1. The NATO Support Agency
Workshop: How to do business with NATO
21 January 2014
Ankara
Robbert Smit
Deputy Director of Procurement and Competition Advocate
Robbert.smit

2. North Atlantic Council NSPO Agency Supervisory Board
NSPA at a glance
Governance
North Atlantic Council
NSPO Agency Supervisory Board
NSPA
Established
1 July 2012
Former Agencies:
NATO Maintenance and Supply Agency (NAMSA)
Central Europe Pipeline Management Agency (CEPMA)
NATO Airlift Management Agency (NAMA)
Financing:
Fully customer funded,
no profit – no loss basis
Membership:
All 28 NATO Nations
1,200 staff members
21 January 2014
Procurement Directorate

3. Procurement Directorate
NSPA Mission
Provide responsive, effective and cost-efficient …
… logistics, operational and systems support and services …
to the Allies, NATO Military Authorities and partner nations,
individually and collectively,
in time of peace, crisis and war.
Reference: NSPO Charter June 2012
21 January 2014
Procurement Directorate

4. Procurement Directorate
NATO Support Vision
NATO's premier logistics and services provider team with an integrated network of logistics capabilities for NATO, and its Nations and partners.
21 January 2014
Procurement Directorate

5. Main Geographical Locations
Central Europe Pipeline System
(CEPS)
NATO Support Agency (NSPA) Headquarters
Logistics Operations
ISAF Offices
NATO Airlift Management (NAM)
LUX
HUN
FRA
ITA
Southern Operational Centre (SOC)
21 January 2014
Procurement Directorate

6. Procurement Directorate
NSPA business
28 NATO nations
Finland (NAMP, ARMS SPC, LCM SPC, SALIS, SAC, GBD SPC, Ammunition SPC, COMMIT)
Sweden (NAMP, HAWK SPC, LCM SPC, SALIS, SAC, Ammunition SPC, COMMIT, NATO Routing Hub Logistics Support SC (limited use))
Switzerland (AMRAAM SPC, STINGER SPC)
Austria (Fixed Wing Aircraft SPC, Helicopter SPC, OLSP, COMMIT)
Bahrain (HAWK)
Afghanistan NRC HMTF / Germany
Provision of training for maintenance technicians, provision of supplementary material to support maintenance operations conducted by maintenance technicians, provision of on-hand spares for routine maintenance under the auspices of the NATO Russia Council.
Albania III / United States
Destruction of an obsolete, unserviceable and surplus ammunition stockpile.
Azerbaijan Jeyranchel / United States
Clearance of mines and UXO at Jeyranchel.
Georgia III / Czech republic, Estonia, Lithuania
Improving physical security and stockpile management of Afghan National Army ammunition stocks. This includes building new storage and maintenance facilities, providing specialist training, and planning future stock levels.
Jordan II / Italy
Assisting in the delivery of Explosive Remnants of War (ERW) Risk Education in three Provinces of Jordan, and providing ammunition demilitarization equipment.
Mauritania / Italy
Building two reference ammunition depots, delivering ammunition depot management training, supporting the destruction of an obsolete and unserviceable ammunition stockpile (which includes MANPADS), and supporting military personnel’s return to civilian life.
Moldova III / Romania
Incineration of 1,169 tons of dangerous chemicals.
Tajikistan / United Kingdom
Improving the physical security and stockpile management of ammunition in Tajikistan and in particular to help secure the ammunition stocks close to Tajikistan’s southern border with Afghanistan.
Ukraine II - Phase 2 / United States
Destruction of 366,000 SALW, 76,000 tons of munitions to include 3 millions PfM Anti-Personnel Landmines.
41 countries
Current projects
21 January 2014
Procurement Directorate

7. Organizational Design
VISION
NATO’s premier integrated logistics and services provider team, with an integrated network of logistics capabilities for NATO, and its Nations and partners.
NSPA
GENERAL MANAGER
STAFF
CENTRAL EUROPE PIPELINE SYSTEM
(CEPS)
NATO AIRLIFT MANAGEMENT
(NAM)
LOGISTICS OPERATIONS
CORPORATE
SUPPORT
PROCUREMENT
FINANCE
HUMAN RESOURCES
INFORMATION TECHNOLOGY
BUSINESS UNITS
SUPPORT FUNCTIONS
21 January 2014
Procurement Directorate

8. Business Unit Central Europe Pipeline System (CEPS)
Integrated, cross-border pipeline and storage system
Transport diesel, gasoline, domestic fuel and naphtha
Largest pipeline system in NATO: ~5.600 km
Military/Commercial business model
Aviation fuel banking system (JET A-1), storage, Product Quality Control
Non-military co-use with Military Priority Clause
Smart CEPS: rightsizing system
6 Nations:
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Procurement Directorate

9. Business Unit NATO Airlift Management (NAM)
Support to Strategic Airlift Capability (SAC)
Support of three C-17s
operated by the Heavy Airlift Wing (HAW)
Nations use hours for national, NATO, EU and UN commitment
pre-agreed allocation of flying hours
12 Nations:
21 January 2014
Procurement Directorate

10. Business Unit Logistics Operations (LogOps)
Cooperative logistics services provider
Capability areas
Weapon System Support
Support to Operations
Transportation
Fuel Operations
Project Management (PfP Trust Fund)
Support Partnerships, Projects, Sales Agreements and other legal frameworks
21 January 2014
Procurement Directorate

11. Funding Sources (2011) Support Partnerships National/Multinational
In-service Support
AMMUNITION
COMMIT
SALIS
PATRIOT
LAND COMBAT VEHICLES
FIXED WING AIRCRAFT
HELICOPTER
NAVAL LOGISTICS SUPPORT
MLRS
STINGER
LAND COMBAT MISSILES
HAWK
GBD
AMRAAM
WARDAM II
AIR SURFACE MISSILES
MIDS
GPS
MK-46 TORPEDOES
Ship-shore-Ship Buffer
Unmanned Aerial Systems
Operational Logistics Planning
National/Multinational
(Sales Agreements/LSAs)
KANDAHAR REAL LIFE SUPPORT
AFGHANISTAN REAL LIFE SUPPORT
NATIONALLY FUNDED INFRASTRUCTURE
PFP TRUST FUND DEMILITARIZATION
TRANSPORTATION
KFOR FUEL
OCCAR (COBRA/TIGER)
NAHEMA
NAPMA
AWACS (OUTSIDE 13 NATIONS)
Logistics Services for Missiles, UAVs, Platforms
Random Brokerage
Common Funded
NSIP PROJECTS (INFRASTRUCTURE)
CAPABILITY PACKAGES (NRF Camps)
APOD SERVICES
NAEW&C
AIR DEFENSE (GROUND)
NRF PLANNING
KFOR BALKANS ENGINEERING
AIR DEFENSE (GROUND) MPR-SRO
NATO CALIBRATION
Support Agency almost 80% customer funded...
Common funded for key NATO capabilities
21 January 2014
Procurement Directorate

12. Procurement Directorate
Conclusion
New Agency on 1 July 2012
Leverages/expands capabilities of NAMSA, NAMA and CEPMA
Provides integrated logistics and support solutions
Delivers best value support
Focused on customer
Vision of Smart Support
21 January 2014
Procurement Directorate

13. How to do business with NSPA Procurement Directorate
21 January 2014
Procurement Directorate

14. Procurement Directorate
Overview
WHAT does NSPA buy?
Evolution and Typology of activities
Activities with Turkey
HOW does NSPA buy Goods and Services?
NSPA Procurement Regulations and Policy
NSPA e-procurement
HOW to be invited to NSPA Requests For Proposals?
Future Business Opportunities
Frequently Asked Questions
21 January 2014
Procurement Directorate

15. Procurement Directorate
Activities 2012
FMS 4.4%
Supplies
31.9%
Services
63.7%
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Procurement Directorate

16. Activities with Turkey Procurement Directorate
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Procurement Directorate

17. R = Development of Turkish Industrial Return WELL PLACED COUNTRIES
CONTRACTS IN TURKEY *
CONTRACTS IN NSPO NATIONS
SALES IN TURKEY *
SALES IN NSPO NATIONS
R =
NOTE: MBC+NSIP funded projects are excluded as from 2009 on
WELL
PLACED
COUNTRIES
LESS WELL
PLACED
COUNTRIES
POORLY PLACED COUNTRIES
* Based on the contracts and sales of the 3 years preceeding the applicable year
21 January 2014
Procurement Directorate

18. R = Industrial Return Ratio 2013-2014 R= >=0.8 Well placed
CONTRACTS IN TURKEY *
CONTRACTS IN NSPO NATIONS
SALES IN TURKEY *
SALES IN NSPO NATIONS
NOTE: MBC+NSIP funded projects are excluded as from 2009 on
R= >=0.8 Well placed
R= >= 0.25 & < 0.8 Less well placed
R= < Poorly placed
TUR
* Based on the contracts and sales of the 3 years preceeding the applicable year
21 January 2014
Procurement Directorate

19. Procurement Directorate
Industrial Return Value of Contracts Placed
TOTAL 2012 : MEUR 2,104.6
MEUR 75.14
Figures for NH-90 and TIGER are reported under ‘OTHERS’ . They are not distributed per country
NAMP figures per country (commercial+FMS) are included)
1 EUR = TRY as of 31/12/2012
21 January 2014
Procurement Directorate

20. Procurement Directorate
Value of Contracts placed in Turkey
TOTAL NSPA MEUR
TURKISH SHARE
1,754
10.00%
1,551
3.57%
2,080
6.93%
2,105
3.57%
2,193
1.99% *
* Provisional total NSPA value for 2013 only
1 EUR = TRY as of 14/01/2014
21 January 2014
Procurement Directorate

21. Procurement Directorate
NSPA Customers 2012
TOTAL 2012 : MEUR 2,228.5
MEUR
Figures for NH-90 and TIGER are reported under ‘OTHERS’ . They are not distributed per country
Includes NLSE figures (by country) from FF
Includes NAMP-FMS (by country) figures
1 EUR = TRY as of 31/12/2012
21 January 2014
Procurement Directorate

22. Procurement Directorate
Value of Purchases by Turkey through NSPA
TOTAL NSPA MEUR
TURKISH SHARE
1,529
3.44%
1,737
5.64%
1,614
4.05%
2,087
6.45%
2,228
4.92%
Values for the year 2013 are not yet available
1 EUR = TRY as of 31/12/2012
21 January 2014
Procurement Directorate

23. AWARDS TO TURKISH FIRMS Procurement Directorate
Competitiveness of Turkish Industry for Supply
TURKISH BIDS
AWARDS TO TURKISH FIRMS
RATIO =
21 January 2014
Procurement Directorate

24. per line item SUPPLY JAN-DEC 2013 Procurement Directorate
Contacts Analysis of Turkish Industry
per line item SUPPLY JAN-DEC 2013
TOTAL NBR. OF CONTACTS :
1,729 NO
REPLY
POSITIVE
CONTACTS
(48.93%)
(41.93%)
NEGATIVE
CONTACTS
(9.14%)
21 January 2014
Procurement Directorate

25. per line item SERVICES JAN-DEC 2013 Procurement Directorate
Contacts Analysis of Turkish Industry
per line item SERVICES JAN-DEC 2013
TOTAL NBR. OF CONTACTS :
3,639
POSITIVE
CONTACTS NO
REPLY
(5.88%)
(89.97%)
(4.15%)
NEGATIVE
CONTACTS
21 January 2014
Procurement Directorate

26. Regulations and Policy Procurement Directorate
NSPA Procurement
Regulations and Policy
21 January 2014
Procurement Directorate

27. ALLIANCE ARMED FORCES / COMMANDS
Activities Flow
ALLIANCE ARMED FORCES / COMMANDS
LOGISTICS OPERATIONS/ NAM / CEPS
PROCUREMENT DIRECTORATE
INDUSTRY /
GOVERNMENT ENTITIES
21 January 2014
Procurement Directorate

28. NSPA Regulations tailored to international cooperation
NSPO Charter
NSPA Procurement Regulations n°4200
When required:
Bi SC 60/70 (BC)
AC/4-D2261 IC
AC/4-D0009 IC in support of AOM
21 January 2014
Procurement Directorate

29. NSPA Procurement Policy
QUALITY
OBJECTIVES
TIMEFRAME
PRICE
CONSOLIDATION
PRINCIPLES
INDUSTRIAL BENEFITS REDISTRIBUTION
Quality, time and price are important for each customer. Universal objectives.
Consolidation of the requirements of various customers and achieving economies of scale is one of the core functions of the Agency.
International Competitive Bidding is the rule.
COMPETITION *
21 January 2014
Procurement Directorate

30. NSPA Procurement Policy
TWO PRINCIPLE FORMS OF CONTRACTING
Supply Contracts: spare parts
Service Contracts: MRO, engineering, demilitarization, etc.
International Competitive Bidding (ICB)
Normal procedure
Foreign Military Sales (FMS) In some cases
Single Source
Under certain conditions : urgency
- options
- low value
- security
- commonality of Equipment
21 January 2014
Procurement Directorate

31. NSPA Procurement Policy: Limitations & Constraints
NSPA nations: NATO
Partner nations under certain circumstances (e.g. PfP Trust Funds, associate state to a Support Partnership , Troop Contributing Nation to an operation)
Competition restricted by some Support Partnerships (e.g. PATRIOT, Ammunitions Support Partnership)
Unavailability of Technical Data
21 January 2014
Procurement Directorate

32. NSPA : Procurement policy industry relations in 2012
Activities monitored by International Board of Auditors
More than contractual instruments
Total contracted value MEUR 2,104.6 Supply 670.8, Services 1,341.3, Foreign Military Sales (FMS) 92.5
Workforce 1,224 people of whom 128 work directly in Procurement
Relations with industry : 10,000 firms throughout NATO
21 January 2014
Procurement Directorate

33. NSPA LOG OPS – Tendering rules
To participate firms must be registered in the NSPA supplier data base
Selection from NSPA suppliers’ data base
Solicitation of at least 3 sources for requirements below EUR
Obligation to consult all the capable suppliers for requirements above EUR
Request for Proposals (RFPs) constitutes basis for binding contract
Fixed price preference
21 January 2014
Procurement Directorate

34. Procurement Directorate
NSPA e-Procurement
21 January 2014
Procurement Directorate

35. e-Procurement Homepage
Two main functions:
Serve as an info hub
Procurement rules, contract provisions, forms, practical information to suppliers, awarded contract, etc
Single point of entry to e-Procurement applications
Objective : to facilitate the communication and integration of business processes with our suppliers
21 January 2014
Procurement Directorate

36. Procurement Directorate
Registration Process
21 January 2014
Procurement Directorate

37. Procurement Directorate
Registration Process
21 January 2014
Procurement Directorate

38. Future Business Opportunities & Requests for Proposals
21 January 2014
Procurement Directorate

39. Future Business Opportunities
Future Business Opportunities (FBO) and, for NATO Infrastructure projects, Notifications of Intent (NOI) provide advance information to suppliers based in a NSPO nation about business opportunities for which NSPA may issue Requests for Proposals in the near future. It is recommended that your firm is electronically registered in the NSPA Source file in order to receive Requests for Proposals (RFP).
21 January 2014
Procurement Directorate

40. Future Business Opportunities
D3 Partnership
Eastern Vehicles / Equipment Partnership
Firing Range use by other NATO Nations
Port Services Contracts
Environmental / Alternative Energy solutions
Deployable Camp assets (NRF CP1101 is authorized)
Mine / UXO clearings
21 January 2014
Procurement Directorate

41. Future Business Opportunities & Requests for Proposals
21 January 2014
Procurement Directorate

42. FREQUENTLY ASKED QUESTIONS Procurement Directorate
21 January 2014
Procurement Directorate

43. Procurement Directorate
Q & A
QUESTIONS
ANSWERS
How to be invited to NSPA Requests for Proposals?
Your company must be registered in NSPA Source File
How to be registered in NSPA Source File?
Register on line, free of charge…
How to be informed of the upcoming competitions?
Monitor the Future Business Opportunities of the Agency
How to be sure that the capabilities of my company have been updated?
Contact Source File
Tel:
I have not been invited for a RFP for which my company has capabilities to make an offer why?
Most probably because the capabilities of your company are not properly registered.
Revert to the solution above.
How can I have an idea of the prices offered in the past for goods and services offered by my company?
Consult the list of contracts awarded by the Agency
21 January 2014
Procurement Directorate