoft Internet Explorer 7, or Microsoft Internet Explorer 8. If you are unable to complete any fields because of format errors, please complete with a single zero “0” and tab through. Please note: charts are supported in Adobe Flash format and JPEG. Dashboards are supported only in Flash format. Charts and dashboards in Flash format are supported only on 32-bit Java environment and 32-bit browsers, and are disabled on 64-bit browsers. If you run SAP Sourcing on 64-bit Java environment, you must set the chart format to JPEG. MAC Users – the latest version of Internet Explorer for MAC is 5.2.3, therefore MAC does not support SAP E-Sourcing Version 7.0.

2. The PQQ is accessed via eSourcing. Following completion of a Supplier Registration Form you will be sent two emails with information that will allow you to access the PQQ.
— The first email will include log-on details to eSourcing. The email will arrive via RMG@frictionless.com and will be headed Royal Mail Group RFX – (please do not email this site unless instructed to do so),

— The second email will invite you to participate in the PQQ. It is at this point that you will be able to access the PQQ and start to complete it.
3. Please do not try to log-on before you are invited to do so, since your access will be denied.
4. RMG may require suppliers to supplement or clarify the information submitted in the PQQ and may also conduct any necessary checks and/or due dilligence to verify the information provided.
5. RMG is not liable for any costs incurred by those expressing an interest in tendering for this contract opportunity.
6. RMG reserves the right to terminate the procurement process (or part of it), to change the basis of and the procedures for the procurement process at any time, or to procure the contract by alternative means.
7. The Tenderer must maintain the tender for the duration of the ITN process or 18 months, which ever is longer.
8. All communications concerning this procurement process must be made through the eSourcing system.

VI.4)Procedures for appeal
VI.4.1)Body responsible for appeal procedures
VI.4.2)Lodging of appeals
VI.4.3)Service from which information about the lodging of appeals may be obtained
VI.5)Date of dispatch of this notice:

28.9.2012