A Partnership Approach to Collaborative Book Agreements Susan Wright 8th November 2017

Overview My background History of our Book Agreements Current status of book agreements in England and Wales HE Approach to our most recent book tender Lessons learnt Contract Management

Procurement Professional Ex Head of SUPC Worked with librarians for over 22 years Managed the first collaborative book tender Subsequently managed 7 collaborative book tenders

Development of Book Agreements since 1996 1st Agreement (SUPC only) awarded in 1997 following collapse of net book agreement. Shelf Ready Service in development with a couple of institutions. 2nd Agreement (2002) Shelf Ready Service was the norm Period of stability in the marketplace – emergence of e-books Mid 2000’s a bespoke e-book agreement – different supply market from print books 2009 onwards combined e-book and print agreements for multiple English regional consortia

Where we are now 5 English HE library consortia, Welsh HE and FE library consortium participate in new agreement Almost 300 institutions participating Annual value of agreement estimated to reach £90m Greater involvement with library directors and other relevant sector bodies

The 2017 Book Tender Supply Market Research Pre Tender Supply Market Research Sector Research – all bodies working together Multi disciplinary tender working group – develop strategy The Tender PIN in OJEU Market Engagement Contract Notice in OJEU - Open Procedure Contract Management Implement the agreement – launch & buyers guide Meetings with suppliers Measure and monitor KPIs

Pre Tender - Key Activities Work formally started 18 months prior to contract start date Tender Working Group established comprising librarians and procurement Engage all interested sector bodies – SCONUL, Jisc Collections Listen to acquisition librarians Supplier Research – informal meetings with suppliers

Contract Objectives A sector wide approach that reflects the current market but allows flexibility (e.g. e-reader and Ebook platform development) Transparent pricing with flexible models to allow member choice Current and appropriate content to be available through aggregators EU Compliant route to market – in a market where new commercial models are often introduced Complement national Ebook negotiations with publishers led by Jisc

Contract benefits to be delivered A sector e-book requirements document for aggregator and publisher supplied content that guides contract management and supplier strategy An easy to use EU compliant route to market for print and Ebooks in a supply market that is constantly introducing new commercial models Improved, clear Key Performance Indicators (KPIs) to support the robust performance management and tighter control of pricing compliance by supplier Price transparency with a choice of pricing models to suit member requirements

E-Books The Big Challenge!! Ever evolving business models The role of aggregators Continuity of access Poor service The Publisher Big Deal?

HE Sector E-Book Requirements SCONUL (library directors), Jisc and procurement met to draw up their vision for e-book provision Summarised this in a 4 page document Each representative body sought feedback from their key stakeholders December 2016 e-book requirements paper published to the sector for feedback and then finalised

Main e-book imperatives High Quality Student Experience Expectation that all books are available in the library at no additional cost Seamless equity of access for all titles and across all users distance learners at partner institutions or ‘walk-in’

Specific e-book requirements E-book Availability E-book Models Affordability Usability DRM Accessibility Guarantee of Access Usage Statistics and Management Information Metadata and Discovery

Initial strategy for the Book tender Lot 1 – English Language Print (library stock) Lot 2 – English Language Print (non-library stock) Lot 3 –Library Ebooks and sub-Lots Lot 4 – Ebooks Course Materials Lot 5 – Standing Orders Lot 6 – Mainland European Language Books and English Language Books Published in Mainland Europe Lot 7 – Individual Staff & Student Sales Books Agreement English Language Print Standing Orders – Include E?? European Language Material Ebooks Individual Staff & Student Sales

Supplier Engagement Day Invited all potential suppliers who had responded to our PIN and others known to us to an information and discussion day – presented strategy and e-book requirements paper Sought market feedback before finalising tender approach

Changes to Initial Tender strategy Lot 1 – English Language Print (library stock) – Shelf Ready Mandatory Lot 2 – English Language Print for institution purchase (mainly non-library stock) Lot 3 –Library Ebooks and sub-Lots (see next slide) Lot 4 – Ebooks Course Materials – E textbook access (see next slide) Lot 5 – Standing Orders Lot 6 – Mainland European Language Books and English Language Books Published in Mainland Europe Lot 7 – Individual Staff & Student Sales Books Agreement English Language Print Standing Orders – Include E?? European Language Material Ebooks Individual Staff & Student Sales

Changes to E- book Lots 4 E- book sub-Lots 2 E-textbook sub-Lots Individual title or package purchase for access on aggregator’ own platform Individual title or package purchase for access on third-party platform Patron/Demand Driven Access Subscriptions 4 E- book sub-Lots Supplier negotiated terms with publisher for offer to institutions 3rd party/institution negotiated terms with publisher for access via Supplier/Aggregator platform 2 E-textbook sub-Lots

Tender Strategy 30 slides outlining Supplier Market analysis Risks CSR considerations SWOT analysis Pricing Strategy Tender Evaluation Criteria Expenditure profile Consultation with all potential users of the agreement

New features of agreement NAG standard servicing standard for printed material encouraged Standard e-book license developed by sector for purchase and subscription models – all suppliers to use the same Recognition that e-textbook pricing model is different ; separate Lots for e-textbooks Requirement to provide access to content should supplier cease trading – access to be available within 6 months of contract award, otherwise we reserve the right to terminate the agreement Sales to Staff & Student Lot has facility for library/inst profit share with supplier

The Result! Awarded all Lots within timescale (despite having 72 tender clarification questions when out to tender) and no challenge ☺ Lot No of Suppliers 1 – EL Print Books for Libraries 6 2 – Mainland European Language Books 3 – Standing Orders 4 4 – EBooks 4.1 Titles on Aggregator Platform 4.2 Titles on 3rd Party Platform via Aggregator 4.3 PDA 4.4 Subscriptions 2 3 5 – E Textbooks on Aggregator Platform 5.1 Price negotiated by 3rd party – eg inst or Jisc 5.2 Price negotiated by Aggregator 6 – English Language Books for Inst Departments 7 – Sale to Staff and Students

Our Achievements Contractual framework for aggregators, publishers, institutions and other sector bodies to work together to better understand the supply chain to deliver more efficiencies etc to institutions Flexible agreement that allows technical innovation and new business models within the scope of the agreement Wide choice of good suppliers for institutions Ability to compliantly use a range of suppliers without undergoing a further competition

Our Achievements Standard e-book license saving time for institution when choosing a supplier Security of access to e-content should an aggregator cease trading Some more savings – average 1% on print Ability to drive further savings through further competitions (either individual institutions or groups of institutions)

Ensure that there is no ambiguity in the tender evaluation questions Review selection criteria – make sure that key suppliers can meet all the selection criteria Emerging business models meant that some suppliers could not provide customer references Testing of platforms on devices such as i-pads was very difficult Test bibliographic sites did not have live book prices.

Next Stage Identify requirement – specification Supplier Research & develop strategy Source suitable suppliers – tender Award and Manage Contract Supplier Research to understand the marketplace

Award and Implement the Agreement Produce a Buyers Guide Summary of Lots Awarded Suppliers Awarded and Contact Details Headline Terms Supplier Contact Details Sector Contract Management Contact Details Guidance on Calling-off from the Contract Implementation Webinar for Libraries Launch Event Libraries and Suppliers

How we manage our contracts Establish a contract management team – librarians and procurement Hold regular contract management meetings Regular reports from suppliers on their performance – sales, supply times, adherence to KPIs Survey libraries for their supplier feedback and performance scores from libraries Discuss supplier/market developments and areas to increase efficiencies/reduce costs

Tips for good collaboration Be honest Clearly outline what you want to achieve Listen to each other Be accommodating to each other’s arguments Look for common ground Try and understand each other’s language Make the process as simple as possible Challenge each other and others around you Align objectives and ask questions Remember, together you can be a formidable team