Government’s procurement agency is inviting interested parties to apply for a spot on a major new buying vehicle, which comes with an estimated value four times higher than its predecessor
The Crown Commercial Service has opened bidding on a new £5bn pan-public sector framework for the provision of back-office software platforms.
The Back Office 2 framework is intended to “provide a route to market for organisations wishing to purchase software and support for back office systems, directly from the software vendor”, according to a newly published contract notice.
The deal will replace the incumbent Back Office framework, which came into effect in April 2021 and runs until next year. That vehicle features 29 suppliers on a single lot, and came with an estimated worth of £5bn.
The replacement arrangement is valued at £5bn, plus VAT – equating to £6bn overall. While it represents a more-than-fourfold rise on the existing framework, this figure has still been revised down from an original overall valuation of £10.8bn contained in a prior information notice published late last year and outlining plans for the new agreement.
The Back Office 2 deal will also differ from its predecessor by featuring two distinct lots.
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The first of these is by far the bigger of the two, coming with an estimated value of £4bn. This segment will cover the provision of software tools including “enterprise resource planning, HR and payroll, financial accounting, procurement and supply chain management, customer relationship management, productivity workflow technologies, content services, service portal, integration software, mobility and accessibility – as well as support and maintenance for these services”, according to the contract notice.
The second lot, which is valued at £1bn, will cover the same range of products. But this section “is designed for lower-value innovative solutions to deploy back-office software, leveraging a lower threshold of standards and accreditation to encourage opportunity within the SME community”.
For both of the two lots, buyers will have the option of procuring via directly awarded contracts or competitive procedures.
Bids for a spot on the framework are open until 27 August, with the deal ultimately due to come into effect in February of next year – about six weeks before the existing back-office buying vehicle expires. The replacement contract will run for an initial term of 30 months, plus optional extensions up to a further 18 months – which could be applied for both lots, or only one.
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