Lincolnshire details £210m outsourcing deal expected for 2015

Lincolnshire County Council has outlined plans for an outsourcing deal ,worth an estimated £210 million, which will see a number of partners provide it with a range of business services that include ICT infrastructure, management of software applications, implementation of an ERP system, provision of data and voice networks and server management.

Services are currently being provided to the council under a single contract held by Mouchel, which it has held since 2000. However, Lincolnshire is now looking to break up the deal into a number of different lots.

An online tender states that the Council wants bidders for the contract to demonstrate how they can innovate and provide ‘added value within the scope of the Council’s overall requirements’ – for example, additional services that are not currently provided by Mouchel.

“Our partnership approach has proved very successful over the years. However, the world has changed considerably during the past decade, and we need to change with the times to make sure taxpayers are still getting the best value for money,” said Judith Hetherington-Smith, Lincolnshire’s programme director.

“For that reason, we’ve decided to offer a number of smaller contracts instead of a single all-encompassing one. This more tailored approach will not only give us more flexibility, which is vital in the current financial climate, but will also create more opportunities for smaller suppliers.

“One of the council’s main goals is to support our local economy. So we’ll be holding workshops later this year to make sure that all our businesses are aware of the opportunities this will bring. It will be the ideal chance to find out what we’re looking for and how best to bid for our business.”

The contract is expected to be awarded in April 2014, where there will be a 12 month transitional period and all responsibilities resumed by the new providers by April 2015.

It is expected that the contract will last for a minimum of five years, with the option to extend for up to another two years.

The tender also details that at the end of the contract term bidders are expected to provide exit management services to transition the services to new suppliers.

Other authorities in the region have also expressed interest in using services provided under the outsourcing plans. Lincolnshire expects that it will spend up to £110 million under the deal, with an additional £100 million of spend coming from other bodies.

Some of the other bodies that may participate in the deal include Lincolnshire Police Authority, United Lincolnshire Hospitals NHS Trust, City of Lincoln Council, University of Lincoln and Lincolnshire Schools and Academies.

Those interested in participating in the tendering process have up until the 7th May to engage with Lincolnshire Council.

Copyright © 2013 IDG Communications, Inc.

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