Tender Strategy and CCEOP 28 October 2016 - UNICEF · 2016 equipment tender and LTA •The planned...

Tender Strategy and CCEOP28 October 2016

Presentation by:

Petter Storaas

1

Outcome of tender… LTA

• A LTA is an arrangement entered with a supplier to secure the supply of a product and/or service over a period of time;

• It is a framework based on competitive bidding process with mutually agreed terms and conditions (product or service, price, etc.)

• It is a commercial partnership with selected supplier(s)• Can be used for procurement of goods, services or works

with reoccurring needs• It is entered in to in good faith for a period of time• It is non-exclusive• It is not obligatory to order any minimum quantity

2016 equipment tender and LTA

• The planned LTA duration is 18 months with a potential for extension;– CCEOP is new and we are in a learning process

– It is an evolving market with innovation and TPP

– Aligned with CCEOP timeframes from planning to implementation

• Time bound vs Target bound LTA– Volume pooling with good-faith commitment based

on demand forecast, with an ambition to move to target bound LTAs

Tender Evaluation Equipment

• Review of Mandatory Requirements

– Technical requirements

– Financial Review by UNICEF Supplier Evaluation Unit (SEU)

– Compliance to UNICEF General Terms and Conditions

• Quantitative Review of Proposal

– Products offered, quantities, price, delivery schedule, lead-times, acceptance to keep stock, packaging requirements

• Qualitative Review of Proposal

– Proven experience and past performance

– Ability to perform account management / good communication

– On-time delivery performance

– Country feed-back / customer acceptance

Cross-country, framework time-bound service LTA

Framework agreement with manufacturer on services to be provided to facilitate preparation for country-specific tender and contract

Country-specific service contract

Country-specific tender

resulting is legally-

binding agreement to

ensure on-time quality

service delivery

Evaluation of tender for service

component of CCEOP

• The initial framework LTA for services will be based on provisional implementation plan by the manufacturer.

• The core of the proposal is that the manufacturer must show that systems are in place for putting together viable projects in CCEOP countries.

Evaluation of tender for service component of CCEOP

• Corporate Profile highlighting the bidder’s qualifications and relevant project management experience in implementing delivery of goods and services in CCEOP relevant countries either with bidder’s internal resources or through partner/agent arrangements

• Methodology and approach to projects demonstrating how bidder will meet requirements for the delivery of the goods to defined sites (in-country logistics)– Overview of potential arrangements/agreements with logistics

provider(s) including detailed information on how/what/why the provider will contribute to fulfilling projects

– Criteria for selecting logistics provider including detailed information on how/what/why the provider will contribute to fulfilling projects

Evaluation of tender for service component of CCEOP

• Methodology/approach to projects demonstrating how bidder will meet UNICEF requirements for installation and commission including warranty claims (swop outs). – Overview of potential arrangements/agreements with

local partners/agents service providers including profile of companies

– Criteria for selecting local service provider partners.

• Methodology/approach to projects demonstrating how bidder will meet or exceed UNICEF requirements for training of health staff in preventive maintenance and usage of refrigerators

Financial Evaluation by SEU

• Suppliers must pass the financial evaluation conducted by UNICEF Supplier

Evaluation Unit. If a supplier has not undergone this review, an application must

be submitted through United Nations Global Marketplace (UNGM) website at

http://www.ungm.org, under http://www.ungm.org/NewSupplierRegistration.aspx.

Instructions are provided on the website.

• Proposers are requested to submit the UNGM application number, along with the

documentation listed below, to UNICEF Supply Division, attention Supplier Evaluation Unit,

• A copy of company's legal registration

• A complete copy of company's latest audited financial statements, with comparative figures

for the previous year. This includes, but is not limited to, the following:

• The report from the auditor (signed by the auditors)

• The balance sheet,

• The income statements, and

• notes thereto

Implementation of CCEOP

Piloting of CCEOP service bundle concept

• 2,500 SDDs to be distributed to all regions in a country over a 12 months period.

• 5 POs placed on FCA basis with staggered delivery over 5 months. • UNICEF FF delivery to Manufacturers agent (UNICEF consignee).• Contract with Manufacturer of SDD for service bundle (3 and 4 below).

Manufacturer took over SDDs after custom clearance.

• Manufacturer used their local authorized Agent for implementing of the contract. The Agent had 20 technicians, but scaled up and trained additional 90 for the project.

• The Agent outsourced in-country logistics.

• UNICEF estimation: 1 technician spends approx. 4 days per SDD including training, commissioning and transport from one Health Centre to next.

Service Bundle Experience

• Payment 30 days net per 100 units (risk to define per region because 1 deviation can cause major delay)

• Proof of delivery confirmed by UNICEF based on:- Commissioning/training report (Supplier technician and Health

facility) - Signed waybill (Transporter and Health facility)- Photo of installation/temperature (Supplier technician)

• Time from commissioning of refrigerator to proof of delivery is consolidated in capital can take 2 – 3 months which has financial implications for contractor. – Alternative proof of delivery therefore sought!

.CHECK 5 – Functionality test

5.1 Commissioning: have all tests been carried out in accordance with the

qualified supplier’s instructions?

Yes No

Are all system components functioning properly? Yes No

Comments:

CHECK 6 - Training

6.1

Number of health facility staff trained in usage of SDD

6.2 Number of staff trained in preventive maintenance of SDD – periodical

cleaning of solar panels etc

CHECK 7 – Documentation

7.1 Check if the following documentations are supplied in French Language check: user manual for all system components Yes No

A technician’s manual for all system components Yes No

An installation manual Yes No

Comments:

CHECK 8 – Overall conclusions and recommendations

8.1 Recommendation: Pass Fail

If FAIL, list outstanding work still required:

If PASS, the installation can be handed over to the user.

Installation technician signature: ……………………………………………………..

Health center responsible signature: ……………………………………………………..

Name and designation: ……………………………………………..

Rubber Seal

Of the Health facility/

District Health officer

Date: ……………………………

Experience brought forward to CCEOP

• The health facility defined for distribution is not ready to receive?– Health facility readiness required from Government at Deployment

plan stage– UNICEF will conduct a random check of health facility readiness when

developing Deployment plan with Government

• Informing district level before transport of fridge results in changes to the distribution list.– Involve regional and district level in preparation of Deployment plan– No changes in Deployment plan that has been signed by Government

Deviation protocol will be established with clear definition of roles and delegation of authority at MOH level (for decision making).

Experience brought forward to CCEOP

• The roof can not support solar panel or roof is organic (grass). Variety of solutions in the past.

– Pole mounted is the alternative to roof mounted

– Requirement that Govt. informs which sites this will be required at in Deployment plan

– Back-up plan might be required based on Health Readiness evaluation

JOINT PROCUREMENT EQUIPMENT/SERVICES - CONTRACT MODALITIES

Supplier Supply Chain.Service contract that includes delivery of fridge, international freight, custom clearance (Govt. consignee) , in-country logistics for delivery to health facility, installation/ commissioning of fridge at health facilities, and training of health facility staff in use and preventive maintenance. T&C warranty training with claims process at national level.The Supplier will be responsible for all the supply chain activities and will remain responsible for goods until delivered in good working order in designated sites.

UNICEF/Supplier Supply Chain.UNICEF place PO with Supplier. UNICEF FF arrange for freight to Supplier warehouse in country. The supplier will be responsible for in-country logistics for delivery to health facilities, installation/commissioning of fridge at health facility, and training of health facility staff in use and preventive maintenance. T&C warranty training with claims process at national level.The Supplier will be responsible for all the supply chain activities and will remain responsible for goods until delivered in good working order in designated sites.

JOINT PROCUREMENT EQUIPMENT/SERVICES (1)

• UNICEF will benchmark country service costs against a pre-set framework developed in coordination with Gavi and consultants. UNICEF reserves the right negotiate or refuse offers

• Guarantees

– Holding of a pre-defined percentage of value of goods and services until 90% of all units delivered and operational.

– Followed by a lower value holding for a 2 year period to ensure compliance with requirements

• Government will be consignee on CCE OP and as such be responsible for all import and custom clearance documentation

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JOINT PROCUREMENT EQUIPMENT/SERVICES (2)

• Liquidated damages will be used as a tool to follow up progress against agreed milestones

• UNICEF will hire a Monitoring & Evaluation company to perform spot inspections of rendered services. The supplier is accountable for quality of services, and failed inspection will result in requirement for supplier to go back and check all deliveries

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19UNICEF

THE CCEOP PROCESS

CCE OP

Application

CCE OP

Approval

$ amount

Cost Estimate

based on Health

Facility Readiness

Costed

Operational

plan

Cost of

equipment

(from LTA)

Cost of

service

bundle

(separate

tender

Gavi go-

ahead

Govt

transfers

funds

Gavi funds

transferPO/Contract

Deployment

Plan

(Govt/UNICEF)