1. CERN - IPT/PI department
PROCUREMENT ORGANIZATION & RULES FOR EP AND EXPERIMENTS AT CERN
Cristina Lara / Charles Carayon / Joshua Davison– 10 October 2017

2. Accelerators and Technology Section
Anders UNNERVIK
Jerome PIERLOT
Lisa Bellini-Devictor
Fatima NAJEH
Cristina Lara
Accelerators and Technology Section
Admin & General Infrastructure Section
Information Technology and Purchase Orders Section, MICE, Stores
Research and Industrial Services Section
Purchases of supplies exceeding 200 kCHF for the Accelerators and Technology Sector
Purchases of supplies exceeding 200 kCHF for the Admin. and General Infrastructure Sector and the CERN Pension Fund, insurance and civil engineering contracts
Procurement of Contracts for Research exceeding 50kCHF (except gré à gré),
services exceeding 200kCHF,
EU-funded Projects
Purchases and price enquiries for supplies below 200kCHF (below 50kCHF and gré à gré for Research), Purchases for stores, Contracts for computing, hotels and conferences
Bjorn Jenssen
Ivo Lobmaier
Floris Bonthond
Adam Horridge
Laszlo Abel
Orane CANTONI
Gaelle Breuillaud
Dana Svanidze
Sandrine Magnan
Pascal DROUX
Charles CARAYON
Joshua DAVISON
Sebastien SONNERAT
Christophe VEYS
Stephanie BLANCHARD
Sandra BENOIT-GODET
Alexandre TABARY
Marine Gabrielle ROUSSET
Hiba GERSTER
Adrien FRAUENFELDER
Chafik EL GHAZOUANI
Nordine Azizi
Floriane BROUILLAT
Juan FANTINO
Dominique Trolliet
Arielle Gaidon

3. 2016 payments and outstanding commitments for Experiments and EP
Country
Total 2016 (CHF) DE
8,562,006 US
8,020,595 GB
7,731,040 IT
7,588,995 FR
5,799,179 CH
5,749,776 PL
2,679,223 NL
2,409,803 ES
1,296,476 BE
1,186,925 AT
1,060,830 IL
994,606 NO
809,808 SE
808,057 DK
657,351 CZ
417,828 SK
333,994 HU
287,798 FI
243,120 GR
153,593 BG
132,204 PT
29,720 RO
25,011 TR
6,358 CY - PK RS UA
Other
12,953,677
Grand Total
69,937,974

4. The Procurement Service (PS)
procures all supplies and services for CERN
The objective is to meet the specified and contractual technical, delivery and performance requirements at the lowest possible overall cost, while achieving balanced industrial return for CERN member states and respecting CERN Procurement Rules

5. The technical responsible
Defines his procurement need,
Follows up the design and manufacture of supplies,
Checks, accepts or rejects the delivery of supplies
Evaluates the supplier (questionnaire soon in place)
In collaboration with the PS:
Carries out the procurement process in accordance with the Procurement Rules
Ensures that the contractual terms of the order are fulfilled

6. The procurement procedure depends on the estimated amount of the supply

7. Estimation of the order amount
Take into account all possible needs for the same type of products
Ex: 10kg of white paint or the maintenance of product purchased
Allowing to define the strategy and procurement rules to follow as well as a better price

8. Beware of timelines !
If CERN contribution >750kCHF : Finance Committee approval required (potentially +12 weeks)

9. Procurement rules
The extent of application of CERN Procurement rules depends on the involvement of CERN funds;
Four cases have been identified in the document:
“Financial Guidelines for LHC Collaborations” - CERN/FC/3796 and CERN/FC/3796 rev. which has recently been modified to:
“Procurement Rules and Procedures for all Approved and Recognised Experiments at CERN” (PRAREC).

10. Cases applicable for Experiments
CASE A No CERN budget
Collaborations act independently at CERN
-CERN Procurement Rules do not apply. -Negotiations conducted by the institutes participating in the Collaboration.
CASE B No CERN budget but CERN is required to be the contracting party
-CERN is the contracting party, -2 options: Either Collaboration states that applicable laws have been complied with or; -The Collaboration requests CERN to launch an IT and apply procurement rules:
=> Firms established in CERN Member States & in countries funding the Collaboration.
=> Negotiations conducted by CERN in cooperation with the Collaboration.
=> No Alignment (incl. in case of splitting).
=> CERN Procurement Rules and General conditions of Contracts apply. -Collaboration can request that the contract is awarded only under the condition that 50% of the tender value originates from the country(ies) providing the funds. -FC approval required, except if contractual risks and liability are transferred to the funding institute(s)
CASE C 100% CERN Budget
-CERN is the contracting party.
-General Conditions of CERN Contracts and CERN Procurement Rules apply.
-CASE C is applicable if CERN participation > 20% (as a principle).
CASE D Funded by "Common fund" established by the Collaboration (and to which CERN makes a contribution)
-Negotiations conducted by CERN in cooperation with the Collaboration.
-Firms originating from all countries of the Common Fund. -No Alignment (incl. in case of splitting). -CERN participation > 750kCHF: Finance Committee approval required.
-Call for tenders issued once CERN has received all the necessary financial guarantees.

11. Specification committee
Aim: review the documents and make sure Procurement rules are complied with
When:
Price Enquiries >50kCHF for R&D and prototype work,
Market Survey,
Invitation to Tender.
Who:
Procurement officer (chair) and technical officer,
Technical department head or representative (resource coordinator?),
Procurement head or representative,
Expert from another experiment or department,
HSE,
Legal officer, if necessary (eg IP matters etc.).
Leadtime:
1 week in advance for Market Surveys and Price Enquiries,
2 weeks in advance for Invitations to Tender.

12. Procurement roadmap
Procurement service has partial visibility on upcoming needs for the Experiments and EP.
In order to anticipate resources and better answer to EP and Experiments needs, the Procurement service has contacted DPOs + resource coordinators to get a greater visibility on the procurement needs for ;
In order to avoid delays, EP and Experiments should involve Procurement Service as soon as possible in procurement strategy discussions.

13. Procurement training modules
E-learning on procurement of supplies up to 200K CHF
=> ~6500 users completed the modules
1-day training on procurement of supplies > 200KCHF
=> ~120 participants already , register !
2/3 hour tailored speed training on procurement of
supplies > 200KCHF
1-day training on service contract management (Q4 2017)
=> Any interest?

14. Accessing Procurement Website

15. Code of professional ethics: https://procurement. web. cern
Code of professional ethics: (anyone involved in procurement for CERN)
Maintain the highest standard of integrity in all commercial relationships
Reject any commercial practice which might reasonably be deemed improper
Optimase the use of resources for the benefit of CERN
Ensure the accuracy of information provided or exchanged
Respect the confidentiality of information received

16. Never use authority or position for personal gain
Avoid conflict of interest or situations that could be perceived as such
Declare to your group leader who should declare to the Head of PS any personal interest that might affect, or be seen by others to affect, impartiality or decision making
Remain impatial in all commercial dealings and not be influenced by those with vested interests
Comply with the gift policy

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