Framework Agreements and Call-Off Contract Management

Introduction

Framework agreements allow organisations to establish terms with one or more suppliers for repeated purchases of goods, services or works, and then place individual call-off orders as needs arise. Used well, they reduce procurement time, secure better prices and build strong supplier relationships. Used poorly, they lead to non-compliant awards, uncontrolled spending and frustrated users.

This Framework Agreements and Call-Off Contract Management training course explains how to design, establish and manage frameworks effectively. Participants learn about single and multi-supplier frameworks, direct award and mini-competition procedures, pricing mechanisms, call-off terms, performance management, spend control and framework renewal, with particular attention to public procurement compliance.

The course is relevant to both buyers managing frameworks and suppliers delivering work under them.

Course Objectives

By the end of this training course, participants will be able to:

• Explain the purpose, benefits and risks of framework agreements
• Design framework structures, lots and supplier numbers
• Establish pricing mechanisms and terms for call-offs
• Apply direct award and mini-competition procedures correctly
• Draft and manage call-off contracts and orders
• Monitor supplier performance across the framework
• Control spending and demonstrate value for money
• Plan framework extension, renewal or retendering

Target Audience

This training course is suitable for a wide range of professionals, including:

• Procurement and category managers
• Contract managers responsible for frameworks
• Public sector buyers
• Suppliers and contractors on frameworks
• Finance and budget holders using frameworks
• Legal and compliance advisers

Training Methodology

The course uses sample framework agreements, call-off documents and spend data. Participants design a framework structure, run a simulated mini-competition, draft a call-off order, analyse framework performance data and plan a renewal strategy. Case studies highlight common compliance pitfalls and how to avoid them.

Target Competencies

• Framework design
• Call-off procedure compliance
• Framework pricing
• Call-off contract drafting
• Framework performance management
• Spend control

Day One: Understanding Framework Agreements

• What framework agreements are and how they work
• Benefits for buyers, suppliers and end users
• Risks of poorly designed or poorly managed frameworks
• Public procurement rules on frameworks in overview
• Frameworks compared with term contracts and dynamic systems
• Examples of successful framework programmes
• Exercise: assessing whether a framework is appropriate

Day Two: Designing and Establishing a Framework

• Defining scope, lots and expected demand
• Single-supplier and multi-supplier frameworks
• Selection and award criteria for framework suppliers
• Duration, capacity and maximum value considerations
• Pricing schedules, rates and price adjustment
• Framework terms and call-off terms structure
• Workshop: designing a framework structure

Day Three: Awarding Call-Offs

• Direct award procedures and objective criteria
• Running mini-competitions efficiently and fairly
• Call-off evaluation and award documentation
• Drafting call-off orders and specifications
• Managing user access and ordering authority
• Avoiding common compliance errors in call-offs
• Simulation: running a mini-competition

Day Four: Managing Performance and Spend

• Key performance indicators across the framework
• Supplier reviews and performance scorecards
• Managing poor performance and remedies
• Monitoring spend against expected value
• Demonstrating savings and value for money
• Managing price reviews and rate changes
• Exercise: analysing framework performance data

Day Five: Supplier Perspective and Renewal

• Winning work as a framework supplier
• Managing relationships with multiple users
• Lessons learned during the framework term
• Planning extension, renewal or retendering
• Transition between old and new frameworks
• Governance and reporting of framework programmes
• Personal action plan for framework management