By Peter Smith on May 14,
2012
Southampton run into procurement conflict of
interest issues
We’ve kept off the problems
with the UK government contract for interpreters and translators up to now
because it has been pretty well covered by the mainstream media. But we’ve got
another angle on it now, so to recap; the Ministry of Justice let a contract
last year to Applied Language Solutions (ALS), a relatively small firm, to
provide interpreters to the English and Wales Courts Service.
But they appear to have won
the contract by promising large savings that replied on them reducing the price
paid to the actual people who provide the services – who work as independents
in the main. Those staff have not surprisingly been less than happy on occasion
to see their rates halved or worse, so ALS have struggled at times to meet the
service levels required.
Then, to add a bit more
spice, Capita acquired ALS, which excited publications such as the Guardian and
Private Eye who it’s fair to say don’t have a great affection for that firm! So
the whole episode raises some pertinent questions about good procurement
practice, to which we’ll return on another day. But we’ve now learnt of another
twist.
Capita provide a
procurement service to Southampton City Council on an outsourced service basis.
Now, Southampton are running a tender for translation services, and guess what
– ALS, a Capita firm, are bidding for it!
It appears that Southampton
suddenly realised that this might cause a few issues, so they communicated with
the other bidders to assure them that all steps would be taken to make sure
things would be done properly to ensure fairness. the Council told bidders that
processes, barriers, disciplines and confidentiality undertakings would be put
in place to ensure there was no conflict of interest or inappropriate
disclosure of information within Capita.
But then the Council went
on to say to bidders:
“By confirming your intention to respond to this PQQ you acknowledge the
involvement of the above members of the Capita Group in this procurement and
confirm your acceptance of the adequacy of the measures put in place by
Southampton City Council”.
So if you’re not happy with
the propriety of our process, you’re out of the tender. That seems perilously
close to something not very appropriate at all, and we’re not sure that’s the
best way to handle the issue.
Personally, I don’t think
I’d let Capita anywhere near management of the procurement process if they’re
also a bidder. If the Council doesn’t have the resource to do the procurement,
get another independent firm/ consultant in to run that particular exercise. Or
someone from Portsmouth council….But it just seems too incestuous otherwise.
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