3.17 One of the key skills required to deliver an efficient Competitive Dialogue is maintaining the optimum number of bidders required to achieve true competition while keeping bid timetables on schedule and bid costs low.
3.18 Experienced public sector procurement professionals who attended the roundtables expressed a strong consensus view that one of the most significant lessons they would take into their next Competitive Dialogue was the importance of down-selecting early.
3.19 Our legal adviser attendees noted that contracting authorities, Local Authorities in particular, are reluctant to move from 3 to 2 bidders and so tend to keep 3 bidders in dialogue for longer than is necessary. Almost 15% of respondents to our survey had taken at least 6 bidders through to final bid submission, a worryingly high percentage.
3.20 Carrying through too many bidders to the final stages of the process is likely to have a negative impact on bid timescales and bid costs both for the public and private sector. However, one of the main advantages to Competitive Dialogue is closing off detailed, but key, issues whilst still in competition. This should not be lost through premature down-selection and so a balance needs to be struck between the two.
3.21 Sectors with established programmes of delivery, such as waste, housing and education, tend to have standardised a de-selection process that suits their particular market.
3.22 HM Treasury does not believe that one single de-selection method is appropriate for all Competitive Dialogue procurements as the benefits of Competitive Dialogue can mainly only be realised through a tailored procurement process appropriate to the particular circumstances of a given project.