1. K.N. Venkata Raman Procurement Consultant, World Bank.
Procurement Planning, Packaging and Scheduling and making available funds to match with the requirement as per approved Procurement Plan
K.N. Venkata Raman
Procurement Consultant, World Bank.

2. Codal Provisions No Specific Codal provisions exist;
Para 192 (b) of KPWD Code Volume I refers to splitting of contracts;
It is permissible to give out different contracts to a number of contractors relating to one work, even though such works may be estimated to cost more than the amount up to which the officers are empowered to accept tenders;

3. Codal Provisions (contd)
This splitting of work should be resorted to only in exceptional cases, in the interest of speedy execution of works or when the nature of the work is such that it may be difficult for a single agency to execute its various aspects, subject to obtaining prior approval of the authority who is competent to accept the tender for the work as a whole.

4. Actual Practice Packages are not planned scientifically;
Pros and cons of small versus big packages are not studied;
Package and Slices are not studied and adopted;
In most cases planning of packages is not driven by the needs of the project (to ensure quality and timely completion to achieve the project objectives) but rather by the sanctioning powers, readiness of designs and estimates, availability of land, funds etc.

5. Actual Practice (contd)
Procurement Schedule showing the timings of various procurement activities are not prepared;
Procurement Plan showing the packages and sequence of their procurement is not prepared;
Procurement plans are not prepared and approved by competent authority before start of implementation of a Project;
All these lead to haphazard completion of works and commitment of scarce financial resources without realizing the project objectives

6. Instructions of Government
Circular issued by FD in October 2002;
Planning of packages is an important activity which needs to be finalized before taking up the project for implementation;
Procurement Planning is an integral phase of procurement process;
Pros and cons of Centralized versus decentralized procurement, bulking of procurement (for goods) and small versus big packages for works, package and slices for works are to be thoroughly examined keeping in view the Implementation Plan of Project;

7. Instructions of Government (contd)
After packages are decided and approved Procurement Plan showing the sequence and timings of procurement actions should be prepared and got approved;
Procurement Plan (PP) should form the basis for preparation of designs, estimates to match with invitation of tenders;
P.P should be used as a template for monitoring progress, timely recognition of problems and also in taking timely corrective actions;

8. Instructions of Government (contd)
P.P. should be used to to help all participants to the procurement process to understand the sequence and timing of the procurement action (stages0, their contribution and responsibilities aat the next stage;
P.P. should be used to record the progress of planned action thus supporting monitoring of performance of the responsible unit;
P.P. Should form the basis for working out the requirement of funds and its release to the implementing agencies.