The National Blood Authority adheres to the principles of the Commonwealth Procurement Guidelines and Best Practice Guidance when undertaking procurement. The guidelines are applied to the NBA’s activities through chief executive and management instructions and key business processes.
The NBA’s relationship manager for commerical supplies Ms Jill Divorty
Since one of our primary functions is to procure blood and blood products, the NBA has developed key business processes to ensure that the knowledge and best practices developed within the agency are captured and are available to new staff, and relevant procedures and processes are documented and followed. During 2008–09 the NBA developed and finalised a procurement process to be used by staff when procuring non-blood product goods and services. Over the last three years the internal auditor has completed a number of audit programs that tested this process to ensure that it meets government policy and better practice. The audit findings were consistently favourable in relation to complying with mandatory processes and offered the NBA some improvement opportunities to deliver an optimal process for the future. The findings are being implemented. The key business processes will be constantly reviewed and refined as part of the NBA’s own requirement for continual improvement in the management of its core business functions.
The NBA completed several open-source procurements during 2008–09 in line with the annual procurement plan. The key procurements for the year were arrangements for:
In addition the NBA used extension provisions to extend several current contracts following a value-for-money assessment.
The NBA has outsourced all air travel bookings. As part of our service delivery requirements with our provider, the NBA requires ‘best fare of the day’ when procuring air travel for all NBA employees. As part of the Australian Government requirements, the NBA is also required to set a minimum smaller airlines use of 25 per cent on the Canberra–Sydney route for officers engaging in official air travel. The NBA achieved 60 per cent in 2008–09.
The NBA did not administer any discretionary grants during 2008–09.
The Chief Executive Officer did not issue any exemptions from the required publication of any contract or standing offer in AusTender during 2008–09.
There were no contracts of $100 000 or more (inclusive of GST) let in 2008–09 that did not provide for the Auditor-General to have access to the contractor’s premises.
Section 311A of the Commonwealth Electoral Act 1918 requires reporting of particulars of all amounts greater than $10 300 paid during a financial year to:
The NBA made no payments of this kind in 2008–09.
In 2008–09, 14 new consultancy contracts were entered into, involving total actual expenditure of $849 641 (GST inclusive). In addition, nine ongoing consultancy contracts were active during the year, involving actual expenditure of $147 435 (GST inclusive). Total expenditure on consultancies in 2008–09 was $997 076. Annual reports contain information about actual expenditure on contracts for consultancies. Information on the value of contracts and consultancies is available on the AusTender website at www.tenders.gov.au.
The policies and procedures for selecting consultants and approving the required expenditure are set out in chief executive and management instructions and key business processes. These processes adhere to the principles of the Commonwealth Procurement Guidelines and Best Practice Guidance.
Standard form contracts are used. Where necessary, these documents are adapted to suit individual circumstances.
Table 5.1 shows total expenditure on all consultancy services from 2006–07 to 2008–09, covering both new contracts let in the applicable year and ongoing contracts let in previous years.
| 2006–07 | 2007–08 | 2008–09 | |||
|---|---|---|---|---|---|
| No. let | Total expenditure on new and existing consultancies ($) | No. let | Total expenditure on new and existing consultancies ($) | No. let | Total expenditure on new and existing consultancies ($) |
| 7 | 582 366 | 9 | 1 624 081 | 14 | 997 076 |
Table 5.2 provides details of consultancy contracts by the NBA in 2008–09 and the value of the contract over its entire life. Contracts with a value of less than $10 000 have not been included, in line with the annual reporting requirements of the Joint Committee of Public Accounts and Audit.
| Consultant name | Description | Contract price (GST incl.) | Selection process | Justification |
|---|---|---|---|---|
| Workplace Research Associates | For the provision of professional services to conduct a staff survey, prepare reports and relevant recommendations | $26 125 | Direct sourcing | A |
| Cordelta Pty Ltd | For the provision of specialist technical advice to the NBA on system development activities | $66 000 | Open tender | B |
| Workplace Research Associates | For the provision of professional services to conduct a staff skill assessment, prepare reports and relevant recommendations | $24 200 | Direct sourcing | A |
| McGrathNicol Advisory Partnership | Analysis and modelling services related to the negotiation of the new Plasma Products Agreement with CSL Ltd | $166 014 | Open tender | A |
| Walterturnbull Pty Ltd | For the provision of fraud control services | $25 658 | Select tender | B |
| Gaudin Consultancy Limited | For the provision of professional services to provide independent advice on funding models | $66 000 | Direct sourcing | A |
| Bayside Health Service | For the provision of research and investigating services on a barcoding translation device | $112 322 | Direct sourcing | A |
| Logistics Bureau | Review of distribution of blood products | $353 876 | Open tender | B |
| Property Concept & Management Pty Ltd | Independent review for Victoria and Tasmania principal site | $20 372 | Select tender | B |
| Australian Continuous Improvement Group P/L | Services for a third party review | $54 340 | Open tender | B |
| Australian Healthcare Associates Pty Ltd | Business analysis of Haemovigilance | $61 250 | Select tender | A |
| IMS Australia Pty Ltd | Procurement of systematic reviewer | $396 000 | Open tender | A |
Notes:
Justification for decision to use consultancy:
|
||||