Loughborough University: Financial Management System Migration to Cloud

UK-Loughborough: Software package and information systems.

Preliminary Questions
   This notice is published by:
   Directive 2014/24/EU

Section I: Contracting authority/entity

I.1) Name and addresses
       Loughborough University
       Epinal Way, Loughborough, LE11 3TU, United Kingdom
       Tel. +44 1509228186, Email: a.ellis@lboro.ac.uk
       Main Address: https://www.lboro.ac.uk
       NUTS Code: UKF2

I.4) Type of the contracting authority (in the case of a notice published by a contracting authority)
      Body governed by public law

I.5) Main Activity (in the case of a notice published by a contracting authority)
      Education


Section II: Object

II.1) Scope of the procurement
   
   II.1.1) Title: Financial Management System Migration to Cloud.
      Reference number: LU00950
      
   II.1.2) Main CPV code:
      48000000 - Software package and information systems.
   
   II.1.3) Type of contract: SUPPLIES
   
   II.1.4) Short Description: This notice covers the University's move from the existing on premise financial management system to a cloud solution.
   
   II.1.6) Information about lots
      This contract is divided into lots: No

   II.1.7) Total value of the procurement (excluding VAT)
      Value: 1,400,000      
      Currency: GBP


II.2) Description

   II.2.2) Additional CPV codes:
      Not provided

   II.2.3) Place of performance:
      UKF2 Leicestershire, Rutland and Northamptonshire
   
   
   II.2.4) Description of the procurement:
    This covers the migration of the University's existing financial management system to a cloud solution. Unit4 made a formal announcement that they were migrating their ERP system to the cloud. The current on-premise solution being provided to the University is no longer going to be available and they have put specific and unmovable deadlines in place to migrate. The University is therefore planning a transition from the Unit4 on-premise solution to the updated cloud offering.    
   
   II.2.5) Award criteria
   (Directive 2014/24/EU / Directive 2014/25/EU)
               
    Not provided       
      
      
   II.2.11) Information about options:
      Options:    No       
   
   II.2.13) Information about European Union funds:
      The procurement is related to a project and/or programme financed by European Union funds:    No

   II.2.14) Additional information:
    Not provided    
      
Section IV: Procedure

IV.1) Description
   
   IV.1.1) Type of procedure: Award of a contract without prior publication of a call for competition in the Official Journal of the European Union in the cases listed below         
   
   IV.1.3) Information about framework agreement
         The procurement involves the establishment of a framework agreement: No    
   
   IV.1.8) Information about the Government Procurement Agreement (GPA)
         The procurement is covered by the Government Procurement Agreement:Yes
         
IV.2)Administrative Information

   IV.2.1) Previous publication concerning this procedure:
      Notice number in OJ S: Not provided       
   
Section V: Award Of Contract/Concession
      
Award of Contract/Concession No: 1
Contract No: LU00950   Lot Number: Not Provided    Title: Financial Management System Migration to Cloud

V.2) Award of contract/concession
      
      V.2.1) Date of contract award decision: 03/12/2024.
      
      V.2.2) Information about tenders
      The contract has been awarded to a group of economic operators: No .

      V.2.3) Name and address of the contractor/concessionaire, No. 1:
          Unit4 Business Software Limited, 01737985
       c/o Dac Beachroft LIp Portwall Place, Portwall Lane, Bristol, BS1 9HS, United Kingdom
       NUTS Code: UKK1
   The contractor/concessionaire will be an SME: No    
   
         
      V.2.4) Information on value of the contract/lot/concession:
         Initial estimated total value of the contract: 1,400,000          
         Total value of the contract/lot/concession 1,400,000         
         Currency: GBP

      V.2.5) Information about subcontracting:
         The contract is likely to be subcontracted: No          


Section VI: Complementary Information

   VI.3) Additional Information:
      To view this notice, please click here:
https://www.delta-esourcing.com/delta/viewNotice.html?noticeId=907457027
GO-2024124-PRO-28759952 TKR-2024124-PRO-28759951   
   VI.4) Procedures for review
   
      VI.4.1) Review Body
          Loughborough University
       Epinal Way, Loughborough, LE11 3TU, United Kingdom
       Tel. +44 1509228186
   
      V1.4.2) Body responsible for mediation procedures:
         Not Provided .

      VI.4.3) Review procedure
      Not Provided    
      
      VI.4.4) Service from which information about the review procedure may be obtained
         Not Provided
   
   VI.5) Date of dispatch of this notice: 04/12/2024


Annex D1 - General Procurement
Justification for the award of the contract without prior publication of a call for competition in the Official Journal of the European Union
Directive 2014/24/EU


2. Other justification for the award of the contract without prior publication of a call for competition in the Official Journal of the European Union

   The procurement falls outside the scope of application of the directive: Yes

3. Explanation

   Please explain in a clear and comprehensive manner why the award of the contract without prior publication in the Official Journal of the European Union is
   lawful, by stating the relevant facts and, as appropriate, the conclusions of law in accordance with the directive: (500 words maximum)
   Unit4 is migrating its on-premise ERP solution to the Cloud, providing their current customers with tight deadlines for which the on-premise solution will no longer be supported. Unit4's Enterprise Resource Planning (ERP) system is currently being used by the entire University for the management of all financial activity including: Core Financial Processes, Core Accounting, Logistics - Procurement, Sales Orders and Invoicing, Projects, Reporting and Management Information, Data, Research Costing and Pricing. In addition to this there are around 50 integrations and around 150 customisations on the current system. Taking the above into account highlights how the ERP application is business critical IT infrastructure and linked to both staff and student facing activities; it is essential to the running of the University. It is therefore not currently viable in terms of the timescales provided along with the amount of personnel resource and financial budget required, to change the provider of the system. At the present time it would be impossible for the University to procure an alternative economic operator (including thorough analysis of stakeholder requirements, developing a high level solution design, developing a detailed specification, determining procurement strategy, undertaking market assessment, due diligence, going to tender and awarding) followed by the subsequent implementation, provide the full range of services and train all University users. It has been concluded that the timeline does not allow for change without detrimentally impacting the operations of the University. The University's award of this contract directly to Unit4 is duly justified in accordance with regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015. On the basis of the above facts, the University is of the view that competition is absent for technical reasons. The proposed Contract term is 5 years with no further extension options. The planned award date is 17 December 2024.