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Doing business through the OSC PDF Print E-mail
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The OSC is a trade organisation representing IT companies providing products and services around Free and Open Source Software. We aim to help our members by helping them find business directly and by working to increase the overall size of the market for Open Source Software. This guide covers one aspect of the OSC's work : how OSC members can gain work through the OSC.

Networking

A lot of business is done through the OSC. Some of it appears on the lists, some is between members who through the OSC have got to know and trust each other. Members might ask for help with work they don't have the resources to do completely by themselves; or they might pass on opportunities they can't fulfil.

This business between members is entirely a private affair. The OSC lists and events are a resource provided to members; the OSC does not impose any requirements or recommendations about rates of pay, working practices or anything else.

Business gained from the OSC

As the OSC increases its profile and works to gain the trust of the public sector, more opportunities are coming to the OSC for members to take advantage of. The OSC has a service on our website allowing potential customers to submit their requirements. This is where the OSC has procedures and guidelines to ensure that everything is fair for both clients and OSC companies.
A request comes in. Depending on the request we might

  •  Decide the OSC will be prime contractor and ask all members for subcontractors.
  •  Put it in front of all members and see what happens.

OSC as prime contractor

If the OSC is prime contractor we will

a) Identify one or more subcontractors

b) Agree the rate we charge the client and the rate we pay the subcontractors.

c) Work with the subcontractors to manage the contract.

d) If agreed with the client, the OSC guarantee will apply.

Leaving it open to all members

Sometimes it isn't clear what the best arrangement will be. Options are

a) The OSC as prime contractor, as above.

b) One OSC member acts as prime contractor with others as subcontractors.

c) One OSC member takes the work as sole contractor.

The OSC guarantee only applies when the OSC is prime contractor.

Multiple tenders

When work comes in, it may be that members are invited to tender. In this case, there can be multiple tenders, each one put in by either a single member or a mini-consortium of members.  Where the OSC is happy with the quality of the tenders, they can normally go forward under the OSC banner (i.e. company X puts in the tender "supported by the OSC").  Anyone is, of course, free to submit a tender without using the OSC name.

If the OSC isn't prime contractor but supports the tender

  • The OSC guarantee doesn't apply
  • The OSC reserves the right to review the price being quoted in the tender, to ensure that members aren't bidding too low. We want to avoid the situation where one member undercuts another to do work for little or no profit. Of course, the OSC cannot fix prices or assist members in colluding on prices.
  • Where an OSC member or mini-consortium wins a tender supported by the OSC, the OSC will charge a fee. This will be on a case-by-case basis, typically around 10% of services work or 10% of profit on hardware or software.

Rates

Where the OSC is prime contractor, we are able to charge a premium rate, as a larger company would, for the security we give clients. The OSC retains one third of the fee with two thirds going to subcontractors.