Mandate

Established in September 1985, the Advertising Review Board (ARB) is a regulatory agency of the Ministry of Government and Consumer Services created to empower the government’s commitment to protect the public’s trust in the assignment of communication contracts; ensure that fair and responsible practices are followed in the acquisition of communication services and that the government receives value for money in all of its communication services throughout the term of every contract.

The mandated activities of the ARB are to:

  • function as the Ontario government’s primary contact with the advertising and communications sectors
  • provide ministries and government agencies with assistance and advice on the acquisition of advertising and communications services
  • establish all mandatory, corporate Vendor of Record (VOR) arrangements for advertising, public and media relations, and creative communications services through open competitive processes, including the agency of record (AOR) contract currently in place for media planning and buying services
  • conduct all competitive and non-competitive procurements, including second stage selections from established corporate arrangements, with an estimated contract value* of $100,000 or more
  • audit, as necessary, the performance of all parties to any contract awarded by the ARB ensuring value for money and effectiveness of contract management
  • conduct, when requested by government clients, competitive and non-competitive procurements, including second stage selections from corporate arrangements, with an estimated value of less than $100,000; and
  • monitor and report on compliance with the MBC Procurement Directive on Advertising, Public and Media Relations, and Creative Communications Services

The ARB carries out its mandate with the establishment of corporately contracted “pools” of advertising and communications suppliers that are authorized to bid competitively for government assignments. The open competitions to establish the new pool contracts are extensive and rigorous, and are conducted by the ARB in strict compliance with Ontario government procurement guidelines and policies.

* Contract value refers to supplier fees, production and third-party costs.

Today ARB maintains the following corporate pools and VORs:

  • advertising and marketing communications services pool comprised of a total of 34 companies
  • public relations and communications services pool of 18 firms
  • graphic design and creative services VOR of 58 companies
  • media planning and buying agency of record (AOR); and
  • media planning and buying agency of record (AOR) for regulatory, statutory and tender notices, and recruitment advertising

Contracts valued at $25,000 or more are competitively awarded based on capability and merit. Second stage selections from existing corporate VOR arrangements typically involve three or more candidates. Ministries and government agencies may use their own procedures for the acquisition of services valued at less than $25,000 provided the principles of access, equity and value for money are considered.

Overview of programs and activities

The longer-term direction of the ARB remains focused on high-performing service delivery capable of supporting the increasingly diverse communications needs of client ministries and government agencies within a competitive process that guarantees value for money.

1. Procurement of advertising & communications services

The primary activity of the ARB is the fair and transparent procurement of advertising, communications consulting (public and media relations), and creative communications services for government clients. The organization has well-established procedures in place to fulfill this mandate.

Open Competitions to Establish Pools and VOR Arrangements

The ARB creates corporate Vendor of Record (VOR) arrangements through open competitive first stage processes:

  1. Competition Notice Published with instructions to proponents
  2. Proponents attend a briefing to receive competition materials and timeline
  3. Written submissions are evaluated by the review panel and qualified proponents proceed to the next phase of the competition
  4. Short-listed proponents attend a briefing to receive additional competition materials and are scheduled to present to the review panel
  5. Successful proponents  are offered contracts
  6. Vendor of Record list is available to government ministries and agencies

On average, three or more open competitive first stage processes are conducted each year to fulfill corporate and/or specific government client organization requirements. These open competitive processes are conducted when the scope of deliverables required by a government client organization exceeds those of the established corporate vendor of record arrangement, and selecting from the vendor pools through a second stage competitive process is not appropriate.

Each process takes a minimum of two to three months to complete and there is often considerable overlap. Depending on the type of open competition undertaken to acquire the services, these processes entail the independent evaluation of written proponent submissions and usually include the review of short-listed candidate capability presentations by a selection panel made up of ARB Board members and staff drawn from both the ARB and the client Ministry or Agency.

The open competitions to create corporate supplier pools are typically large-scale and demanding of staff time. On average they can take 4-5 months and require detailed consideration of more than 100 firms.

Contracted suppliers in the corporate advertising and communications services pools and VORs are required to be available to respond to bid for future projects on a non-exclusive basis. There is never a guarantee of any business or any dollar volume of business, a condition that is made clear in writing to all interested and ultimately successful proponents.

Second stage selection processes from the VOR arrangements

When a ministry or government agency requires advertising and creative communications services, they work with the ARB to finalize a procurement project brief that includes the scope of deliverables, term and contract ceiling value for the assignment.

The ARB recommends three or more candidate suppliers from the appropriate corporate contract arrangements. These firms are invited, with a minimum of five working days notice, to make capability presentations in response to an ARB and Client approved brief. The respondent presentations are evaluated by a selection panel comprised of ARB and/or client representatives, in accordance with the estimated contract value, and the proponent that achieves the highest score in the process is awarded the assignment.

Compliance with the directive

ARB is responsible for monitoring compliance with the Procurement Directive on Advertising, Public and Media Relations, and Creative Communications Services. This is undertaken by ongoing reviews, a post assignment questionnaire and reporting on the use of advertising and communications services by ministries and government agencies.

  • with the update of the Procurement Directive in 2014, and ongoing changes to government agency Memoranda of Understanding, there is greater client awareness of the need to comply with the Procurement Directive on Advertising, Public and Media Relations, and Creative Communications Services, and continuing growth in demand for ARB resources and support.
  • there is a continuing need for a post-assignment performance review process as part of the ARB ’s contract management role. The ARB continues to explore time sensitive and cost-effective methodologies to establish metrics that can be implemented and tracked over time. In 2017 a new post-assignment evaluation was implemented and is to be submitted by VOR suppliers and government clients to the ARB at contract close.
  • the annual ARB service delivery study measures a range of performance dimensions among ministry and government agency clients. The survey provides performance metrics on effectiveness, efficiency as well as customer satisfaction and adds another dimension of ARB value and accountability.
  • as a natural extension of its procurement role, the ARB monitors any changes in personnel and the quality of the creative, relevant to our clients, among agencies within the Advertising and Public Relations pools as well as the Graphic Design VOR to ensure the appropriate resources continue to be in place to support second stage competitive assignments.

2. Media effectiveness and AOR management

Management of the government media planning and buying agency of record (AOR) contract is another major function of the ARB . This includes the development of an annual media operating manual for distribution to government clients and advertising services pool companies, and the annual review of media expenditures to ensure effectiveness and value for money by measuring media costs and tracking campaign efficiencies. The ARB also manages the AOR contract for recruitment advertising, and all regulatory, statutory and tender notices.

The Government Advertising Act, 2004 includes a requirement for the Office of the Auditor General to report on annual ministry expenditures for “reviewable advertising items”. The AORs are the primary source for this information, with the ARB responsible for the timely collection and delivery to the Auditor General.

The Ontario Government invests public money on advertising and communications in order to support public education with respect to services, regulations and public policy initiatives. The return on investment mandate requires monitoring to measure the performance of the Government versus the private sector and track efficiencies leveraged by the overall media spend. These activities assist in a general explanation of government media spending. The ARB will continue to implement activities designed to achieve three core objectives:

  • manage and improve the performance of Government advertising spending in terms of cost efficiency and campaign effectiveness;
  • prove value for public monies spent on advertising communications;
  • protect the Government from any challenges to spending strategies by providing rationale for all expenditures and activities.

Key activities:

  • management of the two new Media AOR contracts: Planning and Buying AOR; and AOR for regulatory, statutory and tender notices.
  • plan to competitively procure Media Cost Audit services.
  • expand beyond traditional media to include digital media.
  • identify and establish key performance indicators (KPIs) to evaluate performance of the media campaign and provide diagnostics to implement strategies to maximize media efficiencies and effectiveness;

3. Communications counsel/advice

The ARB also recognizes the continued need to provide enhanced communications counsel. The senior staff at the ARB as well as the Chair and private sector Board members will continue to provide centralized communication and marketing expertise and advice to client Communication Branches across all government ministries and agencies.

The ARB will continue to provide access to senior level industry expertise requested by ministries and agency clients.

4. Contract management, monitoring and oversight

In 2017 The ARB reintroduced a brief but robust quality assurance questionnaire, seeking advice and analysis from both parties to any agreement upon the assignment’s completion. The completed Assignment Quality Questionnaire has become part of the file that informs the ARB , in future deliberations, about the effectiveness and the quality of service delivered by any communication agency under contract. Both the Ministry that is signatory to the contract and the agency complete questionnaires for the pool files of the ARB .

5. Training & education

As part of its value-added commitment, the ARB also delivers education programs to clients in order to increase the effectiveness of program messaging and improve cost efficiencies that can save money and consequently result in greater value for public dollars. The need for communications training was, considered by stakeholders, a pivotal requirement.

Training programs are related to the business of marketing communications, such as digital and social media, managing client/agency relationships, preparation/presentation of agency briefs, development of effective communication teams, communication project planning, and budget development and management.

6. Corporate communications fund

The ARB administers the Corporate Communications Fund to support advertising campaigns in diverse community and Indigenous media. The fund is also available for approved corporate and ministry initiatives. Client ministries must formally submit a funding request to the ARB and provide full program details. On average the ARB receives and approves 4-5 requests annually.

7. Industry relations

Ensuring a productive and positive relationship with the advertising and communications industries is the ongoing responsibility of the ARB .

Proponents are entitled to a detailed debriefing if they are unsuccessful in competition, a service offered to help them better prepare for the possibility of another opportunity. Candidates who are eliminated prior to the development of a short list may also request a debriefing. The Managing Director and Sr. Communications Advisors routinely conduct these discussions, including, where appropriate, Board members involved in selection.

Debriefing sessions consist of a quantitative and qualitative review of the proponent’s submission and/or presentation. Industry response to ARB debriefings has always been highly positive. Many suppliers have reported that they have been able to successfully leverage this feedback to improve their subsequent submissions and/or presentations.

Financial budget & staffing

1. Financial resources

The ARB has an annual allocation of $1.1693 million for Salaries, Benefits and Operating Expenses, and the Corporate Communications Fund.

Table: Advertising Review Board, Three Year plan ($ Millions)

FY

S&W

Benefits

T&C

Services

S&E

Total

2018-19

0.5062

0.0451

0.015

0.5839

0.0191

1.1693

2019-20

0.5062

0.0451

0.015

0.5839

0.0191

1.1693

2020-21

0.5062

0.0451

0.015

0.5839

0.0191

1.1693
 

2. Staff

There are five full-time ARB staff:

  • Managing Director
  • Senior Communications Advisor/Board Secretary
  • Senior Communications Advisor
  • Manager, Media AOR
  • Information Coordinator

3. ARB Board

The current ARB Board includes a part-time Chair and seven (7) private sector members. All are Ministerial appointments pursuant to the MBC Government Appointees Directive.

When acting on ARB business, private sector members are compensated at a per-diem rate of $463. The Chair is compensated at a per-diem rate of $730.

Part-time Chair:

  • Robert Pattillo

Part-Time Private Sector Members:

  • Charlie Angelakos, VP Legal and Corporate Affairs – Labatt Breweries of Canada
  • Heather MacLean, President – prospeakers.com
  • Freda Colbourne, President – Colbourne Consulting
  • Beverly Ritz
  • Jack Fleischmann
  • George McNeillie
  • Casey Roswell, Independent Consultant

Initiatives involving third parties

The ARB supports the interests and initiatives of several key communications industry organizations, including the Association of Canadian Advertisers, Advertising Standards Canada and Institute of Communication Agencies.

Advertising Standards Canada (ASC)

Advertising Standards Canada is the national not-for-profit advertising self-regulatory body committed to fostering community confidence in advertising and to ensuring the integrity and viability of advertising in Canada through responsible industry self-regulation.

As Canada’s advertising self-regulatory body, they administer the Canadian Code of Advertising Standards (Code) that sets the criteria for acceptable advertising and forms the basis for the review and adjudication of consumer and trade complaints. The ARB is a member and attends the ASC Annual General Meeting.

Association of Canadian Advertisers (ACA)

As an ACA member, the ARB regularly attends association seminars and presentations throughout the year, in addition to the Annual General Meeting and Executive Forum.

The ACA is a members-only organization that assists members in maximizing the value of their investments in all forms of marketing communications with superior MarCom performance and ROI.

The ACA leads the negotiations, on behalf of the advertising industry, with the Alliance of Canadian Cinema, Television and Radio Artists (ACTRA) to create a collective agreement to provide ~22,000 professional performers in TV, film, radio and digital media with equitable compensation and working conditions. This is a critical role of the ACA, the results of which have a financial impact on the cost of advertising and consequently the budgets of all communication branches of the government of Ontario.

Institute of Communication Agencies (ICA)

The Institute of Communication Agencies represents Canada’s communications and advertising agencies. The ICA promotes higher standards and best practices, and serves as the largest source of information, advice and training for Canada’s communication and advertising industry. It develops initiatives, programs and best practice guidelines to help build better ICA agencies, which we draw from for our pools.

The ICA also participates in and supports ACTRA negotiations.

There are no accountability requirements from these third parties. All are governed by industry-recognized codes of conduct and operating ethics.

Communication activities

The ARB has a multiplicity of audiences, including:

  • general public;
  • advertising and communications industries;
  • Ministry and government agency communications staff at all levels;
  • Ministers’ staff; and
  • central Agencies.

Key messages communicated to these constituents focus on corporate procurement directives, as well as ARB guidelines, processes and services.

The ARB will continue an extensive communications outreach program for government clients, including educational seminars/meetings with communications branches, and presentations to government stakeholders.

Communications have been enhanced with the distribution of comprehensive electronic User Guides for the corporate pools and VORs. These contain detailed guidelines and instructions on the use and acquisition of advertising and communications services, as well as supportive tools and templates.

In addition, ARB Intranet site further enhances capabilities and utility.

Performance measures

Corporate measures

Performance Outcome
Enforcement of the updated Directive for Advertising, Public/Media Relations and Creative Communications Services.

Timing
Annual Advertising & Creative Communications Services (ACCS) reporting by ministries and government agencies

Context
Ensure compliance with government guidelines and policies in the fair, open and transparent acquisition of advertising, PR communications consulting and creative services.

Operational measures

Stage two

Performance outcome
Fulfillment of over 39 government advertising and communications services requirements by conducting competitive second stage selections involving corporately contracted suppliers.

Timing
On-going

Context

Ensuring fair and transparent competitive selection processes for the acquisition of government advertising and communications services, and bringing efficiencies to these processes in servicing ministry and government agency needs.

Intranet

Performance outcome

Increase utility of ARB intranet by addition/updates of information and tools

Timing
On-going

Context
Facilitating enterprise-wide access to timely and accurate information regarding the acquisition and use of government advertising and communications contracts, and the services provided by the ARB .

Consultation

Performance outcome
Advisory services and training to ministry and government agency clients to ensure improved communications and procurement knowledge and skills

Timing
CO / Communications Director meetings

Context
Ensuring knowledge and application of Communications Procurement Directive and ARB Best Practices

Program measures

Performance outcome
Cost benchmarking audit and efficiency reporting.

Timing
Annual reporting

Context

Ensuring the delivery of value for money by the Media Planning & Buying AOR.

Stage two

Performance outcome
Supplier selections from corporate contract arrangements will be completed within 20 business days of receiving an approved client project brief.

Timing
On-going

Context
Speed of service delivery can be a critical consideration for ministries. Client organizations will typically require an advertising or communications supplier within one month of contacting the ARB .

Second stage pilot project

Performance outcome

ARB will develop and implement a pilot project whereby all qualified vendors in the VOR will be invited to express interest and provide information that will assist ARB in determining suitability and fit.

Timing
Q2 or Q3

Context
Contract terms for Vendor of Record arrangements terms are from three to five years. This will permit us to track and monitor vendor changes over time i.e., staffing, capabilities and experience, new tools, and more.

Corporate communications fund

Performance outcome
Funding requests will be processed in less than 5 business days, upon review of required support documentation.

Timing
On-going

Context
Ministry clients typically require a timely decision to enable the accurate forecasting of financial requirements. Review will normally entail a detailed examination of the media plan proposal.

Quality service standards

Performance outcome
Conduct survey among past 18 month clients of the ARB.

Timing
Q3 2018/19

Context
Obtain ongoing timely feedback from clients to maintain high satisfaction and service delivery levels.

Customer service – communications

Performance outcome
Correspondence responses will be prepared within 10 working days from date of receipt.

Timing
On-going

Context
ARB will comply with OPS common service standards, as required by the OPS Service Directive.