Queensland Rail

One of Australia's largest transport providers, Queensland Rail is a $2 billion a year commercially operated business owned by the Queensland State Government. Servicing more than 150,000 passengers each day, Queensland Rail's aim is to contribute to the economic, social and regional development of Queensland and other areas in which it operates. As an organisation that frequently uses the tender process to award contracts, TenderSearch Magazine caught up with Gary Sparkes, Commodity Manager, who offered some useful tips for potential suppliers.

How does Queensland Rail appoint a supplier?
Queensland Rail appoints its suppliers supply agreements via open tender where there is no sole source supplier. Our internal customers provide detailed requirements for each individual contract. Contracts are awarded to suppliers that meet these requirements and provide the best value for money.

What preparation takes place before a contract is awarded?
We follow a strategic sourcing methodology involving a number of steps such as spend analysis and market research. We assess the major players in the market place and prepare a detailed set of tender documents for prospective suppliers to respond against.

So, do you find that you are often dealing with the same suppliers?
Not necessarily. The aim of the open tendering system is to allow everyone a fair go. Anyone who believes they can fulfill the requirements is able to respond. We establish corporate contracts with individual suppliers and panel arrangements depending on our requirements. We are always looking for new suppliers who can provide us with new innovations and value added services.

What are you looking for in a potential supplier?
Not just a low price. We're looking for value for money, along with value added services and options. Most importantly, we're interested in companies that provide us with a competitive edge.

What problems do you frequently encounter when evaluating tender responses?
It's amazing the number of companies, even big name companies, that don't address the selection criteria. They tend to relate what they've done in the past, rather than tailoring a response that's specific to our requirements. Often, the same response is regurgitated and does not relate specifically to the tender requirements.

What framework is in place to assist respondents?
We try to make it as easy as possible for respondents. There is a tailored response document which contains questions relating to the all evaluation criteria, all you have to do is read it carefully and answer the questions specifically.

What advice do you have for potential contractors?
It's very important to put together a professional response directed to the requirements of Queensland Rail. It's amazing the number of companies that miss this point. We need to hear about what companies can do for Queensland Rail, not just a marketing presentation.

Suppliers also need to be aware of advertised tenders. We've had companies in the past who've been annoyed because they didn't know about upcoming work. They need to monitor the marketplace to ensure they do not miss opportunities available to them. We can't notify every company individually, it's up to them to monitor the media and websites to find out what's coming up.

Any big tenders to look out for in the near future?
There are a number of new commodities for rail related goods and services coming up between now and early next year. Keep an eye out for upcoming work.

Questions: Melanie Harkness. Answers: Gary Sparkes

As published in TenderSearch Magazine - Spring/Summer 04 Issue