Tender

Warehousing, Storage and Delivery Services

  • Post Office Limited

F02: Contract notice

Notice identifier: 2022/S 000-027499

Procurement identifier (OCID): ocds-h6vhtk-0371d9

Published 30 September 2022, 1:49pm



Section one: Contracting authority

one.1) Name and addresses

Post Office Limited

London

Email

Procurement@postoffice.co.uk

Country

United Kingdom

NUTS code

UKI - London

Internet address(es)

Main address

https://www.postoffice.co.uk/

one.3) Communication

The procurement documents are available for unrestricted and full direct access, free of charge, at

https://postoffice.wax-live.com/S2C/SignIn.aspx

Additional information can be obtained from the above-mentioned address

Tenders or requests to participate must be submitted electronically via

https://postoffice.wax-live.com/S2C/SignIn.aspx

Tenders or requests to participate must be submitted to the above-mentioned address

one.4) Type of the contracting authority

Body governed by public law

one.5) Main activity

Other activity

Retail (Postal Services)


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Warehousing, Storage and Delivery Services

two.1.2) Main CPV code

  • 63122000 - Warehousing services

two.1.3) Type of contract

Services

two.1.4) Short description

Warehouse Operation outsourcing opportunity. The Post Office are seeking interested organisations to participate in a restricted tender process to outsource the National Stock Centre (NSC) operation.

The Post Office are looking to award up to a 10 year contract.

two.1.5) Estimated total value

Value excluding VAT: £50,000,000

two.1.6) Information about lots

This contract is divided into lots: No

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom
  • UK - United Kingdom

two.2.4) Description of the procurement

The Post Office Ltd National Stock Centre (NSC) consists of two operations: Warehouse operations and Delivery Services. Warehouse operations includes forecasting, inventory planning and receiving SKUs from suppliers all the way up to delivery of transactional and value stock. Carriage management includes the dispatch of thousands of parcels a year from the stock centre to Post Office locations across the UK. The Post Office distributes stock to branches under an outsourcing arrangement and will continue doing so with a third party courier which will end in 2025/2026. It is anticipated that from the end of the existing outsourcing arrangement, the supplier will be required to undertake logistics services for the remainder of the duration of the contract.

In the last operational year the Post Office:

-Processes c.900,000 orders per annum through the warehouse.

-Delivers c.600,000 of these orders) through next day and 48 hour parcel delivery services to c.11,500 Post Offices nationwide in the UK.

-Warehouse holds 2400 SKUs, stores 4500 pallets and receives 16,500 pallets annually.

Post Office are seeking to outsource their National Stock Centre operations so that they can benefit in the following ways:

Cost

o Reduce operating costs to gain better visibility into the cost drivers.

o Benefits to changes in volume leading to cost change.

Service

o Post Office currently operates a legacy paper pick warehouse system and is looking to benefit from moving to a Vendor operating a modern warehouse software platform in order to improve pick accuracy.

Capability

o Post Office would like to move towards a newer WMS platform with increased functionality and streamlined processes.

o Post Office is looking to gain increased visibility of the order within the warehouse, with the ability to see when an order is received, picked, packed and shipped.

o Confirm exactly what orders and SKUs have been dispatched on which trailer, ensuring that there is full visibility on what exactly is being sent to which location.

Flexibility

o What Post Office would like to have by outsourcing their operation is to be able to take advantage of being able to flex their volumes at peak times, reducing it once the peak is over and also benefit from the associated cost flex that is in line with volumes.

two.2.5) Award criteria

Price is not the only award criterion and all criteria are stated only in the procurement documents

two.2.7) Duration of the contract, framework agreement or dynamic purchasing system

Duration in months

120

This contract is subject to renewal

No

two.2.9) Information about the limits on the number of candidates to be invited

Envisaged number of candidates: 5

two.2.10) Information about variants

Variants will be accepted: No

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section three. Legal, economic, financial and technical information

three.1) Conditions for participation

three.1.2) Economic and financial standing

Selection criteria as stated in the procurement documents

three.1.3) Technical and professional ability

Selection criteria as stated in the procurement documents


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Restricted procedure

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: No

four.2) Administrative information

four.2.2) Time limit for receipt of tenders or requests to participate

Date

31 October 2022

four.2.4) Languages in which tenders or requests to participate may be submitted

English


Section six. Complementary information

six.1) Information about recurrence

This is a recurrent procurement: No

six.3) Additional information

Please use the link below to register on Post Office's Web3 portal in order to access the event for this Procurement.

https://postoffice.wax-live.com/S2C/SignIn.aspx

If you have any queries about registering please contact procurement@postoffice.co.uk

six.4) Procedures for review

six.4.1) Review body

Post Office Limited

London

Country

United Kingdom