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August 11, 2006
Contracts and tenders
The process of creating contracts which agree the terms upon which local councils buy books and other services, is over elaborate, takes too long and is therefore very expensive. Normally it doesn't produce optimum results
About 8 years ago councils began to join together as consortia in order to create one set of contracts for a number of councils. The purpose of this was to reduce the scale of wasted effort and improve the negotiated deal with suppliers.
There is much debate about whether these consortia have actually produced any improved effiency in the process. I seen assertions that they do - when all that is being asserted is that they ought to- but I have never seen any factual evidence.
However, no one explored the alternative route, which was to simplify the contracts themselves. If you have ever seen one, they are vast thick things that contain acres of completely irelelevant and even misleading detail which is not binding on any of the parties.
All they actually say is- "if we buy something from you, you will give me X% discount" which can be said in one paragraph.
Every council supply contract that I have ever seen says very clearly "We will not guarantee to buy any amount", which effectively nullifies the whole negotiation process which has taken place.
The contract should be simplified to one simple page that can be renewed each year.
Posted by Tim Coates at August 11, 2006 10:33 AM
Comments
When I started my publishing company 9 years ago I looked at all my own contracts with publishers, tore up the template and started again with a single sheet. It covers all the essentials and has only grown slightly longer to incorporate the digital and electronic world. And it is written in non-legal jargonese. Therefore one or two people have looked at it with deep suspicion. It is clear, it is comprehensible, it is short, and it covers everything - ergo, there must be a catch in it somewhere.
Posted by: SUSAN HILL at August 11, 2006 11:54 AM