Strategic Tender - Facilities Maintenance

Angus Shore
Heavy Industry
Strategic Procurement
February 23, 2024
cost reduction
reduction in contractors
p.a spend under contract

Client Problem

A national brewery operator had a requirement to establish service agreements and reduce costs in maintenance works including general maintenance, electrical, plumbing, and HVAC-R.

Caliba Solution

The client has four large breweries across Australia and requires electrical, plumbing, HVAC-R, and general maintenance contractors to service critical site infrastructure and equipment. The client had no service agreements in place with any of the 56 incumbent contractors and several contractors were providing the same services to the sites.

Caliba engaged facilities managers and lead engineers at each site to develop a cost reduction strategy suitable to the clients planned, reactive, and preventative maintenance needs. Several contracting models were considered, including principal, multi-trade, and asset management contracts, with multi-trade contracts being selected as the preferred strategy to approach the market.

Caliba developed tender documents and facilitated the RFT process, leveraging the abundance of contractors in the market to drive competitive tension.  The outcome of the RFT process was a panel of 13 preferred contractors being awarded service agreements and a 9% p.a. cost reduction after implementation.

Client stakeholders were very happy with the outcome as it reduced their workload managing contractors whilst still providing a range of national and local options.

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