Supply Chain Design and Resilience: A Western Canadian Study

1. ACAN

An ACAN is a public notice indicating to the supplier community that a department or agency intends to award a contract for goods, services or construction to a pre-identified supplier, thereby allowing other suppliers to signal their interest in bidding, by submitting a statement of capabilities. If no supplier submits a statement of capabilities that meets the requirements set out in the ACAN, on or before the closing date stated in the ACAN, the contracting officer may then proceed with the award to the pre-identified supplier.

2. Definition of the Requirement

Prairies Economic Development Canada (PrairiesCan) requires the services of a Contractor with expertise in supply chain design and evaluation to conduct a study to analyze and evaluate Western Canadian supply chains and the actions of key stakeholders in this space. The study will look to identify appropriate measures and policies that will empower Western Canadian producers to create more robust supply chains and enhanced ESG strategies.

COVID-19, the Russia-Ukraine crisis, and recent natural disasters have exposed issues in global supply chains, including critical ones for industries such as pharma and medical supplies. These disruptions have resulted in severe shortages of critical components and products while causing significant financial loss to enterprises in Western Canada and around the globe. The Conference Board of Canada reports that 20 percent of Canadian companies and 80 percent of European companies are developing new supply chain strategies in response to market instability caused by geopolitical, environmental, economic, and biological disruptions to global supply.

PrairiesCan has heard that multiple factors are causing continued strain on supply chains in Western Canada, and that firms are facing a range of dynamic and widespread challenges and opportunities.

This study will be is focused on Western Canada (Alberta, Saskatchewan, Manitoba), and the Contractor must have a strong knowledge and experience of supply chain analysis, supply chain design, Time-to-Survive and Time-to-Recover analysis, Environment, Social, and Governance (ESG) strategy, and inter-jurisdictional analysis of supply chains. Activities to be undertaken by the Contractor may include but are not limited to: assessment, analysis and evaluation of supply chain design and current supply chain market changes, academic analysis of supply chains, engagement with key stakeholders, and research.

As PrairiesCan works to achieve its mandate by supporting supply chain resiliency, it is looking to identify appropriate measures and policies that will enable it to empower Western Canadian producers to create more robust supply chains and enhanced ESG strategies. This will include analyzing and evaluating Western Canadian supply chains and the actions of key stakeholders in this space, as well as significant analysis and research.

At a minimum, this research will include:

1. An analysis of Western Canadian supply chain Time-to-Survive & Time-to-Recover (TTS/TTR) that explains:
   1. What does this analysis reveal for the supply chains of Western Canadian provinces?
   2. What factors does this analysis reveal for Western Canadian firms seeking to develop or deploy a supply chain strategy?
   3. In current conditions, are Western Canadian supply chains well-positioned to create factors of competitive or comparative advantages? What barriers or issues exist that may restrict success?
   4. What raw materials, value-added product, supplies, and services are required to ensure supply chains maintain resiliency during ‘black swan’ events?
   5. Does the TTS/TTR analysis reveal opportunities for strategic investment attraction?
   6. Are there any critical points of failure in the supply chain as indicated by this analysis?
2. The use of various analytical tools to assess the current state of supply chain strategy development in supply chains by mixed methods analysis in different parts of the supply chain.
   1. Assess how firms create supply chain resiliency and what best practices are used to develop supply chain strategy.
   2. Assess how/if Alberta firms are using supply chain strategy to increase resiliency factors.
   3. Using supply chain theory, determine what opportunities or threats exist for SMEs in Western Canada.
   4. Assess what supply chain disruptions have done to increase or decrease competitiveness in target sectors.
   5. Conduct a survey of supply chain leaders in large organizations to determine what policymakers need to understand to best support leaders to create supply chain resilience.
3. An assessment of the current state and role of firm level ESG strategy towards designing robust, reliable and futuristic supply networks that enjoy the support and trust of investors.
   1. Analysis of implications of not developing ESG strategy, assessment, and abatement practices.
   2. Assessment of ESG readiness in selected Alberta firms.
4. An assessment of supply chain technologies being adopted (or considered for adoption) in the Prairie provinces.
   1. Assessment of barriers and opportunities to adoption of supply chain technology.
   2. Analysis of factors that increase successful technology adoption.
   3. Engagement with selected supply chain technology service providers to assess supply chain technology adoption.
5. A jurisdictional scan of the US, UK, Germany, and Australia to identify and catalogue specific supports directed to SME supply chain strategy, supply chain resiliency, technology adoption, and ESG strategy/assessment/abatement.

3. Criteria for Assessment of the Statement of Capabilities (Minimum Essential Requirements)

Any interested supplier must demonstrate by way of a statement of capabilities that it meets the following requirements: 

1. Expertise in Western Canada (Alberta, Saskatchewan, Manitoba) supply chain Time-to-Survive and Time-to-Recover analysis.
2. Expertise in Western Canada (Alberta, Saskatchewan, Manitoba) supply chain analysis, design and evaluation.
3. Existing relationships and connections to a large, diverse network of Tier 1, OEM (Original Equipment Manufacturer) and lead firm supply chain experts, researchers, industry leaders, businesses, and stakeholders.
4. Ability to use a variety of mixed method analytical tools to assess the current state of supply chain strategy development at multiple points within the supply chain.
5. Expertise in ESG strategy development and adoption, and ability to assess the current state and role of ESG strategy in businesses within the Western Canadian supply chain.
6. Expertise in assessing supply chain technology adoption across the Western Canadian supply chain.
7. Access to comprehensive information about supply chain strategy, resiliency, technology adoption, and ESG strategy across multiple jurisdictions.

4. Applicability of the Trade Agreement(s)

This procurement is subject to the following trade agreement(s):

Canada Free Trade Agreement
Canada-Chile Free Trade Agreement
Canada-Colombia Free Trade Agreement
Canada-Honduras Free Trade Agreement
Canada-Panama Free Trade Agreement

5. Justification for the Pre-Identified Supplier

PrairiesCan require an academic and objective expert in supply chain development, Time-to-Survive, Time-to-Recover (TTS/TTR), and ESG measures to complete this analysis. The identified supplier – Mount Royal University (MRU) – has specific academic expertise and experience in supply chain analysis and offers a specialized program for supply chain management. MRU is supported by experienced academic supply chain researchers at SAIT, Grant MacEwan, and has strong connections with the University of Manitoba. These institutions have the capacity and expertise to produce a comprehensive and objective academic analysis of the state of supply chains in Western Canada, including in-depth analysis of TTS/TTR and ESG measures. The shifting of ESG requirements specific to supply chain for participation in the international market also narrows the list of possible contractors down to only those with extensive experience in the ESG supply chain space, which MRU (and its associated post-secondary connections) has. The assessment of ESG will happen through ESG models; the abatement of ESG will happen through supply chain strategy, and will require supply chain expertise, which MRU has. MRU is connected to a large and diverse network of experts, stakeholders, and industry contacts within Alberta Tier 1 supply chain, which will ensure comprehensive and targeted research specifically within the Western Canadian supply chain. These connections to a large network of diverse stakeholders, experts, and businesses within the Western Canadian supply chain was a key factor in the pre-identification of MRU, in addition to its deep connections to supply chain experts in other post-secondary institutions.

The pre-identified supplier meets all of the minimum essential requirements described in this ACAN.

6. Government Contracts Regulations Exception(s)

The following exception(s) to the Government Contracts Regulations is invoked for this procurement under subsection(s):

6(d) – “Only one person is capable of performing the work.”

7. Exclusions and/or Limited Tendering Reasons

The following exclusion(s) and/or limited tendering reasons are invoked under the:

Canadian Free Trade Agreement (CFTA) – Article(s) 513.1 (b) (iii).
Canada-Chile Free Trade Agreement (CCFTA) – Article(s) Kbis-09 1.b.
Canada-Colombia Free Trade Agreement – Article(s) 1409.1 b. iii.
Canada-Honduras Free Trade Agreement – Article(s) 17.11 2. (b) (iii).
Canada-Panama Free Trade Agreement – Article(s) 16.10.1 b. iii.

8. Ownership of Intellectual Property

Ownership of any Foreground Intellectual Property arising out of the proposed contract will vest in the Contractor.

9. Period of the Proposed Contract or Delivery Date

The proposed contract is for a period of approximately ten (10) months, from July 27, 2022 to May 31, 2023.

10. Cost Estimate of the Proposed Contract

The estimated value of the contract, including option(s), is $150,000.00 (GST/HST extra).

11. Name and Address of the Pre-Identified Supplier

Mount Royal University
4825 Mt Royal Gate SW
Calgary, AB T3E 6K6
Canada

12. Supplier’s Right to Submit a Statement of Capabilities

Suppliers who consider themselves fully qualified and available to provide the goods, services or construction services described in the ACAN may submit a statement of capabilities in writing to the contact person identified in this notice on or before the closing date of this notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.

13. Closing Date for a Submission of a Statement of Capabilities

The closing date and time for accepting statements of capabilities is July 27, 2022 at 3:00 p.m. MDT.

14. Inquiries and Submission of Statements of Capabilities

Inquiries and statements of capabilities are to be directed to:

Ryan Bent
Procurement Officer

Suite 420, Harry Hays Building
220 – 4 Avenue SE
Calgary, AB T2G 4X3

(403) 921-7545
ryan.bent@prairiescan.gc.ca