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SECTION D - USE OF CONSULTANTS

Contents of this section

1. INTRODUCTION
2. RATIONALE
3. DEFINITION
4. APPROVAL TO ENGAGE CONSULTANTS
5. SPECIFICATION
6. EVALUATION CRITERIA
7. EVALUATION OF QUOTATIONS/TENDERS
8. APPOINTMENT AND MANAGEMENT OF CONSULTANTS
9. PERFORMANCE EVALUATION
10. USE OF CONSULTANTS IN A TENDERING PROCESS
11. REPORTING

1. INTRODUCTION

1.0.1 This guide on the use of Consultants is intended to enable the University to make the best use of its resources in engaging the services of a Consultant only where necessary, at an appropriate price and with proper regard to fair and open processes and the obtaining of value for money.

1.0.2 When considering the engagement of Consultancy Services, the University's Dollar Value Threshold for Quotations/Tenders applies.

2. RATIONALE

2.0.1 Consultants should only be engaged when:

2.0.2 Where resource issues (i.e. lack of internal resources) necessitate the engagement of Consultants in order for a project to be completed, then prior to any engagement or approach to the market place, consideration and approval by an Executive Director to the priority of the particular project against other existing projects (across the University) must be undertaken.

2.0.3 It should be determined whether the project in question is of sufficient priority to warrant the engagement of Consultants or whether the project can be delayed until "in house" resources become available.

2.0.4 The use of Consultants does not abrogate the University's responsibility for successful outcomes of projects. Consultants do not generally provide risk avoidance for the University if projects are not successful.

2.0.5 Effective oversight of Consultancy projects is essential at all times.

3. DEFINITION

3.0.1 A Consultant may be an individual or a company, engaged to provide expert advice with recommendations to the University to assist making a decision or taking a certain course of action, including Consultants engaged in relation to Capital Building Works, design and professional services of a Consultancy nature. Consultants may also be engaged to produce a particular outcome, process or system development. Generally it is the advisory nature of the work that differentiates a Consultant from other contractors.

3.0.2 The term does not include staff hired on a casual, contract or temporary basis to supply labour or to work under direction or supervision (including contractors engaged on the basis of a schedule of rates).

4. APPROVAL TO ENGAGE CONSULTANTS

4.0.1 In all cases a Consultancy Business Case must be completed and formally approved by an officer with appropriate delegation prior to inviting Quotations or Tenders. The Business Case should clearly identify:

4.0.2 The officer giving approval must be fully satisfied that the invitation covers a discrete project and does not bind the University to further commitment to the selected Consultant for additional work outside that being sought. This officer should also be satisfied that the project has not been "split" to enable the total project to be kept below specific expenditure approval levels.

5. SPECIFICATION

5.0.1 Careful thought should be given to the specification to be used in the "Request for Quotation/Tender. The following items should be considered:

6. EVALUATION CRITERIA

6.0.1 The evaluation criteria should indicate whether the Consultant could satisfy the project requirements. The following criteria should be considered:

6.0.2 The specification and evaluation criteria will not only be used to elicit the best solution for the proposed project, but should be included in the Standard Conditions of Consultancy Contract to facilitate planning, control and measurement of the Consultant's progress throughout the project.

6.0.3 The evaluation criteria must be developed in advance and included in the "Request for Quotation/Tender. The criteria must reflect all significant items in the Statement of Requirements and/or specification. This will allow suppliers to understand what is important and also direct attention to what may be regarded as key issues.

6.0.4 The following should also be considered in relation to the terms of payment:

7. EVALUATION OF QUOTATIONS/TENDERS

7.0.1 Quotations/Tenders must be assessed in a consistent manner solely against the predetermined conditions of tendering and evaluation criteria defined in the "Request for Quotation/Tender". Under no circumstances can the conditions of tender, specification, criteria or weighting assigned to criteria be varied in any way once the RFQ/RFT has been issued.

7.0.2 Quotations/Tenders should be evaluated to ensure that:

7.0.3 No Consultancy should be justified solely on the basis of an extension of previous work.

8. APPOINTMENT AND MANAGEMENT OF CONSULTANTS

8.0.1 The Standard Conditions of Consultancy Contract must be used for the engagement of all Consultancies, regardless of the value.

8.0.2 A University officer (or steering committee) with an appropriate level of experience and authority should be appointed to manage the Consultancy and to ensure:

8.0.3 The Project Officer (or steering committee) should monitor progress of the work in terms of the agreed schedule, maintain any necessary records, liaise with the Consultant regarding any variation and obtain approval for these if necessary, and undertake any other action necessary for the completion or termination of the project.

9. PERFORMANCE EVALUATION

A Consultancy Performance Report should be completed before the final payment is made to ensure that all requirements of the specification/contract have been met, and forwarded to the Team Leader, Procurement.

10. USE OF CONSULTANTS IN A TENDERING PROCESS

10.0.1 The use of Consultants for calling tenders is subject to the approval of the Vice Chancellor or nominee and must be subsequently reported to the Council in writing.

10.0.2 Where a Consultant is engaged to carry out a Tender process on behalf of the University, it is critical that the Consultant understands and accepts that they must undertake the project strictly in accordance with all relevant University Policy and Procedures.

10.0.3 The University will, at all times, have ultimate discretion on the acceptance or otherwise of Tenders and the Consultant must always only act in an advisory capacity.

11. REPORTING

11.0.1 The University of Newcastle is required to provide the following reports in accordance with the NSW Government Treasury Office Statutory requirements:

11.0.2 The nature and dollar value of all Consultancies must be reported in writing to the University Council.

11.0.3 It is the responsibility of the officer organising the Consultancy or chairing the Appropriate Committee (if applicable) to advise the Director, Corporate Governance and Executive Director, Business Services for noting in the University's Annual Report.