12.07.2015 Views

The Acquisition Handbook

The Acquisition Handbook

The Acquisition Handbook

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ApprovalsEquipment projects are divided for approvals purposes into the following four categories:CategoryABCDProcurement CostAbove £400M£100M to £400M£20M to £100MUnder £20MSee small projectbox on page 17Approving Authority Level and Scope for DelegationApproved by the Equipment Approvals Committee (EAC) (ChiefScientific Adviser (CSA), 2 nd Permanent Under Secretary (PUS), ViceChief of the Defence Staff (VCDS), Chief Defence Procurement (CDP)and Chief Defence Logistics (CDL)), then Ministers.Normally approved at 2* level by representatives of each EACmember. However, members of the 2* Approving Authority may, attheir discretion, formally delegate responsibility for approval to a lowerlevel for specific projects. An executive summary of all submissions inCategory B is copied to Ministers.Normally approved at 1* level by representatives of each EAC member.However, members of the 1* Approving Authority may, at their discretion,formally delegate responsibility for approval to a lower level for specificprojects. An executive summary of all submissions in Category C withprocurement costs over £50M is copied to Ministers.Normally approved at 1* level or below by the DEC and IPTL (or theirrepresentative) and a Finance Officer. Chief Scientific Adviser (CSA),Director Capability Resources and Scrutiny (DCRS) and HQDLOstakeholders should be given an opportunity to comment on draftsubmissions (mandatory, if procurement cost exceeds £2M).A Business Case, initiated by the DEC, makes the case for taking the project forward at eachGate. <strong>The</strong> DEC and the IPTL seek confirmation that all stakeholders are satisfied with theBusiness Case, including DLO clearance of the Support Strategy. <strong>The</strong>re are no prescribed pagecaps for a Business Case but, even for the most complex projects, the case should not exceedthirty pages in total (including Annexes). <strong>The</strong> Executive Summary of the case is used for briefingMinisters and senior officials. <strong>The</strong>re is much greater emphasis on oral presentations, discussionsand meetings with the Approving Authorities, or their delegates or representatives, to clarify keypoints and resolve difficult issues.After Main Gate, no further Approvals are required, provided the project remains, and plans toremain, within the bounds set at Main Gate. Selection of a prime contractor may well be madeafter Main Gate. While the outcome of this, the resolution of any industrial or collaborativeimplications, and an appropriate presentation strategy, may need to be agreed with orcommunicated to the relevant stakeholders and Ministers, no further central approval shouldnormally be necessary.16

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