Sustainable Procurement Tools

In setting out the criteria to be applied in the specification, it is important to conceptualise these by including an overview of the contractual conditions the contracting authority will be including in the final contract. It is important to be as specific as possible when setting out what benefits you expect to achieve or requirements you intend to impose on the contract so as to limit the uncertainty for suppliers. Below are some best practice examples: 

Please bear in mind that examples used are for guidance purposes only. Case study extracts pre-date the current regulatory regime. 

Example 1

A range of examples are available in our report on Community Benefits in Public Procurement (2008).  

Example 2

Approach taken by Glasgow City Council -  the East End Regeneration Route (Phase 2) 2009 - Community Benefits Performance Measure - Targeted Recruitment and Training: As part of the contracting for the East End regeneration project, Glasgow City Council set out to maximise sustainable jobs and training opportunities from the contract by building in a number of community benefit requirements to the contract.  

"The Council aims to maximise sustainable jobs and training gains arising from its works programmes and to assist contractors and specialists or sub-contractors to consider how they alleviate skills gaps. 

The Council is committed to ensuring that for this contract, a minimum of 10% of the total labour required to deliver the project (including those works delivered by specialists, or sub-contractors) must be delivered by New Entrants (defined …) that have an apprenticeship, trainee or employment contract with the successful Tenderer, their specialists or sub-contractors, and are engaged in a training programme that is accepted by the Council, (an SVQ, or equivalent but other qualifications and training will be considered such as Health & Safety training). 

The contract contains performance measures in respect of this commitment. In addition, the Council expects the successful Tenderer to provide training and upskilling opportunities for existing employees."

Bidders’ responses to the creation of targeted recruitment and training opportunities counted for 6% of the overall evaluation.  

Example 3

Energy Assistance Package (2010) - ‘There is a strong association between income and fuel poverty, as might be expected. There are almost no fuel poor households in the top three income bands...The Government’s objective is to increase the opportunities for employment thereby increasing income and reducing poverty. Maximising the employment potential of this contract for new labour market entrants and people who are disadvantaged in the labour market, will reduce the number of Scottish Households that are fuel poor.’ 

Example 4

Non Domestic Energy Efficiency Framework (2015) - ‘In establishing the NDEE Framework, it is recognised that Framework Public Bodies may currently place an emphasis on various social considerations, often in the form of pursuing a number of different National Outcomes... Relevant to the above, it is envisaged that Framework Public Bodies may look to achieve outputs from amongst those that follow below, in performance of a Call-off Contract. Accordingly, the following are included as KPIs at Framework Level and it is expected may be developed (including potentially to expand upon) in mini-competitions by Framework Public Bodies.  

If appropriate, the following could be included: 

Employment and Training

  1. Creation/delivery of employment opportunities for young/unemployed/persons from within disadvantaged groups;
  2. Creation/delivery of training/upskilling outcomes.’ 

Example 5

'Relevant to [CONTRACTING AUTHORITY]'s core purpose of [ CORE PURPOSE ], [CONTRACTING AUTHORITY] is seeking to maximise social considerations that can be delivered through performance of the services. As against this contract for [GOODS/SERVICES/WORKS] [Contracting Authority has included the following KPI's/requirements on the [CONTRACTOR]:

The Contractor will be required to report to the Authority as part of their (Include Interval – monthly, quarterly etc) Management Information reporting, details of any community benefit measures and achievements. 

Sample KPIs to be included as relevant to a specific requirement:

  • [develop a programme to work closely with community organisations in performance of the services to maximise value to the end-user of the services]
  • [develop a programme to work closely with educational establishments to maximise educational opportunities that arise through performance of the contract] 

Deliver (contracting authority to specify as appropriate)

  • work placement (16-19 years)
  • work placement (14-16 years)
  • curriculum support activities
  • graduates trainees
  • apprentice starts
  • existing apprentices
  • apprentice completions
  • jobs advertised through local employment vehicles
  • N/SVQ starts for subcontractors
  • N/SVQ completions for subcontractors
  • training plans for subcontractors
  • supervisor training for subcontractors
  • leadership and management training for subcontractors
  • advanced health and safety training for subcontractors’ 

Example 6

'The [Contract/Framework Agreement] supports the Scottish Government's National Performance Framework, and the National Outcomes which articulate the Government's Purpose to focus Government and public services on creating a more successful country, with opportunities for all of Scotland to flourish, through increasing sustainable economic growth. This Framework supports the following National Outcomes, and Contractors are expected to support the Authority’s aim to achieve these.' [Insert relevant National Outcomes]. 

Example 7

‘Every vacancy on site, including those with sub-contractors, is to be notified to agencies named by the Authority, and candidates identified by these agencies are to have an equal opportunity in the selection process.’ 

Example 8

The Construction Industry Training Board (CITB) have developed a series of matrices relating to different types and values of construction contracts that provide a basis for specifying a range of relevant and proportionate training and recruitment requirements. For example: work experience placements; curriculum support activities; apprentice starts; existing apprentices; apprentice completions and vocational qualifications (S/NVQs). 

Example 9

In furtherance of this contract the contractor will be required to utilise employment practices that include opportunity for local labour and trainees. 

Example 10

As part of this contract the contractor will be required to participate actively in the economic and social regeneration of the place of delivery for the contract. Contract performance conditions may therefore relate in particular to social and economic considerations.