IV.1.2)Limitations on the number of operators who will be invited to tender or to participate
IV.2.2)Information about electronic auction
An electronic auction will be used: yes
Additional information about electronic auction: Inistry of Defence.
Invitation to tender.
Special notices and instructions to tenderers.
For the supply of packing material and boxes.
1. Introduction.
1.1 These Notices and Instructions provide guidance to invited Tenderers.
1.2 These notices and instructions relate to the attached invitation to tender (ITT) reference no HA294/004/680 for the supply of packing material and boxes. Their purpose is to provide guidance and explain certain aspects of the Authority’s requirement so that the Tenderer is fully conversant with the main elements and can respond with a compliant tender.
1.3 The reverse auction process is intended to allow each tenderer the opportunity to reduce their offered price through to the point where none wish to offer a lower price for the supply of packing material and boxes.
2. Reverse auction.
2.1 Purpose.
2.1.1 The Authority intends to conduct a reverse auction for the supply of packing material and boxes as described in the invitation to tender (ITT) and schedule of requirements (SoR). This requirement consists of one individual Lot.
Note:
Prior to receiving notification of their eligibility to participate in the reverse auction, and receiving training to enable such participation from the Authority’s Auction Service provider, tenderers should be aware that:
1. Following receipt of ITT responses and their evaluation by the Authority, it may become necessary for the packing material and boxes requirement to be divided up into more Lots or fewer Lots than the single Lot intended at present. If a decision is taken to either increase or reduce the number of lots in the reverse auction, the Authority shall advise all compliant Tenderers of any revisions made. Tenderers shall then be given the opportunity to confirm that the unit price(s) and associated overall price submitted within their ITT response remain unchanged, or to offer revised price(s) accordingly.
2. Where a requirement involves more than one lot from the outset it may become necessary for the Authority, following its receipt and evaluation of ITT responses, to amend the content of individual lots by transferring supply line items between any of the lots involved in the competition. If a decision is taken to amend the content of the Lots included in the Reverse Auction, the Authority will advise all compliant Tenderers of any revisions made. Tenderers shall then be given the opportunity to confirm that the unit price(s) and associated overall price submitted within their ITT response remain unchanged, or to offer revised price(s) accordingly.
3. It may become necessary for the Authority to remove supply line items from the Reverse Auction if, on receipt and evaluation of ITT responses, it is found there are items that Tenderers are unable to tender for. If a decision is taken to remove supply line items from the Reverse Auction, the Authority will advise all compliant Tenderers of any revisions made. Tenderers shall then be given the opportunity to confirm that the remaining unit price(s) and associated overall price submitted within their ITT response remain unchanged, or to offer revised price(s) accordingly.
2.1.2 Per lot: it is intended that the only circumstance in which a reverse auction shall not take place is if fewer than 2 compliant Tenders are received in response to the attached ITT. The reverse auction is a process conducted using computers connected via the Internet in which those Tenderers submitting a compliant response to the ITT are invited in electronic competition to offer a lower firm price than the starting price posted by the Auction Service Provider, acting under instruction from the Authority. Acceptance by the Authority of an electronic offer shall be subject to the terms and conditions of the ITT.
2.1.3 It is expected that the Ministry of Defence shall benefit from improved competition by the use of a reverse auction and that Tenderers shall benefit from improved knowledge about market pricing.
2.2 Process.
2.2.1 Tenders received in response to the attached ITT shall be assessed for compliance with the requirements of the ITT. Any tenderer whose submitted response (including acceptable product samples where requested) is not fully compliant with the requirements of the ITT shall be ineligible to participate in the reverse auction and ineligible for any contract award.
2.2.2 Whilst innovative proposals are encouraged in response to the attached ITT, Tenderers must ensure that they submit such proposals in addition to a response which is priced in full compliance with the requirements of the ITT. Should an innovative proposal be received that the Authority wishes to consider, then it reserves the right to offer any other participating Tenderers the opportunity to also submit a revised ITT response priced on the basis of the innovative proposal which has been put forward.
2.2.3 The Authority shall notify the date and scheduled start / finish time of the Reverse Auction to compliant Tenderers sufficiently well in advance for them to receive training to participate in the auction. The reverse auction shall be conducted by Intenda (contact Mr Jurgen Stringer, telephone: +44 8454683632, or fax: +44 8450740777) on behalf of the Authority.
2.2.4 Please note that to participate in the reverse auction, tenderers must have access to the internet and one of the following browsers:
— Internet explorer 7 and above,
— Mozilla firefox,
— Google chrome,
— Apple safari.
Training to enable Tenderers to log on to the Intenda’s Website and to participate in the Reverse Auction shall be provided by Intenda shortly (probably 2 to 3 working days) before the event is scheduled to take place. To maintain website security Tenderers shall be issued with a username and password by Intenda that allows the viewing of information on the relevant Web pages, and submission of price bids after the Reverse Auction starts but before its end point. Intenda shall conduct the Reverse Auction on its standard terms and conditions of business, which can be viewed on its Website. After logging on, Intenda’s Website requires tenderers to positively indicate on a screen acceptance of its standard terms and conditions of business, before gaining viewing access and / or participating in the reverse auction bidding process.
2.2.5 Per lot: intenda acting under instruction from the Authority shall use the lowest overall price submitted by a compliant tenderer, as the starting price in the reverse auction. The identity of the company whose price formed the starting price shall not be disclosed. Any price offer made during the course of the reverse auction which, at the time the bid is made, becomes the lowest price received shall be disclosed to other tenderers.
2.2.6 Per lot: compliant tenderers shall have the opportunity to view the starting prices on Intenda’s Website one working day (from 10:00 hours onwards) prior to the date on which the reverse auction is scheduled to take place, but shall not be able to make any revised bid until the start of the reverse auction. Each tenderer shall also be able to see their own price(s), their own overall price and, in comparison to the other compliant tenderer(s), their individual ranking for the lot. Tenderers are strongly encouraged to review their own price(s) and own overall price shown on Intenda’s Website, in order to confirm to their satisfaction that these details accurately reflect the price(s) submitted in their ITT response. Should an individual Tenderer identify pricing inaccuracy, they must immediately report this inaccuracy to Intenda for them to investigate in consultation, if necessary, with the Authority.
2.2.7 Per lot: during the reverse auction, where the tenderer has submitted a compliant ITT response, they may bid a lower price offer electronically in competition with other Tenderers in “real time”. Each tenderer shall be able to see their individual ranking, in comparison to the other compliant tenderer(s), throughout the auction. No maximum bid decrement (i.e. reduction in line item price) shall be applied in the reverse auction. No minimum bid decrement (i.e. reduction in line item price) shall be applied in the reverse auction.
2.2.8 Per lot: in addition to a compliant Tenderers own price(s) and individual ranking, Intenda Website shall display the lowest overall price offered (by an individual tenderer) for the lot, and also the lowest price bid for each of those line items (which may either consist of a single item or a combined group of items) forming the lot (irrespective of which tenderer has bid it). For tenderers, it is very important to note that although the “lowest overall price” might be higher than the sum total of the individual line item prices shown on the screen, this “lowest overall price” is the figure from which any contract award may result. In addition, for checking purposes, each tenderer shall be able to see the current value of their own overall price, which they have bid for the lot. Any change in the lowest price bid for a line item and, where affected, the “lowest overall price” or a Tenderers individual ranking shall be reflected on Intenda Website shortly after it has been submitted.
2.2.9 Intenda's Website shall also indicate the time remaining to the end of the auction, after which no more bid may be placed. Any bids submitted in the final two minutes of the auction shall automatically extend the auction as necessary to ensure that there is always at least two minutes remaining to allow tenderers to review their position and enter a lower bid if they so wish.
2.2.10 In case of difficulty or technical breakdown during the reverse auction, tenderers should advise Intenda immediately by telephone. Tenderers shall then be able to submit price offers by telephone that may be asked to be confirmed in writing (preferably by fax), and which Intenda shall enter during the auction process. Following notification from a tenderer of difficulty or technical breakdown encountered during the reverse auction Intenda may, in their sole discretion, either manually extend the duration of the reverse auction, or suspend and not re-open the reverse auction, until the difficulty or technical breakdown has been satisfactorily resolved. In the event that Intenda have to either manually extend or suspend the Reverse Auction, a notice shall be posted on the auction page of the Website to advise Tenderers accordingly and shall inform Tenderers once the difficulty or technical breakdown has been satisfactorily resolved.
2.2.11 In case of unforeseen difficulty arising during the reverse auction, which need not necessarily be notified by a tenderer, Intenda may, in their sole discretion, either manually extend the duration of the reverse auction, or suspend and not re-open the reverse auction, until the difficulty has been satisfactorily resolved. In the event that Intenda have to either manually extend or suspend the reverse auction, a notice shall be posted on the auction page of their website to advise Tenderers accordingly and shall inform them once the difficulty has been satisfactorily resolved.
2.2.12 Immediately following closure of the reverse auction, there shall be a ten minute period during which tenderers may contact Intenda by telephone if they have experienced an exceptional technical problem during the closing stages of the auction. If Intenda in their sole discretion are satisfied that there are justifiable grounds for re-opening the reverse auction they shall post a notice on the auction page of their website and telephone tenderers to this effect within thirty minutes of the closure of the auction, and re-open the reverse auction from the time of the posting of that notice for a period of ten minutes to allow Tenderers to review their position and enter a lower bid if they so wish. Any bids received in the final 2 minutes of the re-opened auction shall automatically extend the auction, as if the auction had continued without interruption, as necessary to ensure that there is always at least two minutes remaining to allow Tenderers to review their position and enter a lower bid if they so wish. Immediately after the ten-minute period, during which Tenderers may contact Intenda by telephone if they have experienced an exceptional technical problem during the closing stages of the auction, has ended, and no such problem has been reported, then a notice formally confirming that the reverse auction remains closed shall be posted by Intenda on the auction page of their Website. Tenderers may alternatively obtain confirmation that the Reverse Auction remains closed by telephoning Intenda.
2.2.13 Per lot: tenderers are under no obligation to participate in the reverse auction or to reduce the price offered in their ITT response. It is the Authority’s intention, however, that if any contract results from the attached ITT, it would be by accepting the lowest price offered for all of the requirement forming the Lot during the Contract period stated in the ITT, inclusive of option periods. (Per lot: this being the lowest overall price calculated for each compliant tenderer using their lowest bid in the reverse auction for each line item or, where no valid bid is received for a line item in the reverse auction, the price offered in their ITT response).
2.2.14 Per lot: any new valid overall total price offered by a tenderer shall automatically be ranked in the auction. A new valid overall total price shall only receive a ranking higher than that of an existing overall total price bid by a tenderer if it is better than that existing bid. A new valid overall total price offered by a Tenderer that equals an existing overall total price shall be ranked behind that existing bid.
2.2.15 Per lot: each compliant tenderer may be provided with a spreadsheet by Intenda, prior to the date on which the reverse auction event is scheduled to take place. This spreadsheet would show all the unit price(s), and the overall price, submitted by the Tenderer in their ITT response. Following closure of the reverse auction, all tenderers would be required to amend their copy of this spreadsheet to insert, where applicable, revised unit price details against each individual line item and / or time-period of the requirement forming the lot. No unit price(s) inserted on to the spreadsheet would exceed the unit price(s) initially offered by the tenderer in their ITT response. The total value of the completed spreadsheet would be required to match the lowest price offered by the tenderer for each individual element of the requirement forming the lot either in their ITT response or during the reverse auction. Each tenderer would be required to return the completed spreadsheet to Intenda within two working days of the reverse auction event having taken place.
2.2.16 Per lot: any contract resulting from the attached ITT shall be awarded by written acceptance from a Commercial Officer, acting for the Authority, within twenty working days of completion of the reverse auction. Tenderers must note that bids made during the reverse auction are provided on the understanding that the price offer shall remain open for acceptance by the Authority within this period of time.
2.2.17 Where a requirement is being offered as several lots, this may result in several contracts being awarded. In the event that the lowest price is offered for more than one lot from a compliant tenderer, then the Authority may award one single contract incorporating all relevant lots to that tenderer. Tenderers may only be awarded a contract for those lots where they have previously submitted a response that is fully compliant with the requirements of the ITT.
2.2.18 Per lot: if none of the prices offered in the ITT response and none of the subsequent bids in the reverse auction is lower than the Authority’s undisclosed “reserve price”, then the Authority reserves the right not to proceed with award of any contract from this invitation to tender.
2.2.19 The Authority reserves the right to amend or alter this process at any time up to and including the reverse auction itself, but has no advance intention to do so. If any amendment or alteration to the process is made, then the Authority will notify Tenderers accordingly.
2.2.20 A copy of the latest reverse auction code of conduct agreed between the Authority and Industry can be obtained by contacting the MoD Auctions Team on telephone: 03067983162.
IV.3.3)Conditions for obtaining specifications and additional documents or descriptive document
IV.3.5)Date of dispatch of invitations to tender or to participate to selected candidates