Scope
Description
This purpose of this notice is to formally inform the market of NESOs intention to tender,
NESO is wanting to engage with Suppliers that can provide procurement service solutions specifically for the provision for operational procurement services (P2P), Indirects and Digital Data Technology (DD&T).
Business Requirements:
The Operational team will be required to cover requisition management and all sourcing activities under £ 200,000 relating to both Indirects and DD&T.
• Assess current procurement processes and provide recommendations for improvement.
• Requisition management: from initial request to purchase order creation (currently COUPA moving to Ivalua and Workday late 2025/26 ). Review and validate requisitions for accuracy, completeness, and compliance with procurement policies and procedures. Collaborate with the stakeholders to clarify requirements, resolve issues, and ensure timely procurement cycle completion.
• Stakeholder and supplier engagement: Identify and evaluate potential suppliers for IT and indirect goods and services. Refer to the existing NESO frameworks and contracts. Provide guidance, documentation, and templates to the stakeholders.
• Manage bid and buy for IT and indirect categories.
• Manage the end-to-end procurement process, including requisition, sourcing, contracting, and purchase order management.
• Ensure compliance with procurement policies and procedures.
• Maintain standard operating procedures (SOPs) for operational procurement, including requisitioning, sourcing, evaluation, and contract management. Update existing SOPs (P2P) as the process evolves. Ensure SOPs align with industry best practices, organisational policies, and NESO's compliance requirements. Secure sign-off of the documented SOPs from the governance assigned. Collaborate with the NESO Procurement and P2P teams on the SOPs to ensure consistent and efficient end-to-end procurement practices.
Indirects Procurement will be required to cover all sourcing activities over £ 200,000 relating to areas such as: Professional/Consultancy services, Finance including Audit and Tax, Human Resources and FM.
• Conduct market analysis and supplier research to identify potential suppliers.
• Develop and execute sourcing strategies for indirect procurement categories.
• Create and implement sourcing strategies for each requisition.
• Manage supplier selection, negotiation, and contracting processes.
• Negotiate contracts and establish agreements that provide value and mitigate risk.
• Develop and maintain obligations, including any rebates and discounts accrued and offered by the suppliers.
• Identify and evaluate potential suppliers, ensuring alignment with business needs and strategic goals.
• Develop and maintain a robust supplier base for each category
and lead sourcing activities for new frameworks.
Digital Data & Technology inherited a large portfolio of TSA contract from National Grid that are to be transferred across prior to the end of 2026. This is a vital key deliverable for this team and NESOs ability to provide the foundation for DD&T services going across the entire NESO business.
The DD&T Procurement Team will be required to source and manage contracts that cover: Software, Hardware, Licensing, Cloud Management and Security.
• Conduct market analysis and supplier research to identify potential suppliers.
• Develop and execute sourcing strategies for DD&T procurement categories EG: software, hardware, licenses etc.
• Create and implement sourcing strategies for each requisition.
• Manage supplier selection, negotiation, and contracting processes.
• Negotiate contracts and establish agreements that provide value and mitigate risk.
• Develop and maintain obligations, including any rebates and discounts accrued and offered by the suppliers.
• Identify and evaluate potential suppliers, ensuring alignment with business needs and strategic goals.
• Develop and maintain a robust supplier base for each category
and lead sourcing activities for new frameworks.
Total value (estimated)
- £5,000,000 excluding VAT
- £6,000,000 including VAT
Above the relevant threshold
Contract dates (estimated)
- 25 March 2026 to 24 March 2028
- Possible extension to 24 March 2030
- 4 years
Description of possible extension:
2 year extension taken in 12 month increments - subject to NESO approval process.
Main procurement category
Services
CPV classifications
- 79418000 - Procurement consultancy services
Contract locations
- UKC - North East (England)
- UKD - North West (England)
- UKE - Yorkshire and the Humber
- UKF - East Midlands (England)
- UKG - West Midlands (England)
- UKH - East of England
- UKI - London
- UKJ - South East (England)
- UKK - South West (England)
Participation
Particular suitability
- Small and medium-sized enterprises (SME)
- Voluntary, community and social enterprises (VCSE)
Submission
Publication date of tender notice (estimated)
11 August 2025
Submission type
Requests to participate
Deadline for requests to participate
12 September 2025, 11:59pm
Tenders may be submitted electronically
Yes
Languages that may be used for submission
English
Award decision date (estimated)
31 October 2025
Procedure
Procedure type
Competitive flexible procedure
Special regime
Utilities
Contracting authority
NATIONAL ENERGY SYSTEM OPERATOR LIMITED
- Companies House: 11014226
- Public Procurement Organisation Number: PHQL-5234-MWWV
St Catherine's Lodge Bearwood Road
Wokingham
RG41 5BN
United Kingdom
Region: UKJ11 - Berkshire
Organisation type: Public undertaking (commercial organisation subject to public authority oversight)