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HomeMy WebLinkAboutRicoh USA Inc; 2014-06-03;AGREEMENT FOR PRINTING USAGE ASSESSMENT SERVICES RICOH USA, INC. THIS AGREEMENT is made and entered into as of the — clay of rXur^^^ 2014_, by and between the CITY OF CARLSBAD, a municipal corporation, ("City"), and Ricoh USA, Inc., an Ohio corporation ("Contractor"). RECITALS Citv requires the professional services of a consultant that is experienced in Printing Usage Assessment Services. Contractor has the necessary experience in providing these professional services, has submitted a proposal to City and has affirmed its willingness and ability to perform such work. NOW, THEREFORE, in consideration of these recitals and the mutual covenants contained herein. City and Contractor agree as follows: 1. SCOPE OF WORK ^ ... City retains Contractor to perform, and Contractor agrees to render, those services (the "Services") that are defined in Exhibit "A", attached and incorporated by this reference in accordance with the terms and conditions set forth in this Agreement. 2 TERM This AgTiii^^int will be effective tor a period of one (1) year from the date first above wntten. 3. COMPENSATION . ^ • u A A-.r.A The total fee payable for the Services to be performed will be nine thousand six hundred and fifty dollars ($9 650 00). No other compensation tor the Services will be allowed except tor items covered by subsequent amendments to this Agreement. City reserves the right to withhold a ten percent (10%) retention until City has accepted the work and/or the Services specified in Exhibit "A" The City shall pay all undisputed or non-retention amounts payable to Contractor hereunder within thirty (30) days of the date of the invoice submitted by Contractor. If Contractor undertakes collection efforts, the prevailing party shall be entitled to recovery its costs including, without limitation, reasonable attorneys' fees. Contractor may suspend or terminate Services tor non-payment. Except to the extent the City is tax-exempt and provides Contractor with a valid certificate, the City shall be responsible for payment of any applicable taxes arising in connection with the transactions contemplated hereby (other than with respect to the income of Contractor). 4 STATUS OF CONTRACTOR . . . . Contractor will perform the Services as an independent contractor and in pursuit of Contractor s independent calling, and not as an employee of City. Contractor will be under the control of City only as to the results to be accomplished. 5. INDEMNIFICATION ^. ^ . , Contractor agrees to indemnify and hold harmless the City and its officers, officials, employees and volunteers from and against all claims, damages, losses and expenses including reasonable attorneys fees arising out of the death or bodily injury of any agent, employee, or Page 1 of 13 business invitee of the City, or the damage, loss, or destruction of any tangible property of the City to the extent caused by any negligence, recklessness, or willful misconduct of the Contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable except to the extent caused by the established sole negligence, recklessness or willful misconduct ofthe City. The parties expressly agree that any payment, attorney's fee, costs or expense City incurs or makes to or on behalf of an injured employee under the City's self-administered workers' compensation is included as a loss, expense or cost for the purposes of this section, and that this section will sun/ive the expiration or early termination of this Agreement 6. INSURANCE Contractor will obtain and maintain policies of commercial general liability insurance, automobile liability insurance, a combined policy of workers' compensation, employers liability insurance, and professional liability insurance from an insurance company authorized to transact the business of insurance in the State of California which has a current rating in the Best's Key Rating guide of at least A-:VII OR with a surplus line insurer on the State of California's List of Eligible Surplus Line Insurers (LESLI) with a rating in the latest Best's Key Rating Guide of at least "A:X", in an amount of not less than one million dollars ($1,000,000) each, unless othenwise authorized and approved by the Risk Manager or the City Manager. Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written as claims- made coverage. The insurance will be in force during the life of this Agreement and will not be canceled without thirty (30) days prior written notice to the City by certified mail. City will be named as an additional insured on General Liability which shall provide primary coverage to the City. Contractor will furnish certificates of insurance to the Contract Department, with endorsements to City prior to City's execution of this Agreement. 7. CONFLICT OF INTEREST Contractor shall file a Conflict of Interest Statement with the City Clerk in accordance with the requirements of the City of Carlsbad Conflict of Interest Code. The Contractor shall report investments or interests in all four categories. 8. COMPLIANCE WITH LAWS Contractor will comply with all applicable local, state and federal laws and regulations prohibiting discrimination and harassment and will obtain and maintain, if required, a City of Carlsbad Business License for the term of this Agreement. 9. TERMINATION City or Contractor may terminate this Agreement at any time after a discussion, and upon thirty (30) days written notice to the other party. City will pay Contractor's costs for services delivered up to the time of termination, if the services have been delivered in accordance with the Agreement. Either party shall have the right to terminate this Agreement for cause in the event of a material breach by the other party, unless such breach is cured within thirty (30) days of receipt of written notice of such breach. 10. CLAIMS AND LAWSUITS By signing this Agreement, Contractor agrees it may be subject to civil penalties for the filing of false claims as set forth in the California False Claims Act, Government Code sections 12650, et sea., and Carlsbad Municipal Code Sections 3.32.025, et seq. Contractor further Page 2 of 13 acknowledges that debarment by another jurisdiction is grounds for the City of Carlsbad to terminate this Agreement. 11. JURISDICTIONS AND VENUE Contractor agrees and stipulates that the proper venue and jurisdiction for resolution of any disputes between the parties arising out of this Agreement is the State Superior Court, San Diego County, California. 12. ASSIGNMENT Contractor may assign neither this Agreement nor any part of it, nor any monies due or to become due under it, without the prior written consent of City. 13. AMENDMENTS This Agreement may be amended by mutual consent of City and Contractor. Any amendment will be in writing, signed by both parties, with a statement of estimated changes in charges or time schedule. 14. AUTHORITY The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement. 15. IP Matters; Software Licenses. a. Ownership of IP Riqhts. Neither party shall acquire any right, title or interest in or to the other party's intellectual property ("IP") rights including their copyrights, patents, trade secrets, trademarks, service marks, trade names or product names. Subject to payment of all relevant Fees and charges. Contractor hereby grants the City a worldwide, perpetual, nonexclusive, non-transferable, royalty-free (other than payments identified in this Agreement or other transaction documents) license for its internal business purposes only to use, execute, display, perform and distribute (within Customer's organization only) anything developed by Contractor for the City in connection with the Services ("Contract Property"). Contractor shall retain all ownership rights to the Contract Property. For purposes of clarity this SOW and the foregoing license relates to the professional services only, and software programs shall not be deemed to be deliverables or "Services". All licensing for Contractor or third party software shall be as provided in subsection (b), below. b. Software Licenses. All Contractor and/or third party software provided by Contractor as part of or in connection with the Services is licensed, not sold, and is subject to both the server, seat, quantity or other usage restrictions set forth the relevant transaction documentation, and to the terms ofthe respective End User License Agreements, with which the City agrees to comply. If such software is manufactured by a party other than Contractor, then the City acknowledges that Contractor is not the manufacturer or copyright owner of such third party software and that Contractor makes no representations and provides no warranties with respect thereto. Contractor shall make available to the City any warranties made to Contractor by the manufacturer of the software and/or products utilized by Contractor in connection with the Services hereunder, to the extent transferable and without recourse. Page 3 of 13 16. Limited Warranty for Services; Limitation of Liabilitv. Contractor warrants that it will perform the Services (i) in a good and workmanlike fashion, (ii) using reasonable care and skill, and (iii) according to the description contained in Exhibit A. The City must report any defects in the Services in writing within thirty (30) days of performance of such Services in order to receive warranty remedies. Contractor's entire liability for the Services performed, and the City's exclusive remedy for any breach of this limited warranty shall be Contractor's reasonable effort to perform corrective work or, if the Services still cannot be completed after commercially reasonable efforts to do so, a refund to the City of a prorated amount of the fees and charges attributable to the defective Services, as determine in Contractor's reasonable discretion. Except as provided above, THE SERVICES, WORK AND DELIVERABLES ARE PROVIDED "AS IS." EXCEPT FOR THE LIMITED WARRANTY SET FORTH ABOVE. CONTRACTOR CITY OF CARLSBAD, a municipal corporation of the State of California (sign here) Curt Albrecht, Marketplece VP (print name/title) Tina Steffa ATTEST: By: (sign here) (print name/title) BARBARA ENGLESON City Clerk If required by City, proper notarial acknowledgment of execution by contractor must be attached. If a corporation. Agreement must be signed by one corporate officer from each of the following two groups: Group A. Group B. Chairman, Secretary, President, or Assistant Secretary, Vice-President CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: CELIA A. BREWER, City Attorney Page 4 of 13 Exhibit "A" Introduction The RICOH TCO Output Analysis (TCOA) is an in depth study of your output asset fleet and the processes that feed them. It combines powerful assessment software with the experience and expertise of highly qualified consultants to help you understand the effectiveness and utilization of your output devices. The TCOA examines every facet of your document output and assets including utilization rates, user behaviors and satisfaction, print applications, service and supply costs, asset maps and floor plans. And the report deliverable provides recommendations for cutting costs, increasing efficiencies and prioritizing plans for future growth. A strategic approach to output can yield significant rewards. While the perception of a current environment may be that each page costs only a few cents (which in most cases is correct), when multiplied by the City of Carlsbad's total monthly volume, along with the related process costs, the fully burdened costs quickly add up. In fact research by industry analysts have found that managing documents is the third highest overall business cost, after headcount and fixed assets, representing anywhere from 4% to 15% of total revenues\ with as much as 70% of these costs not being fully understood or accounted for in traditional budget reviews. In many organizations, the process of adding printers and copiers is typically done on an as-needed basis, without giving much strategic thought to each request. As the price of personal Inkjet and laser jet printers has continued to fall, the assumption that these devices are becoming less expensive is actually incorrect. The purchase price of these devices plus the cost of consumables, makes the cost per-page considerably higher than their digital multi-function counterparts. In addition, the placement of these devices does not necessarily provide optimal workflow or machine performance. WSCA Contract #20-000-00-00040A Ricoh's proposal for TCO Output Analysis for the City of Carlsbad is based upon the pricing and terms and conditions stated in WSCA Contract #20-000-00-00040A. Specifically, the WSCA contract states the followmg pricing and description for a comprehensive Managed Print Services analysis. COST ASSESSIVIENTS OVER 250 UNITS Base fee $5,000 + Cost per unit discovered $10 Multiple locations if necessary Asset mapping of all output devices End User Satisfaction Survey 40 hours of end-user interviews Detailed Recommended State Report Green Analysis and Design 1 Studies from Gartner Group and Datamation Page 5 of 13 TCO Output Assessment Objectives The TCO Output Analysis captures and analyzes data on the costs associated with the document output and renders cost-benefit recommendations that help reduce costs by improving workflow, increasing efficiency and enhancing productivity. The following objectives have been identified by Error! Not a valid link, and provide the foundation forthe TCOA: • To uncover and quantify the operations related to printing, copying, and faxing. • To determine the current state of document output, by location and the associated costs. The RICOH TCO Output Analysis Methodology RICOH'S TCO Output Analysis (TCOA) begins with a thorough analysis of City of Carlsbad's current state. To get an understanding of how documents are output, RICOH will conduct focus interviews with departmental stakeholders and employees to determine the strengths, weaknesses, and improvements necessary to the current state so as to improve user efficiency. RICOH uses a well-defined methodology for conducting a TCOA that has been extensively field-tested and refined over the years. Plan - As part ofthe first step ofthe Document Strategy Discovery, a clearly defined project scope needs to be agreed to by both parties, followed by a detailed project plan. During the planning stage, software will be chosen and tested to aid in the data collection. Collect Data - RICOH Consultants will collect document output activity data from printers, multifunctional devices, copiers, faxes, and user workstations, or network servers as well as collecting financial information, to perform the analysis. RICOH Consultants will hold focus interviews with representative staff members from different departments throughout the Error! Not a valid link, to investigate document output workflows in more detail. During this process Ricoh Consultants will be extremely sensitive to the delicate nature ofthe assessment. Analyze Data - RICOH Consultants and Analysts will analyze the information. Type and volumes of documents as well as inefficiencies will be highlighted and presented to the client's Project POC. Asset Mapping Software RICOH uses a tablet equipped with asset mapping software when conducting Document Output Strategy Discoveries. Asset mapping software allows the Consultant to scan or import office floor plans, and as a thorough on-site asset audit is performed, an asset icon is placed on the floor plan and data about that asset is input directly into the fields of the database. The following list is a sample of the fields that Asset mapping software allows the Consultant to track, which are critical for successful discovery: • Asset # (RICOH provided) • Client Asset # (if assigned) • Serial Number • IP Address • Meter Reading (opening and closing) • Number of paper sources Page 6 of 13 Finishing options Size of paper in cassettes Type of paper in cassettes (plain, letterhead, envelopes, etc.) Device Category (Printer, Copier, MFD, Fax< Scanner, Other) Device Type (laser, inkjet, plotter, etc) Device Manufacturer Device Model Age of device This tool helps ensure that RICOH collects all of the information necessary Xo make to provide a comprehensive analysis of the City of Carlsbad's current state. Asset mapping software is compatible with a barcode reader to assist with the input of information as quickly as possible, to make follow-up audits very quick, and supports the use of SNMP tools, such as HP Web Jetadmin or Lexmark's MarkVision, for pre-discovery and data collection in order to make the site audit as quick and unobtrusive as possible. This Discovery is the f irst step to the creation of a comprehensive document strategy that will bring order to the City's information needs and allow you to manage assets in a way that makes the most sense for you. Total Cost of Ownership Output Assessment - Detailed Process RICOH will use a combination of tools such as: surveys, meter reads, print assessment software, interviews, data analysis, site tours, etc; to collect all of the relevant data which will form the foundation of the recommendations. An overview of the techniques and practices are as follows: 1. Plan Discovery The following activities will take place during the planning phase ofthe TCOA: Finalize client agreement and Statement of Work plan Staff project Internal team kick-off meeting, review project objectives Validate study population Obtain floor plans Collect SNMP discovery reports, if available Client kick-off meeting Prepare a project plan and deliverable / responsibility matrix Distribute communication plan to the Error! Not a valid link.'s project champion Send executive-level memo outlining assessment objectives, activities 2. Collect Data The following activities will take place during the data collection phase of the TCOA: Asset Mapping and Meter Readings RICOH will map assets to the client provided floor plans and collect meter readings on all devices during a walk-through. This phase will be conducted over a 5-week timeframe. Page 7 of 13 walk-through for manual collection - Identify all printers, copiers, fax machines and shared scanners on To^lans prov"^ by the Error! Not a valid link.. This will entail visiting each copier/MF , fax machine and network printing device and printing out configuration pages, or documenting the meter reading for e h d Ie During this process, RICOH will document the make, model, serial number and page count or each device. In the event that a specific device does not print a configuration page or recor page counts the Discovery team will document manufacturer, model and serial number and identify its Son on the floor plans. Wherever possible, RICOH will leverage data from the SNMP tool to aid with the data input, however this will not take the place of the physical visit to each device. . Collect cost data - Compile information from asset mapping into a spreadsheet to begin collecting costs from the Error! Not a valid link.. Communicate to the client what specific information is needed, and identify if there will be any challenges in collecting this mformation. . conduct focus interviews - In order to gain a clear understanding of the current document workflows within the Error! Not a valid link., the current requirements of users^ RICOH w." conduct Tp to 40 focus interviews with a cross section of staff throughout the Error! Not a valid Imk.. The Error- Not a valid link, will identify and notify focus interview participants. During this process Ricoh Consultants will be extremely sensitive to the delicate nature of the assessment. RICOH'S ability to provide accurate and timely recommendations that are based on this information is cSent on R/COH receiving this information from the Error! Not a valid link, within the agreed upon timeline. 3. Analyze and Validate the Summary of Current State The following activities will take place during the Data Analysis phase ofthe TCOA: RICOH will analyze all of the current state data that was collected during the Discover, and conduct a Summary of Current State validation workshop that reviews the following with the City of Carlsbad. . Review of objectives and methodology used to conduct the Discovery • Asset and volume summary by device type • Employee to asset ratios . Device type usage analysis by number of units and by volume. . Device utilization summary by device type, by total volume versus capacify and utilization percentage of time • Focus interview summaries .. ^ u r . Summary of current costs detailed by direct and indirect costs (if data is provided by client) . Detailed device usage and cost detail by device type and by individual asset The va da ion worksho meeting will be held with the Error! Not a valid link, project team to rev-e^ above referenced items. At the end of the validation workshop, any data that needs to be recollected or further validated will be planned prior to proceeding to the Recommendations development phase. 4. Present Findings and Recommendations Report The following activities will take place during the Develop Recommendations phase of the TCOA: Develop guidelines and standards that measure the performance against new benchmark Develop and present the executive briefing Review the report and presentation with the Cify of Carlsbad's Project POC and or committee. Deliver the Findings and Recommendations Report and presentation Project sign-off Page 8 of 13 Project Locations The following locations have been identified as part ofthe project scope: Facilitv City Administration Dept City Address 1635 Faradav Avenue Sa. Ft. 68,000 City Council Chambers Cify 1200 Carlsbad Villaqe Dr 2,500 Citv Hall Complex Cify 1200 Carlsbad Villaqe Dr 13,500 Railroad Depot (ConVis) CofC 400 Carlsbad Villaqe Dr 1,608 Citv Yard CSD 405 Oak Avenue 8,249 Citv Yard Modular Building CSD 405 Oak Avenue 1,800 Fire Station # 1 Fire 1275 Carlsbad Villaqe Dr 5,040 Fire Station # 2 Fire 1906 Arenal Road 3,982 Fire Station # 3 Fire 3701 Catalina Drive 4,084 Fire Station # 4 Fire 6885 Batiquitos Lane 3,900 Fire Station # 5 Fire 2540 Orion Way 12,600 Fire Station # 6 Fire 7201 Rancho Santa Fe Road 6,182 Cole Library Lib 1250 Carlsbad Village Dr 24,600 Elmwood House Lib 1255 Elmwood Avenue 1,843 Library Learning Center Ub 3368 Eureka Place 11,393 Main Library Lib 1775 Dove Lane 64,000 Aviara Moudular P&R Aviara Park 2,000 Calavera Community Center P&R 2997 Glasqow Drive 17,400 Carrillo Ranch P&R 6200 Flyinq LC Ln 9,235 Community Swim Complex P&R 3401 Monroe Street 4,102 Harding Community Center P&R 3096 Hardinq Street 12,392 Heritage Hall P&R 2650 Garfield 1,608 Kruger House P&R 3215 Eureka Place 1,250 Magee House P&R 258 Beech 4,089 Scout House P&R 3225 Eureka Place 1,908 Senior Center P&R 799 Pine Street 45,895 Stage Coach Community Center P&R 3420 Camino de los Coches 17,400 Stay & Play P&R 3330 Hardinq Street 1,440 Parks Administration Parks 1166 Carlsbad Village Drive 504 Parks Modular BIdq/Break Room Parks 1166 Carlsbad Village Drive 2,000 Safety Center Pol 2560 Orion Way 64,000 Fleet Yard PW 2480 Impala Drive 10,358 Water District Wtr 5950 El Camino Real 18,000 Water District Modular Wtr 5950 El Camino Real 696 Carlsbad Safety Training Center Pol 5750 Orion St 45,501 Alga Norte Park P&R 6565 Alicante Ave 17,370 The Crossings P&R 5800 The Crossings Drive Hiring Center Cdev 5958 El Camino Real 280 Encinas Treatment Building Cify 6220 Avenida Encinas 4,356 Mfiarkle Resevoir Wtr 8203 Sunny Creek Rd. Page 9 of 13 Project Deliverable The Findings & Recommendations Report is the deliverable from this engagement and will include the following content: • Introduction, objectives and methodology used to conduct the Discovery • Equipment and volume summary by device type • Employee to asset ratios • Device type usage analysis by number of units and by volume. . Device utilization summary by device fype, by total volume versus capacify and utilization percentage • Focus interview summaries • Summary of current costs detailed by direct and indirect costs . Detailed device usage and cost detail by device fype and by individual asset. . Strategic recommendations for improving the efficiency of creating documents at the Error! Not a valid link. . Device recommendations detailed in a vendor neutral format by specification only • Current state floor plans highlighting the existing state devices • Summary of current cost information • Summary of associated savings (generalized as potential) The proposed solution design and recommendation/s will be based on technologies and platforms offered by RICOH which conform to the Error! Not a valid link.'s IT standards. These recommendations will be presented in a vendor-neutral manner and the work completed in this assessment phase will ultimately provide the Error! Not a valid link, with the blueprints necessary to guide the implementation process, regardless ofthe business partner selected. During the course ofthe engagement, should additional departments/business processes be identified as holding opportunify for improvement outside of those stated within this scope of sen/ices, such opportunities will be identified in the "Ancillary Opportunities" section of the Findings & Recommendations Report. Critical Success Factors Executive Sponsorship It is absolutely necessary that Executive Management convey to staff that this program has their complete support and that they are looking for staff support during the project's execution. During the planning phase of the project RICOH will define the benefits of the program to staff and introduce the joint participation project methodology that will ensure the program's success in conformance with Executive Sponsorship. Access to Information / People staff will be required to provide time from their current schedules in order to participate in the assessment process, especially during the very critical focus interview phase. Our challenge is to ensure that once time commitments have been made that they are not changed to the extent that the project timeline is impacted. Page 10 of 13 An Interview schedule will be prepared and published by RICOH during the project's planning phase. Though publication of this schedule does not ensure 100% compliance with the interview process its visibility does help mitigate deviations from the schedule. "Scope Creep" Any project is prone to "Scope Creep" to some extent. RICOH recognizes this and accordingly, we will ^ accommodate a certain amount of creep in order to maintain staff cooperation. However, if in RICOH s opinion there are requests to expand the project scope into areas that could very well impact its completion and success they will be referred to Executive Level for resolution. Requests that fall within this definition will not be implemented without an agreed upon change order between RICOH and the Cityof Carlsbad. Page 11 of 13 Proposed Consulting Engagement Plan The following is based on a TCO Output Analysis to be performed at the Error! Not a valid link., which includes the following details: Total number of users within study population 1,200 Total number of Devices in Scope 465 Total number of sites 40 Total Number of Focus Interviews 40 Proposed Fees and Timelines Professionai Services Fees 5,000 $5,000.00 Time (hours)| Cost Total Estimated Cost $9,650.00 The fee for RICOH to perform the Document Output Strategy Assessment as outlined in this document and provide the Error! Not a valid link, with the aforementioned deliverables will be Error! Not a valid link.and will take approximately 6 to 8 weeks to complete (from project commencement to project sign- off). The table on the following page shows a high-level task list along with the estimated effort for each phase ofthe TCO Output Analysis. The basis of this pricing is derived from the WSCA contract, which states the following pricing and description. COST ASSESSMENTS OVER 250 UNITS Base fee $5,000 + Cost per unit discovered $10 Multiple locations if necessary Asset mapping of all output devices End User Satisfaction Survey 40 hours of end-user interviews Detailed Recommended State Report Green Analysis and Design Page 12 of 13 Task Description 1.1 Intemal Team Meeting 1.2 Client Kick-off Meeting 1.3 Distribute Communication to Client Staff 1.4 Test Print Assessment Software at Client site 2.1 Deploy Print Assessment Software 2.2 Site Visit/Asset Mapping 2.3 Conduct end-user/web surveys 2.4 Gather current Output Costs 2.5 Conduct Focus Interaews 2.6 Closeout Data Collection 3.1 Analyze Sun«y/lntenrtew Results 3.2 Analyze Print Assessment Software Data 3.3 Calculate Device Volumes 3.4 Current State & Total Cost of Operation (TCO) Determined 3.5 Validate Findings with Client 3.6 Specific Data is refined or recollected (if necessary) 4.1 De\«lop Recommendations that support the customer's business objectives (tactical recommendations) 4.4 Develop Guidelines and Standards that measure the performance against new benchmark, (strategic recommendations) 4.5 Develop and Present the Executive Briefing 4.6 The Customer Reviews the Detailed Report 4.7 Review the Report with the Customer 4.8 Project Sign-off Time (hours) 1.5 2.0 0.5 3.0 8.0 28.0 3.0 3.0 15.0 17.5 13.0 14.6 11.7 17.5 2.5 1.0 17.5 48.0 8.0 Totai Billable Consulting Hours 220.25 Page 13 of 13