1. Selection of Consultant Nazaneen I. Ali Sr. Procurement Specialist 1

2. Basic Principles Main Characteristics of Selection and Employment of Consultants Conflicts of Interest and Unfair Competitive Advantage Association Between Consultants Main Types of Contracts 2

3. Consultant Guidelines January 2011 Consulting Services I. Introduction II. Quality- and Cost-Based Selection III. Other Methods IV. Types of Contracts and Important Provisions V. Selection of Individual Consultants VI. Appendices 3

4. Basic Principles of Selection of Consultants 4

5. Main characteristics of selection & employment of consultants Consulting services of quality in an economic, efficient, transparent and fair manner Encourage quality proposal by limiting competition to a short list of qualified firm Give priority to quality vs. cost: 2 envelopes & non simultaneous opening Quality of consulting services cannot be easily quantified in monetary terms  scoring system Award to the highest scored consultant Intellectual nature of services  Need for negotiations in order to reach the best implementation of consulting services Reputational motivations work better than securities & liquidated damages 5

6. Goods / WorksConsultants (« intellectual & advisory nature ») Measurable physical outputAdvice, technical assistance, intellectual services Open competitionQualified shortlisted firms Bidding DocumentRequest for Proposals Main evaluation criteria: PriceTechnical quality Evaluation criteria in monetary termsScoring system One bid opening session2 opening sessions: Technical opening and evaluation before financial opening Award to the evaluated least cost qualified bidder Award to the consultant with highest combined technical & financial score Securities & liquidated damagesNo securities or liquidated damages No NegociationsContract negotiations 6

7. Conflict of Interest Priority # 1 of consultants: client’s interest No consideration for future work Avoid conflicts with other assignments & corporate assignments  Do not hire the firm in case: an assignment in conflict with prior / current obligations to the client Conflict between consulting activities & procurement of G, W or S Conflict among consulting assignments Business or family relationship between Consultants (incl. their personnel & sub-consultants) and a member of a government’s staff directly involved in preparation of ToR, selection process, supervision of the contract. 7

8. Unfair Competitive Advantage Consultants shall not drive a competitive advantage from having provided consulting services related to the assignment  Make available to all short-listed consultants with the RFP all information that would give a consultant a competitive advantage. 8

9. ELIGIBILITY  CONSULTANTS FROM ALL COUNTRIES EXCEPT:  PRIMARY BOYCOTT ACCORDING TO BORROWER’S COUNTRY REGULATIONS  UN SECURITY COUNCIL RESOLUTION (CHAPTER VII)  GOVERNMENT-OWNED ENTERPRISES ARE ELIGIBLE IF ARE:  FINANCIALLY AND LEGALLY AUTONOMOUS  OPERATE UNDER COMMERCIAL LAW  INDEPENDENT AGENCIES OF THE BORROWER

10. ELIGIBILITY- cont.  GOVERNMENT-OWNED UNIVERSITIES (AND THEIR PROFESSORS) ARE ELIGIBLE IF THE SERVICES PROVIDED ARE OF UNIQUE AND EXCEPTIONAL NATURE AND CRITICAL FOR PROJECT IMPLEMENTATION  GOVERNEMENT STAFF AND CIVIL SERVANTS MAY BE HIRED IF:  THEY WERE ON “LEAVE WITHOUT PAY” WELL BEFORE BEING CONTACTED FOR THE CONSULTANCY SERVICE  THEIR EMPLOYMENT DOES NOT GIVE RISE TO ANY CONFLICT OF INTEREST

11. ASSOCIATION BETWEEN CONSULTANTS  JOINT VENTURE: JOINTLY AND SEVERALLY LIABLE  BORROWER TO APPROVE ASSOCIATIONS (JOINT VENTURE OR SUB-CONSULTANCY) AMONG SHORT-LISTED FIRMS  BORROWER MAY ENCOURAGE ASSOCIATIONS WITH NATIONAL FIRMS (NOT MANDATORY)  ALL JV MEMBERS MUST SIGN THE CONTRACT  THE ASSOCIATION SHOULD BE REPRESENTED BY AN APPOINTED FIRM

12. TERMS OF REFERENCE CONTENTS  BACKGROUND INFORMATION  REVIEW OF PREVIOUS WORK  STATEMENT OF OBJECTIVES  SCOPE OF WORK NEEDED  SCHEDULING AND RELATIONSHIP TO OTHER WORK  DATA AND REPORTS AVAILABLE  INPUTS PROVIDED BY CLIENT  EXPECTED OUTPUTS BY CONSULTANT  TOR NOT TO BE TOO DETAILED OR INFLEXIBLE THEREBY ALLOWING CONSULTANTS TO PROPOSE OWN METHODOLOGY AND STAFFING

13. COST ESTIMATE (BUDGET) TWO BROAD CATEGORIES: (A) FEES AND (B) REIMBURSABLE  FOREIGN CURRENCIES  STAFF COST (EXPATRIATE, HOME OFFICE)  INTERNATIONAL TRAVEL  VEHICLE, EQUIPMENT  COMMUNICATIONS, PRINTING, COMPUTER SERVICES, ETC.  OTHER REIMBURSABLES  PRICE ESCALATION/CONTINGENCIES

14. COST ESTIMATE (BUDGET)  LOCAL CURRENCIES  STAFF COST  LIVING EXPENSES  EDUCATIONAL COSTS  TRAVEL  OFFICE EXPENSES  OTHER REIMBURSABLES  PRICE ESCALATION/CONTINGENCIES

15. ESTIMATED EXPENDITURES (FOREIGN CURRENCY UNITS), SIMPLE ASSIGNMENT

16. ESTIMATED EXPENDITURES (LOCAL CURRENCY UNITS), SIMPLE ASSIGNMENT

17.  Quality & Cost Based Selection (QCBS)  Quality Based Selection (QBS)  Selection under a Fixed Budget (FBS)  Least Cost Selection (LCS)  Selection Based on Consultants’ Qualifications (CQS)  Single Source Selection (SSS)  Commercial Practices  Selection of UN Agencies as Consultants  Use of Nongovernmental Organizations (NGOs)  Procurement Agents  Inspection Agents  Banks  Auditors  Service Delivery Contractors Methods of Selection Section III Section II 17

18. Selection of Individuals consultants Individual consultants are selected on the basis of their relevant experience, qualifications, and capability to carry out the assignment. They do not need to submit proposals and shall be considered if they meet minimum relevant requirements on the basis of the nature and complexity of the assignment, and assessed on the basis of academic background and relevant specific experience, and, as appropriate, knowledge of local conditions such as national language, culture, administrative systems, and government organization. The selection shall be carried out through the comparison of the relevant overall capacity of at least three qualified candidates among those who have expressed their interests. 18

19. Selection of Individuals consultants, cont Individual consultants may be selected on a single- source basis with due justification in exceptional cases such as: (a) tasks that are a continuation of previous work that the consultant has carried out and for which the consultant was selected competitively; (b) assignments with a total expected duration of less than 6 (six) months; (c) urgent situations; and (d) when the individual is the only consultant qualified for the assignment 19

20. Thank you 20