DD1492 Executive Search Services for TfL Board Members

1.1. There are currently 16 Board members including the current Mayor (Chair of the Board). The Mayor’s appointment as the Chair will end when the current mayoral term ends. The Chair and Deputy Chair will not be included as part of the search agency requirements. All other members current terms are due to expire on 17 June 2016.

1.2. To meet the minimum number of members on the Board (eight), the GLA proposes that the new Mayor re-appoint a small number of existing members for up to four months, to enable the Board to function until a new Board is fully appointed. This process will be managed through short term extensions to existing terms of appointment. However this is only an interim solution and new Board appointments need to be in place as soon as possible.

1.3. An independent review of the TfL Board was conducted by Deloitte in 2015. It outlines key recommendations for ensuring the Board is effective moving forwards. These recommendations include a) appointing an executive search agency to support future appointments, b) enhancing existing skills areas as well sourcing candidates for new skills areas and industry expertise and c) attracting candidates for the Board to be more representative of Londoners, specifically greater gender and ethnic diversity.

1.4. The GLA will ensure the recruitment and appointment process is in accordance with the Mayoral appointments protocol which includes involving an ‘independent’ element to provide some measure of assurance the Mayor has acted reasonably in making these appointments. DD934 Appointment and Payment of Independent Element in Board Appointments confirms the amount to be paid to persons participating in board selection processes.

2.1. The objective is to procure an executive search agency to deliver the search and selection function to appoint up to seven members to the Transport for London (TfL) Board by 1 August 2016. The executive search agency will be required to provide a pool of suitably qualified, skilled and diverse candidates to ensure the GLA’s board composition requirements are met and support the recommendations outlined in the independent effectiveness review.

2.2. The GLA has worked closely with the TfL Commercial team to prepare the Invitation to Tender (ITT) documentation and agree a competitive procurement route. A total of six executive search agencies have been identified and will be invited to tender a submission.

2.3. It is expected that the executive search agency will be appointed by 12 April 2016.

3.1. The Invitation to Tender (ITT) documentation makes clear:

- The legislation that places a general duty upon the GLA to have due regard to the need to tackle discrimination, promote equality of opportunity and promote good relations.
- Under the GLA group statement of principles on Supplier Diversity, this general duty applies to services delivered by third party suppliers to ensure the purchase of services is undertaken in line with its equalities and diversity commitments.
- Board appointments should aim to be more representative of Londoners, specifically greater gender and ethnic diversity on the Board.
- Through the bid tendering process suppliers must demonstrate, in relation to the GLA's equality duty, how they will ensure the candidates reflect London's diversity.
- Board appointments must represent the interests in relation to transport of women and who require transport which is accessible to persons with mobility problems.

4.1. Mayoral strategies and priorities
The statutory requirement is to appoint a new Transport for London Board within 45 days of the announcement of the new Mayor. All members current terms are due to expire on 17 June 2016. The GLA propose the new Mayor re-appoint a small number of existing members for up to four months, to enable the Board to function until a new Board is fully appointed.

4.2. Risks and issues
There is a risk that the organisations bid above the £70k budget. If this is the case, the number of Board Members being recruited through the executive search agency would need to be reduced, thereby reducing the overall cost.

4.3. Not proceeding with this procurement and contract would mean the GLA would have to direct source a high volume of candidates. This needs to be a robust executive level candidate search for high profile Board appointments. The GLA does not have the resources to manage this high level recruitment campaign and appointing up to seven members to the Board by 1 August 2016 may not be achievable.

4.4. Impact assessments and consultations
Transport for London legal and procurement have been extensively consulted as part of this work.

5.1. A budget of up to £70K has been allocated from the GLA Recruitment and Advertising budget.

6.1. Paragraph 2(1) of Schedule 10 of the Act states that ”..Transport for London shall consist of not less than eight nor more than fifteen members, all of whom shall be appointed by the Mayor.” Procuring an executive search agency to deliver the search and selection for appointments to the TfL Board is conducive to the exercise of the Mayor’s functions set out in Schedule 10.

6.2. Any works, services, or supplies which are required, must be procured by TfL Commercial. TfL Commercial has determined the procurement strategy and the requirement will be procured in accordance with the GLA’s Contracts and Funding Code (‘Code’).

6.3. TfL Legal has reviewed the Tender documentation and provided comments to TfL Commercial. TfL Legal will continue to assist where necessary.

Planned delivery approach and next steps

The Invitation to Tender (ITT) documents have been produced with input from TfL Commercial (procurement and legal) and issued to bidders. Below is the agreed procurement timetable:

Below is the initial timetable for the appointment of Board members to be finalised and agreedonce the executive search agency has been appointed: