Fletcher Consultancy

 

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Letter sent to CCS calling for public action:

 

Andrew Nainby

Commercial Policy and Delivery

Crown Commercial Services

Rosebery Court

Norwich

NR7 0H

 

Dear Mr Nainby                                                                        16 March 2015

 

Capita and CSL

 

Further to your response on 10th March and my subsequent email, I wish to record formally my extreme disappointment at the lack of recognition of issues and action by CCS and the Government as a whole in respect of the Capita/CSL issue.  Your letter acknowledges that there are issues.  These have been raised over an extended period and yet no action has been taken and there seems to be either a lack of understanding or a lack of willingness to address the real issues.   Given that I have been chasing this personally for nearly two years, I am inclined to believe the latter.  Plans to ‘re-tender’ in due course’ demonstrates the same lack of concern and interest as does Capita itself when questioned on these issues.

 

As I outlined in my email, the fact that 1750 small businesses are registered on the Capita supplier database is of no credit whatsoever to Capita, CSL or CCS.  Small businesses have put themselves forward and spent time updating details on this database in the hope that the intended open competition would be actioned.  This has not been the case.  The real question is how many of these 1750 companies have actually had work, been paid on time and not been subject to illegal non-compete clauses?

 

The real issues are why is the Government continuing to support a contract and contractor where;

• Illegal clauses of non-competition have been operated

• Late payment, with published 40 day terms has been operated continuously

• Monopoly of areas of provision such as Apprenticeships and NVQs is consistently operated

• Government clients apologise to existing suppliers that they are no longer able to use them, and have to use Capita, even though at higher cost

• Restrictive practice is operated in Capita’s selection of their ‘prime group’ of suppliers

• Sole traders are made to register before joining the ‘prime’ in order to be counted as a small business

• Despite intended collaboration with small businesses, the arrangements have and continue to devastate the small business community

• Capita can continually avoid presenting evidence of meeting targets for open competition, involvement of SMEs and achievement of best quality

 

Given this continued procrastination, I think it is time for more public action.

 

Shirley Fletcher

 

Director

 

 

Read the full story:

 

 

Fletcher Consultancy has a successful 20 year trading history, specialising in the national development, implementation and delivery of vocational training and qualifications. It has a proven track record of delivery across the public sector, working with a wide range of Government Departments.  Its contracts have always been won through competitive tender and the company achieved preferred supplier status. Fletcher Consultancy achieved a 95% success rate in its work with DWP, HMRC, Department of Transport and other Departments until excluded from opportunities to tender as soon as these contracts were routed through CSL/Capita.

 

Fletcher Consultancy has been and continues to be totally excluded from opportunities to continue this work since the beginning of 2014 due to CSL/Capita’s procurement practices. Fletcher consultancy, which has had no opportunity to tender because Capita do not put any of this work out to open competition through their supplier portal has lost, to date around £2m in income and all its public sector clients. the compnay has had no new public sector contracts for over 2 years.

 

Timeline of contact with Capita/CSL/CCS regarding national apprenticeship and vocational qualification provision:

 

2009 – 2013

One of the preferred small business suppliers delivering national vocational qualifications and apprenticeships in 38 occupational areas and levels and in over 300 sites for DWP, HMRC, Department of Transport and others.  95% success rate.  Contracts won through competitive tender and proven quality and cost effectiveness.  Existing contract ended March 2014.

 

July 2013

Confirmation that contract renewal processes would continue to be through competitive tender, but in future managed through CSL/Capita procurement processes.

 

August 2013

Contacted Capita to confirm arrangements and ensure that we were registered on Capita’s supplier portal for tender submissions.  Confirmed by Capita.

 

December 2013

New specifications produced by DWP for Apprenticeships contract covering the usual wide range of occupations.

 

Dec 2013 – Feb 2014

Capita portal monitored as advised by Capita. Awaiting competitive tender notification.  No notices published. 

 

Feb 2014

Informed by DWP that contract had been awarded to Capita without competitive tender.  No contract award published as required by Transparency law.

 

Feb 14

Contacted  Mystery Shopping Service regarding lack of competitive tendering process and contract award notices for Apprenticeships.

 

March 14

Call from Capita asking for Fletcher Consultancy company delivery materials for Apprenticeships.  Refused to provide as if Capita is able to deliver they should have their own.   Contacted Mystery Shopping again.

Response from Capita to earlier complaint through CCS quoted irrelevant statistics without evidence and not answering questions raised.

 

April 14

Telephone call with CSL who said that the contract had been awarded on the basis of 2 months experience of delivery by appointed provider (Capita).  CSL acknowledged that Capita’s request for Fletcher Consultancy company materials was irregular and would be investigated. Nothing further heard.  Again contacted Mystery Shopping.

 

April 14

DWP issued specification for vocational qualifications delivery covering wide range of occupations as usual.  To be processed through Capita portal.

 

April 14

Fletcher Consultancy contacted by other Government clients to cancel planned delivery of apprenticeships for 2014 as they had been told that ‘ they had to work with Capita’.

 

May 14

Informed that Capita had awarded all vocational qualification delivery to themselves without competitive tender.  No notices of tender or contract award published as required by Transparency law.

Contacted Mystery shopping again.

 

June – Sept 14

Fletcher Consultancy contacted by managers and employers in our previous Government client offices to ask why vocational qualifications provision had been limited to only four qualifications as they were unable to undertake a qualification in their area.

Contacted Mystery Shopping again with complaint that Capita had apparently awarded themselves the contract without capability to deliver to full specification.

 

April to Nov  2014

Capita Portal monitored for publication of tenders in apprenticeships and Vocational Qualifications.   None published.  No contract award notices.  Supplier portal did not include section to register expertise in these areas despite Capita delivery across all occupations.

Awaiting Capita response and evidence through CCS

 

June – Dec 2014

Further contact with Mystery Shopping, CCS, Crown SME representation and other businesses similarly affected.  Awaiting Capita response and evidence. Contact with other SMEs who have similar concerns also including monopoly of management and leadership development outside of Civil Service Learning published guide and contract management issues.

 

October 2014

Sent letter to Capita MD challenging main issues .  Issue of lack of option for registration in delivery area of Apprenticeships and Vocational Qualifications on Capita portal also queried.

Response quoted same statistics as before.  Meeting offered --arranged with Capita strategic procurement manager for November.

Further letter sent asking for information about membership of ‘prime group’ – no response.

Mystery Shopping/CCS still awaiting Capita response and evidence.

Letter sent to Government Department procurement officers asking how we might continue our previous working relationship in delivery of Apprenticeships and vocational qualifications.    Replies received referred us to CSL/Capita as required (and only) route.

 

November 2014

Meeting with Capita.  Same irrelevant statistics quoted.  Challenges to procurement practices and involvement of SMEs not answered.  Capita told me that their own delivery group (Prime group – Capita Talent Partnership) had been expanded but could not tell me what criteria were used and why Fletcher Consultancy, as an experienced provider had no information, invitation or opportunity to be included in this exclusive group.  Only comments were:  ‘ need to rationalise, cant ask everyone’ and ‘Capita have the right to decide what will be put out to competitive tender and what we will deliver ourselves.'

 

Apprenticeships and vocational qualifications added to the Capita supplier portal as requested. Fletcher Consultancy now able to indicate its expertise in this area but there are no opportunities to tender published.

 

First vocational qualification opportunity for full year posted on Capita portal the day before Fletcher/Capita meeting.   Less than 48 hours for closure of expression of interest and related to small contract value. Terms and conditions a requirement before option to submit – but clauses on non-compete and others present problems.  

 

Capita  have a monopoly on cross Government delivery of all management, customer service, business administration, IT and specialist areas for Apprenticeships and vocational qualifications, with no competitive tendering or opportunities for experienced small businesses.  Capita stated that they would put ‘specialist’ areas out to competitive tender – these (undefined by Capita) are very limited, low value and difficult to deliver areas that obviously Capita does not want to supply (low profit margin).  – thus small businesses will get the ‘dregs, if and when Capita decides.

 

Apparent that Capita has expanded its capability to deliver across the range of high volume occupations, post contract award and are therefore prepared to justify a further year of delivery without competition.  Justification by inclusion of small business on their prime group, but this in itself is restrictive practice and it is impossible to obtain information on membership and selection.

 

No interest or constructive solutions offered by Capita to resolve effect of procurement and contract management processes on small businesses.

 

December 2014

 

New specifications for next financial year’s delivery of apprenticeships and vocational qualifications will be prepared this month for cross-Government delivery.   There seems no hope of competitive tendering or opportunities for experienced small businesses to be involved despite previous preferred supplier status.  Capita justify their delivering of all in terms of ‘rationalisation’ and their contract to deliver ‘ all education and training provision’.    This includes Apprenticeships and vocational qualifications in management, all other generic areas and all occupational areas where Apprenticeships and vocational qualifications are available.   They therefore have a monopoly on delivery of this public funded provision and are able to devastate small businesses who have many years of experience across the full range of qualification development and delivery.

 

December 2014

 

Further contact with CCS and Crown Rep SME – Capita have cancelled meeting with Crown rep where evidence was to be provided. 

Still no detailed response to questions raised at the beginning of this year. 

No opportunities published for SMEs for apprenticeships and vocational qualifications cross government.

No information available about Capita prime group or opportunity to be included.

Further contact with other SME’s and plans for formation of Trade Association.

Letter to Francis Maude MP asking for intervention on procurement and contract management issues.

Letter to Matthew Hancock asking for intervention concerning monopoly on delivery of apprenticeships and vocational qualifications.