A select number of respondents, chosen from the over 50 companies who responded to the NSW Government’s Registration of Interest (ROI) for the outsourcing of functions of shared service provider, Service NSW will be given 5 weeks to put in their responses to a restricted Request for Proposal (RFP), Minister for Finance and Services, Dominic Perrottet, announced to the market on Friday 23 May 2014.
“Suitable applicants have been invited to participate a restricted Request for Proposal (RFP) and to submit their plans for different delivery models,” a spokesperson for the Office of Finance and Services (OFS) elaborated to Intermedium, while indicating that “it is not appropriate for the Office of Finance and Services to comment on specific details of the RFP phase”.
While the OFS would not comment on the number of invited respondents, to keep the RFP process to a manageable size, Intermedium is of the view that OFS would be unwilling to invite more than 10-12 respondents into the process, but only if it intends to go to a subsequent shortlisting phase. If it does not wish to go through a shortlisting phase, it is quite possible it has invited as few as 5-6 respondents.
Illustrative of this reasoning is the Transport for NSW Expression of Interest for its Next Generation Infrastructure Services which attracted 25 respondents. It is understood that the restricted RFP was issued to seven respondents, and that TfNSW took the final number of respondents down to two at the shortlisting stage.
The outsourcing program is being supported by commercial advice from Pacific Road/Pacific Strategy, and legal advice from King Wood and Mallesons, the OFS spokesperson stated.
“Over the coming months, we will be fully evaluating the merits of proposals received, with a final outcome expected in late 2014, Minister Perrottet said on Friday.
“Any decision will be made on the basis that an alternate model improves services and reduces operating costs to agencies.”
Mr Perrottet said the new sourcing arrangement was in line with the government’s broader ICT Strategy, which aims to seek better value for NSW taxpayers. “Our strategy recognises the importance of engaging industry and working collaboratively with the private sector to achieve better outcomes,” he said.
ServiceFirst currently provide a range of services across the government sector including end-to-end transactional services, human resources, ICT, analysis, financial reporting and compliance services.