One of the best approaches to secure work within the public sector is via framework agreements. Whether you are a national company or a small SME about to start tendering for work, being named on a framework is a good way to secure business, gain credibility and grow your portfolio.
Tendering for framework agreements
A lot of contracts go out to tender via framework agreements. This may be with local authorities, groups of universities, the NHS, Housing Associations or any other public sector buyer. Ultimately, the aim of a framework agreement is to appoint a number of companies to provide certain goods or services– often split into different geographical regions, specialisms or project value bands, allowing a number of firms to be appointed onto an agreement rather than one provider being awarded a contract.
Different packages of work may then be ‘called off accordingly’, either through direct award, mini-competition tender or an allocation system based on tier, rank or even distribution. Depending on your industry and sector, it may be that you need to be on a framework agreement in order to work with a certain authority at all.
Tendering for frameworks tends to be quite competitive, as there is usually a large volume of work to be awarded and accessing a place on the agreement is very lucrative to a firm. It also creates marketing opportunities for an organisation to publicise securing a place, as many framework agreements carry a level of prestige. This is turn can create further opportunities to work similar buyers, with a role on a prestigious framework offering evidence of professional and technical ability as part of future bid collateral.
Opportunities in 2019
So far, it has been a busy year for the issue of new contracts and contract awards. Over 2,000 tender opportunities were published in January alone by local authorities in the UK.
Information from market researcher Tussell states that there are more than 1,600 frameworks worth £24.5bn expiring between now and the end of 2019. This won’t take into account the new contracts that will also be released in the market, meaning there are thousands of opportunities for firms to secure work – both existing and new.
Monitoring the contract pipelines and your own contract dates will ensure you’re not missing out on vital contracts and frameworks for your business. See further posts for more information on making sure you are tender ready to submit the highest quality bid submission for your organisation.
Bid writing support
As bidding for contracts is a competitive, time-consuming task, it is important to ensure you have the right resources and skill-set available to your company. Seek professional tender writing support to improve your chances of success to secure a place on a framework agreement.