October 5, 2012

Defence Construction Canada revamps evaluations

PATRICIA WILLIAMS

staff writer

In consultation with the consulting engineering community, Defence Construction Canada (DCC) has revamped its approach to evaluating consultants’ proposals, making changes that in effect reduce “the unintended domination” of price as a factor in selection.

John Gamble, president of the Association of Consulting Engineering Companies-Canada, said the department has changed its scoring of technical criteria to ensure less “clustering” of technical scores, thus enabling increased differentiation between proponents.

He said this in turn reduces the importance of price as a factor in the selection process.

“If everyone is getting a similar mark on the technical proposals, then it really comes down to price,” he said.

“It doesn’t matter if the price weighting is 10 per cent, or 50 per cent or 80 per cent. If the technical scores are clustered so that they are essentially the same, then price will win.”

The association, which advocates use of qualifications-based selection (QBS) of consultants, has been working closely with various federal departments to improve procurement processes.

It is concerned that price, rather than value, often is the determining factor in selection of consulting engineering firms for assignments. The association says this approach results in firms minimally interpreting the scope of work in order to be competitive.

Gamble, who is scheduled to give a joint presentation with Richard Allie, DCC’s manager of contract services at the Canadian Public Procurement Council forum in Vancouver in early November, praised the department’s revised approach to scoring of technical criteria.

“While this is not a true QBS process, as defined in the InfraGuide best practice for selecting a professional consultant, nevertheless it is an important step forward in terms of recognizing that having the right qualifications, the right team and the right approach pays long-term dividends for the owner.”

Gamble, who described Defence Construction as a “knowledgeable and sophisticated” client, credited DCC as being a leader among public agencies in terms of its willingness to engage with industry and try new approaches.

DCC provides contracting, construction contract management and related services to the Department of National Defence.

Gamble said the joint presentation at the upcoming forum will send “a really strong message” to procurement officers from all three levels of government that the public and private sectors can work collaboratively to improve procurement processes and thus project outcomes.

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