Output specification

The output specification in the RFP should clearly set out the outputs that the Procuring Agency is seeking. The requirements should be expressed, as far as possible, in output terms and not in prescriptive input terms. Prescribing a solution based on inputs may result in a viable alternative solution and potential risk allocation being discounted too early in the process. It also discourages innovation.

The output specification defines the outputs for construction and services for the project and outlines the Procuring Agency's minimum design, functional, technical and furniture, fittings and equipment requirements for the project. In particular, the output specification is likely to comprise the following:

• functional brief - outlines the government's key design principles for the project, the understanding of and approach to design that forms the basis of the design requirements, and detailed accommodation requirements for the facilities;

• architectural specification - details the minimum accommodation building and fabric performance standards that the private sector must provide to all the facilities, as well as the site constraints and compliance matters that the private sector must meet when undertaking the works on each site;

• technical specification - details the minimum performance standards for each element of the building engineering services, civil and structural requirements, utility, ICT and communication requirements that the private sector must provide to all facilities;

• furniture, fittings and equipment (FF&E) specification - details the FF&E requirements for the project; and

• services specification - provides details of the facilities management services to be provided during the operating term, including the scope of service, responsiveness and service quality to be provided. The services specification should ultimately be attached as a schedule to the contractual documents. The service specification should also include details of how the performance of the private party will be monitored and measured and the relationships between performance and payments. The proposed payment arrangements must support the risk allocation being sought.

An output based design or architectural specification enables maximum flexibility and opportunity for design innovation by bidders, however it can lead to high bid costs if not appropriately managed. During the interactive tender process, early scheduling of master planning and design workshops ensures design issues can be tested with the Procuring Agency.