UNDP Bangladesh Procurement Fair 2010

- Objectives of the Fair; - UNDP Procurement principles; - Procurement plan ; - UNDP Procurement Roadmap; - Procurement methods - Evaluation process; - Responsive / Non-responsive offer; - Contract Management (delay, penalties) - UNDP Bangladesh. * Procurement Vendor Data Base; * Procurement Web-site; - Questions/Answers session; HIGHLIGHTS

Objectives of the Fair;  Analyse the local market capacity;  Create a pool of potential vendors for UNDP procurement tenders;  Facilitate the vendor registration in the UNDP Vendor Data Base (VDB);  Provide vendor orientation to UNDP procurement rules and regulations;

UNDP Procurement principles;  Best Value for Money  Fairness, Integrity, Transparency  Effective International Competition  The Interest of UNDP

Procurement Plan ;

UNDP Procurement Plan  Procurement plan for 2010 – US$ 45 m.  Procurement categories for 2010:  ICT Equipment 28,1% (US$ 11.4 m)  Vehicles/motorcycle 3,5% (US$ 1.4 m)  Furniture 3,7% (US$ 1.5 m)  Civil works 7,5% (US$ 3.0 m)  Office supplies/electric 0,4% (US$ 0.2 m)  Printing services 1,4% (US$ 0.5 m)  Consulting services 25,8% (US$ 10.5 m)  Others 29,4% (US$ 12 m)

Procurement cycle Identification of needs PROCUREMENT PLANNING Preparation of Bidding docs (Tech. specs/TOR; Evaluation criteria…) Advertising / Announcement Bid opening Evaluation of Bids (Technical + Financial) Awarding of contract / Contract management

Request for Quotation (RFQ)  most flexible and least formal  contract amount exceeds USD $2,500 but less than USD $100,000. Invitation to Bid (ITB)  normally used when entity is not required to propose technical approaches to a project activity (i.e., goods and civil works)  contract amount is USD $100,000 or more. Request for Proposal (RFP)  used in the procurement of complex goods (e.g., functional specifications cannot be expressed) and services  recommended for all contracts exceeding USD $100,000. Direct Contracting (DC)  there is no competitive marketplace for the requirement  There is a Long Term Agreement (LTA)  there is genuine exigency for the requirement. Procurement methods

Evaluation Process  Establishment of an Evaluation committee;  Bid opening process;  Preliminary evaluation;  Technical evaluation;  Financial evaluation;  Clarifications (if required);  Evaluation report preparation;  Negotiation of contract’s terms (if needed);  Background checks (for contracts valued above $ 100,000);

Evaluation Committee;  RFQ: min of 2 (two) to 3 (three) members;  ITB: comprised of 3 to 5 members;  RFP: comprised of 3 to 5 members; Composition:  UNDP staff;  External experts (for complex procurement)  Non-UNDP staff as observers (no voting rights)  The work of the evaluation team is strictly confidential!!!  Any unsolicited attempt to influence UNDP internal selection process in favour of a particular offerror will result in the immediate disqualification.

Bid Opening;  Public opening ceremony (at the time and place specified in the Bid docs);  In presence of Evaluation committee;  Representatives of the offerors (ITB >100K):  Bid Opening Record; - bid price and currency; - price of alternate bids, if applicable; - bid security, if requested; and - discounts, if any.  Late offers;

Responsive / Non-responsive offer;  A substantially responsive offer is one that conforms to ALL the terms, conditions and specifications included in solicitation documents, without major deviations or reservations. Major/Significant deviations: - Affect the scope and quality of the contract; - Limit UNDP rights or bidders’ obligations; - Unfairly impacts the competitive position of other bidders.  Non-responsive offers that fail to meet minimum standards of acceptability of the Bid.docs.

How to prepare Responsive offer; Bid Data sheet:  Submission deadline;  Properly sealed and marked envelope;  Currency of the bid;  Delivery term (INCOTERMS) and period;  Training/installation requirements;  Bid security (if any);  Price schedule;  Compliance with Technical specifications;  Compliance with General and Special terms of the contract;

How to prepare Responsive offer; Oferror’s eligibility and qualification  Company profile;  legal status, place of registration, principal place of business (e.g. Trade license);  Financial health (audit report);  Quality certificate (if any);  Reference list of major clients;  Copies of all relevant documents;

Contract Management; Issues to be focused: Inspection procedures, Penalties for delay or non-conformance, Payments terms, Rejection, Termination, Debriefing, Procurement protests, New person being assigned, substitution of products etc.

Contract Management; Step 1: Contract Negotiation before awarding the contract; Step 2: Ensure that there is a designated Contract Administrator Step 3: Define the duties of the Contract Administrator and assist in developing Contract Administration Plan Step 4: Perform random checks. Non-compliant situations must be identified. Step 5: Ensure good communication (timely notification for any delay or changes in the administration plan); Step 6: Participate in the contract renewal or rebid decision.

UNDP Procurement web-site  UNDP Procurement notices;  UNDP Procurement plan;  Contract awards;  Contact details;  Vendor Data Base;

UNDP Procurement web-site

Thank you!