Accreditation process clarification bulletin

No.

Franchise

Document Ref.

Question

Response

1

All

AQ Part C 1.1

Since we have difficulty understanding how "criteria" can be used to "measure", please clarify what you have in mind here.

Criteria might include, for example, factors measured within customer satisfaction surveys. The response to Question 1 of Part C will be assessed as a whole.

2

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AQ Part C 1.2

The word "performance" is used five times in this question, but only in the fourth incidence is specifically "operational performance" mentioned.

Precisely which aspects of performance do you have in mind when you refer to "operational performance", since we are not clear whether this means only on-time punctuality and reliability, or whether it is intended to include other things?

Applicants should describe the KPI measures used to monitor punctuality and reliability of a transport business, the use of targets, benchmarks and other processes, and actions taken with evidence of the impact on results.

In order to achieve full credit, Applicants would be expected to expand their answers to cover the wider use of performance indicators in delivering customer results for their business beyond punctuality and reliability.

3

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AQ Part C 1.2

The word "performance" is used five times in this question, but only in the fourth incidence is specifically "operational performance" mentioned.

Do you mean "operational performance" in all five cases? If not what other aspects of performance did you intend to cover in each of those other cases, since many measures could be called performance, and we are unclear what you might intend to include here.

Please refer to the answer to Question 2.

4

All

AQ Part C 5.1

Is there any significance to the capital O for "Organisation", in contrast to other occurrences without it?

No

No.

Franchise

Document Ref.

Question

Response

5

All

AQ Part C 5.2

Please clarify what activities you have in mind as being "commercial operations", since there are differing interpretations of this.

Commercial operations typically include, but are not limited to, marketing, retail services, fare setting and the development of alternative sources of revenue for the business.

6

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AQ Part C 5.2

Is the word "commercial" intended to extend to the second occurrence of the noun "processes", and if so please clarify what processes you have in mind?

Yes, these are the processes used within your commercial operations.

7

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AQ Part C 5.4

In view of instruction (d) on page 22 that the questions in Section C only apply to existing businesses, please clarify how you intend us to interpret the question "how do you anticipate drawing upon these elements to facilitate the successful operation of passenger rail franchises".

Applicants should refer to relevant past experience only.

8

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AQ Part C 6.1

Is there any significance to the capital B in "Business", in contrast to other occurrences without it?

No

9

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AQ Part C 6.2

The word "performance" is used twice in this question, but only in the second incidence is specifically "rail performance" mentioned. Do you intend both incidences to be taken as "rail performance"? Precisely what aspects of performance do you have in mind as "rail performance", since we are unclear whether this is the same as or different from "operational performance" mentioned in Q1.2?

As with Question 1.2, Applicants should address relevant experience both in terms of performance of transport operations and wider business performance. There is some overlap, but Question 6.2 addresses strategic policies and planning whilst Question 1.2 addresses customer results.

No.

Franchise

Document Ref.

Question

Response

10

All

AQ Part C 8.2

In referring to "provision of relevant information" and "contractual compliance", do you have in mind solely information and compliance in relation to financial matters, or wider matters (our confusion is that contractual compliance can include many things that may have nothing to do with financial management). Do you have it in mind that we should comment specifically on the matter you mention after "e.g.", or is this mentioned merely to clarify the interpretation of "business finances".

Part C 8.2 is intended to solicit a response which specifically covers the Applicant's approach to provision of financial management information to public sector funding bodies, throughout the lifespan of a contract.

11

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AQ Part C 8.4

Precisely what do you have in mind in referring to the word "facilities"? We are unclear whether you are referring specifically to maintenance facilities, or might be including other things which could be described as facilities, which could be anything from ticket offices to toilets. Precisely what do you have in mind in using the word "managed" in this question, since we are unclear whether you refer to the management of resources already held, or also have in mind activities such as procurement and supply. Is any difference implied by the separate sentence in relation to equipment and materials?

Applicants should demonstrate competence in the planning and management of external partnerships, suppliers and internal resources. The operation of a UK rail franchise requires relationships with numerous stakeholders, the DfT, Network Rail, rolling stock leasing companies and a diverse supply chain, together with management of IT and communication systems, leased and owned assets, equipment and consumable supplies. Applicants should demonstrate relevant comparable experience of partnership and resource management rather than presenting a checklist of every activity involved in rail operation.

No.

Franchise

Document Ref.

Question

Response

12

All

AQ Part C 8.5

Is there any significance to the quotation marks and capital letters for " 'Risk Management' " and " 'Security of Supply' "? What types of risks do you have in mind here, since we are unclear from your examples whether you are referring solely to operational risks, or might have in mind financial risks also. Do you intend us to refer specifically to both of the two examples you give, or just one of them, or are these mentioned purely to clarify the meaning of "risk management".

The quotation marks and capital letters indicate possible names for the process and issue identified. Organisations may adopt alternative names for these items which would be equally valid in responding to this question. Applicants should provide relevant examples of the risk management processes most relevant to the operation of their business. These examples may or may not cover one or both of the specific examples illustrated in the question.

13

All

AQ Part D

With respect to the two paragraphs of instructions on the page limit in Part D (page 27), do you mean that the page limit is approximately 60 pages for two franchises and approximately 90 pages for three franchises?

A separate AQ should be submitted for each franchise applied for (APD Section 3.1 second paragraph). There is consequently a separate 30 page limit for Part D of each franchise applied for.

14

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AQ Part C Introduction

The Department for Transport Accreditation Questionnaire (June 2006) asks the Applicants to

- Limit submissions for part C to a maximum of 50 printed A4 pages (see page 21); and

- Limit submissions for part D to a maximum of approximately 30 printed pages A4 (see page 27).

Our assumption is that that this means 50 and 30 sides of A4, irrespective of whether a page is printed single or double sided; please confirm our understanding is correct

Your understanding is correct.

No.

Franchise

Document Ref.

Question

Response

15

All

AQ

The Department for Transport document entitled "A Guide to the railway franchise replacement process" confirms that a pre-determined scoring system is to be used. The Department for Transport Accreditation Questionnaire mentions scoring in the table on page 4 and in paragraph b on page 21. Our understanding is that Part C scores 70% of the marks (page 4) in the Midlands process; please confirm:

(a) that this precise percentage overrides the band (70% to 80%) set out on page 21; and

(b) whether there is a maximum score for each of the 9 individual components of part C shown on page 4 (in the same way as part D is broken down between 2 components on page 4).

(a) A 70% weighting has been set for Part C of the AQs for these franchises.

(b) The assessment process and weightings will conform to standard EFQM methodology. The assessment of all elements of Part C will be undertaken by a common evaluation team who will read across between the responses for each element.

16

All

AQ Part C 8.2

Question 8.2 refers to the provision of relevant information to public sector funding bodies, in the context of business financial management. To the extent that the answer to Q8.2 is partly included in the answer to Q2.2 (the provision of financial data to public sector funding bodies), will it be sufficient to cross-refer?

Yes

17

All

Accreditation Process Document.

Important Notice, penultimate paragraph

Does the paragraph on DfT's technical advisors imply that Booz Allen Hamilton and any of the other technical advisors mentioned in the paragraph are prevented from assisting any of the companies involved in bidding for the three franchises whether or not it is on the bid identified?

The statement is there to identify which advisors are working on the franchises for DfT. It is the responsibility of our advisors to demonstrate that potential conflicts of interest are avoided. DfT would not expect to see its appointed advisors working for a bidder on the same franchise.

18

All

AQ P22 of 32, Paragraph 1

Please clarify that responses to Part C Section 1-4 should include information on planned and future actions for existing companies only.

Yes, Part C Section 1-4 should include information on planned and future actions for existing companies only.

No.

Franchise

Document Ref.

Question

Response

19

All

Part C

What relative weighting should the Enablers and Results sections take within the 50 page limit of Part C?

The assessment process and weightings conform to standard EFQM methodology (see EFQM website). The assessment of all the elements of Part C will be undertaken by a common evaluation team who will read across between the responses for each element. Please also refer to DfT's response to Question 15, above.

20

All

Part C

Can the questions to Part C, which add up to 3.5 pages, be separated from the responses and be included as a single list as a prefix to Part C so that they do not count towards the 50 page limit?

Yes

21

All

AQ

Can DfT confirm that the accreditation questionnaire responses (for example in Part C) will be marked by trained EFQM evaluators in a manner consistent with recommended EFQM practices?

The assessment process and weightings conform to standard EFQM methodology (see EFQM website). The assessment of all the elements of Part C will be undertaken by a common evaluation team who will read across between the responses for each element. DfT have qualified EFQM evaluators who will lead, participate in and moderate this process.

No.

Franchise

Document Ref.

Question

Response

22

All

AQ Passenger Transport Experience

Can DfT please clarify what it seeks under the heading "Passenger Transport Experience"? It would appear that this section is neither Pass/Fail nor does it accrue any marks in the process, nor is there guidance on expected length in this section beyond the words "brief introductory statement."

This requirement is intended to "set the scene" for the remainder of the submission. Although this element will not be marked, the information provided may be taken into account in the assessment of other parts of the response. For example, the scoring of Part C may take into account the context in which experience was gained. We recognise that the length of Applicants' responses will vary dependent on the scope and scale of their experience and whether or not they are a consortium. Accordingly, no page limit has been set, we are relying on Applicants' judgement to provide brief responses covering the issues listed.

23

All

AQ Part C

The EFQM Excellence Model gives weightings to each of the 9 criteria/sub-criteria. Will the Department be using these weightings in its evaluation of Part C of the Accreditation Questionnaire?

The assessment process and weightings conform to standard EFQM methodology.

24

All

AQ Part C 2.2

"2.2 Describe the approach taken to monitoring financial performance against business plans and the provision of financial data to public sector funding bodies. Also describe how your organisation reacts to unforeseen changes in revenue or cost. Please provide examples of results achieved and provide key financial performance results over the past three years."

Does the final sentence relate to only the unforeseen changes in revenue or cost or also to monitoring financial performance against business plans and the provision of financial data to public sector funding bodies?

The final sentence relates to the whole of this section 2.2.

25

All

AQ Part C 7

Does the use of the word staff in Question 7 specifically refer to any groups of employee's or is it just a generic term?

The term is generic with specific groups identified where we have felt it is required. An example of this is 7.1.

No.

Franchise

Document Ref.

Question

Response

26

All

Can the Department confirm whether cross-referencing between different sections of the AQ submission is allowed or whether each section of the response should be treated as a stand alone response for the purposes of marking?

The DfT will treat each Part of the AQ individually and different Parts will be marked by different teams. Cross-referencing between Parts must therefore be avoided. Cross-referencing within Parts is acceptable however.

27

All

AQ Part C

Can the Department confirm what the "word limit" (AQ, Part C of the para 3) is? Is the word limit and the 50 page limit one and the same thing and therefore are the appendices excluded from the 50 page limit?

The word limit and page limit are one and the same thing. Appendices are excluded from the 50 page limit and you are referred back to Part C of the AQ for what the Appendices may contain.

28

All

Can the Department confirm whether the Applicant's Special Purpose Vehicle must be a newly formed company formed solely to undertake the operation of the Franchise or if the SPV can be a company previously formed for other purposes but which has never traded, and whose purpose has been changed to solely undertake the bidding for and operation of the franchise.

Where a company has never traded and the appropriate memorandum and articles have been amended, if required, to reflect the new purpose, DfT considers it acceptable for that company to undertake the bidding for and operation of the franchise.

29

All

AQ Part C 9.4

In Part C 9.4 does "performance" mean business performance for any type of process or is it specifically referring to operational performance e.g. delay minutes and PPM?

The EFQM model looks for evidence of what enablers are in place to deliver results. Within Part C you will have identified performance targets/results and Part C 9.4 should therefore be read in that context.

30

All

AQ Instructions

It states in the 'Instructions' section of the AQ document that the font size used in the document should be 11pt minimum. Can you please clarify if this is intended to apply to all tables and charts used within the document.

The 11pt minimum font size does not apply to tables and charts, however it must be easily readable.

31

All

AQ Part D Q2 B2

Should discussion of the key issues and risks associated with the operation of the franchise be restricted to the subjects identified in the generic and franchise specific bullet points listed in the AQ?

No. Applicants should cover the subjects identified in the bullet points but are also expected to identify and discuss other key issues and risks they consider relevant to the franchise.

No.

Franchise

Document Ref.

Question

Response

32

All

AQ Part C Instructions: Appendices

Is it possible that some appendices might not be paper-based e.g. a DVD or similar medium?

No

33

All

AQ Part C Q's 1 and 3

We understand that "The assessment process and weightings will conform

to standard EFQM methodology". Does this extend to weighting 1.1 and 3.1 with 75% of the potential marks for questions 1 and 3 respectively?

Similarly, can you confirm the weightings of 2.1 and 2.2 are 50% each?

Correct. Questions 1.1 and 1.2 will have a 75%-25% weighting. Questions 3.1 and 3.2 will have a 75%-25% weighting.

Questions 2.1 and 2.2 will have a 50:50 weighting.

34

All

AQ Part C Q's 5 - 9

We understand that "The assessment process and weightings will conform

to standard EFQM methodology". However the number of parts you have broken down Policy and Strategy (Q6) and Partnership and Resources (Q8) into is different to the number of criteria parts in the standard EFQM Model. Can you confirm that, within each question, all parts carry the same weight?

Correct

35

All

When the immediate and direct shareholders of the Applicant are subsidiaries of the ultimate, operational parent of the group, we assume that DfT will expect to receive information of both immediate shareholder and ultimate parent when asking for Member information. Please, could you confirm that this is correctly understood?

That understanding is correct.

36

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Clarification Q20

Further to Clarification No. 20 can the DfT please confirm in respect of Parts C and D, that if for clarity we include the question and headings as set out in the AQ before each response to a question then the space taken by the questions and headings will not count towards the page limit.

No. There is no requirement to repeat the DfT headings and questions in the Applicant response. It is suggested that Applicants use the the question number with a front sheet index if they wish.

No.

Franchise

Document Ref.

Question

Response

37

East Midlands

East Midlands Franchise Consultation Document

In East Midlands Franchise Consultation Document issued on 8th June, page 28 it is stated that DfT have initiated exploratory discussions with Northern Rail about providing Leeds - Nottingham direct services and that if negotiations with Northern do not conclude successfully the full service could be operated by East Midlands franchise. Bidders will incur costs if asked to evaluate this service. When will it be confirmed whether or not this option is to be included and hence whether bidders need to include it in their work?

Confirmation of which TOC will operate this service will be provided by the date of publication of the Invitation to Tender for the East Midlands franchise.

38

New Cross Country

New Cross Country Franchise Consultation Document

In New Cross Country Franchise Consultation Document issued on 8th June, page 23 it is stated that DfT is in discussions with Virgin Rail Group about the possibility that the services currently operated by Virgin Cross Country between Birmingham and Scotland will be operated by West Coast Trains. When does DfT expect these negotiations to be concluded? If negotiations with Virgin Rail Group do not conclude successfully will bidders be asked to re-include these services in the Cross Country franchise, and do DfT recommend that bidders should conduct any work to evaluate these services before this time?

Confirmation that this service will be operated by West Coast Trains (or what arrangements may otherwise apply) will be provided by the date of publication of the Invitation to Tender for the New Cross Country franchise.

39

East Midlands & West Midlands

Stations from Wilnecote via Burton-on-Trent to Willington are not shown on either the East or West Midlands Franchise maps. Bidders have been advised that New Cross Country will not be SFO at any stations it serves. Within which franchise will these stations be included?

Confirmation of which stations the West Midlands and East Midlands TOCs will be required to act as SFO at will be provided by the date of publication of the East Midlands or West Midlands franchise Invitation to Tender, whichever is the sooner.

No.

Franchise

Document Ref.

Question

Response

40

All

AQ Part C Q6

We are unclear about what is expected in questions 6.1 and 6.2. Can we assume that 6.1 relates to 2a and 2b in the EFQM model and that 6.2 relates to 2c in the EFQM model?

Yes, both assumptions are correct.

41

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AQ Page 7

Will the Passenger Transport Experience section be available as background information to markers of all Parts of the AQ?

Yes

42

All

AQ

We would like to include a glossary with our AQ submission. Will this be available to markers of all Parts of the AQ?

Yes

43

All

AQ

We notice that DfT has identified sections in Part C and labelled these as per the EFQM model, except for "Society Results" which it has renamed "Corporate Social Responsibility" and asks about policy rather than results, albeit asking for examples. Can DfT confirm whether this is a conscious change in emphasis and a departure from the model, or rather an attempt to update terminology without changing the spirit of the EFQM model?

It was a conscious change to re-name the section 'Corporate Social Responsibility' to enable the respondent to address a broader spectrum of their initiatives than the EFQM 'Society Results' question would allow whilst retaining the spirit of the EFQM model.

44

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APD

The Accreditation Process Document asks for five hard copies plus five electronic and one electronic copy in html format. Does the DfT require all of the appendices to be submitted with each of the hard copies and electronic copies?

Yes

45

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FLPA

Does the FLPA have to be submitted in advance of the completed AQ or can it be submitted at the same time as the completed AQ?

The FLPA should only be submitted at the same time as the completed AQ (i.e. not in advance).

46

All

AQ

Please confirm that a covering letter submitted with the AQ is acceptable.

Yes it is.

47

All

AQ

Could you kindly confirm that you accept either Word or PDF documents on the CD-Rom electronic version of AQ document.

This is acceptable for five of the electronic copies, but as stated in the APD, one electronic copy must be in HTM format.

No.

Franchise

Document Ref.

Question

Response

48

All

AQ

Could you confirm if you expect each question to be submitted in individual files, or if several questions can be submitted in one single file, e.g. all of Part C5 as one file.

On the non-HTM electronic copies either approach is acceptable although if there are several files they should be easily recognisable (i.e.numbered in accordance with the sections they refer to). On the HTM copy, it is probably better in one file. An HTM version may be created from an MS Word document by using 'File', 'Save as Type', then selecting 'Web Page, filtered (*.htm,*html)' from the drop down list.

49

All

AQ Part C 2.1

In your answer to clarification question number 2 you state that the response to AQ Part C 1.2 should describe the KPI measures that monitor punctuality and reliability of a transport business and to obtain full marks this should be expanded to the wider use of performance indicators. Please can you clarify how this is different from the response required by AQ Part C 2.1 which asks "What KPIs does your organization use to monitor its performance against the business plan?" given that punctuality and reliability are obviously key parts of the business plan of a transport business?

Part C Q1.2 is focused on customer results. When reviewing your submission our assessors will be looking for your organisation to provide evidence of the KPI's used to 'improve its performance and to predict the perceptions of its customers and stakeholders'. As such, 'punctuality' and 'reliability' are two of the possible measures, but your organisation may choose to include others. Part C Q2.1 relates to your organisation's business results. The KPI's that you use to monitor your organisation's performance against its business plan may well differ from those used to measure customer results, e.g. they may relate to financial performance, maintenance or other operational business aspects.

No.

Franchise

Document Ref.

Question

Response

50

All

AQ Part C 1.1

AQ Part C 1.1 asks us to describe the criteria used to track and measure customer perceptions. In response to clarification Q1 you stated that criteria might include, for example, factors measured within customer satisfaction surveys. As you have asked us to purely describe these criteria (or factors measured) does this mean that you do not require us to describe why we have chosen to measure these criteria/factors and how we measure them?

For Part C Part 1.1, we are looking for your organisation to describe the criteria measured AND for you to describe why you have chosen those factors, and how your organisation measures them, providing examples as appropriate.

51

All

AQ Part C

In what context should bidders refer to "planned" performance as highlighted at the start of Part C on page 21 of the AQ? Is this a discussion of future targets and how these have been set?

The reference to Planned performance made within the Part C introduction on page 21 should be viewed only within the context of existing business, not what you would plan to do if successful in winning one of these franchises (see further page 22, note d) or any other franchise currently being let. The principal intention of Part C is to give you the opportunity to describe your experience of running public transport services including how you have set targets for the future.

52

All

AQ Part C

Should responses cover other areas of the EFQM model not specifically asked for in the question? For example in terms of leadership, how our leaders act as role models

The EFQM model was the basis for the Part C questions. The terminology of the 'pure' EFQM model was adapted to align the question more closely to public transport and rail industry environment while retaining the underlining EFQM principles. Therefore, we recommend that you frame your answers appropriate to how your organisation delivers against the models' criteria, i.e. include references to Leadership within your organisation where relevant. 

No.

Franchise

Document Ref.

Question

Response

53

All

AQ Part C

At the start of Part C (AQ page 21) bidders are instructed that they can refer to "the detail of targets, results and trends" in the appendices. Is this simply graphs and tables of results and trends or can these sections include commentary about results and trends? Also - is it acceptable to place detailed case studies in the appendices to part C?

DfT re-iterates the instructions set out on Page 21. DfT would not expect commentary to be included amongst the graphs/tables etc in an Appendix.

54

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AQ Part D 6

We note that you asked for CVs and details of advisors as appendices to Part D, could you confirm whether any other supporting information could be included as Appendices to Part D?

No, please restrict the contents of Appendices to that set out in the AQ.

55

All

FLPA & AQ

Could you clarify whether you need original signatures on documents or would scanned or copied versions suffice?

Original signatures are required are required on the FLPA(s). Original signatures are required on at least one copy of the completed AQ.