Subject: REQUEST FOR QUOTATION RFQ-CO-14624-LOGFS ...sekpy.gr/wp-content/uploads/2018/06/RFQ-CO-14624-LOGFS...DAS – Project Manager – Dr. Levent Mollamustafaoglu 1 DAS – Technical

NATO UNCLASSIFIED

Acquisition

[email protected]

Fax: +32 (2) 707 8770

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NCIA/ACQ/2018/1285 19th June 2018

To: See Distribution List

From: The Director of Acquisition, NCI Agency Subject: REQUEST FOR QUOTATION RFQ-CO-14624-LOGFS “LOGFS –

Financial Services (FinS) Implementation Phase 2”

Reference(s) : A. Procedures Governing the Use of Basic Ordering Agreements AC/4 D(2002)002-FINAL (2002 Edition)

B. AC/4/(PP)D/27733 C. AC/4-DS(2017)0013

Dear Sir/Madam, 1. Your firm is hereby invited to participate in a Request for Quotation under BOA procedure

for the provision of “LOGFS- Financial Services (FinS) Implementation Phase 2”.

2. NATO will place one contract to cover the entire scope of the project.

3. The award will be based on the proposal evaluated as the lowest price, technically compliant in accordance with the selection criteria set forth in the Bidding Instructions.

4. THE CLOSING TIME FOR SUBMISSION OF BIDS IN RESPONSE TO THIS REQUEST FOR QUOTATION IS 10:00 HOURS (BRUSSELS TIME) ON TUESDAY 31 July 2018.

5. This Request for Quotation consists of the Bidding Instructions (Book I) and the Prospective Contract (Book II). The Prospective Contract contains the Schedule of Supplies and Services (Part I), Contract Special Provisions (Part II), Contract General Provisions (Part III), and the Statement of Work (Part IV). The Statement of Work and the Annexes thereto set forth detailed specifications governing the performance requirements of the contract. Additional background reference documents will be provided to the Prospective Bidders through the project portal. Only those prospective bidders who submit the acknowledgement of receipt (see Para 8 and Attachment A) will be provided with log-on credentials for to access the project portal.

6. The overall security classification of this Request for Quotation is “NATO UNCLASSIFIED”. This Request for Quotation remains the property of the NCI Agency and shall be protected in accordance with the applicable national security regulations.

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NCIA/ACQ/2018/1285

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7. The Bidders have the right to request RFQ clarifications as outlined in section 2.6 of the Bidding Instructions (Book I).

8. You are requested to complete and return the enclosed acknowledgement of receipt within 5 days of receipt of this RFQ, informing NCI Agency of your intention to bid/not to bid. Your firm is not bound by its initial decision, and if you decide to reverse your stated intention at a later date, you are requested to advise us by a separate letter.

9. Prospective Bidders are advised that the NCI Agency reserves the right to cancel this RFQ at any time in its entirety and bears no liability for bid preparation costs incurred by firms or any other collateral costs if bid cancellation occurs.

10. The Purchaser point of contact for all information concerning this Request for Quotation is:

NCI AGENCY Batiment Z Boulevard Leopold III 1110 Brussels Belgium Attn.: Mr. Peter Kowalski (ACQ) E-mail : [email protected]

FOR THE DIRECTOR:

[Original Signed By]

Peter Kowalski Senior Contracting Officer

Enclosures:

Attachment A: Acknowledgement of Receipt of Request for Quotation

mailto:[email protected]

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Distribution List

All Nominated Prospective Bidders 1

NATO Delegations (Attn: Infrastructure Adviser): Belgium 1 Bulgaria 1 Canada 1 Czech Republic 1 Denmark 1 Estonia 1 France 1 Germany 1 Greece 1 Hungary 1 Iceland 1 Italy 1 Latvia 1 Lithuania 1 Luxembourg 1 The Netherlands 1 Norway 1 Poland 1 Portugal 1 Romania 1 Slovakia 1 Slovenia 1 Spain 1 Turkey 1 United Kingdom 1 United States 1

Embassies in Brussels (Attn: Commercial Attaché):

Bulgaria 1 Canada 1 Czech Republic 1 Denmark 1 Estonia 1 France 1 Germany 1 Greece 1 Hungary 1 Italy 1 Latvia 1 Lithuania 1 Luxembourg 1 The Netherlands 1 Norway 1

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Poland 1 Portugal 1 Romania 1 Slovakia 1 Slovenia 1 Spain 1 Turkey 1 United Kingdom 1 United States (electronic copy to [email protected]) 1 Belgian Ministry of Economic Affairs 1

Distribution for information

NATO HQ

NATO Office of Resources Management and Implementation Branch – Attn: Deputy Branch Chief 1

Director, NATO HQ C3 Staff Attn: Executive Co-ordinator 1

NCI Agency – ALL NATEXs NCI Agency

ACQ Director of Acquisition – Mr P. Scaruppe 1 ACQ Deputy Director of Acquisition – Ms A. Szydelko 1 ACQ Contract Award Board Administrator - Ms M-L Le Bourlot 1 ACQ Chief of Contracts - Mr Alain Courtois 1 ACQ Principal Contracting Officer – Mr. G. Craver 1 DAS – SL Chief – Mr. Bert Tiems 1 DAS – Project Manager – Dr. Levent Mollamustafaoglu 1 DAS – Technical Lead – Ms. Cathy van der Heyden 1 ILS 1 NLO 1 Office of the Legal Advisor 1 Registry 1


NATO UNCLASSIFIED NCIA/ACQ/2018/1285

NATO UNCLASSIFIED V

Attachment A

Acknowledgement of Receipt of Request for Quotation

RFQ-CO-14624-LOGFS

Please complete and return within 5 days by e-mail to: [email protected] and [email protected].

We hereby advise that we have received Request for Quotation RFQ-CO-14624-LOGFS

on ........................................., together with all enclosures listed in the Table of Contents.

CHECK ONE

{ } As of this date and without commitment on our part, we do intend to submit a bid.

{ } We do not intend to submit a bid.

{ } We are reviewing the requirements of the RFQ and will notify you of our decision as soon as possible.

Signature:

Printed Name:

Title:

Company:

Address:



NATO UNCLASSIFIED RFQ-CO-14624-LOGFS Book I- Bidding Instructions

REQUEST FOR QUOTATION

RFQ-CO-14624-LOGFS

PROVIDE LOGFS – Financial Services (FinS) Implementation Phase 2

AUTHORISATION/SERIAL NO. 2007/0IS03043-10/19


GENERAL INDEX

BOOK I - THE BIDDING INSTRUCTIONS

Section I Introduction Section II General Bidding Information Section III Bid Preparation Instructions Section IV Bid Evaluation Annex A Bidding Sheets Annex B Bidding Sheets - Instructions Annex C Certificates Annex D Cross Reference/Compliance Table Annex E Clarification Requests forms Annex F Standby Letter of Credit Annex G Oracle Licencing BOOK II - THE PROSPECTIVE CONTRACT

Signature Sheet Part I Schedule of Supplies and Services

Part II Contract Special Provisions

Part III BOA General Provisions Part IV Statement of Work


RFQ- CO-14624-LOGFS

BOOK I

BIDDING INSTRUCTIONS


CONTENTS 1 INTRODUCTION ................................................................................................................................ 1 2 GENERAL BIDDING INFORMATION ............................................................................................... 2

2.1 DEFINITIONS ............................................................................................................................. 2 2.2 ELIGIBILITY................................................................................................................................ 2 2.3 BID DELIVERY AND BID CLOSING .......................................................................................... 3 2.4 REQUESTS FOR EXTENSION OF BID CLOSING DATE ......................................................... 4 2.5 PURCHASER POINT OF CONTACT ......................................................................................... 4 2.6 REQUESTS FOR RFQ CLARIFICATIONS ................................................................................ 5 2.7 REQUESTS FOR WAIVERS AND DEVIATIONS ...................................................................... 5 2.8 AMENDMENT OF THE REQUEST FOR QUOTE ..................................................................... 6 2.9 MODIFICATION AND WITHDRAWAL OF BIDS ........................................................................ 6 2.10 BID VALIDITY ............................................................................................................................. 7 2.11 BID GUARANTEE ...................................................................................................................... 7 2.12 CANCELLATION OF REQUEST FOR QUOTES ....................................................................... 8 2.13 ELECTRONIC TRANSMISSION OF INFORMATION AND DATA ............................................. 8

3 BID PREPARATION INSTRUCTIONS .............................................................................................10 3.1 GENERAL .................................................................................................................................10 3.2 PREPARATION OF THE ADMINISTRATIVE PACKAGE (PART 1) ........................................11 3.3 PREPARATION OF THE PRICE QUOTATION (PART 2) .......................................................12 3.4 PREPARATION OF THE TECHNICAL PROPOSAL (PART 3) ...............................................15 3.5 PACKAGING AND MARKING OF BIDS ...................................................................................17

4 BID EVALUATION .............................................................................................................................19 4.1 GENERAL .................................................................................................................................19 4.2 ADMINISTRATIVE CRITERIA ..................................................................................................20 4.3 PRICE CRITERIA .....................................................................................................................20 4.4 TECHNICAL CRITERIA ............................................................................................................23

ANNEX A – BIDDING SHEETS ................................................................................................................25 ANNEX B - INSTRUCTIONS FOR THE PREPARATION OF BIDDING SHEETS ...................................26 ANNEX C – CERTIFICATES ....................................................................................................................27 ANNEX D – Cross-Reference / Compliance Table ................................................................................44 ANNEX E – Clarification Request Forms ..............................................................................................46 ANNEX F – Standby Letter of Credit .....................................................................................................49 ANNEX G – Oracle Licencing ................................................................................................................52


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1 INTRODUCTION 1.1 The purpose of this Request for Quote (RFQ) is to develop and design LOGFS

Financial Services (FinS) including, in Phase 2.1, new requirements, initial design, product structure and implementation plan and in Phase 2.2 (being an option to this contract) actual implementation and migration to the new system designed in Phase 2.1. It also has nine additional optional work packages to cover the migration of the FinS database to an Oracle Linux infrastructure; the provision of a Disaster Recovery capability in the new NCIA Data Centre in Lago Patria, to cover any license costs for additional software components and to cover 6 specific areas of functionality with the possibility to de-scope if not affordable.

1.2 The Participating Countries for this RFQ are listed in paragraph 2.1.5. The Contractor shall provide and implement the performance requirements as set forth in the relevant Statement of Work (Book II Part IV) and in the Schedule of Supplies and Services (Book II Part I) in the manner, and at times and the place, stated in the prospective Contract.

1.3 This RFQ is issued in accordance with the Procedures Governing the Use of Basic Ordering Agreements (BOAs) set forth in the NATO document AC/4 D(2002)002-FINAL (2002 Edition).

1.4 The security classification of this RFQ is “NATO UNCLASSIFIED”.

1.5 Award of the Contract will be made on a Firm Fixed Price Basis to the lowest priced technically compliant Bidder.

1.6 The solicitation, evaluation and award processes will be conducted in accordance with the terms and conditions contained herein.

1.7 The Bidder shall refer to the Purchaser all queries for a resolution of conflicts found in information contained in this document in accordance with the procedures set forth in §2.6 of the Bidding Instructions entitled “Requests for RFQ Clarifications”.

1.8 Note that the Purchaser is providing a large amount of documentation for the current FinS system (as listed in SOW Annex C) as well as additional documentation needed as part of the RFQ. This documentation shall be considered an integral part of the RFQ and can be obtained by signing a Non-Disclosure Agreement with the Purchaser.

1.9 The target date for Contract Award is September 2018.


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2 GENERAL BIDDING INFORMATION

2.1 DEFINITIONS

2.1.1 The term “Assembly” as used herein means an item forming a portion of equipment that can be provisioned and replaced as an entity and which normally incorporates replaceable parts or groups of parts.

2.1.2 The term “Bidder” as used herein refers to a firm, consortium, or joint venture

which submits an offer in response to this solicitation. 2.1.3 The term “Compliance” as used herein means strict conformity to the

requirements and standards specified in this Request for Quote. 2.1.4 The term “Contractor” refers to a firm of a participating country which has

signed a Contract under which it will perform a service, manufacture a product, or carry out work for NATO.

2.1.5 The term “Participating Country” as used herein means one of the

contributory NATO nations in the project, namely, (in alphabetical order):

BELGIUM, BULGARIA, CANADA, CZECH REPUBLIC, DENMARK, ESTONIA, FRANCE, GERMANY, GREECE, HUNGARY, ICELAND, ITALY, LATVIA, LITHUANIA, LUXEMBOURG, NETHERLANDS, NORWAY, POLAND, PORTUGAL, ROMANIA, SLOVAKIA, SLOVENIA, SPAIN, TURKEY, UNITED KINGDOM, UNITED STATES OF AMERICA.

2.1.6 The term “Purchaser” refers to the authority issuing the RFQ and/or awarding

the Contract (the NATO Communications and Information Agency, NCIA). 2.1.7 The term “Sub-Assembly” as used herein refers to a portion of an assembly

consisting of two or more parts that can be provisioned and replaced as an entity. The definition purposely excludes components and/or parts.

2.2 ELIGIBILITY

2.2.1 Only firms which hold an active BOA stipulated with the NCI Agency are eligible to take part in this RFQ. In addition, all contractors, sub-contractors and manufacturers, at any tier, must be from Participating Countries.

2.2.2 None of the work, including project design, labour and services shall be performed other than by firms from and within Participating Countries.

2.2.3 No materials or items of equipment down to and including identifiable sub-

assemblies shall be manufactured or assembled by a firm other than from and within a Participating Country.

2.2.4 The intellectual property rights to all design documentation and related

system operating software shall reside in NATO member countries, and no license fee, or royalty charges shall be paid by the Contractor to firms,


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individuals or governments other than within the NATO member countries. 2.2.5 Bidders are at liberty to constitute themselves into any form of contractual

arrangements or legal entity they desire, bearing in mind that in consortium- type arrangements a single judicial personality shall be established to represent that legal entity. A legal entity, such as an individual, Partnership or Corporation, herein referred to as the “Prime Contractor”, shall represent all members of the consortium with the NCI Agency and/or NATO. The “Prime Contractor” shall be vested with full power and authority to act on behalf of all members of the consortium, within the prescribed powers stated in an irrevocable Power of Attorney issued to the “Prime Contractor” by all members associated with the consortium. Evidence of authority to act on behalf of the consortium by the “Prime Contractor” shall be enclosed and sent with the Bid. Failure to furnish proof of authority shall be a reason for the Bid being declared non-compliant.

2.3 BID DELIVERY AND BID CLOSING

2.3.1 All Bids shall be in the possession of the Purchaser at the address given in §2.3.2 before 10:00 hours (Brussels Time) on Tuesday, 31 July 2018 at which time and date bidding shall be closed.

2.3.2 Bids shall be delivered to the following address: NATO Communications and Information Agency Postal address: NATO, Boulevard Leopold III 1110 Brussels Delivery address: NATO Industrial Infrastructure Reception Service1, rue Arthur Maes 1130 Brussels Belgium Attention: Mr Peter Kowalski

2.3.3 Bids have to be submitted as electronic (CD ROM) as further detailed in

§3.1.4.

2.3.4 Bids which are delivered to the Purchaser after the specified time and date set forth above for Bid Closing are “Late Bids” and shall not be considered for award. Such bids will be returned unopened to the Bidder at the Bidder's expense unless the Purchaser can determine that the bid in question meets the criteria for consideration as specified below.

2.3.5 Consideration of Late Bid. It is the responsibility of the Bidder to ensure that the

bid submission is duly completed by the specified Bid Closing time. Considering the number and the quality of express delivery services, courier services and special services provided by the national postal systems, a Late Bid shall only be considered for award under the following circumstances:


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(a) A Contract has not already been awarded pursuant to the Request for Quote, and

(b) the bid was sent to the address specified in the RFQ by ordinary,

registered or certified mail not later than five (5) calendar days before the bid closing date and the delay was due solely to the national or international postal system for which the Bidder bears no responsibility (the official postmark for Ordinary and Registered Mail or the date of the receipt for Certified Mail will be used to determine the date of mailing), or

(c) the bid was hand-carried, or delivered by a private courier service

and the Bidder can produce a receipt which demonstrates that the delivery was made to the correct address and received by a member of the NCI Agency and the failure to be received by the Contracting Authority was due to mishandling within the Purchaser’s organisation.

2.3.6 A Late Bid which was hand-carried or delivered by a private courier service,

for which a proper receipt cannot be produced, cannot be considered for award under any circumstances, nor can Late Bids which bear no postmarks or for which documentary evidence of mailing date cannot be produced.

2.3.7 Bidders are advised that security or other personnel remaining on the

premises outside of normal business hours may decline to sign or issue receipts for delivered items. It is therefore of the paramount importance that all deliveries are arranged and scheduled to occur between 09:00 hrs – 16:00 hrs Brussels, Belgium Time during the normal NATO working days.

2.4 REQUESTS FOR EXTENSION OF BID CLOSING DATE

The Purchaser does not accept, except in exceptional cases, Bidder requests to extend the Bid Closing Date. In any event, all questions and requests for extension of bid closing date must be submitted in writing by fax or e-mail. Such questions shall be forwarded to the Point of Contact specified in § 2 . 5 and shall arrive not later than 10 days before the closing date of the bid. The Purchaser is under no obligation to consider or answer requests submitted after this time. Extensions to the Bid Closing Date are at the sole discretion of the Purchaser.

2.5 PURCHASER POINT OF CONTACT

The Purchaser Point of Contact (POC) for all information concerning this RFQ is:

Mr Peter Kowalski E-mail: [email protected] NATO Communications and Information Agency Postal address: NATO, Boulevard Leopold III



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1110 Brussels Delivery address: NATO Industrial Infrastructure Reception Service1, rue Arthur Maes 1130 Brussels Belgium

2.6 REQUESTS FOR RFQ CLARIFICATIONS

2.6.1 Bidders, during the solicitation period, are encouraged to query and seek clarification of any matters of a contractual, administrative and technical nature pertaining to this RFQ.

2.6.2 All questions and requests for clarification must be submitted in writing using

the format in Annex E, All questions and requests must reference the Section(s) in the RFQ subject for clarifications. The questions and/or requests shall be forwarded to the POC specified in § 2 . 5 and shall arrive not later than 21 days after RFQ release date. The Purchaser is under no obligation to answer questions submitted after this time. Requests for clarification must address the totality of the concerns of the Bidder for any given area, as the Bidder will generally not be permitted to revisit areas of the RFQ for additional clarification as noted in §2.6.3.

2.6.3 Bidders are advised that subsequent questions and/or requests for clarification

included in a bid shall neither be answered nor considered for evaluation and may be grounds for a determination of non-compliance.

2.6.4 Except as provided above, all questions will be answered by the Purchaser

and the questions and answers (deprived of any means of identification of the questioner) will be issued in writing to all prospective bidders.

2.6.5 The published answers issued by the Purchaser shall be regarded as the

authoritative interpretation of the RFQ, and may lead to a formal amendment to the RFQ. Such amendment may also contain changes to the language, terms, conditions and/or specifications of the RFQ. Amendments to the language of the RFQ included in the answers, and/or the formal RFQ amendment, shall be incorporated by the Bidder in its offer.

2.7 REQUESTS FOR WAIVERS AND DEVIATIONS

2.7.1 Bidders are informed that requests for alteration to, waivers of, or deviations from the Schedules, the Special Contract Provisions, the Technical Specifications, the Statement of Work and any other Terms and Conditions of the Prospective Contract will not be considered after the closing date and time for Requests for Clarification from bidders.

2.7.2 Requests for alterations to the other requirements, terms or conditions of the Request for Quote or the Prospective Contract may only be considered as part of the clarification process set forth in §2.6. Requests for alterations to the


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specifications, terms and conditions of the Contract which are included in a Bid as submitted may be regarded by the Purchaser as a qualification or condition of the Bid and may be grounds for a determination of non-compliance.

2.8 AMENDMENT OF THE REQUEST FOR QUOTE

2.8.1 The Purchaser may revise, amend or correct the terms, conditions and/or specifications and provisions of the RFQ documents at any time prior to the date set for the Bid Closing. Any and all modifications will be transmitted to all prospective bidders by an official amendment designated as such and signed by the Contracting Authority. Such amendment shall be recorded in the Acknowledgement of Receipt (Annex C-6) which the bidder shall complete and enclose as part of its bid. This process may be part of the clarification procedures set forth in §2 .6 or may be an independent action on the part of the Purchaser.

2.8.2 The Purchaser will consider the potential impact of amendments on the ability

of prospective Bidders to prepare a proper bid within the allotted time. The Purchaser may extend the “Bid Closing Date” at its discretion and such extension will be set forth in the amendment document.

2.8.3 In no case, however, will the closing date for receipt of bids be less than seven

(7) days from the date of issuance of any amendment to the RFQ. 2.9 MODIFICATION AND WITHDRAWAL OF BIDS

2.9.1 Bids, once submitted, may be modified by Bidders, but only to the extent that the modifications are in writing, conform to the requirements of the RFQ, and are received by the Purchaser prior to the exact time and date established for Bid Closing. Such modifications shall be considered as an integral part of the submitted bid.

2.9.2 Modifications to bids which arrive after the Bid Closing Date will be considered

as “Late Modifications” and will be processed in accordance with the procedure set forth above concerning “Late Bids”, except that unlike a “Late Bid”, the Purchaser will retain the modification until a selection is made. A modification to a bid which is determined to be late will not be considered in the evaluation and selection process. If the Bidder submitting the modification is determined to be the successful Bidder on the basis of the unmodified bid, the modification may then be opened. If the modification makes the terms of the bid more favourable to the Purchaser, the modified bid may be used as the basis of Contract award. The Purchaser, however, reserves the right to award a Contract to the apparent successful Bidder on the basis of the bid submitted and disregard the late modification.

2.9.3 A Bidder may withdraw its bid at any time prior to Bid Opening without penalty. In order to do so, an authorised agent or employee of the Bidder must provide an original statement of the firm's decision to withdraw the bid and remove the bid from the Purchaser's premises.


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2.9.4 Except as provided in §2.10.4(b), a Bidder may withdraw its bid after Bid Opening only by forfeiture of the Bid Guarantee.

2.10 BID VALIDITY

2.10.1 Bidders shall be bound by the term of their bids for a period of twelve (12) months starting from the Bid Closing Date specified in §2.3.1.

2.10.2 In order to comply with this requirement, the Bidder shall complete the

Certificate of Bid Validity set forth in Annex C-3 for acceptance by the Purchaser may be determined to be non-compliant.

2.10.3 The Purchaser will endeavour to complete the evaluation and make an award

within the period referred to in §2.10.1 . However, should that period of time prove insufficient to render an award, the Purchaser reserves the right to request an extension of the period of validity of all bids which remain under consideration for award.

2.10.4 Upon notification by the Purchaser of such a request for a time extension, the

Bidders shall have the right to:

(a) accept this extension of time in which case Bidders shall be bound by the terms of their offer for the extended period of time and the Certificate of Bid Validity extended accordingly; or

(b) refuse this extension of time and withdraw the bid without penalty.

2.10.5 Bidders shall not have the right to modify their bids due to a Purchaser request

for extension of the bid validity unless expressly stated in such request. 2.11 BID GUARANTEE

2.11.1 The Bidder shall furnish with its Bid a guarantee in an amount equal to Two Hundred Thousand Euro (€ 200,000) only. The Bid Guarantee shall be in the form of an irrevocable, unqualified and unconditional bid bond, i.e. Standby Letter of Credit issued by a Belgian banking institution fully governed by Belgian legislation or issued by a non-Belgian financial institution and confirmed by a Belgian banking institution fully governed by Belgian legislation. In the latter case signed original letters from both the issuing institution and the confirming institution must be provided. The confirming Belgian bank shall clearly state that it will guarantee the funds, the drawing against can be made by the NCI Agency at its premises in Belgium. Bid Guarantees shall be made payable to the Treasurer, NATO Communications and Information Agency and its legal successor.

2.11.2 Alternatively, a Bidder may elect to post the required Guarantee in cash (via direct bank deposit) or by certified cheque to be submitted in the Bidders Bid Administration Package (§3.2). If the latter method is selected, Bidders are informed that the Purchaser will cash the cheque on the Bid Closing Date. Instructions regarding direct bank deposit can be obtained from the designated Point of Contact indicated in §2.5.


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2.11.3 “Standby Letter of Credit” as used herein, means a written commitment by a Belgian financial institution either on its own behalf or as a confirmation of the Standby Letter of Credit issued by a non-Belgian bank to pay all or part of a stated amount of money, until the expiration date of the letter, upon presentation by the Purchaser of a written demand therefore. Neither the financial institution nor the Bidder can revoke or condition the Standby Letter of Credit. The term “Belgian financial institution” includes non-Belgian financial institutions licensed to operate in Belgium.

2.11.4 The format described in Annex F may be used by the issuing financial institution to create a Standby Letter of Credit:

2.11.5 If the Bid Closing Date is extended after a Bidder's financial institution has issued a Bid Guarantee, it is the obligation of the Bidder to have such Bid Guarantee (and confirmation, as applicable) extended to reflect the revised Bid Validity date occasioned by such extension.

2.11.6 Failure to furnish the required Bid Guarantee in the proper amount, and in the proper form and for the appropriate duration by the Bid Closing Date may be cause for the bid to be determined non-compliant.

2.11.7 Bid Guarantees will be returned to Bidders as follows: a) to non-compliant Bidders forty-five (45) days after notification by the

Purchaser of a non-compliant bid (except where such determination is challenged by the Bidder; in which case the Bid Guarantee will be returned forty-five (45) days after a final determination of non- compliance);

b) to all other unsuccessful Bidders within thirty (30) days following the award of the Contract to the successful Bidder;

c) to the successful Bidder upon submission of the Performance Guarantee required by the Contract or, if there is no requirement for such a Performance Guarantee, upon contract execution by both parties;

d) pursuant to §2.10.4 (b). 2.11.8 Bid Guarantees will be covering the full scope of the implementation, including

all the optional Work Packages. 2.12 CANCELLATION OF REQUEST FOR QUOTES

The Purchaser may cancel, suspend or withdraw for re-issue at a later date this RFQ at any time prior to Contract award. No legal liability on the part of the Purchaser for payment of any sort shall arise and in no event will any Bidder have cause for action against the Purchaser for the recovery of costs incurred in connection with preparation and submission of a bid in response to this RFQ.

2.13 ELECTRONIC TRANSMISSION OF INFORMATION AND DATA

The Purchaser will endeavour to communicate answers to requests for clarification and amendments to this RFQ to the prospective bidders by the


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fastest means possible, including the use of e-mail where the firms have forwarded the necessary address information. All bidders are consequently strongly encouraged to provide accurate email addressing information and notify the Purchaser at the earliest practicable date should any changes occur. Bidders are cautioned that the Purchaser will rely exclusively on electronic mail to manage all correspondence, amendments, etc., related to this RFQ. There is a large number of documents describing the current FinS implementation which on the NCIA portal (https://ifb.ncia.nato.int), which can be accessed after the interested prospective bidder as acknowledgement of the intention to bid. Please see Para 5 of the RFQ cover letter dated 19 June 18 for more information.


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3 BID PREPARATION INSTRUCTIONS

3.1 GENERAL

3.1.1 Bids shall be prepared in accordance with the instructions set forth herein. Failure to comply with these instructions may result in the Bid being declared non-compliant.

3.1.2 Bidders shall prepare a complete bid which comprehensively addresses

all requirements stated herein. The Bid shall demonstrate the Bidder's understanding of the RFQ and its ability to provide all the deliverables and services listed in the Schedule of Supplies and Services. Bids, which are not complete, will be declared non-compliant.

3.1.3 The Bidder shall not restate the RFQ requirements in confirmatory terms

only. The Bidder must clearly describe what is being offered and how the Bidder will meet all RFQ requirements. Statements in confirmatory terms only will be sufficient grounds for determining the bid to be non-compliant.

3.1.4 Bidders shall prepare their bid in 3 parts in the following quantities

(a) Administrative Package (Part 1): Paper: Original certificates and Bid Guarantee. Electronic: PDF copies of the certificates with physical (non-digital) signatures

(b) Price Quotation (Part 2): Paper: Printed copy of the Pricing Sheets (on A3 paper) Electronic: 1 Excel copy on the provided template.

(c) Technical Proposal (Part 3): Electronic: PDF and MS Office formats, limited to what is stated in §3.4.2.

3.1.5 Electronic copies of the required documents shall be stored and delivered in CD-ROM or DVD-ROM media. The three packages shall be stored in separate electronic media and marked as described in § 3.5.

3.1.6 Documents submitted in accordance with § 3 . 1 . 4 shall be classified no higher than “NATO UNCLASSIFIED” material.

3.1.7 Partial Bids and/or bids containing conditional statements will be declared

non-compliant. 3.1.8 Where no specific format is mandated, electronic bid documentation shall


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be delivered in PDF format without limitations of printing or “copy & paste”. The Purchaser reserves the right to request native formats electronic files of the proposal to facilitate the evaluation process.

3.1.9 Bidders are advised that the Purchaser reserves the right to incorporate

the Bidders Technical Proposal in whole or in part in the resulting Contract. 3.1.10 Bid language shall be English. 3.2 PREPARATION OF THE ADMINISTRATIVE PACKAGE (PART 1) 3.2.1 The Bid Administrative Package shall include the original of the Bid

Guarantee required by §2.11. If the Bid Guarantee is sent to the Purchaser directly from the Bidder's bank, a letter, in lieu of the actual Guarantee, shall be included specifying the details of the transmittal. Bidders are reminded that the Bid Guarantee shall reflect any extensions to the Bid Validity Date due to extensions in the Bid Closing Date.

3.2.2 The Package shall include the Certificates set forth in Annexes to these Bidding Instructions, signed in the original by an authorised representative of the Bidder. Within the Package the bidder shall also include the signed electronic copies of the certifications – with physical, not electronic signatures - set forth in Annex C hereto, specifically:

(a) C-1 Certificate of Legal Name of Bidder

(b) C-2 Certificate of Independent

(c) C-3 Certificate of Bid Validity

(d) C-4 Certificate of Understanding (e) C-5 Certificate of Exclusion of Taxes, Duties and Charges

(f) C-6 Acknowledgement of Receipt of RFQ Amendments

(g) C-7 Disclosure of Requirements for NCI Agency Execution of Supplemental Agreements

(h) C-8 Certification of NATO Member Country of Origin of Delivered Equipment, Services, Material and Intellectual Property Rights

(i) C-9 Comprehension and Acceptance of Contract Special Provisions and General Provisions

(j) C-10 List of Prospective Sub-Contractors / Consortium members

(k) C-11 Certificate of AQAP 2110 or ISO-9001:2008 Compliance.


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(l) C-12 List of Key Personnel with Security Clearance Information (m) C-13 Disclosure of Involvement of Former NCI Agency Employment

(n) C-14 Bidder Background IPR

(o) C-15 List of 3rd Party IPR

3.2.3 Concerning Certificate C-10, the Contractor shall identify by name, project role, and country of origin, all sub-contractors whose sub-contract value is expected to equal or exceed EUR 125,000, if any. A list of consortium members shall also be completed and included. If there are no sub- contractors/consortium members involved, the Bidder shall state this separately. The subcontractors listed in this certificate shall be traceable in the Bidding Sheets.

3.2.4 Concerning Certificate C-7, Disclosure of Requirements for NCI Agency

Execution of Supplemental Agreements, Bidders shall note especially the following:

3.2.4.1 If supplemental agreements, such as End-User Certificates or Technical Assistance Agreements, are required by national regulations, these must be submitted with the Bidders Bid. Supplemental agreements submitted after the Bid Closing Date shall not be considered.

3.2.4.2 The terms of supplemental agreements, if necessary, are the Bidders

/ Contractors responsibility and shall be totally consistent with the terms of the (Prospective) Contract, and shall not duplicate, negate, or further interpret any provisions of this Contract. The terms of the (Prospective) Contract shall take precedence over the Supplemental Agreement.

3.2.4.3 A problem with the supplemental agreement in any of the areas

mentioned previously in this provision may result in a determination that the Bid is not compliant with the terms of the RFQ, and in rejection of the Bid, or termination for default of the Contract if the supplemental agreement is submitted after Contract award.

3.2.4.4 The Bidder should include a copy of the Technical Proposal Cross-

Reference/Compliance Table (see §3.4.4) in the Administrative package, although the table is part of the Technical Proposal.

3.3 PREPARATION OF THE PRICE QUOTATION (PART 2)

3.3.1 The Price Quotation shall be prepared and submitted in the form of completed Bidding Sheets in accordance with RFQ Book I, Section 3 and Annexes A and B. No alteration of the form and pre-filled content of the Bidding Sheets is allowed, unless otherwise specified.

3.3.2 This package must contain the following documentation and media:


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3.3.2.1 Electronic version in Microsoft Excel of the f i l l e d Bidding Sheets as

per Book I Annex A. 3.3.2.2 Paper copy of the Bidding Sheets printed on A3 Paper in Landscape

orientation. 3.3.3 Bidders shall prepare their Price Quotation by completing the yellow

highlighted sections of the Bidding Sheets in accordance with the instructions specified in Annex B.

3.3.4 Bidders shall quote in their own national currency or in EUR, the host nation

currency. Bidders may also submit bids in multiple currencies including other NATO member states' currencies under the following conditions:

(a) the currency is of a "Participating Country" in the project, and

(b) the Bidder can demonstrate, either through sub-contract

arrangements or in its proposed work methodology, that it will have equivalent expenses in that currency. All major sub-contracts and their approximate anticipated value should be listed on a separate sheet and included with the Price Quotation.

3.3.5 The Purchaser, by virtue of its status under the terms of Article IX and X of the Ottawa Agreement, is exempt from all direct taxes (incl. VAT) and all customs duties on merchandise imported or exported. The Contractor, therefore, shall certify that the prices stipulated in this Contract do not include amounts to cover such direct taxes or customs duties.

3.3.6 The Contractor shall be responsible for ensuring that its respective Sub-

contractors are aware that the Purchaser is exempt from taxes and customs duties. The Contractor (and its respective Sub-contractors) shall be responsible for complying with all applicable national and local legal and administrative procedures to ensure that authorities do not attempt to assess taxes and customs duties on goods and property imported or exported through NATO member nation frontiers under this Contract nor assess direct taxation (VAT) on goods sold to the NCI Agency under this Contract. Bidders are reminded of the requirement to complete the certification to this effect in Annex C-5.

3.3.7 Unless otherwise specified in the instructions for the preparation of bidding

sheets, all prices quoted in the proposal shall be DDP (Delivered Duty Paid) to specified destination, in accordance with the International Chamber of Commerce INCOTERMS 2000 and shall also cover all packaging, packing, preservation, insurance and transportation charges. Prices quoted shall include all costs for items supplied and delivered to final destination.

3.3.8 The Bidder’s attention is directed to the fact that their Price Quotation shall

contain no document and/or information other than the priced copies of the Bidding Sheets. Any other document of a contractual or technical


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nature will not be considered for evaluation and may be cause for a determination of non-compliance by the Purchaser.

3.3.9 When completing the Bidding Sheets, a unit price and total firm fixed price

for each proposed element must be supplied on each CLIN line item including all options provided for this RFQ. Prices should not be grouped. The prices and quantities entered on the document shall reflect the amount of the total items required to meet the contractual requirements. Partial quotations shall be rejected. The total price shall be indicated in the appropriate columns and in the currency quoted. If the price of a line item is expressed in different currencies, these shall be identified, and there shall be as many totals on that line item as there are currencies. In preparing the Price Quotation, Bidders shall ensure that the prices of the Sub-items total the price of the major item of which they constitute a part. The accuracy of the inputs of the Bidding Sheets is the responsibility of the Bidder. The Purchaser in its favour may resolve ambiguous computation of prices.

3.3.10 The Bidding Sheets shall clearly illustrate the totals per CLIN and the grand

total price of the bid in accordance with the format set out in the Annex A of these Bidding Instructions.

3.3.11 The Bidder shall furnish firm fixed price quotations, for all proposed items.

Partial quotations shall be rejected. 3.3.12 The Bidder understands that there is no obligation under this Contract for the

Purchaser to exercise an optional part of the contract covered in Work Packages 2 through 11, and that the Purchaser bears no liability should it decide not to exercise such options. However, it is the intention of the Purchaser to exercise options for WP6 through WP11 if the main implementation option (WP2) is exercised.

3.3.13 The Contractor shall be liable for all other taxes, assessments, fees, licenses, administrative charges or other Government assessments or charges which are applicable to the performance of this Contract. It is the Contractor's responsibility to inform itself of its liability in each country where such liability may arise.

3.3.14 Price Proposals specifying delivery dates exceeding the deadlines for

completion of works indicated in the Schedule of Supplies and Services may be declared non-compliant.

3.3.15 The Bidder shall identify for each CLIN all significant sub-contractors and

provide required information about their prospective sub-contractors whose estimated value of the subcontract is expected to equal or exceed EUR 125,000 using the “List of Prospective Sub-Contractors” form attached to Book I Annex C-10.

3.3.16 Bidders shall separately price the cost of Warranty. Zero values or the


15

statement that the Bid price includes the cost of warranty are not allowed. 3.3.17 WP3 is to provide support to the required COTS software components

proposed by the Contractor in the Bid and are not part of the Oracle-NATO Enterprise License Agreement (see Annex G). The implementation cost for the mentioned components are covered in WP2 (CLIN 2.3) or in WP6 through WP11.

3.3.18 WP3 cost shall include any additional Oracle Technology Licenses required for the new FinS implementation, whether that is required by changes to the existing configuration or triggered by the addition of new EBS Modules.

3.4 PREPARATION OF THE TECHNICAL PROPOSAL (PART 3)

3.4.1 Bidders shall submit their Technical Proposal in an electronic package with separate documents in PDF or MS Office formats as required, containing all the information addressing the technical specifications and requirements of the Statement of Work (SOW). The Technical Proposal shall have a confirmation that all requirements in SOW Annex A are included in the proposed solution.

3.4.2 The Technical Proposal package shall not exceed 500 pages when printed on A4 paper.

3.4.3 Times New Roman” fonts in size 12 shall be used for normal text, and “Arial Narrow” fonts not smaller than size 10 for tables and graphics.

3.4.4 Technical Proposal Cross-Reference/Compliance Table. The Bidder shall include the completed Technical Proposal Cross-Reference Table from Annex D of Book I. The Bidder shall complete Column 4 of the Table, citing the appropriate section of the Technical Proposal that corresponds to each paragraph of these Instructions for the Preparation of the Technical Proposal. The completed Table serves as an index for the Purchaser's Technical Evaluation Panel and also as an aide memoire to the Bidder to ensure that all the required information has been provided in the Technical Proposal.

3.4.5 Requirements Traceability Matrix: The Bidder shall fill the two columns in the SOW Annex A depicting the Solution for each requirement and any Customisation to be applied.

3.4.6 Specifications sheets. The Bidder shall provide a specifications sheet for each item of COTS component/software it proposes to provide to satisfy the technical requirements stated in Section 3 and Annexes A and B of the SOW.

3.4.7 Initial Architecture Documents: Although several architectural documents are to be prepared during Phase 2.1 and delivered and reviewed at the Lifecycle Architecture Review milestone (see SOW §4.4), early draft versions of some shall be delivered as part of the Technical Proposal to reflect the Bidder’s proposed solution on the basis of the requirements in SOW Annex A and all legacy documentation provided by the Purchaser. The following documents shall be part of the Technical Proposal:


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OUM Code Name TA.020 Technical Architecture Requirements and

Strategy

RA.035 High-level Software Architecture Description

RD.130 Baseline Architecture Description

For Business Intelligence and Governance, Risk Management, Compliance and Auditing requirements, all the assumptions about implementation shall be provided, such as the number of data warehouses to use, commonality or specificity of reports.

3.4.8 Project Management Plan: The Bidder shall provide a draft Project Management Plan (PMP) demonstrating the approach of the Bidder to run this project, covering both phases 2.1 and 2.2. A template that could be used for this purpose is provided as Annex D to the SOW. The main body of the PMP is expected to be completed by the PMR milestone, thus can be ignored unless the Bidder wants to provide some of the information for visibility only. The following annexes to the PMP shall be included in the Bid and shall be used in the Technical Evaluation, the remaining Annexes can be ignored at bidding time:

3.4.8.1 Annex A-Project Master Schedule: The Bidder shall provide a /master schedule that can be used by the Purchaser to understand the implementation sequence and timelines. The Bidder should provide this plan in Microsoft Project 2010 format and summary views in PDF or MS Word formats (see SOW §2.13).

3.4.8.2 Annex B-Product Breakdown Structure and Annex C-Work Breakdown

Structure: See SOW §2.11 and 2.12. 3.4.8.3 Annex D- RAID Log: See SOW section 2.14. The Bidder shall provide a

RAID Log that the Bidder can determine at the time of the Bid from the materials provided by the Purchaser. Any risks that could be foreseen at this time about customisations should be added to the Contractor’s initial RAID Log.

3.4.9 Bidder Qualifications. This project is going to upgrade an existing Oracle eBusiness Suite (EBS) implementation, thus the Bidder shall have qualifications demonstrating that they have the technical and managerial skills to guarantee success of this specific update. Thus the following qualifications will be required:

3.4.9.1 The Bid shall detail the successful experience of the Contractor in the design, delivery, implementation and support of Oracle EBS-based systems, with particular emphasis on recent experience – within the last 5 years. The Bidder shall provide:

• the number of systems deployed/delivered/supported


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• the purchaser(s) of these systems • the user(s) of these systems • the start date and end date of the Contract • a point of contact 3.4.9.2 The Bid shall also include the CVs for the Key Personnel. The Purchaser

will conduct interviews with the CPM, CSA, CFL and the CTM (see SOW §6 for the definitions and the skillsets for these roles) during the Bid evaluation, informing the Contractor one week in advance. The interviews shall be conducted face to face in one of the Agency locations (Mons, The Hague or Brussels).

3.4.9.3 The proposed Key Personnel have to satisfy the skillset requirements in SOW §6. In order to verify that this is the case, the following information shall be included in the CVs:

• Relevant successful projects in the last 5 years (dates and phases covered, size, type, reference, role)

• Expertise in Oracle EBS and related capabilities (functional areas) 3.4.10 Additional materials such as brochures, sales literature, product

endorsements and unrelated technical or descriptive narratives shall not be included in the Technical Proposal. These materials may be included in a separate volume marked as Supplemental Material, but will not be evaluated.

3.5 PACKAGING AND MARKING OF BIDS

3.5.1 All copies of the Administrative Package, Price Quotation and the Technical Proposal shall be segregated and enclosed in separate outer envelopes or packages marked as follows:

(a) The name and address of the Bidder;

(b) The words “NATO UNCLASSIFIED”;

(c) The words “SEALED OFFER LOGFS”

(d) The designated RFQ number: “RFQ-CO-14624-LOGFS” followed by one of the following identifications as appropriate:

“Administrative Package”,

“Price Quotation”,

“Technical Proposal”.

3.5.2 The separate envelopes or packages shall be placed in an outer container or containers suitable for mailing and shipping and marked with the Purchaser’s address. The following legend shall be prominently printed on the top and sides of each container:


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"SEALED BID: RFQ-CO-14624-LOGFS. NOTIFY ACQ (Peter Kowalski) UPON RECEIPT!"


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4 BID EVALUATION 4.1 GENERAL

4.1.1 The evaluation of bids will be made by the Purchaser solely on the basis of the requirements in this RFQ. Failure to address any of the bidding requirements in this RFQ or omission of the critical information may result in a determination of non-compliance for the entire Bid.

4.1.2 The evaluation of bids and the determination as to the compliance or

technical adequacy of the supplies and services offered will be based only on that information furnished by the Bidder and contained in its bid. The Purchaser shall not be responsible for locating or securing any information which is not included in the bid.

4.1.3 The information provided shall be to a level of detail necessary for the

Purchaser to determine exactly what the Bidder proposes to furnish and whether the offer meets the technical, administrative and contractual requirements of this RFQ.

4.1.4 During the evaluation, the Purchaser may request clarification of the bid

from the Bidder, and the Bidder shall provide sufficient detailed information in connection with such requests as to permit the Purchaser to make a final determination based upon the facts. The purpose of such clarifications will be to resolve ambiguities in the bid and to permit the Bidder to state its intentions regarding certain statements contained therein. The Bidder is not permitted any cardinal alteration of the bid regarding technical matters and shall not make any change to its price quotation at any time.

4.1.5 The Bidder’s prompt response to the Purchaser’s RFQ clarification

requests is important and therefore failure to provide the requested clarifications within the time-limits set forth in the specific Clarification Requests may cause the bid to be deemed non-compliant.

4.1.6 The evaluation will be conducted in accordance with the Use of Basic

Ordering Agreements (BOAs) by the NATO Communications and Information Agency (NCI Agency) set forth in the NATO document AC/4-D(2002)002-FINAL.

4.1.7 The administrative compliance of the Bids will be evaluated first. Bids that

are declared administratively non-compliant may be rejected without further evaluation. Following evaluation for administrative compliance, evaluation will be carried out in the following two areas: Part 2 - Price, Part 3 - Technical.

4.1.8 All administrative compliant Bids will be reviewed for price compliancy. The

Contract resulting from this RFQ will be awarded to the bidder whose offer, as evaluated by the Purchaser, is the lowest priced bid and in compliance


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with the requirements of this RFQ. 4.2 ADMINISTRATIVE CRITERIA

4.2.1 Prior to commencement of the Price and Technical evaluation, Bids will be reviewed for compliance with the Bid Submission Requirements of this RFQ. These are as follows:

(a) The Bid was received by the Bid Closing Date and Time,

(b) The Bid was packaged and marked properly (as per §3.5). (c) The Administrative Package contains all the requested signed

originals of the required Certificates in Annex C hereto. 4.2.2 A Bid that fails to conform to the above requirements may be declared

non- compliant and may not be evaluated further by the Purchaser. 4.2.3 If it is discovered, during either the Price or Technical evaluation, that

the Bidder has taken exception to the Terms and Conditions of the Prospective Contract, or has qualified and/or otherwise conditioned its offer on a modification or alteration of the Terms and Conditions or the language of the Statement of Work, the Bidder may be determined to have submitted a non-compliant bid.

4.3 PRICE CRITERIA

4.3.1 The Bidder’s Price Quotation

4.3.1.1 The Bidder’s Price Quotation will be first assessed for compliance against the standards detailed in the following paragraphs. A bid which fails to meet the compliance standards defined in this section may be declared non-compliant and may not be evaluated further by the Purchaser.

4.3.1.2 The Price Quotation meets the requirements for preparation and

submission of the Price Quotation set forth in the Bid Preparation Section (§3) and the Instructions for Contractor’s Bidding Sheets (Annex B hereto), in particular:

a. The Bidder has prepared the Price Proposal in the form of the Bidding

Sheets provided under Annex A of these Bidding Instructions, by completing the yellow highlighted sections in accordance with the instructions specified in Annex B.

b. The Bidder has furnished Firm Fixed Prices for all items listed.

c. All pricing data, i.e., quantities, unit prices, has been provided as

reflected in the Bidding Sheets.

d. Bid prices include all costs for items supplied, delivered, and supported.


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e. All prices have been accurately entered into appropriate columns, and accurately summed up.

f. The Bidder has provided accurate unit price, and total price for each

line item and sub-item (if any). The prices of the sub-items (if any) total the price of the major item of which they constitute a part.

g. The totals per CLIN and the bid grand total are accurate.

h. The currency of all line items has been clearly indicated. Line items with

multiple currencies contain as many totals on that line item as there are identified currencies.

i. The Bidder has quoted in its own national currency or in the Host Nation

currency, Euros. Where multiple currencies including other NATO member states' currencies are quoted, the conditions of §3.3.4 are met.

j. The Bidder has indicated that in accordance with the treaties governing

the terms of business with NATO, it excluded from its prices all taxes, duties and customs charges from which the Purchaser has been exempted.

k. Price quotes for each individual item(s) and totalled prices are accurate,

realistic (based on historic data, and/or market and competitive trends in the specified industrial sector(s)), adequate and traceable.

4.3.1.3 Price Quotation does not contain any document and/or information other

than the priced copies of the Bidding Sheets. Any other document of a contractual or technical nature will not be considered for evaluation and may be cause for a determination of non-compliance by the Purchaser.

4.3.1.4 The Price Quotation meets requirements for price realism and balance as

described in §4.3.4. 4.3.1.5 Completed Bidding Sheets shall show that the offered delivery schedule

meets the mandatory delivery requirements of the Prospective Contract. 4.3.2 Basis of Price Comparison

4.3.2.1 The Purchaser will convert all prices quoted into EURO for purposes of

comparison and computation of price scores. The exchange rate to be utilised by the Purchaser will be the average of the official buying and selling rates of the European Central Bank at close of business on the last working day preceding the Bid Closing Date.

4.3.2.2 The price comparison will be based on the offered Grand Total Firm fixed

Price - Base Contract + Evaluated Options in the Bidding Sheets.

4.3.3 Inconsistencies and discrepancies in bid price quotation


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4.3.3.1 In case of inconsistencies, discrepancies and/or contradictory pricing information in the different parts of the bid price submission and notwithstanding the possibility for the Purchaser, at its sole discretion to obtain clarification from the bidder, for the purpose of determining the total price of the Bid, the following order of precedence shall apply:

a. Bidding Sheet Total to be Evaluated Bid Price as indicated by the Bidder

b. Total of the Bid calculated from the indicated Total Prices(s) indicated per CLIN(s)

4.3.4 Price Realism 4.3.4.1 Otherwise successful Bidders that submit a price quotation so low that it is

not a realistic reflection of the objective cost of performance of the associated technical proposal may be considered by the Purchaser to have submitted an unrealistic offer and that offer may be determined to be non-compliant.

4.3.4.2 Indicators of an unrealistically low bid may be the following, amongst

others:

a. Labour Costs that, when amortised over the expected or proposed direct labour hours, indicate average labour rates far below those prevailing in the Bidders locality for the types of labour proposed.

b. Direct Material costs that are considered to be too low for the

amounts and types of material proposed, based on prevailing market prices for such material.

c. Numerous Line Item prices for supplies and services that are

provided at no cost or at nominal prices. 4.3.4.3 If the Purchaser has reason to suspect that a Bidder has artificially debased

its prices in order to secure contract award, the Purchaser will request clarification of the bid in this regard and the Bidder shall provide explanation on one of the following bases:

a. An error was made in the preparation of the Price Quotation. In such a case, the Bidder must document the nature of the error and show background documentation concerning the preparation of the Price Quotation that makes a convincing case that a mistake was made by the Bidder. In such a case, the Bidder shall petition the Purchaser to both remain in the competition and accept the Contract at the offered price, or to withdraw from the competition.

b. The Bidder has a competitive advantage due to prior experience

or industrial/technological processes that demonstrably reduce the costs of Bidder performance and therefore the price offered is realistic. Such an argument must support the technical proposal


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offered and convincingly and objectively describe the competitive advantage and the net savings achieved by this advantage over standard market practices and technology.

c. The Bidder recognises that the submitted Price Quotation is

unrealistically low compared to its cost of performance and, for business reasons, the Bidder is willing to absorb such a loss. Such a statement can only be made by the head of the business unit submitting the Bid and will normally be made at the level of Chief Operating Officer or Chief Executive Officer. In such a case, the Bidder shall estimate the potential loss and show that the financial resources of the Bidder are adequate to withstand such reduction in revenue.

4.3.4.4 If a Bidder fails to submit a comprehensive and compelling response on

one of the bases above, the Purchaser may determine the Bid submitted as non-compliant. If the Bidder responds on the basis of a) above and requests to withdraw from the competition, the Purchaser may, depending on the nature and gravity of the mistake, allow the Bidder to withdraw.

4.3.4.5 If the Purchaser accepts the Bidder’s explanation of mistake in

§4 . 3 . 4 . 3 (a) and allows the Bidder to accept the Contract at the offered price, or the Purchaser accepts the Bidder’s explanation pursuant to §4 . 3 . 4 . 3 (c), the Bidder shall agree that the supporting pricing data submitted with its Bid will be incorporated by reference in the resultant Contract. The Bidder shall agree as a condition of Contract signature, that the pricing data will be the basis of determining fair and reasonable pricing for all subsequent negotiations for modifications of or additions to the Contract and that no revisions of proposed prices will be made.

4.3.4.6 If the Bidder presents a convincing rationale pursuant to §4 . 3 . 4 . 3 (b),

no additional action will be warranted. The Purchaser, however, reserves its right to reject such an argument if the rationale is not compelling or capable of objective analysis. In such a case the Bid may be determined to be non-compliant.

4.4 TECHNICAL CRITERIA

4.4.1 Upon determination of the lowest-priced Bid as described above, the Bid shall be evaluated to confirm compliance with the criteria i n Table 1 associated with the respective sections of the Technical Proposal.

EVALUATION CRITERIA RFQ

REFERENCE


24

Compliance with Requirements The Bidder shall have provided a copy of SOW Annex A (as a Requirements Traceability Matrix) to reflect the Oracle out-of-the-box solutions, Oracle customisations and 3rd party products to be used, along with a specification sheet for any additional components within Oracle EBS or external components in their solution to satisfy the requirements in the SOW Annex A. All requirements, including those included in Optional Work Packages, shall be covered by the Bidder’s solution.

Book I, 3.4.5, Book I, 3.4.6, SOW Annex A SOW 3.3.3 SOW 3.4.3.1

Initial Architecture The Bidder shall have provided an initial architecture captured in OUM documents as described in §3.4.7. These documents will later be developed further within Phase 2.1 and final versions delivered for the Lifecycle Architecture Milestone (SOW §4.4). The Architecture proposed shall be consistent with the solution declared in the Requirements Traceability Matrix and shall be coherent as an architecture.

Book 1, 3.4.7 SOW 4.4

Project Management Plan The Bidder shall have provided a PMP that satisfies the requirements mentioned in §3.4.8 and demonstrates that the Bidder has a clear approach and plan to deliver the products in scope.

Book I, 3.4.8 SOW 2.11-2.14 SOW Annex D

Bidder Qualifications The Bidder shall have provided the Qualifications (experience and Key Personnel-Core Team CVs) as described in §3.4.9. The Purchaser conducts short interviews with the Key Personnel during the evaluation and the interviews end with the Bidder Core Team demonstrating that they have the required skillsets and experience.

Book I, 3.4.9 SOW 2.4.2 SOW Section 6

Constraint on Total Project Duration The Bidder shall have a Proposal which completes the implementation (scope) of Phase 2.1 within a maximum of 6 months and Phase 2.2 within a maximum of 12 months. Note that Phase 2.2 ends with the end of the Post-Go-Live support period and includes the execution of optional Work Packages WP2 and WP6 through WP11.

Book I, Annex A, Milestones Implementation Schedule SOW 1.9.2.1

Constraint on the total number of pages The Technical Proposal package shall not exceed 500 pages

3.4.2

Table 1 – Criteria for Technical Evaluation


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ANNEX A – BIDDING SHEETS

[Provided under separate MS Excel File: “Book I -2_ RFQ-CO-14624-LOGFS_FINS Bidding

Sheets.xls”


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ANNEX B - INSTRUCTIONS FOR THE PREPARATION OF BIDDING SHEETS

1. Bidders are required, in preparing their Price Quotation to utilise the Bidding Sheets following the instructions detailed in Section 3 – Bid Preparation Instructions and CLIN Bidding sheet instructions within the Bidding sheets itself. 2. Bidders must complete and submit Bidding Sheets with their Price Breakdown per CLIN as found in the “CLIN Summary” tab of Annex A. 3. The prices entered on the Bidding Sheets shall reflect the total items required to meet the contractual requirements. 4. The total price shall be indicated in the appropriate columns and in the currency quoted. 5. The value ”Grand Total Firm Fixed Price – Base Contract” found in the Tab “Offer Summary” shall be the price of the base Contract. 6. If the price of a CLIN is expressed in different currencies, these shall be identified, and there shall be as many bidding sheets for that CLIN as there are currencies. 7. In preparing the Price Quotation, Bidders shall ensure that the prices of the Sub-items total the price of the major item of which they constitute a part. Pricing for lower level items shall add to the total for the Sub-CLINs, and the Sub-CLIN totals shall add to the CLIN total. The Purchaser in its favour may resolve ambiguous computation of prices. The bidder shall identify the sub-CLIN, per line item, in the detailed bidding sheet tabs, i.e. Labour, Materiel, Travel and Other Direct Costs that are being priced. 8. Prices shall not include any provision for taxes or duties for which the Purchaser is exempt. 9. Bidders shall not introduce any changes or deviations to the Schedule of Supplies and Services as Published by the Purchaser, unless otherwise specified. 10. Bidders shall fill the “Materiel” tab of the Bidding Sheets (Annex A) for any Software Component in their proposed solution that is not covered in the Oracle Enterprise License Agreement between Oracle Corporation and NATO, as described in SOW Annex F. The Total Annual Maintenance License costs for these additional components for 5 years after FSA shall be shown in CLIN 3. 11. All implementation and Procurement costs for all components used in the proposed solution shall be included in CLIN 2.3 or in CLINS 6 to 11, in case the components proposed are implementing requirements covered by optional Work Packages WP6 to WP11. Note that procurement and Annual Maintenance License costs in components included in Annex G shall be considered to be zero.


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ANNEX C – CERTIFICATES

This page is left blank intentionally


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ANNEX C-1

This Bid is prepared and submitted on behalf of the legal corporate entity specified below: FULL NAME OF CORPORATION:

________________________________________

DIVISION (IF APPLICABLE): ________________________________________ SUB DIVISION (IF APPLICABLE): ________________________________________ OFFICIAL MAILING ADDRESS ______________________________________________________________________________________________________________________________________________________________________________________________________________________ E-MAIL ADDRESS: ________________________________________ TELEFAX No: ________________________________________ POINT OF CONTACT REGARDING THIS BID: NAME: ________________________________________ POSITION: ________________________________________ TELEPHONE: ________________________________________ ALTERNATIVE POINT OF CONTACT: NAME: ________________________________________ POSITION: ________________________________________ TELEPHONE: ________________________________________

Date Signature of Authorised Representative Printed Name Title Company


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ANNEX C-2

CERTIFICATE OF INDEPENDENT DETERMINATION 1. Each Bidder shall certify that in connection with this procurement:

a. This Bid has been arrived at independently, without consultation, communication or agreement, for the purpose of restricting competition, with any other Bidder or with any competitor;

b. The contents of this bid have not been knowingly disclosed by the Bidder and will not knowingly be disclosed by the Bidder prior to award, directly or indirectly to any other Bidder or to any competitor, and

c. No attempt has been made, or will be made by the Bidder to induce any other person or firm to submit, or not to submit, a Bid for the purpose of restricting competition.

2. Each person signing this Bid shall also certify that:

a. He/she is the person in the Bidder's organisation responsible within that organisation for the decision as to the bid and that he/she has not participated and will not participate in any action contrary to 1(a) through 1(c) above, or

b. (i) He/she is not the person in the Bidder's organisation responsible within that organisation for the bid but that he/she has been authorised in writing to act as agent for the persons responsible for such a decision in certifying that such persons have not participated, and will not participate in any action contrary to 1(a) through 1(c) above, and as their agent does hereby so certify, and

(ii) He/she has not participated and will not participate in any action contrary to 1(a) through 1(c) above.

…................................................. Date

…............................................................. Signature of Authorised Representative

…............................................................. Printed Name and Title

…............................................................. Company


30

ANNEX C-3

CERTIFICATE OF BID VALIDITY I, the undersigned, as an authorised representative of the firm submitting this bid, do hereby certify that the pricing and all other aspects of our Bid will remain valid for a period of twelve (12) months from the Bid Closing Date of this Request for Quote.

…................................................. Date



…............................................................. Company


31

ANNEX C-4

CERTIFICATE OF UNDERSTANDING

I certify that ....................................................................................................................................... ..........................................................................................(Company Name) has read and fully understands the requirements of this Request for Quote (RFQ) and that the Bid recognises these requirements in total.

I also certify to the best of my expert knowledge that this Bid is within the "state of art" boundaries as they exist at the time of bidding for this project.

…................................................. Date



…............................................................. Company


32

ANNEX C-5 CERTIFICATE OF EXCLUSION OF TAXES, DUTIES AND CHARGES

I hereby certify that the prices offered in the price quotation of this Bid exclude all taxes, duties and customs charges from which the Purchaser has been exempted by international agreement.

…................................................. Date



…............................................................. Company


33

ANNEX C-6

ACKNOWLEDGEMENT OF RECEIPT OF RFQ AMENDMENTS

I confirm that the following Amendments to Request for Quote No RFQ-CO-14624-LOGFS have been received and the Bid as submitted reflects the content of such Amendments:

Amendment Number Date Issued Date of Receipt

…................................................. Date



…............................................................. Company


34

ANNEX C-7

DISCLOSURE OF REQUIREMENTS FOR NCI AGENCY EXECUTION OF SUPPLEMENTAL AGREEMENTS

I, the undersigned, as an authorised representative of ………………………………… ………………………………..………(Company Name), certify the following statement:

1. All supplemental agreements, defined as agreements, documents and/or permissions outside the body of the Contract but required by my Government, and the governments of my sub-Contractors, to be executed by the NCIA as a condition of my firm’s performance of the Contract, have been identified, as part of the Bid.

2. These supplemental agreements are listed as follows:

3. Examples of the terms and conditions of these agreements are attached hereto. The anticipated restrictions to be imposed on NATO, if any, have been identified in our offer along with any potential conflicts with the terms, conditions and specifications of the Prospective Contract, see ……………... (complete, if any). These anticipated restrictions and potential conflicts are based on our knowledge of and prior experience with such agreements and their implementing regulations. We do not certify that the language or the terms of these agreements will be exactly as we have anticipated.

4. The processing time for these agreements has been calculated into our delivery and performance plans and contingency plans made in the case that there is delay in processing on the part of the issuing government(s), see ……….. (complete, if any).

5. We recognise that additional supplemental agreements, documents and permissions presented as a condition of Contract performance or MOU signature after our firm would be selected as the successful Bidder may be cause for the NCIA to determine the submitted bid to be non-compliant with the requirements of the RFQ.

6 We accept that should the resultant supplemental agreements issued in final form by the government(s) result in an impossibility to perform the Contract in accordance with its schedule, terms or specifications, the Contract may be terminated by the Purchaser at no cost to either Party.

…................................................. Date



…............................................................. Company


33

ANNEX C-8

CERTIFICATION OF NATO MEMBER COUNTRY ORIGIN OF DELIVERED EQUIPMENT, SERVICES, MATERIALS AND

INTELLECTUAL PROPERTY RIGHTS The Bidder hereby certifies that, if awarded the Contract pursuant to this solicitation, it will perform the contract subject to the following conditions:

(a) none of the work, including project design, labour and services shall be

performed other than by firms from and within participating NATO member countries;

(b) no material or items of equipment down to and including identifiable sub-

assemblies shall be manufactured or assembled by a firm other than from and within a participating NATO member country (a sub-assembly is defined as a portion of an assembly consisting of two or more parts that can be provided and replaced as an entity)*; and

(c) the intellectual property rights to all design documentation and related system

operating software shall reside in NATO member countries, and no license fees or royalty charges shall be paid by the Contractor to firms, individuals or governments other than within the NATO member countries.

…................................................. Date



…............................................................. Company

*This definition purposely excludes components and/or parts (as defined in AcodP-1), which are not subject to this certification.


34

ANNEX C-9 COMPREHENSION AND ACCEPTANCE OF CONTRACT SPECIAL

PROVISIONS AND GENERAL PROVISIONS The Bidder hereby certifies that it has reviewed the Contract Special and General Provisions set forth in the Prospective Contract, Book II of this Request for Quote. The Bidder hereby provides its confirmation that it fully comprehends the rights, obligations and responsibilities of the Contractor as set forth in the Articles and Clauses of the Prospective Contract. The Bidder additionally certifies that the offer submitted by the Bidder is without prejudice, qualification or exception to any of the Terms and Conditions and it will accept and abide by the stated Special Contract Provisions if awarded the contract as a result of this Request for Quote.

…................................................. Date



…............................................................. Company


35

ANNEX C-10

LIST OF PROSPECTIVE SUB-CONTRACTORS/CONSORTIUM MEMBERS

Name and Address of Sub- Contractor, incl.

country of origin/registration

Primary Location of Work

Items/Services to be Provided

Estimated Value of Sub-Contract

If no sub-Contractors/consortium members are involved, state this here: …………………………………………………………………………………………….. ………………………………………..…………………………………………………… ……………………………………………………………………………………............. ……………………………………………………………………………………………..

…................................................. Date



…............................................................. Company


36

ANNEX C-11

CERTIFICATE OF AQAP 2110 OR ISO 9001:2008 COMPLIANCE I hereby certify that ………………………… (Company Name) is fully compliant with the AQAP 2110 or ISO 9001:2008 Quality Assurance Standards and Procedures and is currently so certified.

A copy of the certification is attached herewith.

…................................................. Date



…............................................................. Company


37

ANNEX C-12

LIST OF KEY PERSONNEL WITH SECURITY CLEARANCE INFORMATION

Name Level of Clearance

Dates of Validity Certifying Authority

Expected date of release of

required Security Clearance


38

ANNEX C-13 Disclosure of Involvement of Former NCI Agency Employment

The Bidder hereby certifies that, in preparing its Bid, the Bidder did not have access to solicitation information prior to such information been authorized for release to Bidders (e.g., draft statement of work and requirement documentation). The Bidder hereby acknowledges the post-employment measures applicable to former NCI Agency Personnel as per the NCI Agency Code of Conduct. The Bidder hereby certifies that its personnel working as part of the company’s team, at any tier, preparing the Bid:

Have not held employment with NCI Agency within the last two years. Has obtained a signed statement from the former NCI Agency personnel below, who departed the NCI Agency within the last two years, that they were not previously involved in the project under competition (as defined in the extract of the NCI Agency Code of Conduct provided in Excerpt of NCI Agency AD. 05.00, Code of Conduct dated May 2017): Employee Name Former NCIA Position Current Company

Position

The Bidder also hereby certifies that it does not employ and/or receive services from former NCI Agency Personnel at grades A5 and above or ranks OF-5 and above, who departed the NCI Agency within the last 12 months. This prohibitions covers negotiations, representational communications and/or advisory activities. Date : ........................ Signature : ........................ Name & Title : ........................ Company : ........................ Bid Reference : ........................


39

Excerpt of NCI Agency AD. 05.00, NCIA Code of Conduct dated May 2017. Article 14 PROCUREMENT AND CONTRACTORS 14.1 NCI Agency Personnel are required to maintain unquestionable integrity and

impartiality in relation to procurements initiated by the NCI Agency. 14.2 NCI Agency Personnel shall not disclose any proprietary or contract related

information regarding procurement directly or indirectly to any person other than a person authorized by the NCI Agency to receive such information. NCI Agency Personnel shall not disclose any documentation related to a procurement action to any third party without a need to know1 (e.g., draft statement of work, statement of requirements) unless this is expressly provided under NATO Procurement Regulations or authorized in writing by the Director of Acquisition. During an on-going selection, NCI Agency Personnel shall not disclose any information on the selection procedure unless authorized by the Chairman of the award committee/board. The NCI Agency Personnel concerned will ensure that proper access controls are put in place to prevent disclosure of procurement information that has not yet been authorized for release for outside distribution, including draft statements of work and requirement documentations.

14.3 NCI Agency Personnel will not participate in a source selection if an offer has been provided by a friend, family member, a relative, or by a business concern owned, substantially owned, or controlled by him/her or by a friend, family member or a relative. NCI Agency Personnel appointed as part of an evaluation shall report such links to the Director of Acquisition immediately upon becoming aware of it.

14.4 Contractors and consultants shall not be allowed to participate in the drafting of the statement of work or in the source selection process unless they and their company/employer will be excluded from competition of the related contract. The same will apply to contractors and consultants involved in the definition and development of requirements.

14.5 Contractors will be given specific and coherent statements of work, providing precise explanation of how she/he is going to be employed. Tasks to be performed and minimum qualifications are to be well defined from the start. In addition, supervisors will ensure that contractors do not occupy managerial positions within the Agency.

14.6 NCI Agency Personnel shall not enter into authorized commitments in the name of NCI Agency or NATO unless specifically authorized. NCI Agency Personnel must abstain from making promises or commitment to award or amend a contract or otherwise create the appearance of a commitment from the NCI Agency unless properly authorized by the NCI Agency.

14.7 NCI Agency Personnel shall not endorse directly or indirectly products from industry. Therefore, NCI Agency Personnel shall not name or make statements endorsing or appearing to endorse products of specific companies.

14.8 Industry partners will need to abide with the post-employment measures under this Directive upon submission of their bids / proposals to the NCI


40

Agency. As part of the selection process, industry will be requested to agree with an ethical statement.

15 INDUSTRY INITIATIVES 15.1 Industry initiatives may include loans, displays, tests or evaluation of

equipment and software, requesting NCI Agency speakers at industry gatherings and conferences, inviting speakers from industry to NCI Agency events, consultancy or studies of technical or organizational issues, etc. These initiatives are usually at no cost to the NCI Agency and take place at a pre-contractual phase or before the development of requirements and specifications. While there are benefits associated with the early involvement of industry in the definition of requirements and specifications, this also raises the potential for unfair treatment of potential competitors.

15.2 Industry initiatives which go beyond routine interaction in connection with on-going contracts must be reported to and coordinated by the NCI Agency Acquisition Directorate for approval. Industry initiatives shall be properly documented and governed by written agreements between the NCI Agency and the company concerned where relevant. Such agreements may contain provisions describing the nature of the initiative, the non-disclosure of NCI Agency/NATO information, NCI Agency ownership of any resulting work, the NCI Agency’s right to release such work product to future competitors for any follow-on competition or contract, the requirement that any studies must provide non-proprietary solutions and/or an acknowledgement that the participating companies will not receive any preferential treatment in the contracting process.

15.3 Any authorized industry initiatives must be conducted in such a way that it does not confer an unfair advantage to the industry concerned or create competitive hurdles for potential competitors.

16 POST EMPLOYMENT MEASURES 17.1 The NCI Agency will not offer employment contracts to former NCI Agency

Personnel who departed less than 2 years earlier, unless prior approval by the General Manager has been received.

17.2 Former NCI Agency Personnel will not be accepted as consultants or commercial counterpart for two (2) years after finalization of their employment at NCI Agency, unless the General Manager decides otherwise in the interest of the Agency and as long as NATO rules on double remuneration are observed. Such decision shall be recorded in writing. Commercial counterparts include owners or majority shareholders, key account managers, or staff member, agent or consultant of a company and/or subcontractors seeking business at any tier with the NCI Agency in relation to a procurement action in which the departing NCI Agency staff member was involved when he/she was under the employment of the NCI Agency. As per the Prince 2 Project methodology, a Project is defined as a “temporary organization that is created for the purpose of delivering one or more business products according to an agreed business case”. For the purpose of this provision, involvement requires (i) drafting, review or coordination of internal procurement activities and documentation, such as statement of work and statement of requirement; and/or (ii) access to procurement information that


41

has not yet been authorized for release for outside distribution, including draft statements of work and requirement documentations; and/or (iii) being appointed as a representative to the Project governance (e.g., Project Board) with access to procurement information as per (ii) above; and/or (iv) having provided strategic guidance to the project, with access to procurement information as per (ii) above.

17.3 In addition to Section 17.2 above, former NCI Agency Personnel at grades A5 and above or ranks OF-5 and above are prohibited during twelve months following the end of their employment with the NCI Agency to engaging in negotiations, representational communications and/or advisory activities with the NCI Agency on behalf of a private entity, unless this has been agreed in advance by the NCI Agency General Manager and notified to the ASB.

17.4 NCI Agency Personnel leaving the Agency shall not contact their former colleagues in view of obtaining any information or documentation about procurement activities not yet authorized’ release. NCI Agency Personnel shall immediately report such contacts to the Director of Acquisition.

17.5 The ASB Chairman will be the approving authority upon recommendation by the Legal Adviser when the NCI Agency Personnel concerned by the above is the NCI Agency General Manager and will notify the ASB.

17.6 NCI Agency Personnel leaving the Agency shall sign a statement that they are aware of the post-employment measures set out in this Directive.

17.7 The post-employment measures set out in this Directive shall be reflected in the NCI Agency procurement documents, such as IFBs, and contract provisions.


42

ANNEX C-14

BIDDER BACKGROUND IPR The Bidder Background IPR specified in the table below will be used for the purpose of carrying out work pursuant to the Contract. ITEM DESCRIPTION

The Bidder has and will continue to have, for the duration of the Contract, all necessary rights in and to the Background IPR specified above. The Background IPR stated above complies with the terms specified in Article 24 of Prospective Contract Special Provisions.


43

ANNEX C-15

LIST OF 3rd PARTY IPR

The 3rd Party IPR specified in the table below will be used for the purpose of carrying out work pursuant to the Contract. ITEM DESCRIPTION

The Bidder has and will continue to have, for the duration of the Contract, all necessary rights in and to the IPR specified above necessary to perform the Bidder’s obligations under the Contract. The 3rd Party IPR stated above complies with the terms specified in Article 24 of Prospective Contract Special Provisions.


44

ANNEX D – Cross-Reference / Compliance Table

Bidders shall complete column “BID REFERENCE” with Bid references that locate the technical proposal documentation required by the RFQ, e.g. section, paragraph, table (if applicable), page number etc. One copy each of the duly completed Cross Reference/ Compliance Table (in MS Word format) is to be included in the Bid Technical Proposal Package. The Bid shall follow the instructions in paragraph 3.4, and will be evaluated according to the instructions in paragraph 4.4.

Bidding Instructions

Requirement Ref. SOW

Requirement Ref. REQUIREMENT DESCRIPTION BID REFERENCE

3.4.5

3.3.3, 3.4.3.1 Annex A Annex B

Compliance with Requirements The Bidder shall have provided a copy of SOW Annex A (as a Requirements Traceability Matrix) to reflect the Oracle out-of-the-box solutions, Oracle customisations and 3rd party products to be used, along with a specification sheet for any additional components within Oracle EBS or external components in their solution to satisfy the requirements in the SOW Annex A.

Bidder to complete

3.3.1 4.4

Initial Architecture The Bidder shall have provided a robust initial architecture captured in OUM documents as described in 3.3.1. These documents will later be developed further within Phase 2.1 and final versions delivered for the Lifecycle Architecture Milestone (SOW §4.4).

3.4.5 2.11-2.15 Annex D

Project Management Plan The Bidder shall have provided a PMP that satisfies the requirements mentioned in Section 3.4.6 and demonstrates that the Bidder has a clear approach and plan to deliver the products in the scope.

Bidder to complete

3.4.9 2.4.2 Chapter 6

Bidder Qualifications The Bidder shall have provided the Qualifications (experience and Key Personnel-Core Team CVs) as described in 3.4.9. The Purchaser conducts short interviews with the Key Personnel during the evaluation and the interviews end with the Bidder Core Team demonstrating that they have the required skillsets and experience.

Bidder to complete

Annex A, Milestones Implementation Schedule 1.9.2.2

Constraint on Total Project Duration The Bidder shall have a Proposal which completes the implementation (scope) of Phase 2.1 within a maximum of 6 months and Phase 2.2 within a

Bidder to complete


45

Bidding Instructions Requirement Ref.

SOW Requirement Ref.

REQUIREMENT DESCRIPTION BID REFERENCE

maximum of 12 months.

3.4.2 - Constraint on the total number of pages The Technical Proposal package shall not exceed 500 pages

Bidder to complete


46

ANNEX E – Clarification Request Forms INSERT COMPANY NAME

HERE INSERT SUBMISSION

DATE HERE

ADMINISTRATION or CONTRACTING

Serial Nr

RFQ Book RFQ Section Ref.

QUESTION ANSWER Status

A.1

A.2

A.3


47

INSERT COMPANY NAME HERE

INSERT SUBMISSION DATE HERE

PRICE

Serial Nr



P.1

P.2

P.3


48

INSERT COMPANY NAME

HERE INSERT SUBMISSION

DATE HERE

TECHNICAL

Serial Nr



T.1

T.2

T.3


49

ANNEX F – Standby Letter of Credit

Standby Letter of Credit Number: Issue Date: ___________________________ Beneficiary: NATO Communications and Information Agency

(NCIA Agency) or its legal successor, Financial Management Unit

Boulevard Leopold III, B-1110, Brussels Belgium Expiry Date: ___________________________ 1. We, (issuing bank) hereby establish in your favour our irrevocable standby letter of credit number {number} by order and for the account of (NAME AND ADDRESS OF BIDDER) in the original amount of € 200,000.00 (Two Hundred Thousand Euro). We are advised this Guarantee fulfils a requirement under Request for Quote RFQ-CO-14624-LOGFS dated __________________. 2. Funds under this standby letter of credit are available to you upon first demand and without question or delay against presentation of a certificate from the NCI Agency Contracting Officer that: a) (NAME OF BIDDER) has submitted a Bid and, after Bid Closing Date

(including extensions thereto) and prior to the selection of the lowest priced, technically compliant Bid, has withdrawn its Bid, or stated that it does not consider its Bid valid or agree to be bound by its Bid, or

b) (NAME OF BIDDER) has submitted a Bid determined by the Agency to

be the lowest priced, technically compliant Bid, but (NAME OF BIDDER) has declined to execute the contract offered by the Agency, such contract being consistent with the terms of the Request for Quote, or

c) The NCI Agency or its legal successor has offered (NAME OF BIDDER)

the contract for execution but (NAME OF BIDDER) has been unable to demonstrate compliance with the security requirements of the contract within a reasonable time, or

d) The NCI Agency or its legal successor has entered into the contract with

(NAME OF BIDDER) but (NAME OF BIDDER) has been unable or unwilling to provide the Performance Guarantee required under the terms of the contract within the time frame required.

3. This Letter of Credit is effective the date hereof and shall expire at our office located at (Bank Address) on __________________. All demands for payment must be made prior to the expiry date.


50

4. It is a condition of this letter of credit that the expiry date will be automatically extended without amendment for a period of sixty (60) calendar days from the current or any successive expiry date unless at least thirty (30) calendar days prior to the then current expiry date the NCI Agency Contracting Officer notifies us that the Letter of Credit is not required to be extended or is required to be extended for a shorter duration. 5. We may terminate this letter of credit at any time upon sixty (60) calendar days’ notice furnished to both (NAME OF BIDDER) and the NCI Agency or its legal successor by registered mail. 6. In the event we (the issuing bank) notify you that we elect not to extend the expiry date in accordance with paragraph 4 above, or, at any time, to terminate the letter of credit, funds under this credit will be available to you without question or delay against presentation of a certificate signed by the NCI Agency Contracting Officer which states “The NCI Agency or its legal successor has been notified by {issuing bank} of its election not to automatically extend the expiry date of letter of credit number {number} dated {date} pursuant to the automatic renewal clause (or to terminate the letter of credit). As of the date of this certificate, no suitable replacement letter of credit, or equivalent financial guarantee has been received by the NCI Agency or its legal successor from, or on behalf of (NAME OF BIDDER), and the NCI Agency or its legal successor, as beneficiary, hereby draws on the standby letter of credit number ________ in the amount of € (Amount up to the maximum available under the LOC), such funds to be transferred to the account of the Beneficiary number ___________________ (to be identified when certificate is presented).” Such certificate shall be accompanied by the original of this letter of credit and a copy of the letter from the issuing bank that it elects not to automatically extend the standby letter of credit, or terminating the letter of credit. 7. The Beneficiary may not present the certificate described in paragraph 6 above until 20 (twenty) calendar days prior to a) the date of expiration of the letter of credit should {issuing bank} elect not to automatically extend the expiration date of the letter of credit, b) the date of termination of the letter of credit if {issuing bank} notifies the Beneficiary that the letter of credit is to be terminated in accordance with paragraph 6 above. 8. Multiple partial drawings are allowed to the maximum value of this letter of credit. 9. Drafts drawn hereunder must be marked, “Drawn under {issuing bank} Letter of Credit No. {number}“ and indicate the date hereof. 10. This letter of credit sets forth in full the terms of our undertaking, and this undertaking shall not in any way be modified, amended, or amplified by reference to any document, instrument, or agreement referred to herein (except the International Standby Practices (ISP 98) hereinafter defined) or in which this letter of credit is


51

referred to or to which this letter of credit relates, and any such reference shall not be deemed to incorporate herein by reference any document, instrument, or agreement. 11. We hereby engage with you that drafts drawn under and in compliance with the terms of this letter of credit will be duly honored upon presentation of documents to us on or before the expiration date of this letter of credit. 12. This Letter of Credit is subject to The International Standby Practices-ISP98 (1998 Publication) International Chamber of Commerce Publication No.590.


52

ANNEX G – Oracle Licencing Oracle Enterprise License Agreement (ELA) This Annex describes the scope of the Oracle Enterprise License Agreement (ELA) between Oracle Corporation and NATO. It is essential to understand what additional costs, including initial Procurement and Operations & Maintenance costs can be incurred by using products outside the ELA. Table 2 shows all products in the scope of the NATO-Oracle ELA for which no additional procurement or maintenance costs are envisioned in the medium term. Thus these can be freely used without worrying about the introduction of additional costs.

Product Notes Oracle Discrete Manufacturing Unlimited use Oracle Enterprise Asset Management Unlimited use Oracle Financials Unlimited use Oracle Functional Testing Suite Advanced Pack for Oracle EBS (part of OATS) 15 users Oracle Functional Testing Suite for Oracle EBS (part of OATS) 15 users Oracle Human Resources Unlimited use Oracle Internet Expenses Unlimited use Oracle Inventory Management Unlimited use Oracle Mobile Supply Chain Applications for Oracle Inventory Management Unlimited use Oracle Order Management Unlimited use Oracle Project Billing for Oracle Project Costing Unlimited use Oracle Project Costing Unlimited use Oracle Purchasing Unlimited use Oracle Self-Service Human Resources Unlimited use Oracle Time and Labor Unlimited use Oracle User Productivity Kit Professional Employee Unlimited use Oracle User Productivity Kit Professional Developer 8 developers Oracle iProcurement Unlimited use Oracle Procurement Contracts for Oracle Purchasing Unlimited use Oracle Services Procurement for Oracle Purchasing Unlimited use


53

Oracle Sourcing for Oracle Purchasing Unlimited use Oracle iSupplier for Oracle Purchasing Unlimited use

Table 2 – Oracle products in the scope of the Oracle-NATO ELA, requiring no additional cost

Current Usage Statistics Table 3 shows the FinS usage statistics in the beginning of 2018. Although numbers change slightly, they are expected to stay stable. When planning for capacity, a 20% increase in the number of users shall be envisioned (see SOW Annex A, requirement [FINS_FUNC_038].

Instance # of users (main EBS)

# of users (Travel)

ACO 724 652 ACT 223 1074 IMS 136 72

Table 3 – Number of users for FinS instances

N A T O U N C L A S S I F I E D RFQ-CO-14624-LOGFS

Book II – The Prospective Contract

PROSPECTIVE CONTRACT

RFQ-CO-14624-LOGFS

Financial Services (FinS) Implementation Phase 2



INDEX

1. Signature Page 2. Part I, Schedule of Supplies and Services 3. Part II, Contract Special Provisions 4. Part III, BOA General Contract Provisions1 5. Part IV, Statement of Work

1 As per BOA number xxx



NCI Agency PURCHASE ORDER 1. Original Number __ of 2. PO Number :

3. Contract Number: CO-14624-LOGFS 4. Effective date: Same as block 17

5. Contractor: 6. Purchaser: The General Manager NATO Communications and Information Agency Boulevard Leopold III B-1110 Bruxelles Tel: +32(0)2 707 8282 Fax: +32(0)2 707 87.70

7. CONTRACT SCOPE: This is a Contract for the design, development and deployment of an updated Finance capability within the Logistics Functional Services (LOGFS), to be delivered in accordance with the terms and conditions specified herein. It covers Phase 2 of the Finance implementation, Phase 1 being completed in 2015. 8. TOTAL AMOUNT OF CONTRACT : Currency – Excluding VAT Firm Fixed Price

9. PERIOD OF PERFORMANCE As stated in Schedule of Supplies and Services and Special Provisions

10. DELIVERY SITE As stated in Schedule of Supplies and Services and Special Provisions

11. CONTRACT This Contract consists of the following parts and named documents:

a) Part I. Schedule of Supplies and Services b) Part II. Special Contract Provisions and Annexes c) Part III. NCI Agency Basic Ordering Agreement General Provisions and Appendix 1, of the Basic

Ordering Agreement NCIA/BOA/[insert reference]dated [insert date], incorporated herein by reference.

d) Part IV. Statement of Work and Annexes e) Contractor’s proposal dated [insert date] and subsequent clarifications. f) In the event of any conflict or inconsistencies between or among any of the documents comprising

this Contract, the order of priority specified in Clause 2 of Part II shall apply. 12. Signature of Contractor 13. Signature of Purchaser

14. Name and Title of Signer 15. Name and Title of Signer

16. Date signed by the Contractor 17. Date signed by the Purchaser



i

PROSPECTIVE CONTRACT

PART I - SCHEDULE OF SUPPLIES AND SERVICES (SSS)

(The bidding sheets submitted by the Contractor will be incorporated as the Schedule of Supplies and Services set in Part I)

SCHEDULE OF SUPPLIES AND SERVICES (TO BE COMPLETED AT CONTRACT AWARD)

CLIN Description SOW

Reference

Required Completion Date

Delivery Destinatio

n

Delivery Form

Unit of Measure Quantity Unit

Price Total Firm Fixed Price

Investment or O&M

1 WP1-Finance Implementation Phase 2.1

1.5 Until end of Phase 2.1

See below See below See below See below

See below

-

1.1 Project Website & Collaborative Working Environment

2.9 From kickoff meeting to the end of Phase 2.1

Website Online Lot 1

Investment

1.2 Requirements Capture and Validation

3.4 Website Online Lot 1 Investment

1.3 Requirements Analysis and Specification

3.4 Website Online Lot 1

Investment

1.4 Solution Design 3.4, 3.5 Website Online Lot 1 Investment

1.5 Phase 2.2 Implementation Planning

2.19, 4.5 Website Online Lot 1 Investment

2 Finance Implementation Phase 2.2 1.5

P2.2S to P2.2E See below See below See below

See below

See below

See below See below



i i

2.1 Project Website & Collaborative Working Environment

2.9 P2.2S through P2.2E

Website Online Lot 1

Investment

2.2 Technical Upgrade from 12.1.3 to 12.2.X

1.4.1 TRR Website Electronic Lot 1

Investment

2.3 Implementation of the Oracle EBS Modules and other Commercial-off-the-shelf (COTS) Software products

3.6, 3.7 TRR Website Online See below 1

Investment

2.4 Design and implement Customisations, Extensions and Modifications (CEMLIs) needed to support the new FinS

1.10 TRR Website Online Lot 1

Investment

2.5 Data transformation needed to operate the updated FinS


Investment

2.6 Transactional and Business Intelligence (BI) reports required to fulfil Finance requirements


Investment

2.7 Support to the Security Accreditation process by providing the required input to the Purchaser

3.17 UAT Website Online Lot 1

Investment

2.8 Test Readiness Review and User Acceptance Testing

3.7.12, 4.7 UAT Website Online Lot 1

Investment

2.9 Transition and Go Live 3.7.4, 3.9 UAT Website Online Lot 1 Investment

2.10 6 weeks of hypercare support after Go Live

3.10 FSA to FSA+6 weeks

Website - Lot 1

Investment

2.11 Warranty 3.10.8 FSA to FSA+1 year

Website - Lot 1 Investment

2.12 Preparation of training material and CBT

3.8 TMR Website Online Lot 1 Investment



i i i

2.13 System Administrator and Database Administrator support to environment preparation, environment management, data preparation and data migration

2.8 P2.2S through P2.2E

NCIA Mons, with the SSBA ERP Team

- Lot 1

Investment

3 WP3 – Provide Maintenance Licenses for FinS

1.8.3 TBD See below See below See below See below

See below

See below

3.1 Maintenance license costs for all components not covered in the NATO-Oracle ELA for 5 years

1.8.3 TBD Website Electronic Lot 1

O&M

4

WP4 -Migration of Oracle EBS Database from SPARCs to Linux 5.1 See below See below See below

See below

See below

See below See below

4.1 Oracle EBS Database Migration 5.1 P2.2E NCIA

Production Online Lot 1 Investment

5 WP5 - Establishment of Disaster Recovery Service for FinS 5.2 FSA+3M See below See below See below

See below

See below See below See below

5.1 Configuration and installation of FinS at Lago Patria 5.2 FSA+3M

NCIA Data Centre at Lago Patria Electronic Lot 1

Investment

5.2 Disaster Recovery Tests and Demonstration 5.2 FSA+3M

NCIA Data Centre at Lago Patria Electronic Lot 1

Investment

5.3 Required documentation for Disaster Recovery 5.2 FSA+3M Website Electronic Lot 1 Investment

6 WP6: Establishment of an Archiving Service for FinS 5.3

P2.2S through P2.2E See below See below See below

See below

See below

See below See below

6.1

Design, implement, test and deploy an Archiving capability for FinS 5.3

P2.2S through P2.2E Website Electronic Lot 1

Investment

7

WP7: Establishment of a Business Intelligence Capability for FinS 5.4


See below

See below

See below See below

7.1

Design, implement, test and deploy a Business Intelligence capability for FinS 5.4


Investment



iv

8 WP8: Establishment of a Project Accounting Capability for FinS 5.5


See below

See below

See below See below

8.1

Design, implement, test and deploy a Project Accounting capability for FinS 5.5


Investment

9

WP9: Establishment of a Consolidation Tool for Financial Statements 5.6


See below

See below

See below See below

9.1

Design, implement, test and deploy a Consolidation Tool for Financial Statements 5.6


Investment

10

WP10: Establishment of an Invoice Scanning Capability for FinS 5.7


See below

See below

See below See below

10.1

Design, implement, test and deploy an Invoice Scanning capability for FinS 5.7


Investment

11

WP10: Establishment of a Budgeing and Budget Management Capability for FinS 5.8


See below

See below

See below See below

11.1

Design, implement, test and deploy a Budgeting and Budget Management capability for FinS 5.8


Investment



RFQ-CO-14624-LOGFS

Financial Services (FinS) Implementation Phase 2

BOOK II

PART II - CONTRACT SPECIAL PROVISIONS

NATO UNCLASSIFIED RFQ-CO-14624-LOGFS Book II - Prospective Contract

Part II – Contract Special Provisions

NATO UNCLASSIFIED

Table of Contents 1. DEFINITIONS ....................................................................................................... 1 2. ORDER OF PRECEDENCE ................................................................................. 1 3. SCOPE OF WORK ............................................................................................... 1 4. FIRM FIXED PRICE ............................................................................................. 2 5. COMPREHENSION OF CONTRACT AND SPECIFICATIONS ........................... 2 6. PLACE AND TERMS OF DELIVERY ................................................................... 3 7. CONTRACT STATUS REVIEW AND BREAKPOINTS ......................................... 3 8. PURCHASE OPTIONS ......................................................................................... 4 9. PARTICIPATING COUNTRIES ............................................................................ 6 10. INSPECTION AND ACCEPTANCE ...................................................................... 6 11. COTS PRODUCTS REPLACEMENT ................................................................... 7 12. LIQUIDATED DAMAGES ..................................................................................... 7 13. BACKGROUND IPR ............................................................................................. 9 14. CHANGES ............................................................................................................ 9 15. INVOICES AND PAYMENT ................................................................................ 10 16. WARRANTY ....................................................................................................... 11 17. SUPPLEMENTAL AGREEMENTS, DOCUMENTS AND PERMISSIONS .......... 11 18. CONTRACT ADMINISTRATION ........................................................................ 12 19. SUB-CONTRACTORS ....................................................................................... 13 20. OWNERSHIP AND TITLE .................................................................................. 13 21. SECURITY ......................................................................................................... 14 22. KEY PERSONNEL ............................................................................................. 14 23. PERSONNEL SECURITY .................................................................................. 17 24. ENGINEERING CHANGE PROPOSALS (ECP) ................................................ 17 25. INCORPORATION OF REVISED PROJECT MANAGEMENT AND ENGINEERING DOCUMENTATION DELIVERABLES ............................................... 18 26. APPLICABLE REGULATIONS ........................................................................... 19 27. CODE OF CONDUCT ........................................................................................ 19 ANNEX A. CONTRACTOR AND SUBCONTRACTOR BACKGROUND IPR ............. 23 ANNEX B. THIRD PARTY IPR .................................................................................... 24 ANNEX C. TEMPLATE OF ECP SIGNATURE PAGE ................................................ 25 ANNEX D. PAYMENT SCHEDULE ............................................................................ 28



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PART II – CONTRACT SPECIAL PROVISIONS

1. DEFINITIONS

1.1 For the purpose of this contract and unless otherwise explicitly indicated, the following definitions shall apply:

1.2 Acceptance: The act of an authorized representative of the Purchaser by which the Purchaser assumes title and ownership of delivered Works rendered as partial or complete performance of the Contract. “Acceptance” in this regard, unless specifically provided otherwise in the Contract Special Provisions, means final Acceptance where the Contract provides for Provisional or Partial Acceptance.

1.3 Basic Ordering Agreement (BOA): Means the separate agreement the Contractor holds with the NCI Agency under the auspices of the NCI Agency BOA Program.

1.4 Contracting Authority: The General Manager of the NCI Agency, the Director of Acquisition of the NCI Agency, the Chief of Contracts of the NCI Agency or the authorised representatives of the Chief of Contracts of the NCI Agency.

1.5 Contractor: The person or legal entity from a Participating Country which has signed this Contract and is a Party thereto.

1.6 General Provisions: Means the General Provisions contained in the Contractor’s BOA.

1.7 Purchaser: NCI Agency, as represented by the General Manager, NCI Agency. The Purchaser is the legal entity who awards and administers the Contract and stands as one of the Contracting Parties.

2. ORDER OF PRECEDENCE

2.1. In the event of any inconsistency in this Contract, the inconsistency shall be resolved by giving precedence in the following order:

a. Part I - The Schedule of Supplies and Services b. Part II - The Contract Special Provisions c. Part III – The Terms of the governing Basic Ordering Agreement d. Part IV – The Statement of Work

3. SCOPE OF WORK

3.1. The Logistics Functional Services (LOGFS) 2007/0IS03043 (Project 43) under the Capability Package 9C0103 “Functional Services for Logistics C2 (LOGFS)” covers (through serials -10 and -19) the update of the Financial Services (FinS) capability being used by Allied Command Operations (ACO), Allied Command



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Transformation (ACT) and the International Military Staff Budget Group (IMS BG). This is the so-called “FinS Phase 2 implementation”. FinS Phase 1 consolidated the existing individual Oracle eBusiness Suite (EBS) implementations existing within the different headquarters of ACO and IMS BG into a single FinS implementation. In the meantime FinS was harmonised with the Centralised NATO Financial System (CNAFS) being used in ACT and NCIA so that CNAFS/FinS is being run in 4 instances of the Oracle EBS by a single Support Team in NCIA.

3.2. This Contract covers all performance and Deliverables necessary to design, implement, and support the FinS Phase 2, providing an updated Financial Services capability. LOGFS Finance Requirements contained in Annex A of the Contract Statement of Work (SOW) includes the system specifications and requirements. Scope of work may be subject to changes and Phase 2.2 (covering Work Package 2) as well as Work Packages 3 to 11 remain as options to the contract. These options do not represent an obligation for the Purchaser unless they are formally ratified and exercised by the means of an amendment issued in accordance with the terms and conditions of the present Contract.

4. FIRM FIXED PRICE

4.1. This is a Firm Fixed Price Contract. Firm Fixed Prices are established for the supplies and services defined in Part I - Schedule of Supplies and Services.

4.2. The Purchaser assumes no liability for costs incurred by the Contractor in excess of the stated Firm Fixed Price except as provided under other provisions of this Contract.

4.3. The Total Contract price is inclusive of all expenses related to the performance of the present contract.

4.4. The Total Contract price in this Contract is Delivered Duty Paid (INCOTERMS 2000).

5. COMPREHENSION OF CONTRACT AND SPECIFICATIONS

5.1. The Contractor warrants that he has read, understood and agreed to each and all terms, clauses, specifications and conditions specified in the Contract and that this signature of the Contract is an acceptance, without reservations, of the said Contract terms within their normal and common meaning.

5.2. The specifications set forth the performance requirements for the Contractor’s proposed work as called for under this Contract. Accordingly, notwithstanding any conflict or inconsistency which hereafter may be found between achievement of the aforesaid performance requirements and adherence to the Contractor’s proposed design for the work, the Contractor hereby warrants that the work to be



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delivered will meet or exceed the performance requirements of the said specifications.

5.3. The Contractor hereby acknowledges that he has no right to assert against the Purchaser, its officers, agents or employees, any claims or demands with respect to the aforesaid specifications as are in effect on the date of award of this Contract.

a. Based upon impossibility of performance, defective, inaccurate, impracticable, insufficient or invalid specifications, implied warranties of suitability of such specifications, or

b. Otherwise derived from the aforesaid specifications, and hereby waives any claims or demands so based or derived as might otherwise arise.

5.4. Notwithstanding Clause 12 (“Changes”) of the BOA General Provisions or any other clause of the Contract, the Contractor hereby agrees that no changes to the aforesaid specifications which may be necessary to permit achievement of the performance requirements specified herein for the Contractor’s proposed work shall entitle the Contractor either to any increase in the firm fixed price as set forth in this Contract or to any extension of the delivery times for the work beyond the period of performance in the Schedule of Supplies and Services.

6. PLACE AND TERMS OF DELIVERY

6.1. Deliverables under this Contract shall be delivered at such times as set forth in the Schedule of Supplies and Services.

7. CONTRACT STATUS REVIEW AND BREAKPOINTS

7.1. The following events are considered “Critical Progress Milestones” upon which successful completion of the contracted effort depends:

7.1.1. Acceptance in writing by the Purchaser of the Project Management deliverables as presented in the Project Management Review (PMR) to be accomplished not later than the date specified in the Schedule of Supplies and Services (see SOW §4.3).

7.1.2. Acceptance in writing by the Purchaser of the analysis and design deliverables as presented in the Lifecycle Architecture Review (LAR) to be accomplished not later than the date specified in the Schedule of Supplies and Services (see SOW §4.4).

7.1.3. Acceptance in writing by the Purchaser of the deliverables of the End of Phase 2.1 (P2.1E) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.5).



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7.1.4. Acceptance in writing by the Purchaser of the deliverables of the Test Readiness Review (TRR) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.7).

7.1.5. Acceptance in writing by the Purchaser of the deliverables of the Training Material Review (TMR) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.8).

7.1.6. Acceptance in writing by the Purchaser of the deliverables of the User Acceptance Test (UAT) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.9).

7.1.7. Acceptance in writing by the Purchaser of the Final System Acceptance (FSA) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.10).

7.1.8. Acceptance in writing by the Purchaser of the End of Phase 2.2 (P2.2E) Milestone to be accomplished not later than the dates specified in the Schedule of Supplies and Services (see SOW §4.11).

7.2. At each of these Critical Progress Milestones, the Purchaser will review the overall Contract status and progress in order to determine if continuation of the Contract remains in the best interest of NATO. Points to be considered in this decision include, but are not limited to:

7.2.2. The number and types of changes made, or expected to be made and their impact on project cost and schedule of the present contract,

7.2.3. Operational, environmental, or technological changes in the requirements for the FinS system,

7.2.4. Level of satisfaction with the product(s) delivered up to the Critical Progress Milestone.

7.3. Paragraphs 7.1.4 through 7.1.8 become active only after a decision to exercise the option to execute WP2 is taken.

8. PURCHASE OPTIONS

8.1. Work Package 2 (WP2) is an option to the contract, Implementation of FinS (covering Phase 2.2) and it shall be exercised by a written notice to the Contractor and a contract amendment. The WP2 option can be exercised after successful completion of WP1 (Phase 2.1) and would be dependent on the results of Phase 2.1 but also would require an approval from the Investment Committee about the implementation plan, including the cost and schedule for the implementation of Phase 2.2. The Host Nation intends to exercise this option



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unless Phase 2.1 can not be delivered successfully or the implementation plan resulting from Phase 2.1 is not executeable due to cost or schedule issues.

8.2. Work Package 3 (WP3) is an option to the Contract and is only going to be exercised by a written notice to the Contractor and a Contrcat Amendment. This decision should be made before the LAR Milestone is reached (see SOW §4.4). WP3 is to cover the license costs of any software components or technology proposed by the Contractor in the Bid and is not part of the Oracle-NATO Enterprise License Agreement (CO-14582-EBA for Oracle Licenses), described in Annex F to the SOW. The implementation cost for the mentioned components are covered by WP2.

8.3. Work Package 4 (WP4) is an option to the Contract and is only going to be exercised by a written notice to the Contractor and a Contract Amendment. This decision should be made before the LAR Milestone is reached (see SOW §4.4). WP4 is about moving the current FinS database from its current Sun Solaris environment to an Oracle Linux environment at the IT Modernisation (ITM) Data Centre in Mons expected to be delivered in 2018. It would only be exercised if this move has not already been completed by the NCI Agency before the ITM hosting solution would be needed during WP2 implementation for various activities.

8.4. Work Package 5 (WP5) is an option to the Contract and is only going to be exercised by a written notice to the Contractor and a Contract Amendment. This decision should be made before the LAR Milestone is reached (see SOW §4.4). WP5 is about delivering a Disaster Recovery Capability for FinS at the secondary NCIA Data Centre in Lago Patria.

8.5. Work Package 6 (WP6) is an option to the Contract and covers the establishment of an archiving capability for FinS. The decision whether to implement this WP will be made at the end of Phase 2.1.

8.6. Work Package 7 (WP7) is an option to the Contract and covers the establishment of a Business Intelligence capability for FinS. The decision whether to implement this WP will be made at the end of Phase 2.1.

8.7. Work Package 8 (WP8) is an option to the Contract and covers the establishment of a Project Accounting capability for FinS. The decision whether to implement this WP will be made at the end of Phase 2.1.

8.8. Work Package 9 (WP9) is an option to the Contract and covers the establishment of a consolidation tool for financial statements. The decision whether to implement this WP will be made at the end of Phase 2.1.

8.9. Work Package 10 (WP10) is an option to the Contract and covers the establishment of an invoice scanning capability for FinS. The decision whether to implement this WP will be made at the end of Phase 2.1.



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8.10. Work Package 11 (WP11) is an option to the Contract and covers the establishment of a Budgeting and Budget Management capability for FinS. The decision whether to implement this WP will be made at the end of Phase 2.1.

8.11. Given that WP2 through WP11 are costed options, the Contractor is expected to provide the full cost of execution for all options in their Quote, in addition to the compulsory quote for WP1.

8.12. The analysis for all optional Work Packages from WP6 through WP11 shall be conducted as part of WP1. The “option” for these work packages is on the decision to implement what has been analysed or not.

8.13. The Purchaser can decide on whether to exercise these options or not independently, thus can exercise none or all of the options.

9. PARTICIPATING COUNTRIES

9.1. The Contractor may issue subcontracts to firms and purchase from qualified vendors in any contributory NATO nations (EXCEPT Albania, Croatia and Montenegro) in the project, namely, (in alphabetical order):

BELGIUM, BULGARIA, CANADA, CZECH REPUBLIC, DENMARK, ESTONIA, FRANCE, GERMANY, GREECE, HUNGARY, ICELAND, ITALY, LATVIA, LITHUANIA, LUXEMBOURG, NETHERLANDS, NORWAY, POLAND, PORTUGAL, ROMANIA, SLOVAKIA, SLOVENIA, SPAIN, TURKEY, UNITED KINGDOM, UNITED STATES OF AMERICA.

9.2. None of the work, including project design, labour and services, shall be performed other than by firms from and within Participating Countries.

9.3. No material or items of equipment down to and including identifiable sub-assemblies shall be manufactured or assembled by a firm other than from and within a Participating Country.

9.4. The Intellectual Property Rights for all software and documentation used by the Contractor in the performance of the Contract shall vest with firms from and within Participating Countries and no royalties or license fees for such software and documentation shall be paid by the Contractor to any source that does not reside within a Participating Country.

10. INSPECTION AND ACCEPTANCE

10.1. Acceptance is the action by which the Purchaser formally acknowledges that the Contractor has fully demonstrated that Contract Deliverables are complete or have been performed according to the requirements set in the Contract.



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10.2. The supplies and services to be provided by the Contractor’s personnel under this Contract shall conform to the highest professional and industry standards and practices. Inspection of the services provided will be made by the Purchaser’s Technical representatives or another authorised designee in accordance with the specifications in Part IV - Statement of Work. Services performed by the Contractor which do not conform to the highest professional and industry standards may result in the Purchaser requesting that such work be performed again at no increase in the price of the contract. Repeated instances of work performed which fails to meet the standards and practices may result in termination of the Contract for Default.

10.3. The Purchaser reserves the right to charge to the Contractor any additional cost incurred by the Purchaser for inspection and test when Work is not ready at the time such inspection and test is requested by the Contractor or when re-inspection or retest is necessitated by prior rejection.

10.4. In accordance with the implementation procedures stated in Section 3 of the SOW, any hardware, software, documentation, or any other Deliverables provided as part of a site installation shall not be subject to Acceptance until Site Activation is satisfactorily completed.

10.5. Testing and Acceptance procedures are described in Clause 7 (“Inspection, Acceptance and Rejection”) of the BOA General Provisions.

11. COTS PRODUCTS REPLACEMENT

11.1. If any COTS products specified in the Contract are upgraded or discontinued by their original providers for commercial or technological reasons, the Contractor shall propose their substitution by the new versions that are intended as market replacement of the original products. The proposed items shall provide at equivalent or enhanced performance without a price or life-cycle support cost increase.

11.2. The Contractor shall provide price and performance data to support an improvement in performance and/or a reduction in price and/or life-cycle support costs. If necessary for evaluation by the Purchaser, the Contractor shall provide a demonstration of the proposed items. Should the Purchaser decide that the proposed item(s) should be included in the contract, an equitable price adjustment will be negotiated and the proposed item(s) shall be added to the Contract by bilateral modification under the authority of this Clause.

12. LIQUIDATED DAMAGES

12.1. If the Contractor fails to:



8

a) successfully meet the required performance dates as defined in the Schedule of Supplies and Services, or any extension thereof, or

b) deliver and obtain acceptance of the Deliverables or to acceptably perform the services as specified in the Schedule of Supplies and Services to this Contract,

the actual damage to the Purchaser for the delay will be difficult or impossible to determine. Therefore, in lieu of actual damages the Contractor shall pay to the Purchaser, for each day of delinquency in achieving the requirements of Clauses 12.1.a and 12.1.b, fixed and agreed liquidated damages of 0.1% (one tenth of one per cent) per day of the total payment amount for each Payment Event as scheduled in Clause 15 (“Invoices and Payment”) of the Contract Special Provisions.

12.2. Liquidated damages shall be payable to the Purchaser from the first day of delinquency in delivery and shall accrue at the rate specified in the paragraph above to an aggregate sum of all delinquent items not to exceed Fifteen Percent (15%) of the total value of the Contract. These liquidated damages shall accrue automatically and without any further notice being required.

12.3. The Contractor shall not be charged with liquidated damages when the delay arises out of causes beyond the control and without the fault or negligence of the Contractor as defined in Clause 19 (“Termination for Default”) of the BOA General Provisions. In such event, subject to the provisions of Clause 17 (“Disputes and Arbitration” of the BOA General Provisions, the Purchaser shall ascertain the facts and extent of the delay and shall extend the time for performance of the Contract when in its judgment the findings of fact justify an extension.

12.4. In addition, the Purchaser may terminate this Contract in whole or in part as provided in Clause 19 (“Termination for Default”) of the BOA General Provisions. In the event of such a termination, the Contractor shall be liable for Liquidated Damages accruing to the date of termination, as well as the excess costs stated in the referred clause.

12.5. The amount of Liquidated Damages due by the Contractor shall be recovered by the Purchaser in the following order of priority:

a. By deducting such damages from the amounts due to the Contractor against the Contractor's invoices.

b. By proceeding against any surety or deducting from the Performance Guarantee if any

c. By reclaiming such damages through appropriate legal remedies.



9

13. BACKGROUND IPR

13.1. This Clause hereby supplements Clause 31 (“Rights in Technical Data”) of the BOA General Provisions.

13.2. Any use of Background IPR as stated in Annex A and Annex B of the Contract Special Provisions for the purpose of carrying out the work pursuant to the Contract shall, subject to any obligation on the part of the Contractor to make payments to any third party in respect of IPR which is licensed from such third party, be free of any charge to Purchaser. The Contractor hereby grants to NATO a non-exclusive, royalty-free and irrevocable license to use and authorise others to use any Background IPR for the purpose of exploiting or otherwise using the Foreground IPR.

13.3. Any use of Background IPR as stated in Annex A and Annex B of the Contract Special Provisions and unless specifically applicable to COTS items, is not limited to the number of users or the number of licenses required by the Contract for the use of the system. With the exception of COTS items, the Purchaser reserves the right to use the Background IPR as stated in Annex A and Annex B for any number of users and number of licenses as required, at no additional cost to the Purchaser.

13.4. The Purchaser may consider open source solutions alongside proprietary ones in developments provided that such solutions are fully compliant with the requirements of this Contract and, particularly Clause 9 (“Participating Countries”) of the Contract Special Provisions. Contractor shall disclose in advance the open source licence associated with the contemplated open source solution. The Purchaser reserves the right to refuse the incorporation of open source solutions that are deemed inadequate for incorporation in a NATO application (e.g., post-back obligations).

14. CHANGES

14.1. The Purchaser may at any time, by written order designated or indicated to be a change order, and without notice to the sureties, if any, make changes within the scope of any Contract or Task Order, as described in Clause 12 (“Changes”) of the BOA General Provisions.

14.2. Except as otherwise provided for in this Contract, prices quoted for the changes, modifications, etc. shall have a minimum validity period of 6 months from submission.



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15. INVOICES AND PAYMENT

15.1. Following Purchaser acceptance, in writing, payment for supplies and services furnished shall be made in the currency specified for the relevant portion of the Contract.

15.2. The term of the Contract may not be exceeded without prior approval of the Purchaser. In no case will the Purchaser make payment above the total of the corresponding CLINs.

15.3. No payment shall be made with respect to undelivered supplies; works not performed, services not rendered and/or incorrectly submitted invoices.

15.4. No payment shall be made for additional items delivered that are not specified in the contractual document.

15.5. The Contractor shall be entitled to submit invoices as shown in Annex D of the Contract Special Provisions.

15.6. Evidence of the acceptance by the Purchaser shall be attached to all invoices.

15.7. The invoice amount shall be exclusive of VAT and exclusive of all Taxes and Duties as per Clause 10 (“Taxes and Duties”) of the BOA General Provisions.

15.8. The Purchaser is released from paying any interest resulting from any reason whatsoever.

15.9. The Contractor shall render all invoices in a manner, which shall provide a clear reference to the Contract. Invoices in respect of any service and/or deliverable shall be prepared and submitted as specified hereafter and shall contain:

15.9.1. Contract number CO-14624-LOGFS;

15.9.2. Purchase Order number (TBD at Contract Award);

15.9.3. Contract Amendment number (if any);

15.9.4. Contract Line Item(s) (CLIN) as they are defined in the priced Schedule of Supplies and Services;

15.9.5. Bank Account details for International wire transfers.

15.10. The invoice shall contain the following certificate: “I certify that the above invoice is true and correct, that the delivery of the above described items has been duly effected and/or that the above mentioned services have been rendered and the payment therefore has not been received.”



11

The certificate shall be signed by a duly authorised company official on the designated original.

15.11. Invoices referencing “CO-14624-LOGFS/ PO (TBD at Contract Award)” shall be submitted in electronic format to:

[email protected] An Electronic copy shall be sent to the Contracting Officer, at the email address specified in Clause 18.6 of the Special Contract Provisions.

15.12. NCI Agency will make payment within 60 days of receipt by NCI Agency of a properly prepared and documented invoice.

16. WARRANTY

16.1. The Contractor shall provide its standard warranty on all material and installed works provided under this Contract. The warranty period shall be 1 Year, starting from Final System Acceptance.

16.2. For this purpose the Contractor shall provide exact warranty conditions and detailed handling instructions, including information of Points of Contact to be contacted in case of a warranty claim.

16.3. For each Software developed under this Contract, the Contractor Warranties shall extend to all defects discovered within 1 year from NCIA Final System Acceptance (FSA) declared in writing by the Purchaser’s Contracting Authority.

16.4. All Software delivered under this Contract will identify the owner of the Software and, if applicable, will prominently include notice of the existence of its warranty, its substance, its duration, and instructions to notify the Purchaser promptly if the Software is found to be defective. The markings should also be included in the operating and/or maintenance manuals or instructions accompanying such Software.

17. SUPPLEMENTAL AGREEMENTS, DOCUMENTS AND PERMISSIONS

17.1. The Contractor has submitted all relevant draft supplemental agreement(s), documents and permissions prior to Contract award, the execution of which by the Purchaser is/are required by national law or regulation. If any supplemental agreements, documents and permissions are introduced after Contract award, and it is determined that the Contractor failed to disclose the requirement for the execution of such agreement from the Purchaser prior to Contract signature, the




12

Purchaser may terminate this Contract for Default, in accordance with Clause 19 (“Termination for Default”) of the BOA General Provisions hereafter.

17.2. Supplemental agreement(s), documents and permissions, the execution of which by the Purchaser is/are required by national law or regulation and that have been identified by the Contractor prior to the signature of this Contract, but have not yet been finalized and issued by the appropriate governmental authority, are subject to review by the Purchaser.

17.3. If such supplemental agreement(s), documents and permissions are contrary to cardinal conditions of the signed Contract between the Parties, and the Purchaser and the appropriate governmental authority cannot reach a mutual satisfactory resolution of the contradictions, the Purchaser reserves the right to terminate this Contract and the Parties agree that in such case the Parties mutually release each other from claim for damages and costs of any kind, and any payments received by the Contractor from the Purchaser will be refunded to the Purchaser by the Contractor.

17.4. For the purpose of this Contract the following National mandatory Supplemental Agreements are identified:

Type of Agreement National Authority of

Reference Subject

18. CONTRACT ADMINISTRATION

18.1. The Purchaser reserves the right to re-assign this Contract to a representative(s) for administrative purposes, in whole or in part, provided that the Purchaser shall always be responsible for its obligations under the Contract and for actions or lack of actions of its assigned administrator. The Purchaser undertakes to advise the Contractor in writing whenever this right is to be exercised.

18.2. All notices and communications between the Contractor and the Purchaser shall be written and conducted in the English language. Contract modifications shall only be valid when received in writing from the General Manager, NCI Agency, and/or the NCI Agency Contracting Authority.

18.3. Formal letters and communications shall subsequently be personally delivered or sent by mail, registered mail, courier or other delivery service, to the official points of contact quoted in this Contract. Facsimile and e-mail may be used to provide an advance copy of a formal letter or notice which shall subsequently be delivered through the formal communication means.



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18.4. Informal notices and informal communications may be exchanged by all communication means, including telephone and e-mail. All informal communication must be confirmed by a formal letter or other formal communication to be contractually binding.

18.5. All notices and communications shall be effective on receipt.

18.6. Official Points of Contact:

Purchaser Contractor NCI Agency Company For contractual matters: Attn: Mr Peter Kowalski Contracting Assistant Tel: +32 2 707 8221 E-mail: [email protected]

For contractual matters: Attn: Tel: E-mail:

For technical/project management matters: Attn. Dr. Levent Mollamustafaoglu Tel: +31 70 3743637 E-mail: [email protected]

For technical/project management matters: Attn: Tel: E-mail:

or to such address as the Purchaser may from time to time designate in writing.

19. SUB-CONTRACTORS

19.1. The Contractor shall place and be responsible for the administration and performance of all sub-contracts including terms and conditions which he deems necessary to meet the requirements of this Contract in full.

19.2. The Contractor shall not place sub-contracts outside the NATO member Nations unless the prior authorisation of the Purchaser has been obtained. Such authorisation will not be granted when the sub-contract involves the carrying out of classified work.

20. OWNERSHIP AND TITLE

20.1. Ownership and title to all deliverables will pass to the Purchaser upon written notification of acceptance by the Purchaser.




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21. SECURITY

21.1. This Article supplements Clause 27 (“Security”) of the BOA General Provisions.

21.2. The Contractor is responsible, in accordance with NATO and National Security regulations, for the proper handling, storage and control of any classified documents and information as may be furnished to the Contractor in relation to the performance of the present Contract.

21.3. The security classification of this Contract is “NATO UNCLASSIFIED”.

21.4. The Contractor is advised that the personnel security process may be lengthy. The Purchaser bears no responsibility for the failure of the Contractor to secure the required clearances for its personnel within the necessary time.

21.5. The Contractor bears full responsibility and liability under the Contract for delays arising from the failure of the Contractor to adhere to the security requirements.

21.6. If during the performance of the Contract, Contractor's personnel need to be escorted because of non-availability of the security clearance required by the Site, the Contractor shall pay to the Purchaser a compensatory fee of 500 Euro per day of escort that may be deducted by the Purchaser univocally and at its sole discretion from any invoice submitted and relevant to the performance under this Contract.

21.7. All NATO CLASSIFIED material entrusted to the Contractor shall be handled and safeguarded in accordance applicable security regulations.

21.8. In the absence of valid security clearances for the Contractor's personnel during the performance of the Contract, the Purchaser reserves the right to terminate the Contract for Default as per Clause 19 (“Termination for Default”) of the BOA General Provisions.

22. KEY PERSONNEL

22.1. The key personnel proposed by the Contractor in its Project Management Plan and that satisfy the personnel requirements laid down in the SOW (§2.4 and 6) are considered to be key to the performance of this Contract and may not be replaced by the Contractor with substitute personnel without the prior written approval of the Purchaser.

22.2. If any options are exercised, the Key Personnel provisions will apply to the option period from the effective date of the Contract.



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22.3. The following personnel are considered to be Key Personnel for successful contract performance and are subject to the provisions of this Clause as set forth in the following paragraphs:

Key Personnel Name Function within organisation

Contractor Project Manager (CPM)

Contractor Functional Lead(s) (CFL)

Contractor Solution Architect (CSA)

Contractor Test Manager (CTM)

Contractor Quality Manager (CQM)

Contractor Commercial Manager (CCM)

22.4. Under the terms of this Clause, Key Personnel may not be voluntarily diverted by the Contractor to perform work outside the Contract. In cases where the Contractor has no control over the individual’s non-availability (e.g., resignation, sickness, incapacity, etc.), the Contractor shall notify the Purchaser of a change of key personnel within 10 days of the date of knowledge of the prospective vacancy and offer a substitute with equivalent qualifications with no additional costs for the Purchaser. There should be a 1 week overlap between the old and new Key Personnel.

22.5. Contractor personnel proposed in substitution of previously employed Contractor Key Personnel shall be interviewed and approved by the Purchaser Project Manager before substitution acceptance is granted in writing by the Purchaser contracting Authority.

22.6. In the event of a substitution of any key personnel listed in Clause 22.3 and prior to commencement of performance, the Contractor shall provide a CV for the personnel proposed. The CV shall clearly stipulate:

22.6.1. Full details of professional and educational background;

22.6.2. Evidence that the personnel is qualified in pertinent contract related areas per the SOW.

22.7. The Contractor shall take all reasonable steps to avoid changes to Key Personnel assigned to this project except where changes are unavoidable or are of a temporary nature. Any replacement personnel shall be of a similar grade, standard and experience as the individual to be substituted. The Contractor shall endeavour to have an overlap of one week for knowledge transfer in case such a



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change is requested and approved. The cost of this overlap period shall be borne by the Contractor.

22.8. Furthermore, even after acceptance of a Contractor’s staff member on the basis of his/her CV and/or interview, the Purchaser reserves the right to reject the Contractor’s staff member, if the individual is not meeting the required level of competence. The Purchaser will inform the Contractor, in writing in cases where such a decision is taken and the Contractor shall propose and make another staff member available within ten working days after the written notification. The Purchaser shall have no obligation to justify the grounds of its decision and its acceptance of staff members shall in no way relieve the Contractor of its responsibility to achieve the contractual and technical requirements of this Contract nor imply any responsibility to the Purchaser.

22.9. After acceptance in writing by the Purchaser of a substitution of staff, based on a CV and/or interview, paragraph shall be applicable again, if necessary.

22.10. The Purchaser may at any time require the Contractor immediately to cease to employ the above named Key Personnel under the present Contract if, in the opinion of the Purchaser, his/her employment is undesirable. The Contractor shall replace any such employee in accordance with Clauses 22.8 and 22.9.

22.11. In those cases where, in the judgment of the Purchaser, the inability of the Contractor to provide a suitable replacement in accordance with the terms of this Clause may potentially endanger the progress under the Contract, the Purchaser shall have the right to terminate the Contract in accordance with the terms of Clause 19 (“Termination for Default”) of the BOA General Provisions.

22.12. Any change of status or reorganization of the Contractor’s practice, or any change in the responsibility for the execution of the Contract shall be reported to the Purchaser immediately when the change or reorganization is promulgated.

22.13. The Contractor’s Key Personnel required to interface directly with the Purchaser’s counterparts, shall have the capability to readily communicate (oral and written fluency) in English and to provide, if requested official documents destined for distribution during the course of the Contract in English.

22.14. The Purchaser may, for just cause, require the Contractor to remove its employee. Notice for removal will be given to the Contractor by the Purchaser in writing and will state the cause justifying the removal. The notice will either demand substitution for the individual involved and/or contain a notice for default and the remedies to be sought by the Purchaser.

22.15. The project shall be run in two phases (see SOW §1.5). It is required that the CPM and CSA cover both phases, thus no change of personnel is envisioned for these two roles between the two phases.



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23. Personnel Security

23.1. The Contractor shall ensure that all Contractor and Subcontractor personnel that shall work on a NATO site have a valid NS clearance as required by NATO policy. The Contractor shall provide proof that each team member is in possession of a valid NS security clearance prior to Contract Award. Although staff working in the back office do not need clearances, they would need a clearance to access or use any NATO system.

23.2. .The Contractor shall process all Contractor and Subcontractor personnel through NATO security at each site, adhering to their procedures for clearances, to obtain security badges for the duration of the on-site activities. Different sites could have different rules and procedures.

23.3. The only exemption is for other Contractor staff who would be only visiting as needed, such as Contractor’s Contracting Officer or other management staff. These visits would require escorting in the absence of security clearances and as such shall be limited to short meetings at NATO premises.

24. ENGINEERING CHANGE PROPOSALS (ECP)

24.1. Engineering Change Proposals (ECP) as defined in this Clause are proposals for changes relevant to tasks, deliverables, technical requirements, processes, schedules or any other term of the contract which are submitted in written form by the Contractor upon request from the Purchaser or independently when such changes are necessary in light of varied facts or circumstances which prevent the execution of the contract in its form.

24.2. Any Engineering Change Proposal (ECP) submitted by the Contractor to the Purchaser shall, in any case contain as a minimum the following elements:

24.2.1. The signature pages following the template provided in Annex C of the Contract Special Provisions and providing all the information required in this template.

24.2.2. A sequential number of ECP identification

24.2.3. Rationale for the changes being proposed

24.2.4. Illustration of any relevant impact to the performance being rendered including but not limited to those relevant to schedules, technical solutions, requirements and delivery time.

24.2.5. List of contract documents affected by the changes being proposed.



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24.2.6. Revised copy of the contract documents in native electronic format edited to incorporate the changes being proposed in a way that changes are immediately identifiable.

24.2.7. Total Firm Fixed Price of the ECP and illustration of cost impacts with respect to the total contract Firm Fixed Price and the single CLINs affected.

24.2.8. A revised version of the Contract Schedule of Supplies and Services.

24.3. The Purchaser shall assess the ECP being proposed by the Contractor and, subject to its sole judgment and without recourse by the Contractor, approve or reject the ECP by the mean of written communication to be dispatched solely by the Purchaser’s Contracting Authority.

24.4. Any ECP shall be considered as approved only once the signature pages provided in Annex C have been formally signed by the Purchaser’s Contracting Authority.

24.5. In case of ECP rejection, the Contractor shall proceed with the performance in accordance with the Contract.

24.6. Formally approved ECPs shall be treated as interim authorization to proceed with the changes proposed strictly and limited to the scope, content and price as specified in the approved ECP.

24.7. The Purchaser shall not be liable for any cost incurred by the Contractor for performance rendered, regardless of the nature or time, associated to ECPs not formally approved by the Purchaser’s Contracting Authority.

24.8. All formally approved ECPs will be incorporated in the Contract via the issuance of a formal Contract Amendment at the earliest practical time after their issuance.

24.9. The production of any ECP regardless of its final approval or rejection shall be at no cost for the Purchaser.

25. INCORPORATION OF REVISED PROJECT MANAGEMENT AND ENGINEERING DOCUMENTATION DELIVERABLES

25.1. All documentation listed under SOW Chapter 4 is made part of the contract.

25.2. This documentation - because of the nature of the performance under the contract - will be subject to changes and revisions. The frequency and dynamic of these changes and revisions would make it unfeasible to ratify a new version of the documentation via a formal Contract amendment, at the time it is produced and approved by the Purchaser. Consequently during the course of formal reviews the Purchaser Contracting Authority will evaluate any changed documentation and subject to the terms of the contract validate its adequacy and,



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at its sole discretion provide for its approval in writing indicating which updated documentation is approved.

25.3. Subject to the exception noted in Clause 25.4, any formally Purchaser approved documentation shall be deemed as made part of the contract and shall replace any existent previous version.

25.4. The submission of any proposed revised documentation the implementation of which would cause a variation in Contract price or scope shall be submitted via ECP in accordance with Clause 24 and shall be deemed approved and incorporated into the contract only upon reception in writing of the Purchaser’s Contracting Officer approval.

25.5. The Purchaser is not under obligation to approve any proposed revised document except as in accordance with the terms of the present contract. Rejection of any proposed changes shall not discharge the Contractor, in whole or in part, of its responsibility for the performance under the Contract.

25.6. Nothing in this Clause is to be construed as a waiver to any other obligation of the Contractor under the contract.

26. APPLICABLE REGULATIONS

26.1. The Contractor shall be responsible for obtaining permits or licenses to comply with national codes, laws and regulations or local rules and practices in the country of performance under this Contract.

26.2. The Contractor shall take any necessary measure to protect the life and health of persons working or visiting the work area occupied by him. These measures include compliance with the country of performance's safety provisions.

26.3. In the performance of all work under this Contract, it shall be the Contractor's responsibility to ascertain and comply with all applicable NATO security regulations as implemented by the local Headquarters' Security Officer.

27. CODE OF CONDUCT

27.1. NCI Agency Personnel are required to maintain unquestionable integrity and impartiality in relation to procurements initiated by the NCI Agency.

27.2. NCI Agency Personnel shall not disclose any proprietary or contract related information regarding procurement directly or indirectly to any person other than a person authorized by the NCI Agency to receive such information. NCI Agency Personnel shall not disclose any documentation related to a procurement action to any third party without a need to know (e.g., draft statement of work, statement of requirements) unless this is expressly provided under NATO Procurement



20

Regulations or authorized in writing by the Director of Acquisition. During an on-going selection, NCI Agency Personnel shall not disclose any information on the selection procedure unless authorized by the Chairman of the award committee/board. The NCI Agency Personnel concerned will ensure that proper access controls are put in place to prevent disclosure of procurement information that has not yet been authorized for release for outside distribution, including draft statements of work and requirement documentations.

27.3. NCI Agency Personnel will not participate in a source selection if an offer has been provided by a friend, family member, a relative, or by a business concern owned, substantially owned, or controlled by him/her or by a friend, family member or a relative. NCI Agency Personnel appointed as part of an evaluation shall report such links to the Director of Acquisition immediately upon becoming aware of it.

27.4. Contractors will be given specific and coherent statements of work, providing precise explanation of how she/he is going to be employed. Tasks to be performed and minimum qualifications are to be well defined from the start. In addition, supervisors will ensure that contractors do not occupy managerial positions within the Agency.

27.5. NCI Agency Personnel shall not enter into authorized commitments in the name of NCI Agency or NATO unless specifically authorized. NCI Agency Personnel must abstain from making promises or commitment to award or amend a contract or otherwise create the appearance of a commitment from the NCI Agency unless properly authorized by the NCI Agency.

27.6. NCI Agency Personnel shall not endorse directly or indirectly products from industry. Therefore, NCI Agency Personnel shall not name or make statements endorsing or appearing to endorse products of specific companies.

27.7. Industry partners will need to abide with the post-employment measures under this Directive upon submission of their bids / proposals to the NCI Agency. As part of the selection process, industry will be requested to agree with an ethical statement.

27.8. Industry initiatives may include loans, displays, tests or evaluation of equipment and software, requesting NCI Agency speakers at industry gatherings and conferences, inviting speakers from industry to NCI Agency events, consultancy or studies of technical or organizational issues, etc. These initiatives are usually at no cost to the NCI Agency and take place at a pre-contractual phase or before the development of requirements and specifications. While there are benefits associated with the early involvement of industry in the definition of requirements and specifications, this also raises the potential for unfair treatment of potential competitors.



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27.9. Industry initiatives which go beyond routine interaction in connection with on-going contracts must be reported to and coordinated by the NCI Agency Acquisition Directorate for approval. Industry initiatives shall be properly documented and governed by written agreements between the NCI Agency and the company concerned where relevant. Such agreements may contain provisions describing the nature of the initiative, the non-disclosure of NCI Agency/NATO information, NCI Agency ownership of any resulting work, the NCI Agency’s right to release such work product to future competitors for any follow-on competition or contract, the requirement that any studies must provide non-proprietary solutions and/or an acknowledgement that the participating companies will not receive any preferential treatment in the contracting process.

27.10. Any authorized industry initiatives must be conducted in such a way that it does not confer an unfair advantage to the industry concerned or create competitive hurdles for potential competitors.

27.11. The NCI Agency will not offer employment contracts to former NCI Agency Personnel who departed less than 2 years earlier, unless prior approval by the General Manager has been received.

27.12. Former NCI Agency Personnel will not be accepted as consultants or commercial counterpart for two (2) years after finalization of their employment at NCI Agency, unless the General Manager decides otherwise in the interest of the Agency and as long as NATO rules on double remuneration are observed. Such decision shall be recorded in writing. Commercial counterparts include owners or majority shareholders, key account managers, or staff member, agent or consultant of a company and/or subcontractors seeking business at any tier with the NCI Agency in relation to a procurement action in which the departing NCI Agency staff member was involved when he/she was under the employment of the NCI Agency. As per the Prince 2 Project methodology, a Project is defined as a “temporary organization that is created for the purpose of delivering one or more business products according to an agreed business case”. For the purpose of this provision, involvement requires (i) drafting, review or coordination of internal procurement activities and documentation, such as statement of work and statement of requirement; and/or (ii) access to procurement information that has not yet been authorized for release for outside distribution, including draft statements of work and requirement documentations; and/or (iii) being appointed as a representative to the Project governance (e.g., Project Board) with access to procurement information as per (ii) above; and/or (iv) having provided strategic guidance to the project, with access to procurement information as per (ii) above.

27.13. In addition to Clause 27.12, former NCI Agency Personnel at grades A5 and above or ranks OF-5 and above are prohibited during twelve months following the end of their employment with the NCI Agency to engaging in negotiations, representational communications and/or advisory activities with the NCI Agency



22

on behalf of a private entity, unless this has been agreed in advance by the NCI Agency General Manager and notified to the Agency Supervisory Board (ASB).

27.14. NCI Agency Personnel leaving the Agency shall not contact their former colleagues in view of obtaining any information or documentation about procurement activities not yet authorized release. NCI Agency Personnel shall immediately report such contacts to the Director of Acquisition.

27.15. The ASB Chairman will be the approving authority upon recommendation by the Legal Adviser when the NCI Agency Personnel concerned by the above is the NCI Agency General Manager and will notify the ASB.

27.16. NCI Agency Personnel leaving the Agency shall sign a statement that they are aware of the post-employment measures set out in this Directive.

27.17. The post-employment measures set out in this Directive shall be reflected in the NCI Agency procurement documents, such as IFBs, and contract provisions.



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ANNEX A. CONTRACTOR AND SUBCONTRACTOR BACKGROUND IPR

a. The Contractor Background IPR specified in Table 1 will be used for the purpose of carrying out work pursuant to the prospective Contract.

IPR DESCRIPTION

IPR OWNER REMARKS/RESTRICTIONS2

Table 1 – Contractor Background IPR

b The Contractor represents that it has and will continue to have, for the duration of this Contract, all necessary rights in and to the IPR specified above necessary to meet the Contractor’s obligations under the Contract.

c. The Contractor Background IPR stated above complies with the terms specified in Clause 13 of the Special Contract Provisions and shall be licensed to the Purchaser according to the terms and conditions specified in the Contract.

2 Indicate whether the IPR is applicable to a COTS product



24

ANNEX B. THIRD PARTY IPR

a. The Subcontractor and Third Party Background IPR specified in Table 2 will be used for the purpose of carrying out work pursuant to the prospective Contract.

IPR DESCRIPTION IPR OWNER REMARKS RESTRICTIONS3

Table 2 – Contractor Background IPR

The Contractor represents that it has and will continue to have, for the duration of this Contract, all necessary rights in and to the IPR specified above necessary to meet the Contractor’s obligations under the Contract.

c. The Subcontractor and Third Party Background IPR stated above complies with the terms specified in Clause 13 of the Special Contract Provisions and shall be licensed to the Purchaser according to the terms and conditions specified in the Contract.

3 Indicate whether the IPR is applicable to a COTS



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ANNEX C. TEMPLATE OF ECP SIGNATURE PAGE

Contract: CO-14624-LOGFS ECP Sequential Number4: Requestor5: Description and Rationale for changes being proposed [INDICATE IN DESCRIPTIVE TERM THE REASONS UNDERLINING THE NEED FOR A CHANGE, RESULTING BENEFITS AND/OR RELATED RISKS.

[DESCRIBE IN DETAILED AND BULLETTED FORMAT THE CHANGES BEING PROPOSED]

[WHERE THE ECP BEING SUBMITTED IS THE RESULT OF AN INVESTIGATIVE ACTION REQUESTED BY THE PURCHASER INDICATE SUCH CIRCUMSTANCE AND ANY RELEVANT RECCOMANDATION ASSOCIATED WITH THE IMPLEMENTATION OF THE ECP]

[INDICATE SCHEDULE CONSTRAINS ASSOCIATE WITH ECP APPROVAL]

Impact on Project / Contract (other than price) [INDICATE IN DESCRIPTIVE TERM AND IN DETAIL THE IMPACT IN TERMS OF SCHEDULE OR ACTIVITIES OR IN ANY OTHER PROJECT DOMAIN RESULTING FROM THE IMPLEMENTATION OF THE CHANGES BEING PROPOSED]

Impact on Contract Price

4 ECP sequential numbers shall be unique and continuous regardless of the status of the ECP (pending / approved / rejected) 5 Indicate requestor in terms of NCIA or Purchaser



26

[INDICATE THE COST IMPACT IN TERMS OF OVERALL INCREMENT OR DECREMENT OF CONTRACT PRICE, IDENTIFY ON WHICH CONTRACT SCHEDULE OF SUPPLIES AND SERVICES CLINs THE CHANGES WILL OCCUR , IN WHICH MEASURE FOR EACH CLIN AND FOR WHICH ACTIVITY IDENTIFIED IN BLOCK 4.]

Contract documents to be revised as a result of ECP approval [LIST CONTRACT DOCUMENTATION TO BE REVISED AS A RESULT OF ECP APPROVAL]

Attachments to ECP (Check as appropriate) Revised Schedule of Supplies and Services6 Complete cost break-down sheets7 Revised Statement of Work and/or Annexes8 Other documents (Specify __________________________)9

Submitted by

________________________________ (Company Name and POC Contact Details)

6 Include document and check if Block 6 of the ECP is to be filled 7 Include document and check if Block 6 of the ECP is to be filled 8 Include document and check if Block 7 of the ECP is to be filled 9 Include document and check if Block 7 of the ECP is to be filled



27

________________________________ (Signature)

Purchaser Determination

________________________________ (APPROVED / REJECTED)

________________________________ (Signature)

________________________________ (Contracting Officer Name)



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ANNEX D. Payment Schedule

This Annex is separately available.

N A T O U N C L A S S I F I E D NCIA/BOA/

N A T O U N C L A S S I F I E D

BASIC ORDERING AGREEMENT

NCIA/BOA/

Between

NATO COMMUNICATIONS AND INFORMATION

ORGANISATION

Represented by

THE GENERAL MANAGER, NATO C&I AGENCY

And

--------------------------

For

--------------------------


N A T O U N C L A S S I F I E D i

TABLE OF CONTENTS

SIGNATURE PAGE

BASIC ORDERING AGREEMENT WITH NCI Agency .............................................. 1

PART I - SPECIAL PROVISIONS .............................................................................. 2 1. TERM .............................................................................................................. 2 2. DEFINITIONS .................................................................................................. 2 3. ELIGIBLE PURCHASERS ............................................................................... 3 4. ORDERING PROCEDURE ............................................................................. 4 5. DELIVERY ....................................................................................................... 4 6. PRICES ........................................................................................................... 5 7. WARRANTY .................................................................................................... 5 8. PAYMENTS ..................................................................................................... 5 9. SUPPLEMENTAL AGREEMENTS .................................................................. 6 10. MISCELLANEOUS .......................................................................................... 6

PART II - GENERAL PROVISIONS ........................................................................... 1 1. NOTICE OF SHIPMENT .................................................................................. 1 2. CONTRACTOR PERSONNEL WORKING AT PURCHASER'S FACILITIES . 1 3. PURCHASER FURNISHED PROPERTY ........................................................ 2 4. INDEMNIFICATION ......................................................................................... 3 5. TITLE AND RISK OF LOSS ............................................................................ 3 6. TRANSFER REQUIREMENTS ....................................................................... 4 7. INSPECTION, ACCEPTANCE AND REJECTION .......................................... 4 8. PREFERRED CUSTOMER ............................................................................. 7 9. PRICE FIXING ................................................................................................. 7 10. TAXES AND DUTIES ...................................................................................... 9 11. INVOICES ..................................................................................................... 10 12. CHANGES ..................................................................................................... 10 13. PURCHASER DELAY OF WORK ................................................................. 11 14. STOP WORK ORDER ................................................................................... 12 15. ORDER OF PRECEDENCE .......................................................................... 13 16. APPLICABLE LAW ........................................................................................ 13 17. DISPUTES AND ARBITRATION ................................................................... 13 18. DELAYS IN DELIVERY ................................................................................. 14 19. TERMINATION FOR DEFAULT .................................................................... 14 20. TERMINATION FOR CONVENIENCE OF THE PURCHASER ..................... 16 21. SUB-CONTRACTS ........................................................................................ 21 22. PATENT AND COPYRIGHT INDEMNIFICATION ......................................... 21 23. CLAIMS ......................................................................................................... 22 24. RELEASE OF CLAIMS .................................................................................. 23 25. EXTRAS ........................................................................................................ 23 26. LANGUAGE ................................................................................................... 23 27. SECURITY .................................................................................................... 24 28. HEALTH, SAFETY AND ACCIDENT PREVENTION .................................... 25 29. RELEASE OF INFORMATION ...................................................................... 25 30. FORCE MAJEURE ........................................................................................ 25 31. RIGHTS IN TECHNICAL DATA ..................................................................... 26 32. COMPANY’S RESPONSIBILITY ON ACCURACY OF THE COMPANY’S

DATA ............................................................................................................. 26


N A T O U N C L A S S I F I E D ii

APPENDIX 1 TO PART II - PURCHASER'S PRICING PRINCIPLES ...................... 26

EXHIBIT A - ORDERING INFORMATION ................................................................. 1

EXHIBIT B - AUTHORISATION TO USE BOA BY NATO CONTRACTORS ............. 1

EXHIBIT C - PRODUCTS AND SERVICES ............................................................... 2


N A T O U N C L A S S I F I E D 1

BASIC ORDERING AGREEMENT WITH NCI AGENCY [Company Name] ("Company") and NATO COMMUNICATIONS AND INFORMATION AGENCY represented by the General Manager NATO C&I Agency ("NCIA") agree that the Terms and Conditions contained in this Agreement ("Agreement"), shall govern the sale or licensing of Products and Engineering Services (as later defined) ordered under this Agreement. "Company" has entered into this Agreement for and on behalf of itself. The geographic scope of this Agreement shall extend to member countries of the North Atlantic Treaty: Albania, Belgium, Bulgaria, Canada, Croatia, Czech Republic, Denmark, Estonia, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Lithuania, Luxembourg, The Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Turkey, United Kingdom, United States of America. This Agreement establishes the Terms and Conditions under which Products and Engineering Services may be sold or licensed to Eligible Purchasers (as later defined), but does not obligate "Company" to sell or license or Eligible Purchasers to buy or license any Product or Engineering Service. The following Sections and Exhibits contained in the Agreement form an integral part thereof. Part I -- Special Provisions Part II -- General Provisions Appendix 1 to Part II -- Purchaser's Pricing Principles Exhibit A -- Ordering Information Exhibit B -- Authorisation to use BOA by NATO Contractors Exhibit C -- Products and Services "Company" and NCI Agency have read this Agreement, understand it, and agree to be bound by its Terms and Conditions. NCI Agency and "Company" further agree that this Agreement constitutes the entire agreement between the Parties with respect to its subject matter and supersedes all prior proposals, negotiations, and communications, oral and written between the Parties or their representatives. Deviations from this Agreement shall be binding only when mutually agreed in writing by the Authorised Representatives of NCI Agency and "Company". Orders placed referencing this Agreement are subject exclusively to its terms which may only be amended or supplemented by written agreement of "Company" and Eligible Purchasers NATO C&I AGENCY [Company] Boulevard Leopold III [Address] B-1110 Brussels [Address] Belgium ______________________________ ______________________________ (authorised signature) (authorised signature) Title: Principal Contracting Officer Title: Date: Date:



PART I - SPECIAL PROVISIONS

1. TERM

1.1 This Agreement is effective for an Initial Term of one (1) year from the Effective Date which is given on page Error! Bookmark not defined.. Thereafter, it will continue unless and until one Party gives to the other a written thirty (30) day notice of its intention to terminate.

1.2 Any expiration or termination of this Agreement will not alter the rights, duties and obligations of "Company" or Purchaser, or any discounts granted, for any Orders accepted by "Company" under this Agreement prior to the date of expiration or termination of the Agreement.

2. DEFINITIONS

2.1 "Authorised Representative of "Company"" means [xxx].

2.2 "Authorised Representative of NATO, NATO Body or NATO Member Nation" means the General Manager, Deputy General Manager or Chief of Contracts of NCI Agency and any designated representative of an Eligible Purchaser.

2.3 "Authorised Representative of NCI Agency" means the General Manager, Deputy General Manager or Chief of Contracts.

2.4 "Contractor" means any entity working on a project for any Eligible Purchaser.

2.5 "Effective Date" is the date specified on the signature page when the Initial Term of this Agreement begins.

2.6 “Eligible Purchaser” or “Purchaser” means the entity identified in 3.0 below which may benefit of the Terms and Conditions of this agreement, if they express so in any subsequent agreement between them and “Company”.

2.7 "Engineering Services" means professional services which members of the engineering/computer science profession may logically perform including studies, investigations, test, evaluations, consultations, comprehensive planning, program management, conceptual designs, plans and specifications and preparation of operating and maintenance manuals.

2.8 "Governmental Agency" means any governmental agency, including military forces, of a NATO Member Nation.

2.9 “Member Nation” means any of the 28 Member Nations of NATO.

2.10 “NATO” means the North Atlantic Treaty Organisation.



2.11 "NATO Body" means any entity created by the North Atlantic Council (or Defence Planning Committee) and to which either the Agreement on the Status of the North Atlantic Treaty Organisation, National Representatives and International Staff (20 September 1951) or the Protocol on the Status of International Military Headquarters set up pursuant to the North Atlantic Treaty (28th August 1952) applies.

2.12 "Order" means any instrument/document, e.g. Purchase Order or Task Order, used for the procuring of Products and/or Engineering Services under this Agreement.

2.12.1 “Purchase Order” means any agreement concluded between the Purchaser and “Company”.

2.12.2 “Task Order” means any instrument, in the form of a statement of work to be performed by “Company”, as concluded between the Purchaser and “Company”.

2.13 “Parties” means NCI Agency and “Company”.

2.14 “Partnership for Peace (PfP) Countries” means those countries who are signatories to the Partnership for Peace Agreement dated 10 January 1994.

2.15 "Products" means Equipment, Software and related Goods and Services, including but not limiting to Training and Documentation.

2.15.1 "Equipment" shall mean the hardware components of Products.

2.15.2 "Software" shall mean each software program provided by "Company" in machine readable, object, printed or interpreted form.

2.16 ”Standard Terms and Conditions“ are the Terms and Conditions contained in this Agreement.

2.17 “Sub-contract” means any Agreement, Contract or Order made by “Company” with any other party in order to fulfil any part of an Order.

2.18 “Sub-contractor” means any party directly or indirectly under a “sub-contract”.

3. ELIGIBLE PURCHASERS

3.1 The following entities are eligible to reference and use the terms and conditions of this Agreement, subject to the provisions specified in paragraph 4 below:

3.1.1 NCI Agency

3.1.2 NATO Bodies

3.1.3 Governmental Agencies of NATO Member Nations as per 2.8 above

3.1.4 Contractors performing work on behalf of the categories mentioned in 3.1.1, 3.1.2 and 3.1.3 above.



3.2 Partnership for Peace Countries may be eligible to the Terms and Conditions of this Agreement, subject to a case-by-case agreement between NCI Agency and “Company”.

4. ORDERING PROCEDURE

4.1 All Orders under this Agreement shall contain, as a minimum, the information detailed in Exhibit A.1, and shall be subject to acceptance by "Company".

4.1.1 Orders may be placed with "Company” for the Products and/or Engineering Services identified on Exhibit C. Orders may be placed hereunder for Products and/or Engineering Services not included herein, subject to determination of availability and price by "Company".

4.1.2 “Company” accepts that NCI Agency shall not be liable in any form for any Order issued and concluded between a Purchaser, other than by NCI Agency itself, and “Company”.

4.2 In the case of the Purchaser being a Governmental Agency or a Contractor performing work on behalf of NATO, NATO Bodies or NATO Member Nations, "Company" may request the Authorised Representative of NATO, NATO Bodies or NATO Member Nations, to verify that the Purchaser is eligible to use the Agreement.

4.3 Assignment: Authorised Representatives of NATO, NATO Bodies or NATO Member Nations may assign Orders at their discretion provided there is no further change to the terms of the Order, especially as regards payment. "Company" reserves the right to approve any assignment.

4.4 In the case of the Purchaser being a Contractor, "Company" may request the Authorised Representative of NCI Agency or Eligible Purchaser to verify that the Contractor is in fact performing work on a project or for an Eligible Purchaser of a NATO Member Nation and that the Products and/or Engineering Services are required for such purpose and the Authorised Representative of Eligible Purchaser shall provide such verification in the form of Exhibit B.

5. DELIVERY

5.1 "Company" is authorised to accelerate the Requested Products Delivery Schedule or to complete the Performance of each Order issued hereunder prior to the time set forth therein, provided, however that nothing contained herein, or in any said Order obligates the Purchaser to perform any of its obligations at an earlier date than would otherwise be the case.



6. PRICES

6.1 All Products prices shall be quoted as firm prices and all Engineering Services’ prices shall be quoted as firm rates per particular time units by labour category in accordance with Exhibit C pricing practices as disclosed and agreed to by NCI Agency or any other Eligible Purchaser.

6.2 All Product prices are quoted CIF Destination and all Product shipments and deliveries shall be effected on this basis, notwithstanding any other provision of this Agreement or order placed hereunder.

7. WARRANTY

7.1 Hardware Warranty. Unless otherwise agreed between the Purchaser and “Company”, or as otherwise specified, "Company" warrants its Equipment against defects in workmanship of materials for one (1) year from the date of either shipment or "Company"-performed installation. The Purchaser should return the Equipment in "Company" packaging and bear the cost of outbound carriage. "Company" will carry out and repair and bear the cost of return carriage to the Purchaser. The repaired unit will be shipped within a maximum of [xxx] from the receipt at the repair facility, or as otherwise specified and agreed in the Order.

7.2 Software Warranty. "Company" warrants that the licensed Software shall substantially conform to its user's manual, as it exists at the date of delivery, for ninety (90) days from the date of shipment.

8. PAYMENTS

8.1 Valid invoices (properly supported and certified) may be submitted to the Purchaser upon acceptance and payment will be made within 45 days from receipt of such invoices, unless otherwise agreed between "Company" and the Purchaser. The payment terms for Engineering Services shall be specified on each Task Order.

8.2 Payment of invoices shall be made to the address shown below:

[Company] Attn.: xxx For Electronic Funds Transfer: Account Name: Bank Name: Account Number: IBAN Code: SWIFT-BIC Code:



9. SUPPLEMENTAL AGREEMENTS 9.1 The Contractor has submitted all relevant draft supplemental agreement(s),

documents and permissions prior to contract award, the execution of which by the Purchaser is/are required by national law or regulation. If any supplemental agreements, documents and permissions are introduced after contract award, and it is determined that the Contractor failed to disclose the requirement for the execution of such agreement from the Purchaser prior to contract signature, the Purchaser may terminate this contract for Default, in accordance with Clause 19 of NCI Agency Basic Ordering Agreement, General Provisions.

9.2 Supplemental agreement(s), documents and permissions, the execution of which by the Purchaser is/are required by national law or regulation and that have been identified by the Contractor prior to the signature of this contract, but have not yet been finalised and issued by the appropriate governmental authority, are subject to review by the Purchaser. If such supplemental agreement(s), documents and permissions are contrary to cardinal conditions of the signed contract between the Parties, and the Purchaser and the appropriate governmental authority can not reach a mutual satisfactory resolution of the contradictions, the Purchaser reserves the right to terminate this contract and the Parties agree that in such case the Parties mutually release each other from claim for damages and costs of any kind, and any payments received by the Contractor from the Purchaser will be refunded to the Purchaser by the Contractor.

10. MISCELLANEOUS

10.1 Failure by either Party to enforce any provision shall not be deemed a waiver of future enforcement of that or any other provision. In the event that any portion or provision of this Agreement shall be held unenforceable or one is declared void, the remaining portions and/or provisions of this Agreement shall remain in full force and effect.

10.2 "Company" may re-assign any Order under this Agreement to a third party after prior written approval by Purchaser, which will not be unreasonably withheld. "Company" or his legal successor shall always be responsible for his obligations under this Agreement and for actions of his assigned representatives.

10.3 "Company" may sub-contract its responsibilities in relation to this Agreement with the understanding that "Company" shall remain responsible for all obligations under this Agreement.

10.4 Purchaser shall have the right to take possession of and to use any partial delivery of an Order for Products and such possession or use shall not of itself constitute acceptance of the Products.

10.5 All formal communications as required and specified in the clauses of Part II of this Agreement shall be given by receipted personal delivery or by recorded delivery or registered post, with postage prepaid. The addresses



and nominated personnel of the Parties (until change of notice shall be given) shall be as follows:

Company: [Company]

Name:

Title: Department: Address: Tel: Fax: e-mail:

NCI Agency:

[Name] [Position] NATO C&I Agency Batiment Z Boulevard Leopold III B-1110 Brussels Belgium Tel: Fax: E-Mail:



PART II - GENERAL PROVISIONS

1. NOTICE OF SHIPMENT

1.1 "Company" shall, as appropriate and prior to the delivery of any shipment, give notice of shipment to the Purchaser and to such other persons as may reasonably be designated by the Purchaser. Unless otherwise specified by the Purchaser, delivery will be made to the address specified in the country of purchase on Purchaser's Order. The scheduled delivery date shall be that date acknowledged by "Company". "Company" shall consider any date requested by the Purchaser.

1.2 The Notice of Shipment shall contain, as appropriate, the request for Customs Form 302, or equivalent document, which shall enable any carrier to effect duty free import/export clearance through customs for the Purchaser on behalf of NATO. The Form 302 is an official Customs Clearance Declaration issued in advance of shipment to provide certified information as to the import/export, or transit of NATO Member Nations.

1.3 The Notice of Shipment and request for Form 302 shall contain the following information, as appropriate:

1.3.1 Purchaser's Order Number;

1.3.2 Order Item Number, Designation and Quantities;

1.3.3 Destination;

1.3.4 Number and Description of Packages (gross and net weight);

1.3.5 Consignor's Name and Address;

1.3.6 Consignee's Name and Address;

1.3.7 Method of Shipment (i.e. road, rail, sea, air, etc.);

1.3.8 Name and Address of Freight Forwarder.

1.4 Forwarding Agents, Carriers or other responsible organisations shall be informed by "Company" of the availability of FORM 302 and how the form should be utilised to avoid the payment of custom duties.

2. CONTRACTOR PERSONNEL WORKING AT PURCHASER'S FACILITIES

2.1 The term "Purchaser Facilities" as used in this clause shall be deemed to include sites, property, utilities, ships or vessels owned or controlled by NATO, NATO Bodies or NATO Member Nations or NATO Contractor and the term "Facility Representative" shall be deemed to refer to the authority designated by the Representative responsible for such site, property, utility, ship or vessel.



2.2 The Facility Representative shall provide such available administrative and technical facilities for "Company"'s personnel working at the Purchaser's Facilities for the purpose of the Agreement as in the opinion of the Facility Representative may be necessary for the effective and economical discharge of work under this Agreement. These facilities may be provided at no cost at the discretion of the Facility Representative. "Company" shall be responsible for ascertaining what necessary facilities may be provided and whether they will be provided free of charge, or determining what charges are payable.

2.3 "Company" shall, except as otherwise provided for in the Agreement, make good or, at the option of the Purchaser, pay compensation for all damage occurring to any Purchaser's Facilities occasioned by "Company" or by his servants, agents or subcontractors, arising from his or their presence on Purchaser Facilities in connection with the Agreement; provided that this Condition shall not apply to the extent that "Company" is able to show that any such damage was not caused by "Company"'s neglect or default, or the neglect or default of "Company"'s servants, agents or subcontractors.

2.4 All property of "Company" while at a Purchaser Facility shall be at risk of "Company" and the Purchaser shall accept no liability for any loss or damage, except to the extent that any loss or damage is the result of a wilful act or gross negligence on the part of the Purchaser's employees or agents.

3. PURCHASER FURNISHED PROPERTY

3.1 The term "Purchaser Furnished Property" as used in this clause refers to items of equipment, material or property furnished by the Purchaser to "Company" which shall be subject to overhaul, repair, modification, test, embodiment or other work as specified in any Order under this Agreement to be performed by "Company".

3.2 The Purchaser shall deliver to "Company", for use only in connection with any Order under this Agreement, the property described in the schedule or specifications (hereinafter referred to as "Purchaser Furnished Property"), at the times and locations stated therein. In the event that Purchaser Furnished Property is not delivered by such time or times stated in the Schedule, or if not so stated, in sufficient time to enable "Company" to meet such delivery or performance dates the Purchaser shall, upon timely written request made by "Company", and if the facts warrant such action, equitably adjust any affected provision of the Order pursuant to the procedures of the "Changes" clause hereof.

3.3 In the event that Purchaser Furnished Property is received by "Company" in a condition not suitable for its intended use, "Company" shall immediately notify the Purchaser. The Purchaser shall within a reasonable time of receipt of such notice replace, re-issue, authorise repair or otherwise issue instructions for the disposal of Purchaser Furnished Property agreed to be unsuitable. The Purchaser shall, upon timely written request by "Company", equitably adjust any affected provision of the Order pursuant to the procedures of the "Changes" clause hereof.



3.4 Title to Purchaser Furnished Property shall remain in the Purchaser. "Company" shall maintain adequate property control records of Purchaser Furnished Property in accordance with sound industrial practice.

3.5 Unless otherwise provided in the Order, "Company", upon delivery to him of any Purchaser Furnished Property, assumes the risk of, and shall be responsible for, any loss thereof or damage thereof except for reasonable wear and tear, and except to the extent that such property is consumed in the performance of the Order.

3.6 Upon completion of the Order, or at such earlier dates as may be specified by the Purchaser, "Company" shall submit, in a form acceptable to the Purchaser, inventory schedules covering all items of Purchaser Furnished Property not consumed in the performance of the Order or not theretofore returned to the Purchaser. "Company" shall prepare for shipment, deliver FOB origin, or otherwise dispose of Purchaser Furnished Property as may be directed or authorised by the Purchaser. The net proceeds of any such disposal shall be credited to the contract price or paid in such other manner as the Purchaser may direct.

3.7 "Company" shall not modify any Purchaser Furnished Property unless specifically authorised by the Purchaser or directed by the terms of the Order.

4. INDEMNIFICATION

4.1 "Company" shall indemnify and hold the Purchaser harmless against claims for injury to "Company" employees, agents, or subcontractors, or damages to property of "Company" or others arising from "Company"'s possession or use of Purchaser Furnished Property or Facilities in the performance of work as specified in an Order; except to the extent that "Company" is able to show any such injury or damage was caused by Purchaser's wilful act or negligence.

5. TITLE AND RISK OF LOSS

5.1 Unless the Order specifically provides for earlier passage of title, title to supplies covered by the Order shall pass to the Purchaser upon acceptance as specified in the Order, regardless of when or where the Purchaser takes physical possession.

5.2 Unless the Order specifically provides otherwise, risk of loss or damage to supplies covered by this Agreement and any Order shall remain with "Company" until, and shall pass to the Purchaser upon:

5.2.1 delivery of supplies as specified in accordance with the Agreement; or

5.2.2 acceptance by the Purchaser or receipt of supplies by the Purchaser at the destination specified in the Order, whichever is the later.

5.3 Notwithstanding 5.2 above, the risk of loss or damage to supplies which fail to conform to the requirements of the Order shall remain with "Company" until cure or acceptance, at which time 5.2 above shall apply.



5.4 Notwithstanding 5.2 above "Company" shall not be liable for the loss of or damage to supplies caused by the negligence of officers, agents or employees of the Purchaser acting within the scope of their employment under the terms and conditions of this Agreement.

6. TRANSFER REQUIREMENTS

6.1 "Company" shall not give, bargain, sell, assign, sub-let or otherwise dispose of any order under this Agreement or any part thereof or the benefit or advantage of the Order or any part thereof without the previous consent in writing of the Purchaser.

7. INSPECTION, ACCEPTANCE AND REJECTION

7.1 Unless otherwise specifically provided for in the Order, all equipment, materials and supplies incorporated in the work covered by this Agreement are to be new and of the most suitable grade of their respective kinds for the purpose, notwithstanding the requirements for testing, inspection and performance as required under this Agreement. All workmanship shall be as required under the Order or, if not specified, best commercial (National and International) standard.

7.2 All supplies (which term throughout this clause includes without limitation raw materials, components, intermediate assemblies, end products, data including software and firmware) and services may be subject to inspection and test by the Purchaser, or his authorised representative to the extent practicable at all times and places prior to acceptance, including the period of manufacture, or after delivery, or as otherwise specified in the Order. For the purposes of inspection and testing the Purchaser may delegate as his representative the authorised National Quality Assurance Representative (NQAR) in accordance with STANAG 4107.

7.3 No representative or NQAR appointed by the Purchaser for the purpose of determining the Contractor’s compliance with the technical requirements of the Order shall have the authority to change any of the specifications. Such changes may only be made by the Contracting Authority in writing in accordance with the clause of this Agreement entitled “Changes”.

7.4 The presence or absence of an NQAR or other Purchaser representative shall not relieve "Company" from any of the requirements of this Agreement.

7.5 In the event that any supplies, or lots thereof, or services are defective in design, material, workmanship or manufacturing quality, or as a result of undue wear and tear or otherwise not in conformity with the requirements of the order, including any characteristic or condition which is or becomes at variance to the performance specifications and to the intended function of the supplies, the Purchaser shall have the right either to reject them (with or without instructions as to their disposition) or to require their correction or replacement. Supplies, or lots thereof or services which have been rejected or required to be corrected or replaced shall, at the expense of "Company", be removed, or, if permitted or required by the Contracting Authority, corrected in place by "Company" promptly after notice, and shall not



thereafter be tendered for acceptance by "Company" unless the former rejection or requirement of correction or replacement is disclosed. If "Company" fails promptly to remove, replace or correct such supplies or lots thereof, or services, the Purchaser either:

7.5.1 may by Order or otherwise return, replace or correct such supplies or services and charge "Company" the cost incurred by the Purchaser, or

7.5.2 may terminate this Agreement for default as provided in the clause of this Agreement entitled “Termination for Default”.

7.6 Unless "Company" corrects or replaces such supplies or services within the delivery schedule, the Purchaser may require the delivery of such supplies or services at a reduction in price which is equitable under the circumstances. Failure to agree to such reduction of price shall be a dispute within the meaning of the clause of this Agreement entitled “Disputes”.

7.7 If any inspection or test is made by the Purchaser's representatives on the premises of "Company" or sub-contractor, "Company", without additional charge, shall provide all reasonable facilities and assistance for the safety and convenience of the Purchaser’s representatives in the performance of their duties. The NQAR or other Purchaser representatives shall have the right of access to any area of "Company"'s or his sub-contractor’s premises where any part of the contractual work is being performed. If Purchaser inspection or test is made at a point other than the premises of "Company" or sub-contractor, it shall be at the expense of the Purchaser except as otherwise provided in this Agreement; provided that in case of rejection the Purchaser shall not be liable for any reduction in value of samples used in connection with such inspection or test. All inspections and tests by the Purchaser shall be performed in such a manner as not to unduly delay the work. The Purchaser reserves the right to charge to "Company" any additional cost of Purchaser inspection and test when supplies or services are not ready at the time such inspection and test is requested by "Company" or when re-inspection or retest is necessitated by prior rejection. Acceptance or rejection of the supplies or services shall be made as promptly as practicable after delivery, except as otherwise provided in the Order, but failure to inspect and accept or reject supplies or services shall neither relieve "Company" from responsibility for such supplies or services as are not in accordance with the Order requirements nor impose liability on the Purchaser thereof.

7.8 The inspection and test by the Purchaser of any supplies or lots thereof, or services does not relieve "Company" from any responsibility regarding defects or other failures to meet the contract requirements which may be discovered prior to acceptance. Except as otherwise provided in the Order, acceptance shall be conclusive except as regards latent defects, fraud, or such gross mistakes as amount to fraud.



7.9 Acceptance of supplies or services shall take place when the Purchaser confirms acceptance of the supplies or services in accordance with the procedure specified in the Order, or if none is so specified then the Purchaser shall be deemed to have accepted the supplies or services without prejudice to any other remedies, when and as soon as any of the following events have occurred:

7.9.1 The Purchaser has taken the supplies or services into use;

7.9.2 The Purchaser has not exercised its right of rejection of the supplies or services within any period specified for that purpose in the Order;

7.9.3 There being no period of exercising the right of rejection specified in the Order, a reasonable time, all the circumstances having been taken into account, has elapsed since delivery of the supplies or services was effected in accordance with the Order.

7.10 Unless otherwise specified in this Agreement, "Company" shall have or establish, implement and maintain an effective and economical quality control system, planned and developed in conjunction with other contractor functions necessary to satisfy the contract requirement. The system shall be acceptable to the Purchaser and its authorised representatives. The system shall provide for the early and prompt detection of deficiencies, trends and conditions which could result in unsatisfactory quality, and for timely and effective corrective action. Objective evidence that the system is effective shall be readily available to the Purchaser and its authorised representatives. Records of all inspection and testing work by "Company" shall be kept complete and available to the Purchaser’s representatives during the performance of any Order under this Agreement and for such longer periods as may be specified elsewhere in the Order.

7.11 Product acceptance shall be accomplished by using test procedures and/or programs established by "Company" which are applicable to the Products, unless otherwise agreed in writing by the Purchaser and "Company". Such acceptance shall be at the time of completion of final tests at "Company"'s facilities, except as otherwise specified below. If Purchaser has conveyed in writing its intention to witness final tests in the Order, "Company" will give Purchaser prior notice of the date of such tests. Purchaser shall be responsible for any charges that may be associated with witnessing said tests. If installation by "Company" is included in the purchase price, acceptance will be at any installation site specified by the Purchaser, when "Company" demonstrates that the applicable diagnostic and/or verification programs work properly. If "Company"'s demonstration of the programs at the installation site is delayed for more than fifteen (15) calendar days, except due to the fault of "Company", the Products will be deemed accepted.



8. PREFERRED CUSTOMER

8.1 "Company" warrants that the prices set forth in this Agreement, and appendices thereto, are as favourable as those extended to any Government, Agency, Company, Organisation or individual purchasing or handling like quantities of equipment and/or parts covered by the Agreement under similar conditions. In the event that prior to complete delivery under this Agreement "Company" offers any of such items in substantially similar quantities under similar conditions to any customer at prices lower than those set forth herein, "Company" shall so notify the Purchaser and the prices of such items shall be correspondingly reduced by a supplement to this Agreement. Price in this sense means "Base Price" prior to applying any bonus, export tax reduction, turn-over tax exemptions and other reductions based on National Policies.

9. PRICE FIXING

9.1 Offers for sole source procurement, changes, modifications, and claims in excess of $500,000 shall be priced in accordance with this provision and the Purchaser's Pricing Principles as set out in Appendix 1 to this provision, or the National Government Pricing Rules and Regulations for "Company"'s own country where in force.

9.2 This provision shall also apply to follow-on contracts of any nature including maintenance and supply of spare parts which exceed $500,000. Should such contracts be placed by NATO, NATO Bodies or Governmental Agencies of NATO Member Nations, such organisations shall be entitled to all rights, powers and privileges that the Purchaser has under this Agreement.

9.3 To the extent the product proposed is a Commercial Off The Shelf (COTS) or COTS derivative item which has been sold to the general public or which is being developed for sale to the general public, including services normally provided for maintenance and installation, and consistent with, for example, the Rules of the Federal Acquisition Regulation (FAR), said items will be defined as "COMMERCIAL" and shall not be subject to paragraphs 9.4 or 9.5.

9.3.1 For the purposes of verifying that cost or pricing data submitted in conjunction with paragraphs 9.1 and 9.2 above are accurate, complete and current, the Purchaser shall, until the expiration of three (3) years from the date of final payment of all sums due under the Agreement, have the right of access to "Company"'s facilities to examine those books, records, documents and other supporting data which will permit adequate evaluation and verification of the cost or pricing data submitted along with the computations and projections used therein which were available to "Company" as of the date of "Company"'s price proposal.

9.4 "Company", when the price exceeds $500,000, and subject to paragraph 9.3 above, shall require its Subcontractors to provide to the Purchaser, either directly or indirectly:

9.4.1 cost or pricing data or substantiation of commercial product status;



9.4.2 access to Subcontractor's facilities and records by the National Audit Agency for the purpose of verification of such cost or pricing data; and

9.4.3 a Certificate of Current Cost or Pricing Data when required.

9.5 Price Reduction for Defective Cost or Pricing Data.

9.5.1 If any price, including profit or fee, negotiated in connection with this Agreement or any cost reimbursable under this Agreement was increased by any significant sums because:

9.5.1.1 "Company" furnished cost or pricing data which was not complete, accurate and current as certified in "Company"'s Certificate of Current Cost or Pricing Data provided in accordance with paragraph 9.6 below.

9.5.1.2 A Subcontractor, pursuant to paragraph 9.4 above or any subcontract clause therein required, furnished cost or pricing data which was not complete, accurate and current as certified in the Subcontractor's Certificate of Current Cost or Pricing Data.

9.5.1.3 A Subcontractor or prospective Subcontractor furnished cost or pricing data which was required to be complete, accurate and current and to be submitted to support a Subcontract cost estimate furnished by "Company" but which was not complete, accurate and current as of the date certified in "Company"'s Certificate of Current Cost or Pricing Data; or

9.5.1.4 "Company" or a Sub-contractor or prospective Subcontractor furnished any data, not within paragraphs 9.5.1.1, 9.5.1.2 or 9.5.1.3 above, which was not accurate as submitted

9.5.2 Then the price or cost shall be reduced accordingly and the Order shall be modified in writing as may be necessary to reflect such reductions.

9.6 Certificate of Current Cost or Pricing Data.

9.6.1 At the time of negotiating any price, including profit or fee, "Company" shall be required to submit a Certificate of Current Cost or Pricing Data as required by paragraph 9.4.3.

9.6.2 Such Certificate will certify that, to the best of "Company"'s knowledge and belief, cost or pricing data submitted to the Purchaser in support of any proposal for a price, price adjustment or claim, are accurate, complete and current, as per the completion of the negotiations or, in the case of a claim, as per the submission date of the claim.

9.6.3 All such certificates shall be in the format shown below and shall be dated and signed by a responsible officer of the company.



CERTIFICATE OF CURRENT COST OR PRICING DATA

This is to certify that, to the best of my knowledge and belief, cost or pricing data as submitted, either actually or by specific identification in writing to the Purchaser or his representative in support of _________________________ are accurate, complete and current as of _______________________. day month year

Firm: Name:

Title:

________________________

Date of Execution 9.7 "Company" shall insert the substance of this Clause in each Subcontract

where applicable.

10. TAXES AND DUTIES

10.1 NATO, NATO Bodies and certain other Eligible Purchasers are exempt from all taxes and all customs duties on Products and Services imported or exported hereunder. "Company" therefore, certifies that the prices stipulated under this Agreement do not include amounts to cover such taxes or customs duties. "Company" shall be responsible for determining whether such exemptions apply for other Eligible Purchasers, as defined under paragraphs 3.1.3, 3.1.4 and 3.2 of Part I, Special Provisions above.

10.2 In cases where taxes and duties are levied, "Company" should seek reimbursement directly from the authorities concerned in compliance with the applicable procedures. The Purchaser shall provide reasonable assistance in claiming reimbursement.

10.3 In the event that reimbursement is not made by the authorities concerned, and providing that "Company" has complied with applicable procedures, Purchaser shall reimburse the full amount of the payments upon receipt of "Company"'s invoice indicating such tax or duty as a separate item or cost and fully identified by reference to any governmental law, regulation and/or instruction pursuant to which such tax or duty is enforced.

10.4 Following payment by the Purchaser of the taxes and/or duties pursuant to paragraph 10.3 above, should "Company" receive a rebate of any amount paid by Purchaser, "Company" shall immediately notify Purchaser, and the amount of such rebate shall be credited or reimbursed to the Purchaser, as directed. "Company" shall be responsible for taking any and all action that could reasonably be required in order to obtain such rebate.



11. INVOICES

11.1 Invoices shall be prepared and submitted by "Company" in a manner as agreed with Purchaser and shall contain: BOA number, Order number (if any), description of Products, sizes, quantities, unit prices, and extended totals (exclusive of taxes and duties for which relief is available). Details of Bills of Lading or Freight Warrant numbers and weight of shipment shall be identified on each invoice as appropriate.

11.2 In addition, where applicable and on request by Purchaser, documentary evidence of acceptance (as defined in the Agreement) shall be submitted together with each invoice.

11.3 All invoices shall be addressed to the designated authority specified by Purchaser.

12. CHANGES

12.1 The Purchaser may at any time, by written order designated or indicated to be a change order, and without notice to the sureties, if any, make changes within the scope of any Order, in any one or more of the following:

12.1.1 Specifications (including drawings and designs) except to Commercial Products;

12.1.2 Method and manner of performance of the work;

12.1.3 Marking, method of shipment and packing;

12.1.4 Time and place of delivery; and

12.1.5 Purchaser Furnished Property and Facilities (including Equipment, materials, services or sites).

12.2 Any other written or oral order (which, as used in this paragraph 12.2, includes direction, instruction, interpretation, or determination) from the Purchaser that causes a change shall be treated as a change order under this clause, provided, that "Company" gives the Purchaser written notice within thirty (30) days after receipt of such change order stating:

12.2.1 the date, circumstances, and source of the order and

12.2.2 that "Company" regards the order as a change order, and that the order is accepted in writing by the Purchaser as a change order. The timely written notice requirement, as detailed above, remains in force in all cases, even where, for example, the Purchaser has positive knowledge of the relevant facts.

12.3 Except as provided in this clause, no order, statement, or conduct of the Purchaser shall be treated as a change order under this clause or entitle "Company" to an equitable adjustment.



12.4 If any such change order causes an increase or decrease in "Company"'s cost of, or the time required for the performance of any part of the work under the Order, whether or not changed by any such order, the Purchaser shall make an equitable adjustment and modify the Order in writing accordingly. However, except for a "proposal for adjustment" (hereafter referred to as "proposal") based on defective specifications, no proposal for any change under paragraph 12.2 above shall be allowed for any costs incurred more than thirty (30) days before "Company" gives written notice as required. In the case of defective specifications for which the Purchaser is responsible, the equitable adjustment shall include any increased cost reasonably incurred by "Company" in attempting to comply with the defective specifications. Where the cost of property made obsolete or excess as a result of a change is included in the "Company"'s claim for adjustment, the Purchaser shall have the right to prescribe the manner of disposition of such property. Failure to agree to any adjustment shall be a dispute within the meaning of the clause of this Agreement entitled "Disputes." However, nothing in this clause shall excuse "Company" from proceeding with the Order as changed.

12.5 "Company" must submit any proposal under this clause within thirty (30) days after

12.5.1 receipt of a written change order under paragraph 12.1 above or

12.5.2 the furnishing of a written notice under paragraph 12.2, by submitting to the Purchaser a written statement describing the general nature and amount of the proposal, unless this period is extended by the Purchaser. The statement of proposal for adjustment may be included in the notice under paragraph 12.2 above.

12.6 No proposal by "Company" for an equitable adjustment shall be allowed if asserted after final payment and acceptance under the Order.

13. PURCHASER DELAY OF WORK

13.1 If the performance of all or any part of the work is delayed or interrupted by an act of the Purchaser in the administration of the Order, which act is not expressly or implicitly authorised by the Order, or by his failure to act within the time specified in the Order (or within a reasonable time if not time is specified), an adjustment shall be made for any increase in the cost of performance of the Order caused by such a delay or interruption and the Order modified in writing accordingly. Adjustments shall be made also in the delivery or performance dates and any other contractual provision affected by such delay or interruption. However, no adjustment shall be made under this clause for any delay or interruption:

13.1.1 to the extent that performance would have been delayed or interrupted by any other clause, including the fault or negligence of "Company"; or

13.1.2 for which an adjustment is provided under any other provision of this Agreement.

13.2 No claim under this clause shall be allowed:



13.2.1 for any costs incurred more than twenty (20) days before "Company" shall have notified the Purchaser in writing of the act or failure to act involved; and

13.2.2 unless the claim, in an amount stated, is asserted in writing as soon as practicable after the termination of such delay or interruption, but not later than the date of final payment under the Order.

14. STOP WORK ORDER

14.1 The Purchaser may, at any time, by written order to "Company", require "Company" to stop all, or any part, of the work called for by the Order for a period of ninety (90) days after the order is delivered to "Company", and for any further period to which the Parties may agree. Any such order shall be specifically identified as a Stop Work Order issued pursuant to this clause. Upon receipt of such an order, "Company" shall forthwith comply with its terms and take all reasonable steps to minimise costs incurred allocable to the work covered by the order during the period of work stoppage. Within a period of ninety (90) days after a stop work order is delivered to "Company", or within any extension of that period to which the Parties shall have agreed, the Purchaser shall either:

14.1.1 cancel the stop work order, or

14.1.2 terminate the work covered by such order in accordance with paragraph 20, TERMINATION FOR CONVENIENCE OF THE PURCHASER.

14.2 If a stop work order issued under this clause is cancelled or the period of the order or any extension thereof expires, "Company" shall resume work. An equitable adjustment shall be made in the delivery schedule or Contract price, or both, and the Order shall be modified in writing accordingly, if:

14.2.1 the stop work order results in an increase in the time required for, or in "Company"'s cost properly allocable to, the performance of any part of the Order, and

14.2.2 "Company" asserts a claim for such adjustment within thirty (30) days after the end of the period of work stoppage; provided that, if the Purchaser decides the facts justify such action, he may receive and act upon any such claim asserted at any time prior to final payment under any Order.

14.3 If a stop order is not cancelled and the work covered by such order is terminated for the convenience of the Purchaser, the reasonable costs resulting from the stop work order shall be allowed in arriving at the termination settlement.



15. ORDER OF PRECEDENCE

15.1 In the case of any inconsistencies herein, the order of precedence of the contractual documents is as follows:

15.1.1 the Special Provisions

15.1.2 the General Provisions

15.1.3 Exhibits and Appendices,

15.2 Except where inconsistency between the terms of this Agreement and those contained in any Order have been expressly agreed between the Purchaser and “Company", the terms of this Agreement shall take precedence.

16. APPLICABLE LAW

16.1 This Agreement and each subsequent Order under this Agreement between NCI Agency and "Company" shall be governed by and construed in accordance with the private contract law of the Kingdom of Belgium. Orders signed between “Company” and any other Purchaser under this Agreement shall be governed by the laws applicable to the country of the Purchaser, unless otherwise agreed between the Purchaser and “Company”.

17. DISPUTES AND ARBITRATION

17.1 In the event of a dispute under this Agreement or any Order issued hereunder, the Parties shall attempt to settle their difference in an amicable manner. However, in the event that a settlement cannot be made under this Agreement within a reasonable period of time, the Parties agree to institute arbitration proceedings in the manner provided in the following Arbitration provision and such disputes shall finally be settled thereby, unless otherwise agreed between the Purchaser and "Company".

17.1.1 "Company" agrees to submit to the Arbitration Tribunal only such issues, facts, evidence and proof which "Company" had beforehand identified and submitted to the Purchaser for decision. The jurisdictional authority of the Arbitration Tribunal shall be restricted to consider only those identical issues, facts, evidence and proof so identified and submitted to the Purchaser.

17.1.2 The party instituting the arbitration proceedings shall advise the other party by registered letter, with official notice of delivery, of his desire to have recourse to arbitration. Within a period of thirty days from the date of receipt of this letter, the parties shall jointly appoint an arbitrator. In the event of failure to appoint an arbitrator the dispute or disputes shall be submitted to an Arbitration Tribunal consisting of three arbitrators, one being appointed by the Purchaser, another by "Company" and the third, who shall act as President of the Tribunal, by these two arbitrators. Should one of the parties fail to appoint an arbitrator during the fifteen days following the expiration of the first period of thirty days, or should the two arbitrators be unable to agree on the choice of the third member of the Arbitration Tribunal within thirty days following the expiration of the said first period, the appointment shall be



made, within twenty-one days, at the request of the party instituting the proceedings, by the Secretary General of the Permanent Court of Arbitration at The Hague.

17.1.3 Regardless of the procedure concerning the appointment of this Arbitration Tribunal, the third arbitrator will have to be of a nationality different from the nationality of the other two members of the Tribunal.

17.1.4 Any arbitrator must be of the nationality of any one of the NATO Member Nations and shall be bound by the rules of security in force within NATO.

17.1.5 Any person appearing before the Arbitration Tribunal in the capacity of an expert witness shall, if he is of the nationality of one of the NATO Member Nations, be bound by the rules of security in force within NATO; if he is of another nationality, no NATO classified documents or information shall be communicated to him.

17.1.6 An arbitrator who, for any reason whatsoever, ceases to act as an arbitrator, shall be replaced under the procedure laid down in paragraph 17.1.2 above.

17.1.7 The Arbitration Tribunal will take its decisions by a majority vote. It shall decide where it will meet and, unless it decides otherwise, shall follow the arbitration procedures of the International Chamber of Commerce in force at the date of signature of the present Agreement.

17.1.8 The awards of the arbitrator or of the Arbitration Tribunal shall be final and there shall be no right of appeal or recourse of any kind. These awards shall determine the apportionment of the arbitration expenses.

17.2 The place of arbitration shall be Brussels, Belgium, in the case of dispute under this Agreement or under any subsequent Order between “Company” and NCI Agency, and shall be the country of the Purchaser in the case of a dispute between “Company” and any other Purchaser, unless otherwise agreed between the Purchaser and “Company”.

18. DELAYS IN DELIVERY

18.1 "Company" agrees to notify Purchaser in the event that it anticipates difficulty in meeting delivery schedule. Receipt of such notice shall not be deemed to be a waiver by Purchaser of rights or remedies which it may have for failure to meet an agreed delivery date. Notwithstanding the above “Company” shall be deemed to be in delay without notice from the Purchaser and only by simple expiry of the due delivery date.

19. TERMINATION FOR DEFAULT

19.1 The Purchaser may, subject to the provisions of paragraph 19.3 below, by written notice of default to "Company", terminate the whole or any part of an Order in any one of the following circumstances:

19.1.1 if "Company" fails to make delivery of the supplies or to perform the services within the time specified herein or any extension thereof; or



19.1.2 if "Company" fails to perform any of the other provisions of this Agreement, or so fails to make progress as to endanger performance of an Order in accordance with its terms, and in either of these two circumstances does not cure such failure within a period of ten days (or such longer period as the Purchaser may authorise in writing) after receipt of notice in writing from the Purchaser specifying such failure.

19.2 In the event the Purchaser terminates an Order in whole or in part, as provided in paragraph 19.1 of this clause, the Purchaser may procure, upon such terms and in such manner as the Purchaser may deem appropriate, supplies or services similar to those so terminated, and "Company" shall be liable to the Purchaser for any excess costs for such similar supplies or services. However, "Company" shall continue the performance of an Order to the extent not terminated under the provisions of this clause.

19.3 Except with respect to defaults of sub-contractors, "Company" shall not be liable for any excess costs if the failure to perform the Order arises out of causes beyond the control and without the fault or negligence of "Company". Such causes may include, but are not restricted to, acts of God, or of the public enemy, acts of the Purchaser in its contractual capacity, fires, floods, epidemics, quarantine restrictions, strikes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without the fault or negligence of "Company". If the failure to perform is caused by the default of a sub-contractor, and if such default arises out of causes beyond the control of both "Company" and sub-contractor, without the fault or negligence of either of them, "Company" shall not be liable for any excess costs for failure to perform unless the supplies or services to be furnished by the sub-contractor were obtainable from other sources in sufficient time to permit "Company" to meet the required delivery schedule.

19.4 If an Order is terminated as provided in paragraph 19.1 of this clause, the Purchaser, in addition to any other rights provided in this clause, may require "Company" to transfer title and deliver to the Purchaser, in the manner and to the extent directed by the Purchaser:

19.4.1 any completed supplies, and

19.4.2 such partially completed supplies and materials, parts, tools, dies, jigs, fixtures, plans, drawings, information, and contract rights (hereinafter called "manufacturing materials") as "Company" has specifically produced or specifically acquired for the performance of such part of an Order as has been terminated;

and "Company" shall, upon direction of the Purchaser, protect and preserve property in the possession of "Company" in which the Purchaser has an interest. Payment for completed supplies delivered to and accepted by the Purchaser shall be at the contract price. Payment for manufacturing materials delivered to and accepted by the Purchaser and for the protection and preservation of property shall be in an amount agreed upon by "Company" and Purchaser. Failure to agree to such amount shall be a dispute within the meaning of the clause of this agreement entitled "Disputes



and Arbitration". The Purchaser may withhold from amounts otherwise due to "Company" for such completed supplies or manufacturing materials such sum as the Purchaser determines to be necessary to protect the Purchaser against loss because of outstanding liens or claims of former lien holders.

19.5 If, after notice of termination of an Order under the provisions of this clause, it is determined for any reason that "Company" was not in default under the provisions of this clause, or that the default was excusable under the provisions of this clause, the rights and obligations of the Parties, shall be the same as if the notice of termination had been issued pursuant to a clause providing for termination of convenience of the Purchaser. If after such notice of termination of an Order under the provisions of this clause, it is determined for any reason that "Company" was not in default under the provisions of this clause and if the Order does not contain a clause providing for termination for convenience of the Purchaser the Order shall be equitably adjusted to compensate for such termination and the Order modified accordingly. Failure to agree to any such adjustment shall be a dispute within the meaning of the clause of this Agreement entitled "Disputes".

19.6 The rights and remedies of the Purchaser provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or under this Agreement or any Order issued under the present BOA.

20. TERMINATION FOR CONVENIENCE OF THE PURCHASER

20.1 The performance of work under an Order may be terminated by the Purchaser in accordance with this clause in whole, or from time to time in part, whenever the Purchaser shall determine that such termination is in the best interest of the Purchaser. Any such termination shall be effected by delivery to "Company" of a Notice of Termination specifying the extent to which performance of work under an Order is terminated, and the date upon which such termination becomes effective.

20.2 After receipt of a Notice of Termination and except as otherwise directed by the Purchaser, "Company" shall:

(i) stop work under the Order on the date and to the extent specified in the Notice of Termination;

(ii) place no further orders or sub-contracts for materials, services or facilities, except as may be necessary for completion of such portion of the work under the Order as is not terminated;

(iii) terminate all orders and sub-contracts to the extent that they relate to the performance of work terminated by the Notice of Termination;

(iv) assign to the Purchaser, in the manner, at the times and to the extent directed by the Purchaser, all of the right, title and interest of "Company" under the orders and sub-contracts so terminated, in which case the Purchaser shall have the right, in its discretion, to settle or pay any or all claims arising out of the termination of such orders and sub-contracts;



(v) settle all outstanding liabilities and all claims arising out of such termination of orders and sub-contracts, with the approval or ratification of the Purchaser to the extent he may require, which approval or ratification shall be final for all the purposes of this clause;

(vi) transfer title and deliver to the Purchaser in the manner at the times, and to the extent, if any, directed by the Purchaser:

a. the fabricated or unfabricated parts, work in process, completed work, supplies, and other material produced as a part of, or acquired in connection with the performance of the work terminated by the Notice of Termination, and

b. the completed or partially completed plans, drawings, information, and other property which, if the Order had been completed, would have been required to be furnished to the Purchaser;

(vii) use his best efforts to sell, in the manner, at the times, to the extent, and at the price or prices directed or authorised by the Purchaser, any property of the types referred to in (vi) above. However, "Company":

a. shall not be required to extend credit to any Buyer; and,

b. may acquire any such property under the conditions prescribed by and at a price or prices approved by the Purchaser; and provided further that the proceeds of any such transfer or disposition shall be applied in reduction of any payments to be made by the Purchaser to "Company" under an Order or shall otherwise be credited to the price or cost of the work covered by an Order or paid in such manner as the Purchaser may direct;

(viii) complete performance of such part of the work as shall not have been terminated by the Notice of Termination; and

(ix) take such action as may be necessary, or as the Purchaser may direct, for the protection and preservation of the property related to an Order which is in the possession of "Company" and in which the Purchaser has or may acquire an interest.

20.3 "Company" may submit to the Purchaser a list, certified as to quantity and quality, of any or all items of termination inventory not previously disposed of, exclusive of items the disposition of which has been directed or authorised by the Purchaser, and may request the Purchaser to remove such items or enter into a storage agreement covering the same; provided that the list submitted shall be subject to verification by the Purchaser upon removal of the items, or if the items are stored, within forty-five (45) days from the date of submission of the list, and any necessary adjustment to correct the list as submitted shall be made prior to final settlement.



20.4 After receipt of a Notice of Termination, "Company" shall submit to the Purchaser his termination claim, in the form and with certification prescribed by the Purchaser. Such claim shall be submitted promptly but in no event later than six months from the effective date of termination, unless one or more extensions in writing are granted by the Purchaser, upon request of "Company" made in writing within such six-month period or authorised extension thereof. However, if the Purchaser determines that the facts justify such action, he may receive and act upon any such termination claim at any time after such six-month period or any extension thereof. Upon failure of "Company" to submit his termination claim within the time allowed, the Purchaser may determine on the basis of information available to him, the amount, if any, due to "Company" by reason of the termination and shall thereupon pay to "Company" the amount so determined.

20.5 Subject to the provisions of paragraph 20.2 "Company" and the Purchaser may agree upon the whole or any part of the amount or amounts to be paid to "Company" by reason of the total or partial termination of work pursuant to this clause, which amount or amounts may include a reasonable allowance for profit on work done; provided that such agreed amount or amounts exclusive of settlement costs shall not exceed total contract price as reduced by the amount of payments otherwise made and as further reduced by the contract price of the work not terminated. The Order shall be amended accordingly and "Company" shall be paid the amount agreed. Nothing in paragraph 20.6 of this clause, prescribing the amount to be paid to "Company" in the event of failure of "Company" and the Purchaser to agree upon the whole amount to be paid to "Company" by reason of the termination of work pursuant to this clause, shall be deemed to limit, restrict, or otherwise determine or affect the amount or amounts which may be agreed upon to be paid to "Company" pursuant to this paragraph 20.5.

20.6 In the event of the failure of "Company" and the Purchaser to agree as provided in paragraph 20.5 upon the whole amount to be paid to "Company" by reason of the termination of work pursuant to this clause, the Purchaser shall pay to "Company" the amounts determined by the Purchaser as follows, but without duplication of any amounts agreed upon in accordance with paragraph 20.5:

(i) for completed supplies accepted by the Purchaser (or sold or acquired as provided in paragraph 20.2 (vii) above) and not therefore paid for, a sum equivalent to the aggregate price for such supplies computed in accordance with the price or prices specified in the Order, appropriately adjusted for any saving of freight or other charges;

(ii) the total of:

a. the costs incurred in the performance of the work terminated including initial costs and preparatory expense allocable thereto, but exclusive of any costs attributable to supplies paid or to be paid for under paragraph 20.6 (i) hereof;



b. the cost of settling and paying claims arising out of the termination of work under sub-contracts or orders, as provided in paragraph 20.2 (v) above, which are properly chargeable to the terminated portion of the Order, exclusive of amounts paid or payable on account of supplies or materials delivered or services furnished by sub-contractors or vendors prior to the effective date of the Notice of Termination, which amounts shall be included in the costs payable under a. above; and

c. a sum, as profit on a. above, determined by the Purchaser to be fair and reasonable; provided, however, that if it appears "Company" would have sustained a loss on the entire Order, had it been completed, no profit shall be included or allowed and an appropriate adjustment shall be made reducing the amount of the settlement to reflect the indicated rate of loss; and

(iii) the reasonable costs of settlement, including accounting, legal, clerical and other expenses reasonably necessary for the preparation of settlement claims and supporting data with respect to the terminated portion of the Order and for the termination and settlement of sub-contracts thereunder, together with reasonable storage, transportation, and other costs incurred in connection with the protection, or disposition of property allocable to the Order.

20.7 The total sum to be paid to "Company" under (i) and (ii) of paragraph 20.6 shall not exceed the total contract price as reduced by the amount of payments otherwise made and as further reduced by the contract price of work not terminated. Except for normal spoilage, and except to the extent that the Purchaser shall have otherwise expressly assumed the risk of loss, there shall be excluded from the amounts payable to "Company", as provided in paragraph 20.6 (i) and (ii)(a) above, the fair value, as determined by the Purchaser, of property which is destroyed, lost, stolen, or damaged so as to become undeliverable to the Purchaser or to a buyer pursuant to paragraph 20.2 (vii) above.

20.8 "Company" shall have the right of appeal, under the clause of this Agreement entitled "Disputes", from any determination made by the Purchaser under paragraphs 20.4 or 20.6 above, except that if "Company" has failed to submit his claim within the time provided in paragraph 20.4 above and has failed to request extension of such time, he shall have no such right of appeal. In any case where the Purchaser has made a determination of the amount due under paragraphs 20.4 or 20.6 above, the Purchaser shall pay "Company" the following:

(i) if there is no right of appeal hereunder or if no timely appeal has been taken, the amount so determined by the Purchaser, or

(ii) if an appeal has been taken, the amount finally determined on such appeal.

20.9 In arriving at the amount due to "Company" under this clause there shall be deducted:



(i) all unliquidated advance or other payments on account theretofore made to "Company", applicable to the termination portion of the Order;

(ii) any claim which the Purchaser may have against "Company" in connection with the Order, and

(iii) the agreed price for, or the proceeds of the sale of, any materials, supplies, or other things acquired by "Company" or sold, pursuant to the provisions of this clause, and not otherwise recovered by or credited to the Purchaser.

20.10 If the termination hereunder is partial, prior to the settlement of the terminated portion of the Order, "Company" may file with the Purchaser a request in writing for an equitable adjustment of the price or prices specified in the Order relating to the continued portion of the Order (the portion not terminated by the Notice of Termination), and such equitable adjustment as may be agreed upon shall be made in such price or prices.

20.11 The Purchaser may from time to time, under such terms and conditions as it may prescribe, make partial payments and payments on account against costs incurred by "Company" in connection with the terminated portion of an Order whenever in the opinion of the Purchaser the aggregate of such payments shall be within the amount to which "Company" will be entitled hereunder. If the total of such payment is in excess of the amount finally agreed or determined to be due under this clause, such excess shall be payable by "Company" to the Purchaser upon demand, together with interest calculated using the average of the official base rate(s) per annum as notified by the Banque Nationale de Belgique or such other official source as may be determined by the Purchaser, for the period from the date the excess is received by "Company" to the date such excess is repaid to the Purchaser, provided, however, that no interest shall be charged with respect to any such excess payment attributed to a reduction in "Company"'s claim by reason of retention or other disposition of termination inventory until ten days after the date of such retention or disposition or such later date as determined by the Purchaser by reason of the circumstances.

20.12 Unless otherwise provided for in the Order, "Company", from the effective date of termination and for a period of three years after final settlement under the Order, shall preserve and make available to the Purchaser at all reasonable times at the office of "Company", but without direct charge to the Purchaser, all his books, records, documents, and other evidence bearing on the costs and expenses of "Company" under an Order and relating to the work terminated hereunder, or, to the extent approved by the Purchaser, photographs, micro-photographs, or other authentic reproductions thereof.



21. SUB-CONTRACTS

21.1 “Company” shall place and be responsible for the administration and performance of all sub-contracts including terms and conditions which he deems necessary to meet the requirements of the Order in full.

21.2 “Company” shall not place sub-contracts outside the NATO member Nations unless the prior authorisation of the Purchaser has been obtained. Such authorisation will not be granted when the sub-contract involves the carrying out of classified work.

21.3 “Company” shall determine that any sub-contractor proposed by him for the furnishing of supplies or services which will involve access to classified information in “Company”'s custody has been granted an appropriate facility security clearance by the sub-contractor's national authorities, which is still in effect, prior to being given access to such classified information.

21.4 “Company” shall seek the approval in writing of the Purchaser prior to the placing of any sub-contract if:-

21.4.1 the value of the sub-contract is known or estimated to exceed € 125,000, or the equivalent currency;

21.4.2 the sub-contract is one of a number of sub-contracts with a single sub-contractor for the same or related supplies or services under the Order that in the aggregate are known or expected to exceed € 125,000.

21.5 “Company” shall submit a copy of any such proposed contract when seeking approval to the Purchaser but such approval by the Purchaser shall in no way relieve “Company” of his responsibilities to achieve the contractual and technical requirements of the Order.

21.6 “Company” shall, as far as practicable, select sub-contractors on a competitive basis consistent with the objectives and requirements of the Order.

22. PATENT AND COPYRIGHT INDEMNIFICATION

22.1 Except as otherwise provided in this Agreement, "Company" shall assume all liability and indemnify the Purchaser, its officers, agents and employees against liability, including costs for the infringement of any patents or copyright in force in any countries arising out of the manufacture, services performed or delivery of supplies, or out of the use or disposal by or for the account of the Purchaser of such supplies. "Company" shall be responsible for obtaining any patent or copyright licences necessary for the performance of an Order and of remaking all other arrangements required to indemnify the Purchaser from any liability for patent or copyright infringement in said countries.



22.2 "Company" shall immediately notify the Purchaser of any patent or copyright infringement claims of which he has knowledge and which pertain to the goods and services under this Agreement.

22.3 This indemnity shall not apply under the following circumstances:

22.3.1 Patents or copyright which may be withheld from issue by order of the applicable government whether due to security regulations or otherwise;

22.3.2 An infringement resulting from specific written instructions from the Purchaser under this Agreement;

22.3.3 An infringement resulting from changes or additions to the goods and services subsequent to final delivery and acceptance under this Agreement.

23. CLAIMS

23.1 "Company" shall assert claims in writing and by registered mail, and in accordance with the terms set out below:

23.2 Claims shall be submitted within:

23.2.1 the time specified in the Clause or Article under which "Company" alleges to have a claim. If no time is specified in the clause or Article under which "Company" intends to base its claim, the time limit shall be forty-five (45) days from the date "Company" has knowledge or should have had knowledge of the facts on which it bases its claim;

23.2.2 three (3) months after final payment, release of guarantees or performance bond provided under the Order, whichever occurs last. This shall only apply to those claims for which "Company" could not have had earlier knowledge and were not foreseeable.

23.3 "Company" shall be foreclosed unless it presents complete documentary evidence, justification and cost for each of its claims within three months from the assertion date of such claims. Claims shall be supported by specifically identified evidence (including applicable historical and planned cost and production data from "Company"'s books and records). Opinions, conclusions or judgmental assertions not supported by such evidence shall be rejected.

23.3.1 An individual breakdown of cost is required for each element of "Company"'s claims at the time of claim submission or for any material revision of the claim.

23.4 "Company" shall present, at the time of submission of a claim, an attestation as follows:

"I ................ the responsible senior company official authorised to commit the ................ with respect to its claims dated ................ being duly sworn, do hereby depose and say that: (i) the facts described in the claim are current, complete and accurate; and (ii) the conclusions in the claim accurately reflect



the material damages or contract adjustments for which the Purchaser is allegedly liable.

_____________________________________ SIGNATURE

23.5 Failure to comply with any of the above requirements shall result in automatic forfeiture of the claim. This foreclosure takes effect in all cases and also where, for example, the claim is based on additional orders, where the facts are known to the Purchaser, where the claim is based on defective specifications of the Purchaser or an alleged negligence in the precontractual stage.

23.6 No claim arising under this Agreement may be assigned by "Company" without prior approval of the Purchaser.

24. RELEASE OF CLAIMS

24.1 Prior to final payment under this Agreement, "Company" and each assignee under this Agreement shall execute and deliver a release discharging the Purchaser, its officers, agents and employees from all liabilities, obligations and claims arising out of or under this Agreement subject only to the following exceptions:

24.1.1 Specified claims in stated amounts or in estimated amounts where the amounts are not susceptible to exact statement by "Company";

24.1.2 Claims for reimbursement of costs (other than expenses of "Company" by reason of its indemnification of the Purchaser against patent liability) including reasonable expenses incidental thereto, incurred by "Company" under the provisions of this Agreement relating to patents.

24.1.3 An infringement resulting from specific written instructions from the Purchaser under the Order.

24.1.4 An infringement resulting from changes or additions to the goods and services subsequent to final delivery and acceptance under the Order.

25. EXTRAS

25.1 Except as otherwise provided in an Order, no payment for extras shall be made unless such extras and the price therefore have been authorised in writing by the Purchaser.

26. LANGUAGE

26.1 In the event of any inconsistency between the original English text of this Agreement and any translation into another language, the original English text will govern.

26.2 All written correspondence and reports provided by and to "Company" shall be, as a minimum, in English.



27. SECURITY

27.1 "Company" shall comply with all security measures as are prescribed by the Purchaser and the National Security Authority or designated Security Agency of each of the NATO Member Nations in which the Agreement is being performed. "Company" shall be responsible for the safeguarding of classified information, documentation, material and equipment entrusted to him or generated by him in connection with the performance of an Order.

27.2 In particular "Company" undertakes to:

27.2.1 appoint an official responsible for supervising and directing security measures in relation to the Order and communicating details of such measures to the Purchaser on request;

27.2.2 maintain, preferably through the official responsible for security measures, a continuing relationship with the National Security Authority or designated Security Agency charged with ensuring that all NATO or National classified information involved in the Order is properly safeguarded;

27.2.3 abstain from copying by any means, without the authorisation of the Purchaser, the National Security Authority or designated Security Agency, any classified documents, plans, photographs or other classified material entrusted to "Company";

27.2.4 furnish, on request, information to the National Security Authority or designated Security Agency pertaining to all persons who will be required to have access to NATO or National classified information;

27.2.5 maintain at the work site a current record of its employees at the site who have been cleared for access to NATO or National classified information. The record should show the date and level of clearance;

27.2.6 deny access to NATO or National classified information to any person other than those persons authorised to have such access by the National Security Authority or designated Security Agency;

27.2.7 limit the dissemination of NATO or National classified information to the smallest number of persons as is consistent with the proper execution of the Order;

27.2.8 comply with any request from the National Security Authority or designated Security Agency that persons entrusted with NATO or National classified information sign a statement undertaking to safeguard that information and signifying their understanding both of their obligations under national legislation affecting the safeguarding of classified information, and of their comparable obligations under the laws of the other NATO Member Nations in which they may have access to classified information;

27.2.9 report to the National Security Authority or designated Security Agency any breaches or suspected breaches of security, suspected sabotage, or other matters of security significance which would include any changes that may occur in the ownership, control or management of the facility or any changes



that affect the security arrangements and security status of the facility and to make such other reports as may be required by the National Security Authority or designated Security Agency, e.g. reports on the holdings of NATO or National classified information;

27.2.10 apply to the Purchaser for approval before subcontracting any part of the work, if the subcontract would involve the subcontractor in access to NATO or National classified information, and to place the subcontractor under appropriate security obligations no less stringent than those applied to its own contract;

27.2.11 undertake not to utilise, other than for the specific purpose of the Order, without the prior written permission of the Purchaser or its authorised representative, any NATO or National classified information furnished to him, including all reproductions thereof in connection with the Order, and to return all NATO or National classified information referred to above as well as that developed in connection with the Order, unless such information has been destroyed, or its retention has been duly authorised with the approval of the Purchaser. Such NATO or National classified information will be returned at such time as the Purchaser or its authorised representative may direct;

27.2.12 classify any produced document with the highest classification of the NATO or National classified information disclosed in that document.

28. HEALTH, SAFETY AND ACCIDENT PREVENTION

28.1 If the Purchaser notifies "Company" in writing of any non-compliance in the performance of the Order, with safety and health rules and requirements prescribed on the date of the Order by applicable national or local laws, ordinances and codes, and "Company" fails to take immediate corrective action, the Purchaser may order "Company" to stop all or part of the work until satisfactory corrective action has been taken. Such an order to stop work shall not entitle "Company" to an adjustment of the contract price or other reimbursement for resulting increased costs, or to an adjustment of the delivery or performance schedule.

29. RELEASE OF INFORMATION

29.1 Except as otherwise specified elsewhere in the Order, and to the extent that it is demonstratively unavoidable and without prejudice to the "Security" Clause, "Company" or its employees shall not, without prior authorisation from the Purchaser, release any information pertaining to the Order, its subject matter, performance thereunder or any other aspect thereof.

30. FORCE MAJEURE

30.1 If the performance of this Agreement, or any obligation hereunder is prevented, restricted or interfered with by reason of fire, flood, earthquake, explosion or other casualty or accident, strikes or labour disputes, war or other violence, including acts of terrorism, any law, order, proclamation, regulation, ordinance, demand or requirement of any governmental agency, or any other act, event or condition whatsoever beyond the reasonable



control of the affected Party, the Party so affected, upon giving prompt notice to the other Party, shall be excused from such performance to the extent of such prevention, restriction or interference, provided, however, that the Party so affected shall take all reasonable steps to avoid or remove such cause of non-performance and shall resume performance hereunder with dispatch whenever such causes are removed.

31. RIGHTS IN TECHNICAL DATA

31.1 Subject to the rights of third parties and to existing rights of “Company” arising otherwise than by virtue of the Order, and with due regard to national security regulations, all rights in the results of work undertaken by or on behalf of the Purchaser for the purposes of the Order, including any technical data specifications, report, drawings, computer software data, computer programmes, computer databases, computer software, documentation including software documentation, design data, specifications, instructions, test procedures, training material produced or acquired in the course of such work and, in particular, all rights, including copyright therein, shall vest in and shall be the sole and exclusive property of the Purchaser.

32. COMPANY’S RESPONSIBILITY ON ACCURACY OF THE COMPANY’S DATA

32.1 In case of change of any nature in “Company”s data including, but not limited

to change(s) in name, ownership, address, and other changes of similar nature, “Company” is obliged to inform NCI Agency about the change(s) at the earliest possible moment that “Company” becomes aware of the change(s).

32.2 Information about all changes shall be presented in the form of official registered letter, addressed to NCI Agency Point Of Contact (POC), indicated in Clause 10 - Miscellaneous of the Part I - Special Provisions of the BOA.

32.3 In case if NCI Agency becomes aware of the change(s) described in para 1 above from any other source than official registered letter received from the “Company”, NCI Agency reserves the right to suspend “Company”’s BOA immediately after NCI Agency becomes aware of the change(s) and until the issue is fully clarified.

APPENDIX 1 TO PART II - PURCHASER'S PRICING PRINCIPLES

The following principles shall apply to all contracts not awarded on the basis of an adequate price competition as well as to all contract modifications.



"Company" shall also incorporate provisions corresponding to those mentioned herein in all subcontracts, and shall require price and cost analysis provisions be included therein.

A. Allowability of Costs

(1) Allowable Cost

A cost is allowable if the following conditions are fulfilled:

(a) it is incurred specifically for the Agreement or benefits both the Agreement and other work or is necessary to the overall operation of the business although a direct relationship to any particular product or service cannot be established and is allocated to them in respective proportion according to the benefit received;

(b) it is reasonable and expedient in its nature and amount and does not exceed that which would be incurred by an ordinary prudent person in the conduct of competitive business;

(c) it is not liable to any limitations or exclusion as to types or amounts of cost items as set forth herein.

(2) Partially allowable cost

The following cost items are examples of costs which are normally partially allowable only as indirect costs within the limitations described below provided that such costs are reasonable in nature and amount and are allocated as indirect costs to all work of "Company".

(a) Advertising costs.

(b) Contributions.

(c) Bonuses paid pursuant to an agreement entered into before the Order was made or pursuant to a plan established and consistently followed before the Order was concluded.

(d) Depreciation of plant equipment or other capital assets.

(e) Costs of normal maintenance and repair of plant, equipment and other capital assets.

(f) The costs of general research and development work which are not chargeable directly to an Order and which are not aimed at the preparation or development of a specific product.

(g) Travel costs, except those which, according to the terms of the Order, are to be charged directly to it.



(h) Pre-contract cost (cost prior to the effective date stated in the Order) in anticipation of the award of the Order or pursuant to its negotiation.

(3) Unallowable costs

In general all costs which cannot be shown by "Company" to be directly or indirectly of benefit to the Order under this Agreement are totally unallowable. Examples of such costs are:

(a) Costs of a particular advertising campaign without prior agreement of the Purchaser or which has no connection with the Order under this Agreement.

(b) Costs of remuneration, having the nature of profit sharing.

(c) Costs of maintaining, repairing and housing idle and excess facilities.

(d) Fines and penalties as well as legal and administrative expenses resulting from a violation of laws and regulations.

(e) Losses on other contracts.

(f) Costs incurred for the creation of reserves for general contingencies or other reserves (e.g. for bad debts, including losses).

(g) Losses on bad debts, including legal expenses and collection costs in connection with bad debts.

(h) Costs incurred to raise capital.

(i) Gains and losses of any nature arising from the sale or exchange of capital assets other than depreciable property.

(j) Taxes on profits.

(k) Contractual penalties incurred.

(l) Commissions and gratuities.

(m) Interest on borrowings.

B. Cost Groupings

(1) In estimating or calculating the costs of the supplies to be furnished and the services to be performed under the Order, "Company" shall distinguish the following cost groupings:

(a) Direct Costs



A direct cost is any cost which can be identified specifically with a particular cost objective as generally accepted. Direct costs are not limited to items which are incorporated in the end product as material or labour.

(b) Indirect Costs

An indirect cost is one which is not readily subject to treatment as a direct cost.

(2) "Company" shall specify the allocation of costs to either of the cost groupings. The method by which costs are accumulated and distributed as part of direct or indirect costs cannot be modified during the duration of the Order.

C. Overhead Rates

(1) Indirect costs, which as a rule are to be allocated to all work of "Company", shall be accumulated by logical cost groupings in accordance with sound accounting principles and "Company"'s established practices. Such costs shall be presented as overhead rates and be applied to each related direct cost grouping.

(2) "Company" shall inform the Purchaser of its overhead rates and the basis upon which they were computed.

(3) The term "provisional overhead rate" means a tentative overhead rate established for interim billing purposes pending negotiation and agreement to the final overhead rate.

(4) An overhead rate is pre-determined if it is fixed before or during a certain period and based on (estimated) costs to be incurred during this period. An overhead rate is post-determined if it is fixed after a certain period and based on costs actually incurred during this period.

Pre-determined overhead rates shall be agreed upon as final rates whenever possible; otherwise the provisions of paragraph (3) above shall apply pending agreement to post-determined rates.

(5) Such rates shall be determined on the basis of "Company"'s properly supported actual cost experience.

(6) If the overhead rates of "Company" for similar contracts placed by national or international public services have been established or approved by a government agency or an agency accepted by “Company”’s Government and "Company" proposes the application of these rates, "Company" shall state the name and address of the agency which has accepted or approved the rates and the period for which they were established. If "Company" proposes rates which



vary from the rates mentioned above, "Company" shall furthermore provide a justification for the difference.

(7) If the overhead rates of "Company" for similar contracts placed by national or international public services have not been established or approved by a government agency or an agency accepted by "Company"'s government, "Company" shall provide the necessary data to support the proposed rates.



EXHIBIT A - ORDERING INFORMATION

A.1 ORDERING INFORMATION REQUIRED:

All orders submitted under this Agreement shall contain, as applicable, the following information:

a. Reference to the BOA.

b. Identification and details of the Purchaser.

c. Any special Terms and Conditions applicable to the Order (e.g. Payment, Warranty, etc.)

d. Description of the Products to be delivered and/or of the Engineering Services to be performed (including labour categories, labour rates, people’s names).

e. Specification of the Requested Products Delivery Schedule and/or of the Engineering Services Period of Performance.

f. Specification of the Products Delivery Location and/or of the Engineering Services Place of Performance.

g. Shipping instructions.

h. Security requirements.

i. Completion of "Non-Transfer and Use Certificate" (e.g. DSP 83), Export License or equivalent, as applicable.

j. Testing and Acceptance criteria and provisions.



EXHIBIT B - AUTHORISATION TO USE BOA BY NATO CONTRACTORS

Attn.: ‘Company’* Manager of Contracts

Subject: Order under NCI Agency/BOA/XXXXX

‘Company’* is hereby authorised to procure under Order No. ( ), in accordance with NCI Agency Basic Ordering Agreement (NCIA/BOA/XXXXX). Each Order placed shall quote the above-mentioned BOA, the appropriate Order Number and shall state:

“This Order is placed under NCIA/BOA/XXXXX. ‘Company’* hereby agrees that the terms and conditions contained in the NCIA/BOA/XXXXX shall govern the purchase/license of Products and/or Engineering Services covered by this Order, unless otherwise agreed between the Parties to this Order. ‘Company’* places this Order under written authorisation from [Name of Eligible Purchaser]. The Products and/or Engineering Services covered by the Order will be directly utilised by [Name of Eligible Purchaser].”

A copy of this authorisation will be sent to “Company”. NCI Agency shall not be liable in any form for any Order issued and concluded between Purchaser, other than by NCI Agency itself, and ‘Company’*.



EXHIBIT C - PRODUCTS AND SERVICES

Part I- a) Short Company Description

Part II- b) List and Short Description of offered Products and/or Services

RFQ-CO-14624-LOGFS – Part IV – Statement of Work

NATO UNCLASSIFIED

PART IV

STATEMENT OF WORK (SOW)

FOR

THE IMPLEMENTATION OF THE LOGFS FINANCE CAPABILITY (PHASE 2)

(Version 2.1)

June 2018


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DOCUMENT CONTROL PAGE VERSION HISTORY

Version Author Date Reason for Change Superseded Document

0.3 Levent Mollamustafaoglu

25/08/2017 First draft. -


29/9/2017 Draft for internal and external review

0.3


8/12/2017 Final draft for internal and external review

0.5


12/1/2018 Final draft for informal coordination

0.7


5/2/2018 Second draft for informal coordination

0.9


16/2/2018 Final draft for informal coordination before the release of the RFQ. Extensive re-writing and re-structuring to align with OUM and the two-phase implementation, as well as better designation of responsibilities.

1.0


2/3/2018 Final draft version coordinated internally and with the user community

1.2


20/3/2018 Draft 1.3


23/3/2018 Draft 1.4


27/3/2018 Draft 1.5


29/3/2018 Draft 1.6


23/5/2018 Final draft for internal coordination before release of RFQ

1.7


11/6/2018 Draft version after application of internal comments

1.8


13/6/2018 Final version going out to Industry

2.0


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TABLE OF CONTENTS

1. INTRODUCTION ............................................................................... 5 1.1. Introduction to FinS ............................................................................... 5 1.2. Purpose of the Contract ........................................................................ 5 1.3. Organisation of the Statement of Work ................................................. 6 1.4. High-level objectives for the project ...................................................... 7 1.5. Sub-phases of Phase 2 Implementation ............................................... 8 1.6. Requirements ........................................................................................ 8 1.7. Technical and Architectural Constraints ................................................ 9 1.8. Work packages (WP) high level descriptions ...................................... 10 1.9. Assumptions and Constraints .............................................................. 14 1.10. CEMLI’s .............................................................................................. 15 1.11. Training approach ............................................................................... 15 1.12. Data Migration and Enhancement ....................................................... 16 1.13. Current System Baseline .................................................................... 16 1.14. Target System Infrastructure ............................................................... 17 1.15. References .......................................................................................... 18

2. PROJECT MANAGEMENT ............................................................. 19 2.1. Introduction ......................................................................................... 19 2.2. Project Management Methodology ...................................................... 19 2.3. Purchaser Team .................................................................................. 19 2.4. Contractor Team ................................................................................. 19 2.5. Operational User Involvement ............................................................. 20 2.6. Purchaser Furnished Items (PFI) ........................................................ 21 2.7. Co-ordination with Other NATO Projects ............................................ 22 2.8. Cooperation with NCIA for FinS Oracle Applications Environments preparation ............................................................................................................ 23 2.9. Project Website ................................................................................... 23 2.10. Project Management Planning ............................................................ 24 2.11. Product Breakdown Structure ............................................................. 28 2.12. Work Breakdown Structure ................................................................. 28 2.13. Project Master Schedule ..................................................................... 29 2.14. Risk and Issue Management, RAID Log ............................................. 29 2.15. Configuration Management ................................................................. 31 2.16. Quality Management ........................................................................... 33 2.17. Meetings ............................................................................................. 33 2.18. Monthly Project Highlight Reports ....................................................... 35 2.19. System Implementation Plan............................................................... 36

3. TECHNICAL .................................................................................... 38 3.1. General ............................................................................................... 38 3.2. Requirements ...................................................................................... 38 3.3. Mapping and Configuration ................................................................. 39 3.4. Analysis and Design ............................................................................ 39 3.5. Technical Architecture ......................................................................... 40 3.6. Implementation .................................................................................... 40 3.7. Testing ................................................................................................ 41 3.8. Training ............................................................................................... 48 3.9. Transition and Go Live ........................................................................ 49


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3.10. Operational (Post-Go-Live) Support .................................................... 50

4. Project Milestones, Reviews and Deliverables ........................... 51 4.1. Milestones ........................................................................................... 51 4.2. Project Kick-Off Meeting for Phase 2.1 (KCK2.1)................................ 51 4.3. Project Management Review (PMR) ................................................... 52 4.4. Lifecycle Architecture Review (LAR) ................................................... 53 4.5. End of Phase 2.1 (P2.1E) ................................................................... 56 4.6. Project Kick-Off Meeting for Phase 2.2 (KCK2.2)................................ 57 4.7. Test Readiness Review (TRR) ............................................................ 57 4.8. Training Material Review (TMR) .......................................................... 59 4.9. User Acceptance Test (UAT) .............................................................. 59 4.10. Final System Acceptance (FSA) ......................................................... 60 4.11. End of Phase 2.2 (P2.2E) ................................................................... 61

5. Details of Optional Work Packages ............................................. 63 5.1. WP4: Migration of the Oracle EBS Database from Solaris to Linux .... 63 5.2. WP5: Establishment of a Disaster Recovery Capability for FinS......... 63 5.3. WP6: Establishment of an Archiving Service for FinS ......................... 65 5.4. WP7: Establishment of a Business Intelligence Capability for FinS .... 65 5.5. WP8: Establishment of a Project Accounting Capability for FinS ........ 65 5.6. WP9: Establishment of a Consolidation Tool for Financial Statements 65 5.7. WP10: Establishment of an invoice scanning capability ...................... 66 5.8. WP11: Establishment of a Budgeting and Budget management capability 66

6. Contractor Resources and Labour Category Descriptions ....... 67 6.1. General ............................................................................................... 67 6.2. Levels of Expertise .............................................................................. 68 6.3. Contractor’s Project Manager (CPM) .................................................. 69 6.4. Contractor’s Functional Lead (CFL) .................................................... 70 6.5. Contractor’s Solution Architect (CSA) ................................................. 70 6.6. Contractor’s Test Manager (CTM) ....................................................... 71 6.7. Contractor’s Quality Manager (CQM) .................................................. 71

7. DOCUMENTATION REQUIREMENTS ........................................... 72 7.1. General ............................................................................................... 72 7.2. Reports ............................................................................................... 72 7.3. Formatting ........................................................................................... 73 7.4. Formal Reviews .................................................................................. 73

8. GLOSSARY .................................................................................... 75

ANNEX A. LOGFS FinS Requirements ........................................................... 79

ANNEX B. CEMLI’s inherited from Fins Phase 1 and EBS R 12 Upgrade ... 80

ANNEX C. List of Existing documentation for current FinS ........................ 85

ANNEX D. Project Management Plan Template ............................................ 86

ANNEX E. Product Description Template ...................................................... 87

RFQ-CO-14624-LOGFS-Finance Book II - Prospective Contract

Part IV – Statement of Work v. 2.1

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1. INTRODUCTION 1.1. Introduction to FinS

1.1.1. Allied Command Transformation (ACT) and the former NATO Communications and Information Systems Services Agency-NCSA (later transitioned into NCIA) were using their separate instances of the Centralised NATO Automated Financial System (CNAFS). Phase 1 of the NATO Financial Services (FinS) implementation (carved out of the LOGFS CP Project 42 and authorised earlier than the rest, in order to satisfy a 2010 requirement to have an IPSAS-compliant Financial System) brought the disparate NAFS implementations all over NATO and established a CNAFS/FinS baseline which consisted of 4 instances of a Oracle EBS based Financial System to support Allied Command Operations (ACO), ACT, International Military Staff Budget Group (IMS BG) and NCIA.

1.1.2. As a result, CNAFS/FinS version 3.0 was the unique software baseline used across the NATO Command Structure. NCIA in time migrated the CNAFS/FinS baseline to a more recent version of the underlying COTS package, Oracle EBS 12.1.3, as per routine maintenance and support activities. NCIA has been managing the 4 instances (which are now collectively referred to as the 4 CNAFS/ FinS instances). NCIA is responsible from the entire Lifecycle of the Financial Services capability through its Service Support and Business Applications Service Line (SSBA SL), but some functions such as first line (Level 0) support and end user training is managed by the user community.

1.1.3. CNAFS/FinS is currently used for the management of finance and acquisition transactions and business processes and supports compliance with IPSAS standards across NATO. 1

1.2. Purpose of the Contract

1.2.1. The purpose of this Contract is to implement Phase 2 of the Finance capability within the LOGFS CP Project 43. Phase 1 of FinS has been implemented through various contracts between 2008 and 2015. FinS is based on a Commercial-Off-the-Shelf (COTS) Product, Oracle E-Business Suite (Oracle EBS). The current version of Oracle EBS in use is 12.1.3.

1.2.2. The current FinS baseline is adequate in many areas of Financial Management and is being used for Financial Statements and other official reporting requirements. However, the current implementation lacks the flexibility that a modern Financial System provides organisations by implementing the Business Intelligence concept. Business Intelligence allows organisations to easily develop additional reports, charts and other

1 From now on the NATO Financial System will be referred to as FinS.



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reporting mechanisms based on a data store, allows organisations to separate their reporting actions from daily use of the financial system and especially enables financial teams to perform analysis and provide additional reporting through the use of automated tools.

1.2.3. The current FinS implementation and the associated business processes have several internal controls and governance features. However, these could be formulated by the different business areas and in time could easily get out of control and diverge. Thus there is need for a holistic management of Governance, Risk Management, Compliance and Auditing activities to promote overall insight, shared practices, re-use of work, efficiency and cost savings. This approach will allow • Reducing overlapping policies, risks and controls • Eliminating redundant tasks through the use of a single repository for

Governance, Risk Management, Compliance and Auditing initiatives • Meeting regulatory compliance and implementing control to reduce

enterprise risk • Performing cross-enterprise risk-based modelling, analysis and

treatment

1.2.4. The current FinS baseline contains some functionality (Oracle Sourcing, Oracle iSupplier Portal), which has been installed but is not being used due to security accreditation issues. FinS Phase 2 shall resolve these issues and enable the users to benefit from this functionality. This shall include analysis and configuration of the modules as well as potential inclusion of additional software, infrastructure or procedures.

1.2.5. NCIA has signed an Enterprise License Agreement (ELA) with Oracle in May 2017. This ELA covers most of the required Oracle EBS modules and allows the Agency, Strategic Commands and IMS BG to use the current and new modules with fixed annual support fees. The FinS Phase 2 implementation proposal should stay within the ELA scope as much as possible in order to minimise annual maintenance costs, as long as user requirements are properly fulfilled. Requirements not satisfied by Oracle EBS modules that are in the scope of the Oracle ELA could require other products to be procured. It is also possible that additional Oracle modules will require additional technology licenses which are currently not covered by the Oracle ELA.

1.2.6. The update of the current FinS shall only be done for the ACO, ACT and IMS instances since NCIA is moving to their own version of Oracle EBS (named the EBA).

1.3. Organisation of the Statement of Work

1.3.1. The Statement of Work describes in detail the exact work to be done within the Contract and is organised as described below.

1.3.2. Section 1 describes the objectives for the FinS implementation Phase 2 project, the purpose of the contract, the Work Packages and Phases of



NATO UNCLASSIFIED 7

implementation, constraints and assumptions and an overall structure for the work to be done.

1.3.3. Section 2 describes the Project Management processes to be used in running the Contract.

1.3.4. Section 3 describes the Technical processes and activities to be performed to deliver the Contract scope.

1.3.5. Section 4 describes the formal Milestones, Deliverables for each milestone and the Reviews to be conducted at these milestone events.

1.3.6. Section 5 describes the details of the Priced Options, Work Package 3 to Work Package 11.

1.3.7. Section 6 describes the resources and labour categories to be used in the implementation.

1.3.8. Section 7 describes the documentation requirements.

1.3.9. Section 8 includes the Glossary for the SOW.

1.3.10. Annex A is a list of all system requirements in the scope of the implementation.

1.3.11. Annex B is a list of all customisations existing in the current FinS implementation.

1.3.12. Annex C is a list of existing documentation for the current FinS implementation.

1.3.13. Annex D is a template for the Project Management Plan (PMP).

1.3.14. Annex E is a template for any Product Description (PD) that is to be developed as part of the PMP.

1.3.15. Annex F shows the scope of the Oracle Enterprise License Agreement between Oracle Corporation and NATO.

1.4. High-level objectives for the project

1.4.1. Update to the latest Certified Oracle EBS version2.

1.4.2. Update the existing FinS configuration to cover the functional and non-functional requirements in Annex A.

1.4.3. Support the move of the current FinS to a new Database Server under Linux. This move might have already taken place or planned to be done by the IT

2 Oracle EBS 12.2.7 is already available since September 2017. 12.3 might be released before the implementation starts.



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Modernisation (ITM) project run by NCIA (expected go-live in May 2018) means by the time the FinS Phase 2 contract is signed, thus this is optional (see §1.8.4 and Section 5).

1.4.4. Support the setup and configuration of a Disaster Recovery version of FinS at NCIA Data Centre Lago Patria, Italy. This should be executed at the end of the project if it is not already done by other means, thus this is optional (see §1.8.5 and Section 5).

1.4.5. Provide a limited amount of post-implementation support before handing over to the NCIA SSBA SL team.

1.4.6. Satisfy the objectives above with the relevant modifications for Allied Command Operations (ACO), Allied Command Transformation (ACT) and IMS BG instances of the current FinS.

1.5. Sub-phases of Phase 2 Implementation

1.5.1. In order to make sure that the implementation is based on a sound set of requirements agreed by the stakeholders and proper monitoring and control can be exercised, the implementation is split into two sub-phases, with a Gate review in between the two sub-phases.

1.5.2. Phase 2.1 shall verify the functional and non-functional requirements and agree on the implementation scope and components to be used. Phase 2.1 execution involves going through the Oracle Unified Method (OUM) phases of Inception and Elaboration as necessary.

1.5.3. The Review between Phase 2.1 and Phase 2.2 shall be a decision gate to determine whether or not to go ahead with the execution of the optional Phase 2.2 within this contract. The specific requirements to be implemented within Phase 2.2 will be selected by the Purchaser in accordance with the contract terms.

1.5.4. Phase 2.2 follows the implementation plan prepared in Phase 2.1 and shall provide the implementation of the changes to the existing system, going through the OUM phases of Construction, Transition and Production as necessary.

1.5.5. Work Packages 6 through Work Package 11 cover some areas of implementation, which have been kept separate from the main implementation Work Package WP2, since their implementation would be conditional on several factors, but mainly on affordability in terms of post-implementation support and maintenance effort and cost.

1.6. Requirements

1.6.1. The requirements for the Finance part of the LOGFS implementation are included in the requirements document in Annex A of this SOW.



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1.6.2. Annex A shows the system requirements (functional and non-functional) derived from these and only has requirements that are not met by the current FinS being operated. The Annex also has any other relevant notes or details about the requirement.

1.6.3. However, FinS Phase 2.1 shall verify the requirements and the Oracle EBS Modules (or a third party tools) that will be used for implementation. Changes should be made - if necessary – through the Change Management process.

1.7. Technical and Architectural Constraints

1.7.1. Functional Architecture

1.7.1.1. The current FinS has an organisational separation established by the fact that it has 3 separate instances of a single Oracle EBS software baseline for ACO, ACT and IMS BG.

1.7.1.2. The 3 instances shall not have a change in the functional architecture, thus all the organisational units defined in the EBS configuration for each of the three entities shall remain the same. Any subsequent changes happening after the Contract signature shall be covered through the normal Change Management process.

1.7.1.3. This Statement of Work is going to be applied to the ACO, ACT and IMS BG instances.

1.7.2. Business Processes

1.7.2.1. The business processes being used in the current FinS baseline have been defined in Reference I3. FinS Phase 2 implementation might change some of these business processes. The revised business processes shall be documented in the updated versions of the documents as part of the implementation.

1.7.2.2. There will be some new business processes activated by the use of new modules and these shall also be captured in standard documentation as part of the implementation.

1.7.3. Technical Architecture

1.7.3.1. FinS has been operational on the Public Access Network (PAN) since Phase 1 has ben completed.

1.7.3.2. IMS BG will use the FinS from the Active Network Infrastructure (ANWI) network after the move from the current NATO HQ to the new HQ (planned within 2018).

3 This document may not be completely up-to-date, thus the early workshops should ascertain that proper business processes are captured in project documentation.



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1.7.3.3. ACO and ACT will move to the Protected Business Network when the IT Modernization project delivers within 2018.

1.7.3.4. Although there are three separate instances of FinS, the SSBA SL team strives to keep a single functional baseline to optimise support.

1.8. Work packages (WP) high level descriptions

1.8.1. WP1: FinS Implementation Phase 2.1 – Inception and Elaboration Phases

1.8.1.1. Some Initial work for the LOGFS FinS implementation had already been conducted previously and the set of high-level business requirements have been verified and captured as part of this SOW.

1.8.1.2. Phase 2.1 of the LOGFS FinS implementation has a handful of straightforward goals:

1.8.1.2.1. Demonstrate standard functionality to users in workshops, focusing on showing which requirements can be implemented using standard functionality through configuration and highlighting other requirements which would need customisation.

1.8.1.2.2. Refine FinS requirements based on Contractor experience and solution proposed, taking into account user feedback during demonstrations..

1.8.1.2.3. Prepare an implementation plan for Phase 2.2 which would indicate the exact detailed activities and associated schedule and cost of this phase and the additional cost for operations and management as brought by any newly introduced components. Any changes to cost and schedule should have been approved through the Change process at this stage.

1.8.1.3. The Contractor shall plan for the activities that will result in the accomplishment of the goals above, including:

1.8.1.3.1. Prepare and deliver demonstrations for new modules4 or missing features from existing modules.

1.8.1.3.2. Conduct a Fit-Gap analysis based on the current FinS configuration to identify any changes to existing modules or the required use of the new EBS Modules or third party tools.

1.8.1.3.3. Develop a solution design for changes to existing modules or the required use of new EBS Modules.

4 Demonstrations shall be done over the Internet, since additional EBS environments will not be available at this point in the project. The Contractor shall be responsible to arrange the demonstration environment.




1.8.1.3.4. Conduct a Software Upgrade Impact Analysis to determine what impact the new EBS version and the changes will have on the overall system and CEMLIs.

1.8.1.3.5. Hold workshops to support the activities of Phase 2.1. Note that some activities will be common to all three entities, where some will have to be held separately for specific enquiries with the individual entities. Workshop with the Service Provision Authority (NCIA SSBA SL) might also be needed.

1.8.1.3.6. Conduct a Lifecycle Architecture Review to review and accept the analysis and design for the overall FinS solution.

1.8.2. WP2: FinS Implementation Phase 2.2 – Construction, Transition and Production Phases (Option)

1.8.2.1. Phase 2.2 of the LOGFS FinS implementation will utilise the implementation plan prepared in Phase 2.1 after it has been approved by the Purchaser and the exercising of the contract option be authorised by the Investment Committee (IC).

1.8.2.2. WP2 will deliver the following activities (please note that there is no sequence implied):

Construction Phase

1.8.2.3. Support the Purchaser in the Security Accreditation process by providing technical expertise and documentation about design and architecture.

1.8.2.4. Upgrade system from EBS 12.1.3 to the latest Oracle Certified EBS version.

1.8.2.5. Perform detailed design of the solution holding relevant workshops as required.

1.8.2.6. Implement new functionality / modules.

1.8.2.7. Develop customisations for functionality that is not standard out of the box.

1.8.2.8. Update OUM documentation relevant for the Technical Upgrade (See Section 4).

1.8.2.9. Prepare interim environments for development and testing, install and configure components.

1.8.2.10. Convert and verify data.

1.8.2.11. Update and prepare new OUM documentation relevant for Construction.

1.8.2.12. Develop Training Needs Analysis for users and operations & maintenance team.




1.8.2.13. Prepare and update training materials.

1.8.2.14. Develop knowledge transfer and transition material.

Transition Phase

1.8.2.15. Train User Acceptance Testing (UAT) testers for new and revised modules.

1.8.2.16. Prepare interim environments for UAT, install and configure components.

1.8.2.17. Prepare and execute User Acceptance Test.

1.8.2.18. Prepare production environments for the three instances, install and configure components.

1.8.2.19. Further conversion and verification of data as required.

Production Phase

1.8.2.20. Go Live activities, separately for the three entities.

1.8.2.21. Go-Live (post-production) support (inclusive on-site activities and support handover to SHAPE J8, SACT and IMS at level 0 of support and to the NCIA SSBA SL team at level 1, 2 and 3 of support)

1.8.3. WP3: Provide Maintenance licenses for FinS (Option)

1.8.3.1. This Work Package is to provide support to the required COTS licenses the license costs of any software components proposed by the Contractor in the Bid and is not part of the Oracle-NATO Enterprise License Agreement (see Annex F). The implementation cost for the mentioned components are covered by WP2, WP4, WP5, WP6, WP7, WP8, WP9, WP10, WP11.

1.8.3.2. The cost shall include any additional Technology Licenses required for the new FinS implementation, whether that is required by changes to the existing configuration or triggered by the addition of new EBS Modules.

1.8.4. WP4: Migration of the Oracle EBS Database from Solaris to Linux (Option)

1.8.4.1. This Work Package covers the migration of the current Oracle EBS Database from its Solaris Operating System to Linux. Other components of FinS have already been migrated to Linux.

1.8.4.2. See Section 5 for the detailed description of the Work Package.

1.8.5. WP5: Establishment of a Disaster Recovery Capability for FinS (Option)




1.8.5.1. This Work Package covers the establishment of a Disaster Recovery capability for FinS at NCIA Data Centre in Lago Patria, Italy.

1.8.5.2. A Standby version of the full FinS configuration to be used for Disaster Recovery shall be established at this secondary NCIA Data Centre.

1.8.5.3. Necessary activities and configurations to enable this secondary Data Centre to take over and enable full operations after a disaster shall be implemented and tested.

1.8.5.4. This Work Package is optional, since there is a chance that this might already have been done in relation to the IT Modernisation project implementation.

1.8.5.5. See Section 5 for the detailed description of the Work Package.

1.8.6. WP6: Establishment of an Archiving Service for FinS (Option)

1.8.6.1. This Work Package covers the establishment of an Archiving service for FinS. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP6 consists of the implementation of the requirements and is part of Phase 2.2.

1.8.6.2. This Work Package is optional, to be decided by the end of Phase 2.1 based on affordability (cost and resources) of the proposed solution.

1.8.7. WP7: Establishment of a Business Intelligence Capability for FinS (Option)

1.8.7.1. This Work Package covers the establishment of a Business Intelligence capability for FinS. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP7 consists of the implementation of the requirements and is part of Phase 2.2.


1.8.8. WP8: Establishment of a Project Accounting Capability for FinS (Option)

1.8.8.1. This Work Package covers the establishment of a Project Accounting service for FinS. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP8 consists of the implementation of the requirements and is part of Phase 2.2.





1.8.9. WP9: Establishment of a Consolidation Tool for Financial Stataments (Option)

1.8.9.1. This Work Package covers the establishment of a Consolidation tool for Financial Statements. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP9 consists of the implementation of the requirements and is part of Phase 2.2.


1.8.10. WP10: Establishment of an invoice scanning capability (Option)

1.8.10.1. This Work Package covers the establishment of an invoice scanning capability for FinS. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP10 consists of the implementation of the requirements and is part of Phase 2.2.


1.8.11. WP11: Establishment of a Budgeting and Budget management capability (Option)

1.8.11.1. This Work Package covers the establishment of a Budgeting and Budget Management capability for FinS. Analysis and design of the requirements covered in this Work Package shall be covered by WP1 as part of Phase 2.1. WP11 consists of the implementation of the requirements and is part of Phase 2.2.


1.9. Assumptions and Constraints

1.9.1. Assumptions

1.9.1.1. Security Accreditation is assumed to be achieved by the Purchaser. The Contractor shall provide the relevant technical design and implementation documentation (see deliverables in Section 4) to the NCIA Cyber Security experts who would ascertain accreditation for any extensions to the current FinS system.

1.9.1.2. Existing versions of required documentation can be re-used and adapted if suitable (see Section 4).

1.9.1.3. Go Live for the three entities could be at different times. This shall be taken into account for the final Implementation Plan to be delivered at the end of Phase 2.1.




1.9.2. Constraints

1.9.2.1. The implementation time planned for Phase 2.1 (WP1) shall not exceed 6 months. The implementation time planned for Phase 2.2 (WP2) shall not exceed 12 months. Phase 2.2 also covers optional Work Packages WP6 through WP11.

1.9.2.2. The decision to go ahead with Phase 2.2 shall take no longer than 6 months, from the end of Phase 2.1.

1.9.2.3. Maximisation of the use of Oracle components within the scope of ELA is a goal, provided that they satisfy the requirements and are cost-effective.

1.9.2.4. Number of CEMLIs and deviation between related CEMLIs (such as a process change customisation complemented by a report customisation) shall be minimised.

1.10. CEMLI’s

1.10.1. CEMLI (Configuration, Extension, Modification, Localization, and Integration) is an ERP software extension framework provided in Oracle Applications by Oracle Corporation. CEMLI is Oracle's published guidelines for developing and implementing custom extensions to Oracle Applications.

1.10.2. Table 20 in Annex B lists all the CEMLIs that are currently in use by the FinS implementation.

1.10.3. All new CEMLI’s shall be developed following the Oracle E-Business Suite Coding Standards (source: Oracle E-Business Suite Developers Guide) and using the tools and processes currently in use by the NCIA SSBA SL Team (Subversion, Oracle Application Management Suite, Oracle Enterprise Manager). Patching of production and other instances has to follow the procedure described in Reference K. NCIA uses the Oracle Enterprise Manager Application Change Management Pack for EBS to do patching.

1.10.4. If existing CEMLIs in the current FinS can be implemented directly using Oracle EBS functionality in the new EBS version, these shall be de-activated and re-implemented in Oracle EBS.

1.10.5. Existing CEMLI’s in the current FinS shall be analysed, repackaged, migrated, revised and regression-tested by the Contractor as necessary after the update to the new EBS version. When the existing CEMLIs do not work with the new version, corrective action shall be taken to make sure they do. Existing CEMLIs might have to be modified if there are changes to the business process or workflows, even if they work properly under the new EBS version without modifications.

1.11. Training approach

1.11.1. Gap training is a viable approach for existing modules.




1.11.2. A Training Need Analysis (TNA) shall be developed by the Contractor with SHAPE J8/ACT/IMS BG to scope the training requirement for users and service provision in detail leading to a training planning to be captured into the PMS. As a minimum, the training shall cover all the new modules and technologies in the solution.

1.11.3. Any required training courses shall be delivered by the Contractor. However, training is limited to what is required for the UAT.

1.11.4. UAT testers shall be trained prior to UAT testing execution, for new processes, workflows or functions introduced.

1.11.5. Training material shall be based on existing NATO developed Oracle EBS R12.1.3 training material; new material to be developed only where required, for the new modules or for revised business processes and/or workflows (see §3.8).

1.11.6. Training shall be delivered at a Purchaser-specified site in Europe for all the required user profiles (to be clearly identified in the TNA document). Additional training shall be delivered at ACT in Norfolk, VA, USA to prepare for UAT on the ACT instance.

1.12. Data Migration and Enhancement

1.12.1. Since the existing FinS will undergo a technical upgrade there is no data migration expected. However, some data manipulation and enhancement will be necessary to support the new modules or functions/workflows to be implemented. The Business Intelligence; Governance, Risk Management, Compliance and Auditing areas could have such requirements.

1.12.2. Depending on the Data Migration/Enhancement strategy the Contractor shall perform migration/enhancement activities to ensure that legacy data can be converted to the right format.

1.13. Current System Baseline

1.13.1. The software solution, which is now in place, comprises the Oracle Relational Database Management System – Oracle RDBMS– and the Enterprise Resource Planning Application – Oracle E-Business Suite 12.1.3.

1.13.2. The FinS Servers run a mix of SUN Solaris version 10 and Oracle Linux 6 as Operating Systems. Application servers are running on Linux whereas the Database Servers are running on Solaris.

1.13.3. The FinS Client OS is MS Windows 7. The Internet Explorer version is Version 10.

1.13.4. The NATO Network domain in which FinS operates is NATO Unclassified (NATO PAN).

1.13.5. The current FinS implementation in use consists of the following modules:




• Approvals Management Engine • Human Capital Management (partial install to support employee

maintenance) • General Ledger • Sub-Ledger Accounting • E-Business Tax • Inventory (to support multiple-organisations and purchasing) • Purchasing • iProcurement • Receiving • iSupplier • Accounts Payable • iExpenses • Payments • Accounts Receivable • Cash Management • Assets • UPK for Computer-based training • Customisations (CEMLIs) listed in Annex B.

1.14. Target System Infrastructure

1.14.1. The target infrastructure to be used by FinS is the IT Modernisation infrastructure.

1.14.2. The updated software solution will comprise the Oracle Relational Database Management System – Oracle RDBMS – and the Enterprise Resource Planning Application – the latest Oracle-certified version of Oracle E-Business Suite.

1.14.3. The FinS Servers will run Linux as Operating Systems.

1.14.4. FinS will work web-based, using Internet Explorer Version 11. Workstation Operating System will be MS Windows 10. The Contractor shall ensure the complete functionality of FinS in clients accessing the system and equipped with the named OS(s).5

1.14.5. A small percentage of users might be still using the legacy workstation configuration with specifications as shown in §1.13. The new FinS shall stay compatible, unless Oracle stops supporting any product in the Legacy configuration.

1.14.6. The Target Technical Architecture shall be documented by the Contractor.

5 In principle, Oracle EBS 12.2 has been certified with Windows 10 and Internet Explorer 11 since 2015. See https://blogs.oracle.com/stevenchan/windows-10-certified-with-oracle-e-business-suite




1.15. References

1.15.1. Compliance Documents

A. IEEE Standard 12207- 2008 IEEE Standard for Information Technology - Software Life Cycle Processes, 2008.

B. IEEE Standard 1058-1998, IEEE Standard for Software Project Management Plans, 1998.

C. IEEE Standard 1016-2009, IEEE Standard for Information Technology-Systems Design-Software Design Descriptions, 2009.

D. Unified Modelling Language (UML) 2.5, Object Modelling Group, June 2015.

E. Oracle Unified Method (OUM), version 6.4, 2016.

F. The Concise Oxford English Dictionary, 12th edition, 2011.

G. NATO Financial Regulations, C-M(2015)0025, 2015.

1.15.2. Other Reference Documents

H. Capability Package 9C0103, Functional Services for Logistics C2.

I. FinS ACO Business Processes, Functional Architecture and Use Cases, v14.0, April 2011.

J. FinS IMS Budget Group Business Processes, Functional Architecture and Use Cases, v. 00.25, December 2012.

K. MD.040-Application Extension Patching Instructions, NCIA, 2018.

1.15.3. Separate Annexes to the Statement of Work

L. LOGFS Finance System Requirements, RFQ-CO-14624-LOGFS, Book II, Part IV, Annex A.

M. LOGFS Finance Project Management Plan Template, RFQ-CO-14624-LOGFS, Book II, Part IV, Annex D.

N. LOGFS Finance Product Description Template, RFQ-CO-14624-LOGFS, Book II, Part IV, Annex E.




2. PROJECT MANAGEMENT 2.1. Introduction

2.1.1. This section outlines the Project Management Task Area for the NATO FinS Phase 2 implementation project.

2.1.2. The goal of the Contractor’s project management shall be, wherever possible, to eliminate problems and to ensure that those problems that do occur are identified early, assessed accurately, and resolved quickly in partnership with the Purchaser.

2.2. Project Management Methodology

2.2.1. By default, the Contractor shall apply the PRINCE2 project management methodology to the planning, delivery and control of services under this Contract. A Project Management methodology equivalent to PRINCE2 (e.g. PMI) is also acceptable.

2.2.2. Additionally, the Purchaser requires the use of the OUM to run the project (See Reference E).

2.3. Purchaser Team

2.3.1. Project Manager: The Purchaser Project Manager (PPM) shall act as the Purchaser’s representative and shall be the primary interface between the Contractor and Purchaser after the Effective Date of Contract (EDC). The PPM shall be supported by specialists in certain areas who may, from time to time, be delegated to act on the Project Manager’s behalf in their area of expertise. The PPM reports to the LOGFS Finance Project Board and chairs the IPMT (see §2.5.2).

2.3.2. Contracting Officer: The Purchaser Contracting Officer (PCO) is the only person in the project who can sign any commercial contracts, instructions or transactions. The PPM, IPMT members or any other NATO personnel may not make changes to the terms and conditions of the Contract. They may only provide the Purchaser’s interpretation of technical matters. All changes to the Contract shall be made through the PCO only.

2.3.3. Technical Lead: The Purchaser Technical Lead (PTL) is a knowledgeable member of the Purchaser team who can act as the technical liaison between the Contractor’s technical team and any technical staff on the NATO side. PTL is also the liaison to the NCIA ERP Team managing the current FinS system day to day.

2.4. Contractor Team

2.4.1. The Contractor shall provide all necessary manpower and resources to conduct and support the management and administration of operations in order to meet the objectives of the project, including taking all reasonable




steps to ensure continuity of Contractor’s personnel assigned to work on this project.

2.4.2. The following members of the Contractor team are key personnel for this project and are named the Core Team.

2.4.2.1. Project Manager. The Contractor shall designate a Contractor Project Manager (CPM), who shall direct and co-ordinate the activities of the Contractor's project team. The CPM shall be the Contractor's primary contact for the PPM and shall conduct all major project design, test, and review meetings (see §6.3 for the required skillset).

2.4.2.2. Functional Lead. The Contractor shall designate a Contractor Functional Lead (CFL) for the project. The CFL shall lead the functional analysis, design, integration and follow-on enhancement efforts of the Contractor (see §6.4 for the required skillset).

2.4.2.3. Solution Architect. The Contractor shall designate a Contractor Solution Architect (CSA) for the project. The CSA shall lead the technical analysis, design, development, integration and follow-on enhancement efforts of the Contractor (see §6.5 for the required skillset).

2.4.2.4. Test Manager. The Contractor shall designate a qualified individual to serve as the Contractor Test Manager (CTM) for all test activities conducted under this Contract (see §6.6 for the required skillset).

2.4.2.5. Quality Manager. The Contractor shall designate a qualified individual to serve as the Contractor Quality Manager (CQM) for Quality activities under this Contract (see §6.7 for the required skillset). The CQM should be organisationally separated from the CPM for independent Quality Assurance.

2.4.2.6. Commercial Manager/Contracting Officer: The Contractor shall designate a qualified individual as Contracting Officer (CCO) to be a counterpart to the PCO. The CCO shall be qualified to sign contracts and engage in other contractual activities with the PCO as required.

2.4.3. Relevant members of the Core Team shall be stationed in Mons, working with the NCIA ERP Team, during project execution. The CPM and CSA are the two members of the Core Team who shall certainly be in Mons.

2.5. Operational User Involvement

2.5.1. The User Community is involved in the project throughout the different phases and in different roles.

2.5.2. The Integrated Program Management Team (IPMT) consists of the PPM, CPM, PTL, CSA, all relevant stakeholders from the user community (covering SHAPE J8, ACT BUDFIN and IMS BG) and the Host Nation as required. It is a consultative body assisting the PPM and guarantees high-level of involvement from the user side. IPMT members would typically be




present in weekly checkpoint meetings and formal milestones, but could be consulted outside meetings as required. They are also involved in clarifying and refining requirements and scope. Many of them will be involved throughout the development as “ambassadors”.

2.5.3. The Contractor shall involve (e.g., through participation in working groups reviews, workshops, Formal Reviews, test events) appropriate operational users for input to, review of and testing of the project deliverables throughout the life span of the Contract work (i.e., requirements refinement to system activation). This involvement could go beyond the members of the IPMT.

2.5.4. The Contractor shall arrange operational user participation through the PPM or PTL.

2.6. Purchaser Furnished Items (PFI)

2.6.1. Infrastructure

2.6.1.1. The Purchaser will provide access to test and integration facilities for the FinS at its premises at NCIA at SHAPE, Belgium. WP5, if exercised, will require access to the NCIA Data Centre in Lago Patria.

2.6.1.2. The Purchaser will provide a baseline version of the software source code and supporting modelling, design, and configuration management documentation where available.

2.6.1.3. The Purchaser will provide Contractor Core Team working at Purchaser locations as part of Work Packages under this Contract with the items in Table 1.

Serial Requirement

1 A desk, cubicle, workstation, or workbench, as appropriate

2 Standard office furniture 3 Common expendable office supplies 4 Access to local telephone service 5 Access to the internet 6 Access to utilities within the work area

Table 1 – List of Purchaser Furnished Items at Purchaser Site

2.6.1.4. The Core Team from the Contractor will be stationed at NCIA Mons, to coordinate with the FinS System Management Team and to be able to leverage the expertise available at SHAPE J8/ACT BUDFIN and IMS BG. The Contractor can employ additional personnel back in their premises to support the project implementation.

2.6.1.5. All work on the FinS system shall be conducted using the NCIA Business Network.

2.6.2. Purchaser provided documentation.




2.6.2.1. The Purchaser will provide the documentation listed in Annex C for the Contractor to be used during the execution of the contract:

2.6.2.2. The Purchaser will provide the Contractor, at EDC, with technical descriptions of existing NATO systems as required for the purpose of determining specific interface requirements between the FinS capability and these systems.

2.6.2.3. The Purchaser will make available to the Contractor the facilities necessary to test and demonstrate FinS compliance with required interfaces to existing NATO systems.

2.6.3. Other Purchaser Support

2.6.3.1. The Purchaser will support the Contractor in the provision of the required databases or access to production systems. However, Environment Preparation, Environment Management, Data Preparation, Data Migration and all other activities on the non-production instances, including backup and other operational activities are the responsibility of the Contractor.

2.6.3.2. The Purchaser will provide the required infrastructure/platform support required for the non-production instances the Contractor manages.

2.6.3.3. The Purchaser will ensure that SHAPE J8/IMS BG/ACT BUDFIN provides the relevant resources for the purpose of knowledge transfer to the Contractor about gaps that may exist.

2.6.3.4. The Purchaser will ensure that all workstations are compliant with requirements for NCIA FinS use.

2.6.3.5. The Purchaser is responsible that NCIA security experts will produce the necessary security documentation, both in the form of updates of existing sets of documents where applicable, and in the form of new sets of documents development where necessary.

2.6.3.6. The Purchaser will provide the databases/environments in support of the implementation: DEV/TEST/UAT/PROD.

2.7. Co-ordination with Other NATO Projects

2.7.1. The NATO CIS environment will be under continual development by other NATO projects that are being implemented in parallel with FinS.

2.7.2. The Purchaser will inform the Contractor and provide more detailed information concerning the changes in the operational or technical environment that may emerge as a result of these projects.

2.7.3. The Contractor shall advise the Purchaser on the cost, schedule, and performance impacts of such changes on the project. Assessments requiring




in-depth analysis shall be addressed as separate activities under a Work Package.

2.8. Cooperation with NCIA for FinS Oracle Applications Environments preparation

2.8.1. NCIA will be responsible to provide the infrastructure and platform support needed for all the Oracle ERP environments for the development, testing and activation of the FinS Phase 2 implementation. However these shall be prepared, installed, managed and tested by the Contractor.

2.8.2. The Contractor shall support and provide all necessary information to NCIA in an effective and timely manner to achieve the required outcome. The Contractor shall specify to NCIA:

2.8.2.1. The number and type of working Oracle ERP environments needed to implement the proposed IT solution in a project Environment Plan. This plan could be captured as part of the Test Strategy (TE.010) to be reviewed as part of the LAR milestone (see §4.4). The Purchaser, however, reserves the right to modify or deny all or part of the Environment Plan requested by the Contractor and make reasonable alternatives available as determined by on-going NCIA operational conditions.

2.8.2.2. The correct installation of each environment/instance;

2.8.2.3. Information and updates on Critical project milestones;

2.8.2.4. Verification that installation and activation procedures have been correctly followed;

2.8.2.5. The correct loading of test and production data.

2.8.3. The Contractor shall specify to NCIA the number and type of software tools needed to implement the proposed IT solution. The Purchaser, however, reserves the right to modify or deny all or part of the list requested by the Contractor and make reasonable alternatives available as determined by on-going NCIA operational conditions.

2.9. Project Website

2.9.1. The Contractor shall manage a project website that may be hosted on any publicly accessible Internet web server.

2.9.2. The Contractor shall implement an access control mechanism to restrict viewing of all contents of the website to a list of users approved by the PPM and administered by the Contractor.

2.9.3. The Contractor shall maintain on this website all unclassified FinS Phase 2 implementation project documentation, be it management products or




specialists products, as soon as it is submitted in first draft version to the Purchaser.

2.9.4. The Contractor shall publish on the FinS implementation website:

2.9.4.1. Project management information, including the PMP, the PMS, the PBS and the PFD, Project Status Reports, RAID Log, Quality Log, all Change Requests regardless of their status, the Change Log;

2.9.4.2. SOW and its annexes, all presentation material from Design Review(s) and other meetings; Purchaser-approved minutes of meetings, and background and guidance documents referred to in the SOW;

2.9.4.3. Vendor-provided technical documentation pertaining to the COTS integrated into the FinS for FinS Phase 2 implementation;

2.9.4.4. Other documents as directed by the CPM or the PPM.

2.9.5. The website shall identify all relevant classified documents by title, unless a title is itself classified. The classified documents shall be exchanged between the Purchaser and Contractor using the relevant security procedures and shall be separately stored and baselined by the Purchaser.

2.9.6. The Contractor shall initiate the Project Website before the Kick-off Meeting.

2.9.7. The website content shall be provided to the Purchaser at the final milestone on a DVD. The website can be de-commissioned 4 weeks after this delivery and shall be accessible until that happens (If WP2 is not exercised, the final milestone mentioned here will be P2.1E, otherwise it will be P2.2E).

2.10. Project Management Planning

2.10.1. The Contractor shall establish, provide and maintain a Project Management Plan (PMP) which shall describe how the Contractor shall implement the totality of the project, including details of the project control that shall be applied.

2.10.2. The PMP shall identify all major Contractor operating units and any Subcontractors involved in the development of the FinS Phase 2 implementation and a description of the portion of the overall effort or deliverable item for which they are responsible.

2.10.3. The PMP shall cover all aspects of the project implementation, including the Contractor’s project management structure and project control processes, personnel assignments, and external relationships necessary to provide the capability as required by this Contract.

2.10.4. The PMP shall be sufficiently detailed to ensure that the Purchaser is able to assess the Contractor plans with insight into the Contractor’s plans, capabilities, and ability to satisfactorily implement the entire project in conformance with the requirements as specified in this SOW.




2.10.5. The PMP shall describe how the various project management processes (Configuration Management, Risk Management, and Quality Assurance etc.) are integrated, either via a tool set and/or internal project management practices.

2.10.6. The PMP shall describe how Project Website shall be used to maintain communication between the Purchaser and the Contractor.

2.10.7. The PMP shall cover at least the following areas:

2.10.7.1. Project Definition

2.10.7.1.1. Vision. This section describes the vision of the Contractor for the delivery of this Contract.

2.10.7.1.2. Objectives. This section lists the objectives for the project.

2.10.7.1.3. Project scope. This section defines the breakdown of the project such as Work Packages, main tasks etc.

2.10.7.1.4. Major Deliverables. This section describes the main deliverables of the project.

2.10.7.1.5. Constraints. This section describes the constraints that are imposed by the Statement of Work or by the Contractor’s own processes or approach.

2.10.7.1.6. Assumptions. This section lists all the assumptions the Contractor shall be working under.

2.10.7.1.7. Dependencies. This section lists all the internal and external dependencies for the project, including the Purchaser Furnished Items the Contractor will be depending upon.

2.10.7.1.8. Critical Success Factors. This section defines the high-level business objectives, success criteria for these objectives and the measurement methods or metrics for these criteria.

2.10.7.1.9. Acceptance Criteria. This section shall list all the deliverables and the acceptance criteria for them. However, the details shall be captured in individual Product Descriptions for these deliverables (as defined in PRINCE2).

2.10.7.2. Project Approach and Guiding Principles

2.10.7.2.1. Project Approach. This section describes how the project would be executed, as per PRINCE2.

2.10.7.2.2. Methods and Best Practices. This section describes the methods and best practices to be used within the project.




2.10.7.2.3. Tools. This section describes the tools to be used for the delivery within the project.

2.10.7.3. Project organization

2.10.7.3.1. Internal structure, including a project organizational diagram.

2.10.7.3.2. Roles and responsibilities of each organizational unit.

2.10.7.3.3. Key personnel, their qualifications, and their responsibilities.

2.10.7.3.4. Organizational boundaries between the project organization and the parent and subcontracted organizations.

2.10.7.4. Project management processes

2.10.7.4.1. Project start-up, including staffing, basis of cost and schedule estimates, and project infrastructure.

2.10.7.4.2. Project control, including monitoring, reporting, and change management of work packages.

2.10.7.4.3. Issue management, including the identification, reporting, assessment, and logging of project issues.

2.10.7.4.4. Communications management, including the Project's Website, its establishment, maintenance and use, Project Status Reports and all other communications with the Purchaser.

2.10.7.4.5. Risk management, including the Contractor’s process for risk identification, assessment, mitigation, monitoring, and reporting.

2.10.7.4.6. Change Management, including the handling of change requests, the change control process to be utilised etc.

2.10.7.4.7. Purchaser involvement via Formal Reviews, Implementation Working Group Workshops, (in) formal meetings, reporting, modification and change, implementation, verification, approval, acceptance and access to facilities.

2.10.7.4.8. The PMP shall describe how Contractor will establish and use quality management programme, including quality assurance of work processes, internal verification and validation, Formal Reviews and audits.

2.10.7.4.9. The PMP shall define the major quality checkpoints that will be implemented while executing the project and the quality process to be used at each checkpoint.

2.10.7.4.10. The PMP shall cite any references used in the quality management, such as methodologies, tools or best practice material.




2.10.7.4.11. The PMP shall identify the organization and responsibilities of the quality assurance team and its relation to the project team.

2.10.7.4.12. If sub-contracted quality resources are used, the PMP shall describe the controls and processes in place for monitoring the sub-Contractor's work against agreed timelines and levels of quality.

2.10.7.5. Communications Management. This section describes the methods for communication, reporting, meetings, the plans for internal and external communications.

2.10.7.6. Annexes

2.10.7.6.1. Project Master Schedule, as described in §2.13.

2.10.7.6.2. Product Breakdown Structure, as described in §2.11.

2.10.7.6.3. Work Breakdown Structure, as described in §2.12.

2.10.7.6.4. RAID Log, as described in §2.14.

2.10.7.6.5. Risk Management Strategy, as described in §2.14.

2.10.7.6.6. Issue Resolution Strategy, as described in §2.14.

2.10.7.6.7. Quality Plan, as described in §2.16.

2.10.7.6.8. Quality Log, as described in §2.16.1.3.

2.10.7.6.9. Sample Project Highlight Report, as described in §2.18.

2.10.7.6.10. Sample Change Request Form and Change Log, as described in §2.15.2.

2.10.7.6.11. Sample Checkpoint Report, as described in §2.17.2.

2.10.7.6.12. Key Products and Milestones.

2.10.8. The approval of the PMP by the Purchaser signifies only that the Purchaser agrees to the Contractor’s approach in meeting the requirements. This approval in no way relieves the Contractor from its responsibilities to meet the requirements stated in this Contract. The requirements of the Contract supersede any statement in the PMP in case of any conflict, ambiguity or omission.

2.10.9. The Contractor shall ensure that the PMP remains current throughout the duration of the Project to reflect the actual state of the Contractor's organisation and efforts, and maintain a current copy on the Project Website.

2.10.10. A Template for the PMP is provided as Annex D to this SOW (Reference M).




2.11. Product Breakdown Structure

2.11.1. For the purpose of this contract, the deliverables are split into two categories: management products and specialist products. Management products are all contract deliverables and PFIs covered under the Project Management activities in Section 2. Specialist products are all other deliverables and PFIs in this Contract.

2.11.2. The Contractor shall establish and maintain product-based planning which shall include a product description of all products of the project, a project Product Breakdown Structure (PBS).

2.11.3. The PBS shall describe the hierarchical structure that breaks down a final product into its constituent sub-products. The PBS shall distinguish between management products and specialist products.

2.11.4. The PBS shall describe the products to a sufficient level of detail to understand what is needed to build the final product and to clarify and identify all necessary work for the creation of the final product. The PBS shall be used to identify the work packages in the Project Work Breakdown Structure.

2.11.5. Each Product in the PBS shall have a Product Description that is sufficiently detailed to understand the purpose and function of the product and the level of quality required of the product. The revised PMP reviewed in the PMR milestone shall have a PD for all of the products included in FinS Phase 2.1. The revised PMP in the FSA milestone shall have the PDS of all new products needed in FinS Phase 2.2. See Annex E for a template for Product Description documents.

2.11.6. The Contractor shall not change the PBS without the approval of the Purchaser.

2.12. Work Breakdown Structure

2.12.1. The Contractor shall establish and maintain a project Work Breakdown Structure (WBS).

2.12.2. The WBS shall define the major work packages and the relationship between the work packages and the end product.

2.12.3. The WBS shall describe the work packages to a level that exposes all project risk factors and allows accurate estimate of each work item’s duration, resource requirements, inputs and outputs, and predecessors and successors.

2.12.4. The WBS shall identify for each work item its duration, resource requirements, inputs and outputs, predecessors and successors, assumptions, constraints, dependencies, and requirements for Purchaser support.




2.12.5. The Contractor shall plan work contained within the lowest-level WBS components for the Work Packages (WPs) in Contractor’s scope.

2.12.6. The WBS shall be used as the primary framework for Contract planning and reporting to the Purchaser.

2.12.7. The Contractor shall not change the WBS without the approval of the Purchaser.

2.13. Project Master Schedule

2.13.1. The Contractor shall establish and maintain a Project Master Schedule (PMS) that contains all Contract events and milestones, including Contract-related Purchaser events (e.g., Purchaser reviews, provision of specific Purchaser-furnished items). The PMS shall correlate with the WBS and also be traceable to performance and delivery requirements of this SOW.

2.13.2. The PMS shall depict the sequence, duration, and relationship among WBS, Task orders, work packages and work items, including internal QA events.

2.13.3. The PMS shall identify the start and finish dates, duration, predecessors, successors, and resource requirements for each work item.

2.13.4. The PMS shall include the delivery dates for all management products (e.g., project plans, Project Status Reports), including at least the initial version and the final one.

2.13.5. The PMS shall include activity network, activity Gantt, milestone, and critical path views of the project schedule.

2.13.6. The PMS shall be made available on the Project Website.

2.13.7. The Contractor shall use the Microsoft Project 2010 or later to prepare this schedule and deliver in this format.

2.13.8. The initial version of the PMS shall, upon Purchaser Acceptance, be placed under Configuration and Version Control and the Contractor shall maintain the baselined version of the PMS on the Project Website.

2.13.9. A high-level, summary version of the PMS depicting the Milestone dates (see §4.1) and other significant dates shall always be available for checkpoint reviews and any milestone review meeting.

2.14. Risk and Issue Management, RAID Log

2.14.1. The Contractor shall establish a Risks, Assumptions, Issues, Decisions (RAID) Log for the project. Each item in this Log shall correspond to a Risk, Assumption, Issue or Decision.

2.14.2. The Contractor shall make the RAID Log available on the Project Website.




2.14.3. The Contractor shall update and report changes in the RAID Log at weekly checkpoint meetings and all formal review meetings.

Risks

2.14.4. The Contractor shall establish a risk management process and perform risk management throughout the period of performance of this Contract.

2.14.4.1. In the RAID Log, the Contractor shall identify any management, technical, schedule, and cost risks.

2.14.4.2. The Contractor shall rate each risk as High, Medium, or Low, based on its probability of occurrence and its impact on cost, schedule, and quality.

2.14.4.3. The Contractor shall identify for each risk the measures being taken to mitigate any risk rated as high on any factor and make an assessment of the risk rate in case of implementation of the mitigation measures.

2.14.5. The Contractor shall include in the Project Status Report a chart that lists all active risks rated high on any factor and note any significant forecasted changes in these risks.

2.14.6. Risk Movement is an information which shall be provided in checkpoint review meetings.

Assumptions

2.14.7. The Contractor shall use the RAID Log for recording assumptions about the project. All assumptions shall be verified by the Purchaser and the status shown on the RAID Log.

2.14.8. Assumptions resulting in changes do not automatically mean the changes are approved. Any assumption raising a CR shall trigger the normal Change Management process so that the raised CR is processed as usual.

2.14.9. Changes in assumptions could be the cause of any effort and cost increases to be captured in the System Implementation Plan (SIP) at the end of Phase 2.1, thus the RAID Log shall be used as a means of tracing back cost increases to changes in assumptions.

Issues

2.14.10. The Contractor shall use the RAID Log for monitoring of issues identified and raised by the Contractor or the Purchaser or any member of the IPMT.

2.14.11. Issue Movement is an information which shall be provided in checkpoint review meetings.




Decisions

2.14.12. The Contractor shall use the RAID Log to record all decisions taken in the process. All decisions shall be approved by the Purchaser and the status shown on the RAID Log.

2.14.13. Decisions resulting in changes do not automatically mean the changes are approved. Any decision raising a Change Request (CR) shall trigger the normal Change Management process so that the raised CR is processed as usual.

2.15. Configuration Management

2.15.1. General

2.15.1.1. The Purchaser shall be responsible for the application of all necessary CM procedures throughout the duration of the Contract.

2.15.1.2. The Purchaser shall maintain a version control system as part of its CM program.

2.15.1.3. This version control system shall allow for the unique identification of all changes to the deliverables including documents, no matter how minor the change.

2.15.1.4. The Contractor is obliged to use the source and version control system the NCIA SSBA SL Team is managing for their Oracle EBS maintenance.6

2.15.2. Change Requests

2.15.2.1. The Contractor shall establish and maintain a process for identifying, reviewing, approving, and tracking all requests for changes to FinS baselines.

2.15.2.2. Change Requests (CR) identify proposed changes to requirements, to design or to software baselines.

2.15.2.3. The Contractor shall prepare and manage Change Requests as follows:

2.15.2.3.1. Class 1 Change Requests affect the documentation and baselines managed by the FinS Configuration Control Board. In principle these will be CRs changing, deleting or adding requirements, or changes that have an impact on milestones or user involvement.

2.15.2.3.2. Class 2 Change Requests are changes that impact some aspect of the project or contract, but are not in the domain of requirements and do not have any impact on user engagement or on milestone dates. The

6 Currently the SSBA SL Team is using Apache SubVersion as the Source Control and Configuration Management tool.




PPM is empowered to decide on these without involving the full LOGFS Finance Change Advisory Board (CAB).

2.15.2.3.3. Class 3 Change Requests affect the baseline managed by the Contractor’s Configuration Control Board and can be approved without Purchaser review by the Contractor. These are provided through project reports for information only. Class 3 CRs shall not have an impact on the Contract.

2.15.2.4. Any Change Request (CR) shall contain, at a minimum, the information in Table 2.

Serial Requirement 1 Identification number per request 2 Requestor’s identity 3 Date of request 4 CR class 5 Type of change (e.g. delete, add, etc.) 6 Requested change description 7 Status of request (how it was addressed – e.g.

completed, not addressed, etc.) 8 Comment/Resolution of the request 9 If the requested change impacts the cost, design,

implementation, licensing scheme, or any other contractual documentation, then two other areas shall be addressed:

• Impact on schedule, cost, performance, or any other contractual requirements (based on an analysis)

• Priority for handling (high/critical/urgent, medium/sensitive/important, low)

Table 2 – Content of Change Requests

2.15.2.5. CRs shall be stored on the Project Website along with any statistics, status information and dashboards.

2.15.2.6. Any member of the IPMT shall be able to raise a CR using the Project Website.

2.15.2.7. The Contractor shall store a Change Log on the Project Website listing all the CRs, their status and relevant dates.

2.15.3. Deficiency Reports

2.15.3.1. The Contractor shall establish and maintain a process for reporting, tracking, and resolving deficiencies. A deficiency, by definition, would be a wider concept than a Defect, which would normally be detected during tests.




2.15.3.2. Deficiency Reports (DRs) document problems during the design, configuration, implementation, or operation of the FinS capability

2.15.3.3. DRs shall be closed when the identified problem is resolved through procedure or other action that does not affect the system baselines, or when a corresponding Change Request is opened to correct the deficiency through a change.

2.15.4. Oracle Application Testing Suite (OATS) is going to be used for test scenarios and test automation. It shall be used for storing and managing deficiencies during project implementation. Transition to the ITSM system after Go Live shall be supported by the Contractor.

2.16. Quality Management

2.16.1. General

2.16.1.1. The Contractor shall support NATO with the establishment, execution, and maintenance of an effective Quality Management program throughout the Contract lifetime.

2.16.1.2. The program shall ensure that procedures are developed, implemented and maintained to adequately control the design, development, production, testing, configuration management, and support of all deliverables.

2.16.1.3. The Contractor shall support the establishment and maintenance, as part of the Project Website, of a project Quality Log, as specified in PRINCE2 that lists all planned and performed quality checks on Contractor deliverables. The Quality Log shall be reviewed during the monthly PHR reviews (see §2.18).

2.16.2. Quality Assurance Plan

2.16.2.1. The Contractor shall support NATO in planning project quality assurance activities by means of a Quality Assurance Plan (QAP).

2.17. Meetings

2.17.1. General

2.17.1.1. Unless otherwise specified, at least one week before all meetings (other than weekly checkpoint meetings) required under this Contract, the Purchaser shall send an invitation, including the information in Table 3. Serial Requirement

1 Purpose 2 Agenda 3 List of participants 4 Date, hour, place, duration

Table 3 – Content of Meeting Invitation




2.17.1.2. The Contractor shall record meeting minutes and post them on the Project Website within 3 working days after the meeting.

2.17.1.3. The meeting minutes shall include the information in Table 4. Serial Requirement

1 Input documents 2 Time and date of the event 3 Participants 4 Comments raised 5 Decisions taken

Table 4 – Content of Meeting Minutes

2.17.1.4. The minutes shall not be used as a mechanism to change the terms, conditions or specifications of the Contract, or as a vehicle to alter the design or configuration of equipment or systems. Such changes shall only be made by agreement, amendment or by authorised mechanisms as set forth in the Contract, although Change Requests can be raised as a result of recorded intent in meetings.

2.17.1.5. Video-conferencing (VTC) facilities will be provided for members attending remotely, if feasible.

2.17.2. Weekly Checkpoint Meetings

2.17.2.1. These meetings shall include the PPM, PTL, CPM, CSA, relevant IPMT members and other stakeholders if required, depending on on-going project activities. These meetings will be held via VTC for members outside Mons.

2.17.3. Contract Milestone Meetings

2.17.3.1. CPM, CSA and CCO, PPM, PTL and PCO. PTL and CSA or any other stakeholders could be present as needed. These meetings are held after any milestone activities are completed and would determine if the milestone was passed successfully or whether more work is needed to complete all the required deliverables for the milestone. In principle these meetings are face-to-face and are to be held at the Purchaser’s facilities (Mons, Brussels or The Hague).

2.17.3.2. Milestones are described in detail in Section 4.

2.17.4. Formal Reviews

2.17.4.1. Formal Reviews shall be conducted before all Project Milestones as described in §4.1.

2.17.4.2. Four weeks before each Formal Review, the Contractor shall send an invitation to the participants and an organisation paper, including as a minimum the information in Table 5.




Serial Requirement 1 Agenda 2 List of participants, 3 Date, hour, location of the Formal Review

Table 5 – Information for Formal Review invitations

2.17.4.3. The review follows the principles in §7.4.

2.17.5. Other Meetings

2.17.5.1. FinS CAB Meetings

2.17.5.1.1. The FinS Change Advisory Board (CAB) meets regularly to discuss changes to the existing FinS baseline. CRs submitted by the Phase 2 implementation project shall regularly be discussed by the FinS CAB.

2.17.5.1.2. When there are any CRs from the Phase 2 implementation project in the CAB Agenda, the CPM or designated representative shall participate in the FinS CAB meetings as requested by the PPM.

2.17.5.1.3. The Contractor shall provide the status of all active CRs to the CAB.

2.17.5.1.4. Attendance in person is preferred but video or telephone conferences may be accepted by the Purchaser if meeting agendas are too short to justify travel.

2.17.5.2. Additional meetings

2.17.5.2.1. The Contractor shall identify to the PPM any other meetings with NATO personnel required to support this Contract.

2.17.5.2.2. Upon approval by the PPM the Contractor shall schedule and conduct such meetings, which shall be mentioned in that month's Project Highlight Report.

2.18. Monthly Project Highlight Reports

2.18.1. The Contractor shall provide, no later than the third business day of each month, a Project Highlight Report (PHR). This report shall summarise activities, including the information in Table 6.

Serial Requirement

1 Summary of contract activities during the preceding month, including the status of current and pending Work Packages;

2 Progress of work and schedule status, highlighting any changes since the preceding report;

3 Status of action items




4 Description of any identified problems, anomalies and high risk areas with proposed solutions and corrective actions;

5 Test(s) conducted and results;

6 Financial status (if relevant)

7 Changes in Contractor personnel assignment, as approved by the Purchaser;

8 Summary of Change Requests requested, recommended or approved;

9 Report on maintenance calls by number, type, and actions taken;

10 Plans for activities during the following reporting period.

Table 6 – Content of Project Highlight Reports

2.18.2. The draft PHR shall be discussed in an extended checkpoint review meeting and changes shall be agreed, after which the final report will be distributed to all stakeholders.

2.18.3. The Contractor shall maintain an archive of PHRs on the Project Website.

2.19. System Implementation Plan

2.19.1. Based on the results of Phase 2.1 activities, the Contractor shall provide and maintain a System Implementation Plan (SIP). This plan shall cover everything to be done together or separately on the three instances to cover ACO, ACT and IMS in Phase 2.2.

2.19.2. The SIP shall detail the Construction, Transition and Production phases as well as the tools identified by the Contractor to conduct all system implementation activities.

2.19.3. The Contractor shall structure the SIP so that general implementation information is maintained in the body of the plan and -specific details are kept as annexes. The SIP can also refer to other OUM documentation produced during Phase 2.1 instead of copying the information over.

2.19.4. The SIP shall include full cost and level of effort details envisioned for Phase 2.2. Any significant cost or level of effort changes shall be mapped to Change Requests assessed and approved during Phase 2.1 implementation.

2.19.5. The SIP shall provide the overview of the Phase 2.2 schedule and shall also include as an Annex an updated Project Master Schedule for Phase 2.2. There is also specific requirement to produce all of the Product Descriptions for all new products introduced for Phase 2.2.




2.19.6. The Go Live sequence and dates reflected in the updated PMS shall be co-ordinated by the Contractor with the Purchaser and the Finance Community POCs for realism.

2.19.7. The SIP shall be provided to the Purchaser for acceptance. Upon Purchaser Acceptance, the SIP shall be placed under the Purchaser’s Configuration Control Board.

2.19.8. The acceptance of the SIP by the Purchaser signifies only that the Purchaser agrees to the Contractor’s approach in meeting the requirements. This acceptance does not imply the exercising of the options for WP2, WP6, WP7, WP8, WP9, WP10, WP11 nor it in no way relieves the Contractor from its responsibilities to meet the requirements for Phase 2.2 stated in this Contract.

2.19.9. The SIP is going to be used in enabling Phase 2.2 to start. The review of the final SIP is performed during the P2.1E Milestone.

2.19.10. The following are the constituent parts of the SIP:

2.19.10.1. An updated PMP covering the full scope of Phase 2.2. This includes updated PMS, PBS and WBS.

2.19.10.2. Updated pricing sheets for WP2 through WP5. Change analysis document tracing each change in the pricing sheets to decisions and findings in Phase 2.1 with justification.

2.19.10.3. Detailed implementation plans for WP2 through WP5 demonstrating how the implementation will be executed.

2.19.10.4. The SIP can use and refer to any other deliverable produced within Phase 2.1 in order not to repeat the information.




3. TECHNICAL 3.1. General

3.1.1. This section outlines the System Development and Implementation requirements of the LOGFS Finance Phase 2 implementation Contract.

3.1.2. The FinS Phase 2 implementation Project shall comprise off-the-shelf products, previously configured under FinS R12.1.3 PROD baseline for the three entities and any new Oracle EBS modules or 3rd Party tools. It is assumed that minimal CEMLI’s will be required to adapt these products to meet the implementation requirements. The same principle shall be applied to new modules used to cover the LOGFS Finance Phase 2 requirements.

3.1.3. The Contractor shall develop the initial System Design based on an analysis of the Purchaser's requirements, integrate its components to establish the LOGFS Finance Phase 2 Baseline, and plan and execute a series of tests to confirm that this baseline meets its functional, non-functional, security and interface requirements.

3.1.4. The scope for system development and implementation activities in FinS Phase 2 implementation Contract includes:

3.1.4.1. Requirements Capture and Analysis for the requirements or interfaces.

3.1.4.2. System Design for adaptation of the existing design as required to implement identified requirements for new CEMLI’s or to de-commission existing CEMLIs with the intention to use standard EBS functionality instead.

3.1.4.3. System Engineering, including configuration of the customisations, development of data migration/enhancement scripts and interfaces.

3.1.4.4. Functional, non-functional, integration and acceptance testing of the solution.

3.1.4.5. Deployment to the Production System in Mons.

3.1.5. The Contractor shall use the OUM as closely as possible. Sections below explain how some of the OUM activities or documents shall be mapped to the formal milestones included in this SOW.

3.1.6. The existing set of documentation (as listed in Annex C) will be provided to the Contractor to start as a baseline for documentation.

3.2. Requirements

3.2.1. A set of system requirements for the FinS Phase 2 implementation has already been developed during the initial implementation effort. These can be found at the SOW Annex A.




3.2.2. These requirements cover all the User Operational Requirements and non-functional requirements that are above and beyond what is already being satisfied by the current FinS implementation in place. Thus there is no superfluous requirement in Annex A.

3.2.3. The Contractor shall verify and detail these requirements through workshops and other means in Phase 2.1. These shall be recorded in new or updated OUM documents.

3.2.4. Requirements are mapped to certain optional Work Packages for implementation (WP2 through WP11). All of these requirements shall be covered in Phase 2.1, even if there might be a decision later not to implement them.

3.2.5. Updated requirements shall be reviewed as part of the Lifecycle Architecture Review (LAR) Milestone at end of the Elaboration Phase, as depicted by OUM (see §4.4).

3.3. Mapping and Configuration

3.3.1. The objective of Mapping and Configuration is to create an acceptable and feasible prototype solution that can be validated and then is well documented.

3.3.2. The Contractor shall evolve these through demonstrations, workshops and other means. These shall be recorded in new or updated OUM documents.

3.3.3. This activity will include the initial decisions on whether each requirement can be satisfied using standard out-of-the-box EBS functionality or a customisation is required.

3.3.4. The Contractor shall also start a traceability matrix to track the traceability between, requirements, solution (standard, CEMLI or 3rd party COTS), test cases and defects. This should facilitate easy reporting and dashboards.

3.4. Analysis and Design

3.4.1. The Contractor shall conduct analysis and design activities for the NATO FinS Phase 2 implementation (including all interfaces to other systems) to meet the System Requirements in Annex A.

3.4.2. The Contractor shall verify these requirements through workshops and other means. These shall be recorded in new or updated OUM documents.

3.4.3. Analysis and Design documents shall describe FinS for the FinS Phase 2 implementation to a level of detail that is sufficient for the Purchaser to be able to understand how:

3.4.3.1. the requirements in the SOW shall be implemented, subject to any changes formally approved during Phase 2.1;




3.4.3.2. to prepare as a basis for preparing the Security Accreditation and providing the hardware, IaaS and Software for Phase 2.2;

3.4.3.3. the FinS that has been configured for the Phase 2 implementation shall be operated and managed. This aspect will be developed by NCIA as part of the Integrated Logistics Support Plan (ILSP) with input from the Contractor about the Phase 2 implementation details.

3.4.4. Analysis and design documents shall be reviewed as part of the Lifecycle Architecture Review Milestone at end of the Elaboration Phase, as depicted by OUM (see §4.4).

3.4.5. Purchaser review and acceptance of analysis and design documentation shall not imply Purchaser acceptance of the design for the FinS Phase 2 implementation. It remains the sole responsibility of the Contractor to prove the design through the regime of testing set forth in the Contract and it will be the sole responsibility of the Contractor in the event that the system proves deficient in meeting the contractual requirements.

3.4.6. Analysis and Design activities will continue beyond the Elaboration phase and the Lifecycle Architecture Review (see §4.4). Relevant documents will be updated and reviewed as required.

3.5. Technical Architecture

3.5.1. The goal of the Technical Architecture process is to design an information systems architecture to support and realize the business vision.

3.5.2. The process takes the business and information systems requirements and develops a blueprint for deploying and configuring: • Oracle Products and ERP Solutions; • Oracle, third party and custom applications; • supporting application and web server environment integration and data

distribution mechanisms between applications, servers and sites hardware to support computing requirements, including both servers and client desktop platforms, network and communication infrastructure;

• software, tools and processes to monitor and manage the technical architecture environment.

3.5.3. Architecture documents shall be reviewed as part of the Lifecycle Architecture Review Milestone at end of the Elaboration Phase, as depicted by OUM (see §4.4). Relevant documents will be updated and reviewed as required.

3.6. Implementation

3.6.1. The final application is developed within the Implementation process through a number of iterative steps. The results from the Design process are used to implement the system in terms of source code for components, scripts,




executables etc. During this process, developers also implement and perform testing on software components.

3.6.2. Implementation is the main focus of the Construction phase, but it starts early in the Inception phase in order to implement the architecture baseline (trial architecture and prototype if required). During Transition, it occurs in order to handle any defects or bugs discovered while testing and releasing the system.

3.6.3. Implementation aspects shall be recorded in new or updated OUM documents, which will be reviewed as part of the TRR Milestone (see §4.7).

3.6.4. The Purchaser reserves the right to monitor the Contractor's implementation activities to ensure that sound engineering practices are followed.

3.6.5. The Purchaser retains intellectual property rights (IPR) for all project deliverables, including ownership of the source code, for any custom-developed SW product throughout its lifecycle.

3.6.6. Comprising off-the-shelf components, FinS should require little or no unique customisation during Phase 2 implementation. For such custom development as identified during design reviews and agreed to as part of the design decisions, the Contractor shall develop and test software applications and scenarios.

3.6.7. The Contractor shall document custom-developed source code to enable follow-on maintenance by the Purchaser, following the OUM.

3.6.8. The Contractor shall deliver the source code required to allow future maintenance by the Purchaser.

3.6.9. The Contractor shall be responsible for integration of FinS. This means both the integration of the various software products that constitute FinS and the integration of FinS with any NATO systems – within the scope of this Contract.

3.7. Testing

3.7.1. Inception

3.7.1.1. The Contractor shall develop the testing requirements as early as the Inception Phase (TE.005). These requirements should cover all tests throughout the lifecycle of the project. These requirements shall be updated in the following phases.

3.7.2. Elaboration

3.7.2.1. The Contractor shall develop the Testing Strategy (TE.010) based on the identified test requirements. The Testing Strategy develops the project direction as it relates to testing. This should include how testing should be performed in the various stages at the project, which tools should be used




(if any) and how, what metrics should be collected, how test data should be produced and what testing environments should be used in the tests. The strategy should also define the clear entry and exit criteria for all tests.

3.7.2.2. The Contractor shall take into account specific considerations including test data to be used, system interfaces, the scope of testing, the types of testing, testing scenarios and integration testing, data loads, and ad hoc access if required. It defines the recommended approach to testing, and how to manage testing errors, the types of tests to run, what is required to run the tests (including the test environment requirements), when and how (for example, manual versus automated) to run them. It also includes the sequence in which to run the tests. The Contractor shall identify test cases and procedures with a minimum overlap, to test the most important use cases, and to test requirements that are associated with the highest risks.

3.7.2.3. The System Test Plan, the Integration Test Plan, and the Systems Integration Test Plan shall all be developed by the Contractor in this phase. The User Acceptance Test Plan shall be developed by the Purchaser with support from the Contractor.

3.7.2.4. The Contractor shall develop the scripts for the Unit Test and the scenarios for the Integration Test and Systems Test developed.

3.7.2.5. The Contractor shall perform the Unit Test, Integration Test, System Test and a Software Upgrade Test.

3.7.3. Construction

3.7.3.1. The Contractor shall update the System Test Plan, the Integration Test Plan and the Systems Integration Test Plan in this phase. The Purchaser shall update the User Acceptance Test Plan with support from the Contractor.

3.7.3.2. The Contractor shall update the scripts for the Unit Test and the scenarios for the Integration Test and Systems Test.

3.7.3.3. The Contractor shall repeat the Unit Test, Integration Test, System Test, Systems Integration Test and Software Upgrade Test.

3.7.3.4. The Contractor shall perform the Installation Test.

3.7.4. Transition

3.7.4.1. The Purchaser performs the User Acceptance Test with support from the Contractor.

3.7.4.2. The Contractor performs a Performance Test to demonstrate the system performance.




3.7.4.3. The Contractor supports the Independent Testing & Verification and Security Testing processes the Purchaser conducts as a part of the Request for Change process and prior to deployment to Production.

3.7.5. Responsibilities

3.7.5.1. The Contractor shall use OATS for automated testing and reporting, if practicable from a user level-of-effort perspective in supporting the test scenarios.

3.7.5.2. The Purchaser reserves the right to develop additional test procedures and conduct independent testing.

3.7.5.3. The Contractor shall have the overall responsibility for meeting FinS testing requirements, and shall provide the manpower required to integrate FinS capability into the Purchaser environment and to perform/support all tests.

3.7.5.4. The Purchaser will review/approve the Contractor’s test plan and procedures for correctness and completeness, and will monitor and inspect the Contractor’s test activities to ensure compliance.

3.7.5.5. The Contractor shall ensure that its personnel are available and in place to conduct or support each scheduled test.

3.7.5.6. The Purchaser shall ensure that its hardware, software, test equipment, instrumentation, supplies, facilities, and personnel are available and in place to conduct or support each scheduled test.

3.7.5.7. The Contractor and Purchaser shall both provide test data to support developmental, acceptance, and operational testing activities.

3.7.5.8. All the testing shall include regression tests for existing functions or customisations working with a new version of the COTS components of FinS.

3.7.6. Test Failures

3.7.6.1. Classification of Test Failures

3.7.6.1.1. If a failure occurs during testing, the Contractor shall include the failures in the Test Report (individually identified to ensure traceability and with sufficient detail to ensure reproducibility) and carry out a preliminary investigation to classify the severity of the failure as one of the levels shown in Table 7.

3.7.6.2. For the Contractor’s internal tests, the Contractor shall provide an approved list of defects along with their Test Report.




Level Severity Work-around

available

Impact

1 Critical No Show-stopper. System unavailable / work-around unavailable / the function is inoperable and/or the defect blocks execution of >75% of remaining tests.

2 Major Yes Unacceptable. There is a workaround for this defect but the workaround is significantly difficult to execute and/or the user experience is not acceptable

3 Minor Yes Survivable. Minor loss of functionality in a non-critical area or some inconvenience. The function is inoperable for some cases but a reasonable workaround is available. This could also cover environmental issues which could be demonstrated to be as such and test repeated to confirm.

Table 7 – Classification of Failures

3.7.6.3. For the UAT, the users will provide a proposed list of defects along with their Test Report, to be reviewed by the Contractor and Purchaser and approved by the Purchaser. The list will also include the severity of the defects determined by the user.

3.7.6.4. For the independent penetration/security tests, the Purchaser will provide an approved list of defects along with their Test Report.

3.7.6.5. Actions based on test failure (or defect) category

3.7.6.5.1. An individual test will be a failure if a defect with any of the first two categories is discovered.

3.7.6.5.2. The test will be repeated for all failures when the associated defects are fixed (see §3.7.6.6).

3.7.6.5.3. The overall test event will fail if there is one or more Critical or Major defects discovered. The test event will pass if there are no defects or only Minor defects are discovered.

3.7.6.6. Fixing Defects

3.7.6.6.1. If the Test Event has failed due to one or more Critical or Major defects having been discovered, these Critical or Major defects will have to be fixed before the Test Event can be repeated and the next step in the




process is reached. The Test event will have to be repeated for the tests that have unearthed the critical defects.

3.7.6.6.2. If the Test Event is passed (due to the fact that there are no Critical or Major defects discovered), then the Contractor shall take the defects list out of the event and prepare a Fix Plan for all remaining defects. For all such fixed defects, the internal tests and the User Acceptance Test will have to be repeated, but only for the scope of these defects.

3.7.6.6.3. The Fix Plan shall be completely executed before end of Warranty.

3.7.6.6.4. All defects shall be entered to the OATS and will be tracked through this tool. Failures shall also be recorded in the Quality Log.

3.7.7. Unit Testing

3.7.7.1. Unit Tests are tests that validate that the components inputs, outputs, and processing logic function as required. The task is mainly performed in parallel with the actual development of the components.

3.7.7.2. Thinking through how the component should be tested increases the understanding of what the component should do or produce. Also, the component can be immediately tested when developed.

3.7.7.3. In the EBS application implementation, this task is performed only for custom-built components that extend the functionality of the EBS and/or integrate the EBS system with other COTS or legacy systems.

3.7.8. Integration Testing

3.7.8.1. Integration testing is testing the integration of solution components (or test items).

3.7.8.2. Components included in the project would typically fit into one of the following categories, the generated components, the reused components and the hand-coded components. All components, independent on how they are produced and unit tested, should move on to the integration test as soon as the unit test has been completed to ensure that they work properly as a whole.

3.7.9. Systems Testing

3.7.9.1. At the end of each iteration, a system test should be performed to validate the integration between all components that have been developed so far. This allows for an early discovery of integration issues.

3.7.10. Systems Integration Testing

3.7.10.1. Systems integration testing is performed where external systems interface to the new system. The procedures and tools involved in systems integration testing depend upon the nature of the interface, the




operating environment and procedures of the external system, and the kind of solution chosen (for example, XML, messaging, flat files, transparent gateways, procedural gateways or ODBC).

3.7.10.2. Special attention should be given to testing when interfacing to other databases (for example, locking situations).

3.7.11. Installation Testing

3.7.11.1. Install all application components in the System Test Environment to test the installation routines and refine them for the eventual Production Environment. This task is done in parallel with setting up the testing environments.

3.7.12. User Acceptance Testing

3.7.12.1. The Purchaser shall carry out tests of the FinS capability to verify that all SOW requirements are met and to establish benchmarks for system performance and system reliability, maintainability, availability and usability. This shall be referred to as a User Acceptance Test (UAT).

3.7.12.2. The Contractor shall support the UAT on a Purchaser-specified Production-like System. The Contractor shall support the UAT by installing the approved Baseline software on a Purchaser-specified Production-like System and performing selected system acceptance tests.

3.7.12.3. The UAT shall also include testing of all supporting capabilities, including data migration capabilities (if required). Data migration or transformation verification and validation shall include use of test data that is realistic in terms of structure, content and size.

3.7.12.4. The UAT shall be conducted by representatives of the operational communities of ACO, ACT and IMS BG, with support from the Contractor personnel. UAT shall take place separately in the three instances and at ACO (SHAPE in Mons), ACT (Norfolk) and IMS (NATO HW Brussels) locations.

3.7.12.5. The UAT shall be conducted on the basis of test scenarios. UAT test scenarios define the scope of testing, but shall not necessarily be interpreted as a step-by-step strict instruction set to be followed without any deviation. A scenario defines a part of the business process that is being executed and describes how the system shall behave under this scenario for correct operation.

3.7.12.6. The Contractor shall develop an initial version of the Test Scenarios using test data and description of test outcomes developed/produced by the operational community if available. The Purchaser will review, amend with the operational communities of ACO, ACT and IMS BG and approve the UAT Test Scenarios prior to execution.




3.7.12.7. The UAT shall also be conducted on the basis of an operational context. The Purchaser and the operational community will determine which events will provide the context for the additional UAT scope.

3.7.12.8. The Purchaser will produce a UAT test report, to be filled during testing. The final version of this report will constitute a sign-off and shall include all outstanding defects (to be resolved according to the principles in §3.7.6).

3.7.12.9. Before the UAT the Contractor shall provide basic FinS training to the representatives of the operational community participating in the UAT.

3.7.13. Independent Testing and Validation, Security (Penetration) Testing

3.7.13.1. NCIA shall conduct independent testing and validation activities as part of the Request for Change process, before being allowed to deploy the final FinS components to Production.

3.7.13.2. Independent Testing and Validation starts after the UAT is successfully passed.

3.7.13.3. The purpose of these tests is to demonstrate that FinS can be accredited for use on NATO networks within the NCI Agency CIS CCB jurisdiction. A typical IT&V and Security testing would take between 2 to 3 weeks. The Security test takes place right after the IT&V test. The Contractor’s personnel doesn’t participate in conducting the Independent Security test and is not required to be at the Test Facility during this time.

3.7.13.4. The Contractor shall develop and provide system documentation as required by the IT&V and NCI Agency CCB in order to support the security penetration test and screening activities and to include all components of the FinS in the Approved Fielded Products List (AFPL). The list of documents required to conduct such activities will be provided as part of Purchaser-Furnished Items on contract award.

3.7.13.5. The Contractor is responsible for successfully obtaining security accreditations of the FinS system. Test sessions will be repeated until successful completion. The Contractor shall be able to support all of the sessions required to reach system approval, to ensure that the FinS software, including all utilised COTS, pass the IT&V and Independent Security Testing in order to be included in the NATO AFPL list.

3.7.13.6. The NCI Agency will provide the Contractor with a test report at the end of each test session, where the reason for failure and remedial actions will be indicated.

3.7.13.7. The Contractor is responsible for successfully obtaining listing on the necessary AFPLs. This includes the provision of the required product documentation and actively supporting the product testing.




3.7.14. Tests status meetings

3.7.14.1. Throughout any test session, with the exception of UAT (UAT is the responsibility of the Purchaser), the Contractor shall organise and conduct test status meetings with the Purchaser on a daily basis to discuss

3.7.14.1.1. The results of the tests run to date;

3.7.14.1.2. Any adjustments to the schedule of test activities within the test session or test issues.

3.7.15. Test Data

3.7.15.1. Test data shall be prepared by Contractor with support from the Purchaser and made available before each test session.

3.8. Training

3.8.1. Training Materials

3.8.1.1. Training material shall be based on existing Oracle R12 training material where available; Contractor shall tailor existing standard material and/or develop new materials only where required (e.g. for new modules, new interfaces or as required for configuration and functionality changes in existing modules).

3.8.1.2. The FinS training material shall consist of PowerPoint slides and the Computer-based training courses.

3.8.1.3. The Contractor shall either develop or update deliverables as a result of gaps per fit/gap analysis and implementation impact. This shall also cover any interfaces.

3.8.1.4. The development and update of the training materials shall be based on the FinS master data to be confirmed by the Purchaser.

3.8.1.5. The Contractor shall base the development and update of the training materials on the Purchaser-provided business requirements, revised and documented during the early phases of the project (see §4.4.3 and §4.7.3).

3.8.1.6. The Contractor shall develop all training material in coordination with the Purchaser and the User Community based on the Training Need Analysis (TNA). This can result in different training requirements for the three entities and the Service Provision Authority.

3.8.2. Computer-Based Training (CBT)

3.8.2.1. The Purchaser will provide a training base, which could be a clone of the TEST database




3.8.2.2. CBT content for this project shall cover any new modules or capabilities and will update the CBT for existing modules when there are functional or workflow changes.

3.8.2.3. The Contractor shall use an integrated, interactive online help capability to produce the CBT. It is required to use a technology that is compatible with Oracle EBS and is still being supported by the originating company7.

3.8.3. Training Delivery

3.8.3.1. The Contractor shall deliver training courses (standard training course and/or gap training course) to the User Community for the FinS.

3.8.3.2. The Contractor shall travel to SHAPE site in Mons as directed by the Purchaser Project Manager, per outcome of the Training Need Analysis (TNA) in order to deliver the needed training courses. However, the training shall be limited to the audience that will take part in the UAT. Separate training sessions could be required for ACT.

3.9. Transition and Go Live

3.9.1. Transition starts with the UAT and continues with a System Performance Test to ascertain that the system is going to be performing as required when it’s deployed to Production.

3.9.2. Upon a successful UAT, the Contractor shall prepare the Production environment and deploy the new software baseline to that environment. In the NATO context, this would require the Request for Change process which asks for a formal software baseline change on production systems and as such is subject to Penetration (Security) testing and independent systems and integration testing performed by Purchaser staff. Depending on how much the Purchaser has been kept abreast of the whole system development and the early provision of all technical documentation on the system, this testing period can be wrapped up in a reasonable amount of time.

3.9.3. All data migration/enhancement activities shall be completed before Go Live.

3.9.4. Most of the documents shall be brought to their final versions.

3.9.5. The new system is turned on. This event (Go Live) can happen at different dates/times for the three financial communities, as previously agreed in the SIP approved at the end of Phase 2.1.

7 The User Productivity Kit (UPK) has been taken out of Premium Support from Oracle as of April 2019.




3.10. Operational (Post-Go-Live) Support

3.10.1. The Contractor shall provide the services of two functional consultants on site at each of SHAPE J8/ACT BUDFIN/IMS BG for a limited (6 week) period after Go Live.

3.10.2. In addition, The Contractor shall provide the services of one functional and one technical consultant who will be working at NCIA Mons with the NCIA SSBA SL Team for a limited (6 week) period after Go Live.

3.10.3. Post-production functional and technical consultants for the NCIA shall work under the lead of the Service Owner (NCIA SSBA SL). The post-production functional consultants for the user community shall be stationed with the three user communities and work under SHAPE J8, ACT BUDFIN and IMS BG.

3.10.4. This support shall be provided Monday through Friday during local business hours for each entity, eight (8) hours a day, with after-hours support available in the event of the major system failure.

3.10.5. The Purchaser will be responsible for the scheduling of the support program and associated itinerary planning.

3.10.6. The Contractor shall provide personnel who meets or exceeds the criteria for a Support Engineer with a level of expertise as defined in Section 6.

3.10.7. These individuals shall work within the normal working hours of the Purchaser’s facility. Travel may take place out of normal working hours.

3.10.8. The Contractor shall also offer 1 year warranty on all custom-developed code in the scope of this implementation from the FSA milestone onwards. The application of any fixes under warranty shall require collaboration with the SSBA SL team. Warranty on the COTS products are part of the maintenance agreement with the specific COTS vendors and is not part of the Contractor’s responsibility.




4. PROJECT MILESTONES, REVIEWS AND DELIVERABLES 4.1. Milestones

4.1.1. Although the project will mainly follow the OUM methodology, there are some formal milestones (typically tied to payments) where a Document Review/Gate check is conducted. Table 8 shows the formal project milestones.

Code Milestone Review Meeting

P2.1S Start of Phase 2.1 (Effective Date of Contract-EDC)

N

KCK2.1 Project Kick-off Meeting for Phase 2.1 N PMR Project Management Review Y LAR Lifecycle Architecture Review Y P2.1E End of Phase 2.1 Y P2.2S Start of Phase 2.2 N KCK2.2 Project Kick-off Meeting for Phase 2.2 N TRR Test Readiness Review Y TMR Training Material Review Y UAT User Acceptance Test Y FSA Final System Acceptance Y P2.2E End of Phase 2.2 Y

Table 8 – List of Project Milestones

4.1.2. The Contractor shall present during the milestone meeting any changes to the following information:

4.1.2.1. Any changes to the PMS, PBS or PFD;

4.1.2.2. Any changes in risks or issues that have been identified based on the review for the Milestone;

4.1.2.3. Any Change Requests that have been raised as a result of the review.

4.2. Project Kick-Off Meeting for Phase 2.1 (KCK2.1)

4.2.1. The CPM or designated representative shall participate in a FinS project kick-off meeting with the PPM and members of the FinS IPMT. This meeting shall be held at the Purchaser’s facility.

4.2.2. Contractor’s attendance in person is necessary.

4.2.3. The Contractor shall be prepared to • present the draft Project Management Plan used for the Bid and

updated if necessary (not to be formally reviewed);




• review the organisation of the Project Website; • review Assumptions and Restrictions;

4.3. Project Management Review (PMR)

4.3.1. The purpose of the PMR is to approve the scope and the plan for Contractor activities provided within this Contract.

4.3.2. The Contractor shall provide the deliverables listed in Table 9 for the PMR:

Deliverable SOW Reference

Project Management Plan (PMP) §2.10

Project Master Schedule (PMS) §2.13

Product Breakdown Structure (PBS) §2.11

Project Work Breakdown Structure (WBS) §2.12

Risks, Assumptions, Issues, Decisions (RAID) Log §2.14

Risk Management Strategy §2.14

Issue Resolution Strategy §2.14

Quality Assurance Plan (QAP) §2.16.2

Quality Log §2.16.1.3

First Monthly Project Highlight Report §2.18

Sample Change Request form and Change Log §2.15.2

Checkpoint Reports for the first month §2.17.2

Product Descriptions for all Phase 2.1 Products §2.11.5

Table 9 – Deliverables to review in the PMR

4.3.3. Entry Criteria for the PMR

4.3.3.1. One month has passed after the Effective Date of Contract.

4.3.3.2. Contractor has delivered the required deliverables.

4.3.4. Acceptance Criteria for the PMR

4.3.4.1. Purchaser approval of the content of the PMP and its Annexes.

4.3.4.2. Purchaser confirmation that the Project Website is adequate and operational.

4.3.4.3. User confirmation of the user-related dates in the PMS.




4.4. Lifecycle Architecture Review (LAR)

4.4.1. The goal of the Elaboration phase of OUM is to move development of the solution from the scoping and high-level requirements done during the Inception phase to developing the detailed requirements, partitioning the solution, creating and necessary prototypes, and baselining the architecture of the system to provide a stable basis for the design and implementation effort in the next (Construction) phase.

4.4.2. The LAR highlights the end of the Elaboration Phase and the expectation is that most of the analysis and design has been completed at this point in the project. The milestone can be used to determine the following items.

4.4.2.1. Is the application architecture, technical architecture, and data architecture stable?

4.4.2.2. Have all the architecturally-significant use cases been identified?

4.4.2.3. Have all the architecturally-significant use cases been analysed to reveal possible effects on the architecture?

4.4.2.4. Have key configuration decisions been documented and tested?

4.4.2.5. Have the architectural risks been mitigated?

4.4.2.6. Are schedule and cost estimates for the remaining phases adjusted for new information, justified, prepared and communicated?8

4.4.2.7. Are we certain enough about the solution that we can commit more resources to begin implementation?

4.4.2.8. Are we ready to produce code efficiently and with quality?

4.4.3. The Contractor shall provide the deliverables listed in Table 10 for the LAR:

Deliverable OUM Reference

Notes

Use Case Model RA.023

Use Case Details RA.024

High-Level Software Architecture Description RA.035 Revised software architecture

Future Process Model RD.011 Only for those areas where significant business change occurs (e.g. Business Intelligence, Risk Management, Auditing)

Baseline Architecture Description RD.130 Pertaining to the revised software architecture

8 In the case of this project, this information shall be captured in the SIP to be produced at the end of Phase 2.1, thus this aspect shall separately be evaluated in the P2.1E milestone (see §4.5)




Data Impact Analysis RD.138 Applications are typically delivered with standard migration tools or methodology to migrate the data stored in the existing standard application tables, but these may not be sufficient to migrate the data stored in custom tables or data requiring clean up. This task includes the evaluation of existing and new data structures and analyses the impact in terms of the overall upgrade. It also enumerates and highlights the requirement of manual or additional data migrations if required

Requirement Specification RD.140 Separately for each new or changed area of functionality and one for non-functional requirements. Preferably to include MoSCoW priorities.

Audit and Control Requirements RD.070 This is an area which needs to be separately documented

Analysis Architecture Description AN.040 Pertaining to the revised software architecture

Functional Design CEMLI AN.100 For any customisation. The document should include information about the size of the CEMLI (S/M/L)

Analysis Model AN.110 Pertaining to new functionality

Design Architecture Description DS.040 Pertaining to the revised software design

Design Specification DS.140 Pertaining to the revised software design

Business Data Structures MC.010 Additional or revised data structures

Map Business Requirements MC.030 Requirements mapped to components or customisations

Traceability Matrix - Requirements, solutions, tests and defects.

Application Setups MC.050 Initial setup, to be updated during Construction

Functional Security MC.060 Security aspects of the new solution

Configuration Prototyping Workshops MC.080 Workshop reports will be reviewed

Reporting Fit Analysis MC.090 Specific document concentrating on Business Intelligence and overall reporting requirements

Gap Resolution MC.110 Alternative solutions for satisfying gaps are reviewed and the best alternative is identified and documented (mainly for customisations and 3rd party tools)

Data Acquisition and Conversion Requirements CV.010 Although this is an upgrade project, we

cannot rule out that there might be changes or enhancements to the data model. There is also the issue of populating any additional data stores for Business intelligence.

Data Acquisition, Conversion and Data Quality Strategy CV.020 Although this is an upgrade project, we

cannot rule out that there might be changes or enhancements to the data model. There is also the issue of populating any additional data stores for Business intelligence.




Development Environment IM.007 Development environment should be ready before Construction starts

Functional Prototype IM.010 Any functional prototypes used during Elaboration

Technical Architecture Requirements and Strategy TA.020 Technical architecture requirements and

document the strategy you will use for the design and development of the system you are implementing. This task should address the requirements of the final production environment as well as the interim development, test and project support environments.

Integration Requirements and Strategy TA.030 High-level definition of the integration

between the existing information systems, and the new information system

Reporting and Information Access Strategy TA.040 The reporting and information access

requirements required for the project and how these will be met in the new architecture. This is a systems view of how the reporting and information access requirements will be satisfied in the new architecture, and is designed to complement and support the approach taken in Business Requirements (RD). This should include the Business Intelligence Strategy as it is a major factor in Reporting and Information Access.

System Security and Control Strategy TA.090 This is going to be used as the basis of

the Accreditation documentation CIS Description Document - Template available within reference

documentation. This document will be produced with support from Purchaser.

Security Accreditation Plan - Template available within reference documentation. This document will be produced with support from Purchaser and in synchronisation with the Project Master Schedule.

System Capacity Plan TA.160 Augmenting the capacity definition of the current FinS with the new components

Testing Requirements TE.005 Specifies what type of tests should be performed, for what purpose, at what project stage they should be performed, to what level, and with what kind of output should be produced, such as the form and scope of test reports.

Testing Strategy TE.010 This shall include how testing should be performed in the various stages at the project, which tools should be used (if any) and how, what metrics should be collected, how test data should be produced and what testing environments should be used in the tests. The strategy shall also define the acceptance criteria of the solution.

Integration Test Plan TE.015 Define the approach to the integration of solution components. This includes information about tester roles and responsibilities, test types, test data and test estimates and scheduling.




System Test Plan TE.050 Develop the System Test Plan, which you use as a guide to perform the system tests at the end of each iteration, as well as the full system test when all the iterations have been completed. This includes information about tester roles and responsibilities, test types, test data and test estimates and scheduling.

Systems Integration Test Plan TE.080 A systems integration test is a test between two or more application systems, the interfacing to external systems. The plan includes information about tester roles and responsibilities, test types, test data and test estimates and scheduling. This shall cover all interfaces to external systems.

User Acceptance Test Plan TE.082 Contractor supports Purchaser

Test Environment TE.060 Test environment should be ready by the end of Elaboration, infrastructure to be provided by the Purchaser.

Training Strategy TR.010 Assess the education and training needs of the user community and plan the delivery of the necessary training based on common areas of responsibility, interests, and skills. Note that the training conducted during the project lifetime is limited to the participants of the UAT, but the Training Strategy shall cover all training requirements for the new FinS capability. This document will be supported by the Purchaser staff already involved in training.

Table 10 – Deliverables to review in the LAR

4.4.4. Entry Criteria for the LAR

4.4.4.1. Draft versions of the documents have been reviewed and final drafts have been delivered for review.

4.4.4.2. Contractor has delivered all the required deliverables.

4.4.4.3. All relevant workshops and meetings have been concluded.

4.4.5. Acceptance Criteria for the LAR

4.4.5.1. Purchaser approval of the deliverables for the LAR.

4.5. End of Phase 2.1 (P2.1E)

4.5.1. This milestone shall follow from the LAR and will be reached when all the remaining deliverables from Phase 2.1 are completed. It formally ends Work Package 1 execution.




4.5.2. The Contractor shall provide the deliverables listed in Table 11 for the P2.1E milestone:

Deliverable SOW Reference

The Final System Implementation Plan (SIP) §2.19 Product Descriptions for all Phase 2.2 products, based on the SIP §2.11.5

Updated PMP, including updated PMS §2.10

Table 11 – Deliverables to review in the P2.1E milestone

4.5.3. Entry Criteria for P2.1E

4.5.3.1. Contractor has delivered the required deliverables.

4.5.4. Acceptance Criteria for P2.1E

4.5.4.1. Purchaser acceptance of the deliverables.

4.6. Project Kick-Off Meeting for Phase 2.2 (KCK2.2)

4.6.1. The CPM or designated representative shall participate in a FinS project kick-off meeting for Phase 2.2 with the PPM and members of the FinS IPMT. This meeting shall be held at the Purchaser’s facility.

4.6.2. Contractor’s attendance in person is necessary.

4.6.3. The Contractor shall be prepared to • present the updated plan, approach; • review the project team and readiness; • review Assumptions and Restrictions; • review any major changes to the implementation;

4.7. Test Readiness Review (TRR)

4.7.1. This milestone shall check if the Contractor has done everything necessary to enable User Acceptance Tests and will determine if the Construction Phase has been successfully completed.

4.7.2. The TRR milestone shall be used to determine the following items.

4.7.2.1. Have the users been properly involved to verify the implementation of the functional requirements?

4.7.2.2. Are the non-functional requirements, such as security, reliability, etc. being adequately addressed?

4.7.2.3. Is the system ready for the User Acceptance Test?




4.7.3. The Contractor shall provide the deliverables listed in Table 12 for the TRR milestone.

Deliverable OUM

Reference Notes

Future Process Model RD.011 Updated if necessary Baseline Architecture Description RD.130 Updated if necessary Use Case Model RA.023 Updated if necessary Use Case Details RA.024 Updated if necessary High-Level Software Architecture Description

RA.035 Updated if necessary

Application Setups MC.050 Updated if necessary Analysis Architecture Description AN.040 Updated if necessary Design Architecture Description DS.040 Updated if necessary Analysis Model AN.110 Updated if necessary Installation Plan TS.030 Initial version prepared during

Construction, will be updated later Installation Routines IM.090 Automated functions and detailed

instructions to install customizations in the testing and production environments

Systems Integration Test Scenarios TE.090 The Systems Integration Test verifies how the system integrates with other application systems in a production-like environment

Unit Test Results TE.030 Integration Test Results TE.040 Systems Integration Test Results TE.100 Training Needs Analysis TR.060 Training Requirements UAT Training Plan TR.070 Just for the training to enable the UAT Cutover Strategy TS.020 Describes how the transition is to be made

from the old system to the new system. Define your plans for taking the new system into production.

Converted and Verified Data CV.065 Initial load, will be repeated in Transition Baseline FinS Release IM.050 Baseline FinS software to be used during

the UAT Updated PMS - Schedule for the Transition Phase.

Table 12 – Deliverables to review in the TRR milestone

4.7.4. Entry Criteria for the TRR

4.7.4.1. Draft versions of the documents have been reviewed and final drafts have been delivered for review.


4.7.4.3. All relevant workshops and meetings have been concluded.

4.7.4.4. Unit and Integration Test results are available.

4.7.4.5. A baseline software release is available. This is the release to be used for the UAT.

4.7.5. Acceptance Criteria for the TRR




4.7.5.1. Purchaser approval of the deliverables for the TRR.

4.7.5.2. Purchaser Confirmation for the dates of the Transition Phase PMS.

4.8. Training Material Review (TMR)

4.8.1. The Contractor shall provide functionally complete training materials at TMR.

4.8.2. The Purchaser will provide comments to improve the training materials. The Contractor shall implement the changes directed by the Purchaser and provide updated training materials. Key users should be involved in the review of the training materials to ensure that it reflects realistic scenarios and exercises.

4.8.3. The Contractor shall provide the deliverables listed in Table 13 for the TMR milestone:

Deliverable OUM

Reference Notes

Training Plan TR.070 This is the overall Training Plan covering Post-Deployment training as well

Training Materials - Briefings in PowerPoint format and CBT Table 13 – Deliverables to review in the TMR milestone

4.8.4. Entry Criteria for the TMR

4.8.4.1. Training materials are completed and delivered.

4.8.5. Acceptance Criteria for the TMR

4.8.5.1. Purchaser approval of the deliverables for the TMR.

4.9. User Acceptance Test (UAT)

4.9.1. This milestone shall check if the Contractor has done everything necessary to enable Go Live and will determine if the Transition Phase has been successfully completed.

4.9.2. The UAT milestone can be used to determine the following items.

4.9.2.1. Have the application and database administration and staff members been properly trained?

4.9.2.2. Are the ambassador users able to deliver the application properly to the rest of the organization for internal acceptance?

4.9.2.3. Have arrangements been made for application support and have staff members been properly trained for this task?




4.9.2.4. Does the application system meet the performance requirements?

4.9.2.5. Are the stakeholders satisfied with the project?

4.9.2.6. Are the requirements captured and agreed at the end of Phase 2.1 satisfied?

4.9.3. The Contractor shall provide the deliverables listed in Table 14 for the UAT milestone:

Deliverable OUM

Reference Notes

User Acceptance Test Environment TE.110 User Acceptance Test Results TE.120 Performance Test Results PT.120 Converted and Verified Data CV.065 Further conversion and verification on top

of what was done in Construction. User Training for UAT TR.100 Installation Plan TS.030 Updated as necessary IT Transition Plan OCM.230 Preparing the plan for transition from the

Contractor to the IT organisation Upgraded Production Environment TS.055 Updated PMS - Schedule for the Production Phase.

Table 14 – Deliverables to review in the UAT milestone

4.9.4. Entry Criteria for the UAT

4.9.4.1. The TRR milestone has been successfully completed.


4.9.4.3. UAT participants have been trained.

4.9.5. Acceptance Criteria for the UAT

4.9.5.1. User community sign-off on a successful UAT

4.9.5.2. Purchaser approval of the deliverables for the UAT.

4.9.5.3. Purchaser Confirmation for the dates of the Production Phase PMS.

4.10. Final System Acceptance (FSA)

4.10.1. This milestone shall check if the Contractor has done everything necessary to complete the implementation and will determine if the Production Phase has been successfully completed.

4.10.2. The FSA milestone can be used to determine the following items.

4.10.2.1. Have you obtained management sign-off?

4.10.2.2. Have critical operational issues been addressed with the stakeholders?




4.10.2.3. Has a Future Enhancement Plan been developed?

4.10.3. The Contractor shall provide the deliverables listed in Table 15 for the FSA milestone:

Deliverable OUM

Reference Notes

Future Moscow Requirements RD.045 Covering any requirements that were identified but left to a future update.

Performance Test Results PT.120 Updated after stable Production environment reached

IT Transition Report - Report on how the IT Transition Plan was implemented,

PMS - Updated schedule showing the resources and timing for Post-Go Live support

Table 15 – Deliverables to review in the FSA milestone

4.10.4. Entry Criteria for the FSA

4.10.4.1. The UAT milestone has been successfully completed.


4.10.5. Acceptance Criteria for the FSA

4.10.5.1. Purchaser approval of the deliverables for the FSA.

4.10.5.2. Purchaser Confirmation for the plan for Post-Go-Live Support.

4.10.5.3. Purchaser acknowledgement of successful IT Transition.

4.11. End of Phase 2.2 (P2.2E)

4.11.1. This milestone shall follow from the FSA and will be reached when all the remaining deliverables from Phase 2.2 are completed and the Post-Go-Live support is ended. It formally ends Work Package 2 execution (as well as WP6 through WP11, if they are exercised).

4.11.2. The Contractor shall provide the deliverables listed in Table 16 for the P2.2E milestone:

4.11.3. Entry Criteria for P2.2E

4.11.3.1. Post-Go Live support has been completed.


4.11.4. Acceptance Criteria for P2.2E

4.11.4.1. Purchaser approval of the deliverables for P2.2E.

Deliverable OUM Reference

Notes




Post-Production Risk Assessment RKM.060 During Project Closure, conduct a post-production risk assessment to properly ascertain any remaining or possible risk prior to transitioning the Risk Management System to the IT Support Organisation.

Final Issue and Problem Report IPM.050 Analyse the Issue/Problem Log and consider the business impact and risk of any unresolved issues. Document this analysis in the log or create a separate Final Issue and Problem Report. Provide this information to the client and transition the Issue and Problem Management System to the client.

Table 16 – Deliverables to review in the P2.2E milestone




5. DETAILS OF OPTIONAL WORK PACKAGES

5.1. WP4: Migration of the Oracle EBS Database from Solaris to Linux

5.1.1. Due to the depreciation of the Sun Solaris servers and the dominance of Intel-based hardware on the NCIA Data Centres, a decision has been taken to move the Database servers for FinS under Sun Solaris to Oracle Linux-based servers. This move would provide a robust infrastructure for the FinS capability and get rid of aging hardware.

5.1.2. This may happen through the ITM project before this Contract goes active. That’s why this Work Package is a priced option.

5.1.3. The task envisioned consists of migrating the current FinS databases from the Sun Solaris server they are currently running on and re-creating them on an Oracle Linux server.

5.1.4. The details of how and when this should be done depend on the plan for Phase 2.2 (Work Package 2).

5.1.5. A decision on whether this option will be exercised or not shall be taken by the Purchaser before the LAR Milestone so that the impact of this option can be reflected on the documents due for the LAR (see §4.4).

5.1.6. The Contractor shall provide the documents listed in Table 17 to complete WP4.

Deliverable OUM

Reference Notes

Data Impact Analysis RD.138 Update on the analysis, including now the procedures for moving the database to a Linux server.

Data Migration Report - Reporting how the migration/transfer worked and any remaining issues

Table 17 – Deliverables in the scope of WP4

5.2. WP5: Establishment of a Disaster Recovery Capability for FinS

5.2.1. The Bi-SC AIS Capability providing IT tools to the Strategic Commands has been running from a set of distributed Data Centres, effectively spread out to all headquarters in its scope. The ITM Project is currently bringing all these diverse Data Centres to a set of limited Data Centres (2 at the moment, 3rd might be added) so as to centralise support and management of this Capability.

5.2.2. FinS is part of the Bi-SC AIS but has been operating without a Disaster Recovery capability, namely it was running from the SHAPE Data Centre in Mons. A Disaster Recovery Capability is needed for resilience of the financial operations at the Strategic Commands and their subordinates.




5.2.3. This Disaster Recovery Capability is foreseen to be in Lago Patria, Italy, where the secondary Data Centre for NCIA is being set up, the Primary one being in Mons. ITM will provide the basic mechanisms for Disaster Recovery, but each application owner shall take the steps to make sure their application can indeed be activated operationally in the secondary Data Centre in case of a disaster and in an operationally acceptable timeframe.

5.2.4. A decision on whether this option will be exercised or not shall be taken by the Purchaser before the LAR Milestone so that the impact of this option can be reflected on the documents due for the LAR (see §4.4).

5.2.5. This Work Package shall comprise the development of a Disaster Recovery Strategy and Plan, performing the necessary changes and configurations in the FinS capability to enable this in Lago Patria, testing the recovery and establishing the FinS baseline in Lago Patria for Disaster Recovery.

5.2.6. The Contractor shall provide the documents listed in Table 18 to complete WP5.

Deliverable OUM

Reference Notes

Disaster Recovery Strategy TA.050 Define the methods, actions, and requirements needed to execute a recovery of technical system(s) from loss due to severe failures such as those that results from fire, earthquake, tornado, or hurricane. This strategy also includes recovery of systems(s) due to other catastrophic loss not caused by an act of nature, such as complete loss of networks, data centre or other physical resources that necessitates restoration of production business systems due to their loss.

Disaster Recovery Test TA.140 Conduct the Disaster Recovery testing as defined in Disaster Recovery Strategy (TA.050) and report the results. If any portions of the initial test are unsuccessful, the appropriate changes should be made and retesting should take place. This testing applies only to the technical systems components of the project, and is not intended to represent a complete restoration of business continuity functionality.

Deliver Disaster Recovery Capability in Lago Patria IM.050 This is a duplicate of the software

used in the main Data Centre Table 18 – Deliverables in the scope of WP5




5.3. WP6: Establishment of an Archiving Service for FinS

5.3.1. Some of the requirements in Annex A to the SOW have been grouped under the title “Archiving” and are meant to implement an Archiving service for FinS.

5.3.2. There are various ways to implement archiving. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP6 if the option is exercised based on affordability in terms of cost and resources. WP6 execution depends on WP2, since it will follow the schedule and activities for WP2.

5.3.3. WP6 has no special deliverables, but WP6 requirements are included in the deliverables for Phase 2.2 milestones as described in Section 4.

5.4. WP7: Establishment of a Business Intelligence Capability for FinS

5.4.1. Some of the requirements in Annex A to the SOW have been grouped under the title “Business Intelligence” (BI) and are meant to implement a Business Intelligence capability for FinS.

5.4.2. There are various ways to implement Business Intelligence and in principle BI can be expensive to implement and maintain. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP7 if the option is exercised based on affordability in terms of cost and resources. WP7 execution depends on WP2, since it will follow the schedule and activities for WP2.


5.5. WP8: Establishment of a Project Accounting Capability for FinS

5.5.1. Some of the requirements in Annex A to the SOW have been grouped under the title “Project Accounting” and are meant to implement a Project-based costing capability for FinS.

5.5.2. There are various ways to implement Projects in Oracle EBS. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP8 if the option is exercised based on affordability in terms of cost and resources. WP8 execution depends on WP2, since it will follow the schedule and activities for WP2.


5.6. WP9: Establishment of a Consolidation Tool for Financial Statements

5.6.1. Some of the requirements in Annex A to the SOW have been grouped under the title “Consolidation Tool for Financial Statements” and are meant to establish a Consolidation Tool for Financial Statements.




5.6.2. Although Oracle EBS can directly support Financial Statements, a more flexible tool to support the production of financial statements is needed. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP9 if the option is exercised based on affordability in terms of cost and resources. W9 execution depends on WP2, since it will follow the schedule and activities for WP2.


5.7. WP10: Establishment of an invoice scanning capability

5.7.1. Some of the requirements in Annex A to the SOW have been grouped under the title “Scanning Account Payable Invoices” and are meant to establish a scanning capability for received invoices within FinS.

5.7.2. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP10 if the option is exercised based on affordability in terms of cost and resources. W10 execution depends on WP2, since it will follow the schedule and activities for WP2.


5.8. WP11: Establishment of a Budgeting and Budget management capability

5.8.1. Some of the requirements in Annex A to the SOW have been grouped under the titles “Budgeting” and “Budget Management” and are meant to establish Budgeting and Budget Management functionality within FinS.

5.8.2. There are different ways to establish Budgeting within Oracle EBS. The proposed solution shall be developed further in Phase 2.1 (WP1) and shall be implemented within WP11 if the option is exercised based on affordability in terms of cost and resources. W11 execution depends on WP2, since it will follow the schedule and activities for WP2.





6. CONTRACTOR RESOURCES AND LABOUR CATEGORY DESCRIPTIONS

6.1. General

6.1.1. This section outlines minimum educational and experience qualifications for Contractor staff. Substitution of experience or education is allowed as outlined in Table 19.

Education Equivalent Education + Experience Equivalent Experience

Associate’s degree

2 years of relevant experience

Bachelor’s degree

Associates + 2 years of relevant experience


Master’s degree Bachelors + 4 years of experience


Table 19 – Education and Experience

6.1.2. Any change in the assignment of the Contractor resources shall be subject to approval from the Purchaser Contracting authority.

6.1.3. Any request for change in the assigned Contractor resources shall be requested by the NATO Contracting Authority to the Contractor Point of Contact for Contract Administration, identifying both the labour category and the period of performance requested.

6.1.4. The Contractor shall propose candidates which meet the requirements listed in this Section, satisfying the requirements stated for the requested labour category.

6.1.5. Performance Assessment Parameters

6.1.5.1. The Purchaser expects the Contractor’s Staff to meet the following performance requirements (list not exhaustive):

6.1.5.2. Technical – consisting of:

6.1.5.2.1. Demonstrated technical knowledge at the levels required by this SOW;

6.1.5.2.2. Demonstrated productivity, efficient time management, motivation and proactive attitude;

6.1.5.2.3. Effectiveness in rapidly acquiring familiarity with both the functionality of the Bi-SC AIS (FinS) system, based on Oracle Applications Release 12.1.3, and the Business Process models in place;




6.1.5.2.4. Effectiveness in providing the required level of support for the entire FinS Phase 2 implementation Contract, as required by this SOW;

6.1.5.2.5. Ability to effectively collaborate and communicate with the other key stakeholders, as required by this SOW;

6.1.5.2.6. Ability to identify risk factors and alternatives for alleviating risk;

6.1.5.2.7. Ability to identify and solve problems expeditiously;

6.1.5.2.8. Ability to employ the standard tools/methods/ procedures applicable to the tasks, as required by this SOW;

6.1.5.3. Management – consisting in:

6.1.5.3.1. Overall communication with Purchaser’s Staff;

6.1.5.3.2. Effectiveness and reliability of Contractor's personnel;

6.1.5.3.3. Ability to effectively manage sub-contractors (if any);

6.1.5.3.4. Planning, scheduling, and monitoring;

6.1.5.4. Customer Satisfaction – consisting in:

6.1.5.4.1. Contractor’s personnel overall performance;

6.1.5.4.2. Contractor's personnel ability to be cooperative, business-like and concerned with the interests of the customer;

6.1.5.4.3. Contractor’s personnel inter-personal skills

6.2. Levels of Expertise

6.2.1. Consultant Support is divided into the following classifications dependent on education and experience:

6.2.1.1. Level 1: The most senior or principal staff. Individuals in this category possess unusual and unique technical knowledge and experience in the given discipline. These individuals are normally the corporate experts on a subject. An advanced degree, normally a doctorate would be expected at this level. If a doctorate is not possessed, extensive and unique experience would be required. An individual at this level would be expected to have published literature in his field or have been a collaborator on published works.

6.2.1.2. Level 2: Individuals in this category are Senior Staff that are experts in their discipline with considerable experience. Individuals at this level have normally been Lead Staff on large and complex projects within the company or been responsible for significant research work within the company. The individual would be expected to have a minimum of a




Master’s Degree, if not a doctorate. If such educational level has not been attained, extensive or unique knowledge or experience would be required.

6.2.1.3. Level 3: Individuals in this category are considered journeymen staff, personnel with excellent knowledge and significant experience in their discipline. The individual would normally be expected to have a minimum of a Baccalaureate Degree but may compensate for a lack of formal education by extensive or unique experience. An individual at this level would be expected to have assisted senior staff on major projects in his field.

6.3. Contractor’s Project Manager (CPM)

6.3.1. The Contractor’s Project Manager shall be responsible for project management, performance and completion of tasks and deliveries. In particular, he/she shall be responsible for:

6.3.1.1. Establishing and monitoring project plans and schedules with full authority to allocate resources to insure that the established and agreed upon plans and schedules are met

6.3.1.2. Managing costs, technical work, project risks, quality, and corporate performance

6.3.1.3. Managing the development of designs and prototypes, test and acceptance criteria and implementation plans

6.3.1.4. Establishing and maintaining contact with Purchaser, sub-contractors, and project team members

6.3.1.5. Having regular contact and information exchange with the Purchaser PM.

6.3.1.6. Escalating issues and risks to the relevant escalation hierarchy in a timely manner.

6.3.1.7. Managing the sub-contractors’ work at the project level

6.3.1.8. Providing administrative oversight and serving as a liaison between the Purchaser and corporate management

6.3.1.9. Ensuring that all activities conform to the terms and conditions of the contract

6.3.2. Education. Master’s degree in management, engineering, or business administration. Formal certification through PRINCE2 Certification Scheme or Project Management Institute or equivalent source.

6.3.3. Experience. At least seven years in information systems design and project management. At least two years as the project manager for an effort of similar scope, preferably including the application of a formal project




management methodology such as PRINCE2 or PMI. Recent implementation experience with Oracle EBS and the OUM methodology.

6.4. Contractor’s Functional Lead (CFL)

6.4.1. The CFL shall be responsible for coordinating all the functional work within the FinS implementation. Full functional support for the project can also be established by including consultants in the various business areas needed in the implementation. The CFL shall have regular contact with the CSA to ensure coherence in the solution.

6.4.2. It is expected that Functional Consultants in the following areas shall be needed for the implementation:

6.4.2.1. Business Intelligence

6.4.2.2. Governance, Risk, Compliance

6.4.2.3. Projects

6.4.2.4. Procurement

6.4.3. Education. Master’s degree in management, engineering, or business administration. Formal certification through PRINCE2 Certification Scheme or Project Management Institute or equivalent source.

6.4.4. Experience. At least five years in ERP systems. Recent implementation experience with Oracle EBS Financial modules and the OUM methodology.

6.5. Contractor’s Solution Architect (CSA)

6.5.1. The CSA shall be responsible for planning and co-ordination activities in the project management and engineering areas. In particular, he/she shall be responsible for:

6.5.1.1. Providing comprehensive definition of all aspects of system development from analysis of mission needs to verification of system performance;

6.5.1.2. Providing competency in technical disciplines as applied to government and commercial information and communications systems;

6.5.1.3. Preparing trade-off studies and evaluations for vendor equipment;

6.5.1.4. Recommending design changes/enhancements for improved system performance;

6.5.1.5. Supervising the work of a design, integration, test, and implementation team;




6.5.1.6. Coordinating the overall solution (within the Contractor and Purchaser teams) and Functional and Technical coherence of the solution

6.5.2. Education: Master’s degree in engineering or computer science.

6.5.3. Experience: At least 5 years’ experience in the design and integration of ERP systems. Recent implementation experience with Oracle EBS and the OUM methodology. Recent experience with Oracle Business Intelligence implementations.

6.6. Contractor’s Test Manager (CTM)

6.6.1. The CTM shall be responsible for the direction of test planning, design and tools selection. In particular, he/she shall be responsible for:

6.6.1.1. Establishing guidelines for test procedures and reports

6.6.1.2. Co-ordinating with Purchaser on test support requirements and manage Contractor’s test resources

6.6.2. Education: Bachelor’s degree in engineering.

6.6.3. Experience: At least five years in the design and execution of information systems tests. Recent testing experience with Oracle EBS and the OUM methodology

6.7. Contractor’s Quality Manager (CQM)

6.7.1. The CQM shall establish and maintain process for evaluating software, hardware, and associated documentation. In particular, he/she shall be responsible for:

6.7.1.1. Determining the resources required for quality control

6.7.1.2. Maintaining the level of quality throughout the system life cycle

6.7.1.3. Developing project quality assurance plans

6.7.1.4. Conducting formal and informal reviews at predetermined points throughout the system life cycle

6.7.1.5. Applying quality checks to document deliverables

6.7.2. Education: Bachelor’s degree.

6.7.3. Experience: At least seven years working with quality control methods and tools. At least four years supporting system development and test projects. Recent experience with Oracle EBS and the OUM methodology.




7. DOCUMENTATION REQUIREMENTS 7.1. General

7.1.1. All documentation provided to the Purchaser shall be written in English with spelling and usage based on the Concise Oxford English Dictionary, 11th edition [Reference F].

7.1.2. The convention to be used for numbers appearing in textual documents is for a comma to be the thousands separator and a period to be the decimal separator (e.g. 1,365,276.24).

7.1.3. The convention to be used for dates appearing in free text (e.g. quoting dates of meetings) is day-month-year and not month-day-year.

7.1.4. Documentation shall not be marked with corporate logos or contain warnings limiting the rights to use or reproduction.

7.1.5. The security classification of the documentation shall follow agreed NATO security guidelines.

7.2. Reports

7.2.1. For all reports delivered under this Contract, the Contractor shall ensure the following standards are met.

7.2.1.1. The report shall be candid, forthright, and complete. Material that is unflattering to the Purchaser or Contractor, but relevant to the purposes of process improvement, must be included.

7.2.1.2. The report shall contain only material that can be supported by evidence and confirmed by independent analysis.

7.2.1.3. The report shall provide evidence to support or justify the conclusions reached.

7.2.1.4. The report shall be concise. If necessary, supporting data shall be placed in appendices or referenced as backup material.

7.2.1.5. The report shall include an Executive Summary of not more than one page in length.

7.2.1.6. The report shall use charts, graphs, matrices, tables, and other illustrative techniques to present data in an easily-understood form. Each illustration shall be accompanied with a narrative showing how the data displayed is relevant to the process improvement.




7.3. Formatting

7.3.1. Unless otherwise directed by the Purchaser, the Contractor shall furnish requested documentation as follows:

7.3.2. All contractual documentation shall be delivered in electronic format.

7.3.3. All project management documentation (e.g., plans, schedules, reports, etc.) shall be delivered as electronic copies in MS Office format.

7.3.4. The rest of deliverables shall be furnished as electronic copy of the agreed tools/media used or as hardware equipment.

7.3.5. Documentation shall be distributed as follows:

7.3.5.1. An electronic copy to the Project Workspace.

7.3.5.2. Notification and link for document to PPM and PTL.

7.3.6. Each document shall contain the following information for identification

7.3.6.1. Version of the document.

7.3.6.2. Due date.

7.3.6.3. Delivery date.

7.3.6.4. CLIN number or SOW reference.

7.3.6.5. Status (e.g. accepted/approved/draft…).

7.4. Formal Reviews

7.4.1. The OUM is a very document-centric process, so documents shall be produced and reviewed as part of normal OUM activities. These are considered as informal reviews and should facilitate the Contractor to continue the work without much delay.

7.4.2. The procedures described in this section cover the formal reviews that would finalise and accept the deliverables within a milestone review meeting (see §4.1).

7.4.3. The Contractor shall submit all documentation for formal Purchaser review as described below. At each review cycle, the Purchaser will state if the document is or is not likely to be accepted in its Final version.

7.4.3.1. The Contractor shall provide a first draft sufficiently before a Milestone Review meeting to enable the Purchaser Team to meet the timelines mentioned in this section.

7.4.3.2. The Purchaser shall provide comments, corrections, and suggested changes to the Contractor within two weeks of receipt.




7.4.3.3. The first draft shall be substantially complete and correct.

7.4.3.4. The Purchaser reserves the right to return without review a document that has significant deficiencies.

7.4.3.5. The Contractor shall not rely on the Purchaser review to fill in deficiencies or obtain missing Purchaser information.

7.4.3.6. The Contractor shall resubmit the document as a revised draft (version 0.2) incorporating the Purchaser's comments within two weeks after receipt.

7.4.3.7. The Purchaser shall provide comments, corrections, and suggested changes to the Contractor within one week of receipt.

7.4.3.8. The Purchaser decides whether the Milestone deliverable requirements are satisfied based on this revised draft and inform the Contractor about this decision in the Milestone Review meeting.

7.4.3.9. The Contractor shall provide the Final (version 1.0) document within one weeks of receipt of the Purchaser's comments on the revised draft. Thus the total time to complete the review shall be 4 weeks. In principle this final version shall be available before the relevant Milestone Review meeting.

7.4.4. Even if a document has been formally reviewed and accepted during a Review Meeting, the Contractor shall remain responsible for updating the document to reflect changes in the system requirements, design, or support arrangements as per the OUM.




8. GLOSSARY Abbreviation Description A2R Acquire to Retire ACO Allied Command Operations

ACT Allied Command Transformation

AME Approvals Management Engine

ANWI Active Network Infrastructure

AP Accounts Payables

AR Accounts Receivables

BI Business Intelligence

Bi-SC AIS Bi-Strategic Command Automated Information System

BOM Bill of Materials

C2 Command and Control

CAB Change Advisory Board

CBT Computer-Based Training

CEMLI Configuration, Extension, Modification, Localization, and Integration

CFL Contractor Functional Lead

CI Configuration Item

CIS Communications and Information Systems

CLIN Contract Line Item Number

CM Configuration Management

CMP Configuration Management Plan

CNAFS Centralized NATO Automated Financial System

COTS Commercial Off-The-Shelf

CP Capability Package

CPM Contractor Project Manager

CQM Contractor Quality Manager

CR Change Request




CSA Contractor Solution Architect

CTM Contractor Test Manager

DR Deficiency Report

EBS E-Business Suite

EDC Effective Date of Contract

FA Fixed Assets

FinS Financial Services

FND Foundation Tables

FSA Final System Acceptance

GL General Ledger

GRC Governance, Risk, Compliance

HQ Headquarters

IaaS Infrastructure as a Service

IC Infrastructure Committee

IMS International Military Staff

IMS BG International Military Staff Budget Group

IPMT Integrated Project Management Team

IPSAS International Public Sector Accounting Standards

IS International Staff

ITM Information Technology Modernisation

LAR Lifecycle Architecture Review

NAFS NATO Automated Financial System

NCIA NATO Communication and Information Agency

NCS NATO Command Structure

NCSA NATO Communications and Information Systems Services Agency

NSIP NATO Security Investment Programme

NU NATO Unclassified

O2C Order to Cash




OAF Oracle Application Framework

OATS Oracle Application Testing Suite

OTL Oracle Time and Labour

OUM Oracle Unified Method

P2P Procurement to Pay

PAN Public Access Network

PBS Product Breakdown Structure

PFI Purchaser-Furnished Items

PHR Project Highlight Report

PMP Project Management Plan

PMR Project Management Review

PMS Project Master Schedule

PO Purchase Orders

POC Point of Contact

PPM Purchaser Project Manager

PTL Purchaser Technical Lead

QA Quality Assurance

QAP Quality Assurance Plan

R2R Report to Record

SHAPE Supreme Headquarters Allied Powers in Europe

SIP System Implementation Plan

SME Subject Matter Expert

SOW Statement Of Work

SSBA SL Service Support and Business Applications Service Line

STO Science and Technology Organisation

TBC To be Confirmed

TRR Test Readiness Review

UAT User Acceptance Test

VTC Video-conferencing




WBS Work Breakdown Structure




ANNEX A. LOGFS FINS REQUIREMENTS The set of requirements that are part of this Statement of Work is provided separately as an Excel spreadsheet. This spreadsheet is also going to be used as a Traceability Matrix. Instructions are included in the spreadsheet.




ANNEX B. CEMLI’S INHERITED FROM FINS PHASE 1 AND EBS R 12 UPGRADE

CEMLI Code Description Version Status Business Area

Module

AP_INT_INVOICES Account Payables Invoice Interface 12.09 Active P2P AP AP_INT_PMIS PMIS Payroll Interface 12.10 Active P2P AP AP_INT_TRV_INVOICES Account Payables-Invoice Import Interface 12.01 Active P2P AP AP_PRG_BANKACC_VALID IBAN Account Validation 12.01 Active P2P AP AP_PRG_HASH_CODE_ISABEL Hash code generation for checking ISABEL uploads 12.07 Active P2P AP AP_PRG_SUPPLIERS_VPD Separation of suppliers and employees 12.01 Active P2P AP AP_REP_IT_BANKING_TRANSFER Italian Banking Transfer Order Payment 12.01 Active P2P AP AP_REP_CHECK_WELLSFARGO_US Check printing for the Wells Fargo Bank 12.02 Active P2P AP AP_REP_EFT_AIB_DOM Domestic Afghanistan International Bank Payment

Format 12.3 Active P2P AP

AP_REP_EFT_AIB_INT Afghanistan International Bank Internal Payments 12.3 Active P2P AP AP_REP_EFT_BA_HALEBANK Electronic Format for Domestic Payments in Bosnia

to Hal E-Bank 12.03 Inactive P2P AP

AP_REP_EFT_BACS EFT transactions in the BACS Format 12.03 Inactive P2P AP AP_REP_EFT_BE_INTL Belgian International EFT Format 12.05 Inactive P2P AP AP_REP_EFT_GENERIC_PRT Portuguese EFT Format 12.03 Active P2P AP AP_REP_EFT_NACHA_WELLSFARGO Wachowia NACHA Payment Format 12.04 Active P2P AP AP_REP_EFT_PEKAO_DOM_POL Polish Pekao Credit Transfer Format 12.04 Active P2P AP AP_REP_EFT_PEKAO_MT103_POL Polish Pekao Credit Transfer Format 12.04 Active P2P AP AP_REP_EFT_SEPA Generic SEPA Payment Format 12.15 Active P2P AP AP_REP_EFT_SEPA_ABNAMRO ABN AMRO SEPA Payment Format 12.04 Inactive P2P AP AP_REP_EFT_SEPA_CA Credit Agricole SEPA Payment format 12.05 Active P2P AP AP_REP_EFT_SEPA_CA_INT International Credit Agricole Payment Format 12.02 Active P2P AP AP_REP_EFT_SEPA_CBI CBI SEPA Payment Format 12.05 Inactive P2P AP AP_REP_EFT_SEPA_ING ING SEPA Payment Format 12.04 Inactive P2P AP AP_REP_EFT_SEPA_ING_INT ING International SEPA Payment Format 12.04 Inactive P2P AP AP_REP_EFT_SEPA_ZKA ZKA Bank SEPA Payment Format 12.02 Active P2P AP AP_REP_EFT_XK_PROCREDIT Procredit Payment Format 12.01 Inactive P2P AP AP_REP_EXCISE_POL Polish Payables Excise Duty Report 12.04 Active P2P AP AP_REP_INVOICE_APVD_WO_PO Invoice Approved without Purchase Order 12.02 Active P2P AP AP_REP_PAYMENT_INSTR Payment Instruction 12.02 Active P2P AP AP_REP_PAYMENT_INSTR_REG Payment Instruction Register 12.06 Active P2P AP AP_REP_PAYMENT_SCHEDULE Scheduled Payment Selection 12.01 Active P2P AP AP_REP_PREPAY_APPL_HIST Prepayment Application History Report 12.04 Active P2P AP




AP_REP_RCPT_WF_AUDIT Audit Report on Buyer/Receiver Workflow Notifications

12.02 Active P2P AP

AP_REP_REMITTANCE_ADVICE Remittance Advice Report 12.07 Inactive P2P AP AP_REP_SUPPLIER_AUDIT Supplier Audit Report 12.08 Active P2P AP AP_REP_SUPPLIER_EXTRACT Supplier Extract into Excel 12.03 Active P2P AP AP_REP_VAT_LISTING_BEL Belgian Payables VAT Report 12.05 Active P2P AP AP_REP_VAT_LISTING_FRA French Payables VAT Report 12.01 Active P2P AP AP_REP_VAT_LISTING_POL Polish Payables VAT Report 12.02 Active P2P AP AP_REP_VAT_LISTING_PRT Portuguese Payables VAT Report 12.03 Active P2P AP AP_WF_INVOICE_APPROVAL Payables Invoice Approval Workflow 12.10 Active P2P AP AP_WF_NOTIFY_RECEIVER Notify receiver Workflow 12.03 Active P2P AP AP_WS_SUPPLIERS Suppliers Web Service 12.04 Active P2P AP APEX_REPORTS 12.01 Active AR_FP_TRANSACTIONS Accounts Receivable Form Personalisation

Transactions 12.02 Active O2C AR

AR_FP_TRANSACTIONS_SUMMARY Accounts Receivable Form Personalisation Transactions Summary

12.01 Active O2C AR

AR_INT_INVOICES Accounts Receivable Invoices Interface 12.05 Active O2C AR AR_REP_ACCT_STATUS Account Status Report 12.01 Active O2C AR AR_REP_AGING_7_BUCKETS Aging 7 Buckets Report 12.01 Active O2C AR AR_REP_CUST_ACCT_STATEMENT AR Customer Account Statement 12.09 Active O2C AR AR_REP_CUSTOMER_AUDIT Customer Audit Report 12.03 Active O2C AR AR_REP_DUNNING_LETTER Dunning Letter Print 12.11 Active O2C AR AR_REP_INVOICE_PRINT AR Invoice Print 12.11 Active O2C AR AR_WF_INVOICE_APPROVAL AR Invoice Approval Workflow 12.06 Active O2C AR CE_PRG_BANK_ACCT_PVD Virtual Private Database for Central Payment

accounts 12.05 Active P2P AP/AR

DBI_REP_REPOSITORY DBI Repository 12.05 Inactive DIS_REP_REPOSITORY Discoverer End User Layer 12.22 Active P2P

P2P O2C R2R

AP PO AR BI

FA_PRG_MASS_ADDITION Fixed Asset Mass Additions Create process customisation

12.14 Active FA FA

FA_REP_ASSET_REG Fixed Assets Register Report 12.09 Active FA FA FA_REP_PROP_PLANT_EQUIPMENT Property, Plant and Equipment Report 12.07 Active FA FA FND_INT_FILE_UPLOAD File Upload Interface 12.07 Active R2R CM FND_PRG_ATTACHMENTS_READONLY Disable inline attachments 12.01 Active Sysadmin FND FND_PRG_CP_MAILER Custom API to enable the delivery of the output of a

request through email 12.01 Active Sysadmin FND




FND_PRG_CP_NOTIFIER Custom API to enable the sending of a concurrent notification through email

12.01 Active Sysadmin FND

FND_PRG_DISABLE_USER End-dating inactive users 12.06 Active Sysadmin FND FND_PRG_E3A_SOAP_PILS_INTERFACE

Interface for the E3A PILS System 1.9 Active

FND_PRG_PRECLONE 12.02 Active FND_PRG_PRINTER_MAILER Sending mails to a “print” email account to print on

local specialised printers 12.03 Active Sysadmin FND

FND_PRG_USERNAME_UPDATE Propagation of changed user names 12.01 Active Sysadmin FND FND_REP_COMMON_REPORTS Common Customisation for reports 12.02 Active Sysadmin FND FND_REP_DISABLE_USERS Report to do all checks before disabling inactive

user 12.06 Active Sysadmin FND

FND_REP_USER_AUDIT User Audit Report 12.04 Active Sysadmin FND FND_REP_USER_RESP_AUDIT User Responsibility Assignment Audit Report 12.01 Active Sysadmin FND FND_REP_WF_APPROVAL_AUDIT Access Audit Report and enabling audit on approval

of transactions 12.03 Active Sysadmin FND

FND_WF_LOGIN_HELP Adaptation of workflow notification messages and emails to get an unclassified marking

12.01 Active Sysadmin Sysadmin

GL_REP_ACCOUNT_ANALYSIS GL Account Analysis Report 12.01 Active R2R GL GL_REP_BATCH_AUDIT Audit Report for General Ledger Batch Approvals 12.01 Active R2R GL GL_REP_BUDGET_INQUIRY Report on status of the execution of the Financial

Plan 12.05 Active R2R GL

GL_REP_ENCUMB_DTL Encumbrance Detail Report 12.08 Active R2R GL GL_REP_ENCUMB_DTL_VENDOR Encumbrance Detail by Vendor Report 12.03 Active R2R GL GL_REP_ENCUMB_REVAL Encumbrance Revaluation Report 12.07 Active P2P PO,GL,CUSTOM GL_REP_FSG_TEMPLATE FSG basic Template 12.02 Active R2R GL GL_REP_FUNDS_AVAILABLE Budget Funds Available Analysis Report 12.01 Active R2R GL GL_REP_TRIAL_BALANCE_BUDGET Budget Trial Balance Report 12.02 Active R2R GL GL_REP_TRIAL_BALANCE_ENCUMB Trial Balance Encumbrance Report 12.06 Active R2R GL GL_REP_TRIAL_BALANCE_RNG General Ledger Trial Balance Detail Report 12.02 Active R2R GL GL_WS_BUDGETS Budgets Web Service 12.02 Active R2R GL GL_WS_CURRENCIES Currency Rates Web Service 12.02 Active IBY_REP_BANK_AUDIT Account Payables Bank Audit Report 12.04 Active P2P AP OKC_REP_CONTRACT_PRINT Customised Contract Print layouts 12.02 Active P2P Contracts PER_INT_AMIS Interface to the AMIS system 12.01 Active PER_INT_APMS Interface to the APMS system 12.01 Active PO_FP_PO_ENTRY Personalisation on the Purchase Order entry form 12.01 Active A2R PO PO_FP_PO_RELEASE Personalisation on the Purchase Order release form 12.01 Active A2R PO PO_FP_PO_SUMMARY Personalisation on the Purchase Order summary

form 12.01 Active A2R PO




PO_FP_PREVENT_NDSS_CONFLICTS Restrictions on Requisitions and Purchase Orders created through the NDSS interface

12.01 Active A2R PO

PO_INT_NDSS NDSS Interface 12.15 Active A2R PO/FA/AR PO_OAF_REQUISITION_NOTIF Requisition Approval Notification 12.02 Active P2P PO PO_OAF_SUPPLIER_NUMBERING Use or generate DUNS numbers for suppliers 12.07 Active P2P PO/AP PO_PRG_EMP_EXP_ACCT_UPDATE Employee expense account update 12.01 Active P2P PO PO_REP_COMPETITIVE_BIDDING Competitive Bidding Level Report 12.05 Active P2P PO PO_REP_CPA_LISTING Report of Purchase Orders against Contract

Purchase Agreements 12.03 Active P2P PO

PO_REP_PO_FINAL_CLOSE PO Final Close Check report 12.05 Active P2P PO PO_REP_PO_OUTPUT_FOR_COMM Customisation of the Purchase Order Report 12.26 Active P2P PO PO_REP_PO_PRINT Customisation of the Purchase Order Print 12.18 Inactive P2P PO PO_REP_PR_PRINT Purchase Requisition Print 12.02 Active P2P PO PO_REP_RECEIPT_UNINVOICED Un-invoiced Receipts Report 12.02 Active R2R AR PO_REP_SCORECARD Purchase Order Scorecard Report 12.02 Active P2P PO PO_REP_TRAVEL_ORDER Travel Order Confirmation Report 12.02 Inactive P2P PO PO_WF_PO_ACCOUNT_GENERATOR Purchase Order Account Generator 12.08 Active P2P PO PO_WF_PO_APPROVAL Purchase Order Approval Workflow 12.38 Active P2P PO PO_WF_PO_AUTO_CREATE Automatic creation of Purchase Orders 12.03 Active P2P PO PO_WS_PURCHASE_ORDERS Purchase Order Web Service 12.02 Active P2P PO PO_WS_RECEIPTS Receipts Web Service 12.02 Active P2P PO PON_WF_NDA Non-Disclosure Agreements 12.01 Active P2P PO PSA_REP_FUNDS_AVAIL Funds Available by Account Report 12.04 Active TRV_INT_AMADEUS9 Interface between Oracle EBS and Online Booking

Tool (for Amadeus) 12.02 Active TRV TRV

TRV_PRG_MAIN Main Program for the Travel extension 12.68 Active TRV TRV TRV_REP_ACCT_DTL_EXPORT Travel Account Detail Export 12.07 Active TRV TRV TRV_REP_EXPENDITURE Traveller Expenditure Report 12.13 Active TRV TRV TRV_REP_INSURANCE Insurance TDY Report 12.12 Active TRV TRV TRV_REP_REQUEST_LISTING Travel Listing Report 12.05 Active TRV TRV TRV_REP_TRAVEL_ORDER Travel Order Confirmation Report 12.13 Active TRV TRV TRV_REP_TRAVELER_DEST_TDY Traveller Destination of Active TDY Report 12.02 Active TRV TRV TRV_REP_TRAVELER_STATUS_REF Traveller Status Reference Report 12.02 Active TRV TRV ZX_REP_TAX_AUDIT_TRAIL Tax Audit Trail Report 12.02 Active O2C E-business Tax

Table 20 – CEMLIs in FinS

9 This CEMLI is currently being tested and is not operational yet.







ANNEX C. LIST OF EXISTING DOCUMENTATION FOR CURRENT FINS

The documents listed in Table 21 are available and they document the current FinS implementation10. Document Grouping OUM/AIM

Code Description

Requirements Business Process Descriptions Standard Operating Procedures Analysis and Design BF.045 High-Level Solution Document Use Case documentation MD.050 Functional design documents MD.060 Database design documents MD.120 Installation documents Implementation BR.100,

BF.016 Set-up workbooks

CM.040 Release notes Testing SR.010 Test reports TE.040 Test scripts Technical Architecture MD.070 Technical design and Interface Control

documents Training UPK material Training slides Customisation (CEMLI) All functional and technical design for

customisations Configuration Management CM010 Configuration Management Plan Security Template for CIS Description Template for Security Accreditation

Plan Table 21 – List of existing documentation for FinS

10 Note that some of these documents have been prepared following the old Oracle AIM rather than the OUM methodology.




ANNEX D. PROJECT MANAGEMENT PLAN TEMPLATE A Microsoft-Word template for the Project Management Plan that shall be submitted as part of the Bid and updated throughout the project as needed is provided separately as Annex D.




ANNEX E. PRODUCT DESCRIPTION TEMPLATE A Microsoft-Word template for the Product Descriptions that shall be part of the PMP is provided separately as Annex E.

RFQ-CO-14624-LOGFS – Book II, Part IV – Statement of Work Annex D

NATO UNCLASSIFIED

Development and Delivery of Finance Capability of Logistics Functional Services (LOGFS)

Project Management Plan

Template

RFQ-CO-14624-LOGFS – Part IV – Statement of Work - Annex D

Contractor: TBD

NATO Contract Number: CO-14624-LOGFS

Reference: SOW Paragraph 3.11

Contractor Project Manager : TBD

Address: -

Issue Date:

Contractor Authorisation: -

NCI Agency Approval:

Date:



Page 3 of 35 NATO UNCLASSIFIED

Contents Contents 3

Index of Figures and Tables 4 Document Control 5

Changes History 5

Authorised by 5

Distribution 5

References 5

Definitions 5 Acronyms 5

1 Introduction 7

1.1 Background 7 2 Project Definition 8

2.1 Vision 8

2.2 Objectives 8 2.3 Project Scope 8

2.4 Major Deliverables 8

2.5 Constraints 8

2.6 Assumptions 8

2.7 Dependencies 9 2.8 Critical Success Factors 10

2.9 Project Acceptance Criteria 10 3 Project Approach & Guiding Principles 15

3.1 Project Approach 15

3.2 Methods and Best Practices 15

3.3 Tools 15 4 Project Organization 16

4.1 Roles and Responsibilities of each Organizational Unit 16

4.2 Organisational Structure 16 5 Project Management Processes 19

5.1 Project Control 19

5.2 Change Control 20 5.3 Management of Sub-Contractors 21

5.4 Purchaser involvement 21

5.5 Project Monitoring, Control & Reporting 21 6 Communications Management 22

6.1 Time 22

6.2 Project's Website 22



6.3 Project Reporting 22

6.4 Meetings 22

6.5 Communications Plan 23 Annex A. Project Master Schedule 24 Annex B. Product Breakdown Structure 25

Annex C. Work Breakdown Structure 26

Annex D. RAID Log 27

Annex E. Risk Management Strategy 28

Annex F. Issue Resolution Strategy 29

Annex G. Quality Assurance Plan 30 Annex H. Quality Log 31

Annex I. Sample Project Highlight Report 32

Annex J. Sample Change Request Form and Change Request Log 33

Annex K. Sample Checkpoint Report 34

Annex L. Key Products and Milestones 35

Index of Figures and Tables Figure XXXX: Project Organizational Diagram 16 Figure XXXX: Assuring Delivery through Change Management 21



Document Control Changes History

Version Number

Date Author Change Status (Draft / Authorised)

1.0 Draft version delivered as part of the LOGFS Finance Bid

First Issue

1.1 Version delivered for the PMR

Authorised by Name Role Date

LOGFS Finance Purchaser Project Manager

Contractor

Distribution Status Location

Electronic master (all other copies are uncontrolled)

Purchaser and Supplier personnel Project Website and Collaborative Working Environment

Supplier personnel

References 1 IEEE Standard 12207- 2008 IEEE Standard for Information Technology - Software

Life Cycle Processes 2 ISO/IEC 12207:2008 - Systems and software engineering - Software Lifecycle

Processes [Book] / auth. Joint Technical Committee ISO/IEC JTC 1, Information technology, Subcommittee SC 7, Software and systems engineering. - Geneve: International Organisation for Standardisation/International Electrotechnical Commission, 2008

3 Managing Successful Projects with PRINCE 2 2009 [Book] / auth. Office of Government Commerce. - London: TSO, 2009

4 Other references as appropriate

Definitions Term Meaning

None

Acronyms Acronym Meaning

None



Acronym Meaning



1 Introduction LOGFS is in NATO’s Bi-Strategic Commands Automated Information Systems (Bi-SC AIS) workstream. The project being delivered by Contractor will provide an updated Finance capability as part of the NATO Capability Package (CP) 9C0103 ‘Functional Services for Logistics C2’ which is to consolidate, develop and evolve the LOGFS systems. This document is a formal Project Management Plan (PMP) that provides the framework for undertaking the project delivery activities deemed necessary to fully develop and implement the LOGFS Finance capability ready for on-going future service. The primary purpose of this document is …... The intention of this PMP is to:

• Do this • And this.

There are separate plans within the LOGFS documentation that will be produced and maintained during the lifecycle of the project and describe how specific areas of the project will be addressed. This document will make reference to the above documents where they relate to the planning and control of the LOGFS Finance Project.

1.1 Background

<Some information to be added from the RFQ to provide background information to the product>



2 Project Definition

2.1 Vision

Our vision is to deliver ………………………...

2.2 Objectives

In order to achieve the vision the objectives of the project: • Objective 1 • Objective 2 • Objective N

2.3 Project Scope

The scope of the plan is Work Packages 1 (, 2, 3, 4) of the NCI Agency LOGFS Finance RFQ.

2.4 Major Deliverables

Major Deliverables for the Project will be: • Environments established • Workshops conducted • Etc.

2.5 Constraints This table shows the project constraints.

Ref Description Constraint Type

Work Package

C001 The solution must meet all requirements as specified in the requirements list provided at RFQ unless otherwise agreed.

Requirements All

C002 All requirements must be those described in the Annex A to SOW provided by NCI Agency and NATO at RFQ or be technically linked derivations of those requirements.

Requirements All

C003 Design and capability is constrained by the enabling architecture of Bi-Strategic Commands Automated Information Systems (Bi-SC AIS) Functional and Core Services.

Design All

C004 All designs must meet INFOSEC and NCIRC Technical Centre Directives for Security.

Design and Security

All

2.6 Assumptions This table shows our assumptions.



Ref Description Assumption Type

Work Package

A0001 The Effective Contract Date is XXXXXXX Commercial All

A0002 NCI Agency will provide details of the systems and architecture, documentation, change requests, tech refresh plans and support procedures for all existing Finance applications at the start of the contract award.

Delivery All

.. as required

2.7 Dependencies The following two tables show the dependencies.

2.7.1 External Dependencies

Dependency Description

ED01

ED02

2.7.2 Internal Dependencies

Dependency Description

ID01

ID02

2.7.3 Purchaser Furnished Items

The following customer supplied products are required in order that the Contractor Team can evolve the LOGFS Finance solution:

• Test Environments: o o

• Bi-SC AIS Core Services: o Windows Domain Services o E-mail Services (MS Exchange) o Hosting Services

• Networks: o security settings and related testing documentation for servers,

workstations, and wide area network connections o remote access via internet VPN to PMIC sub-network, as required to

conduct development and testing • Legacy Systems:

o Baseline versions of the software source code and supporting modelling, design, and configuration management documentation for the existing FinS solution

• Other: o etc



2.8 Critical Success Factors

The following LOGFS Finance Critical Success Factors have been identified.

Business Objective Project Success Criteria Measurement

2.9 Project Acceptance Criteria

Short Name

Long Name Description Acceptance Criteria Products to be delivered

PMR Project Management Review

Project Management Review: Initial Baseline of the Project Management Plan (PMP) submitted by Contractor. This is an updated version of the PMP delivered as a response to the RFQ.

• Purchaser approval of the content of the PMP and its Annexes

• Purchaser confirmation that the Project Website is adequate and operational

• User confirmation of the user-related dates in the PMS

• Project Management Plan (PMP)

• Project Master Schedule (PMS)

• Product Breakdown Structure (PBS)

• Work Breakdown Structure (WBS)

• RAID Log • Risk Management

Strategy • Issue Resolution

Strategy • Quality Assurance

Plan (QAP) • Quality Log • First PHR • Change Requests

and the Change Log • Checkpoint Reports • Project Website &

Collaboration Environment



LAR Lifecycle Architecture Review

The LAR highlights the end of the Elaboration Phase and the expectation is that most of the analysis and design has been completed at this point in the project.

• Purchaser approval of the deliverables for the LAR.

• Use Case Model (RA.023)

• Use Case Details (RA.024)

• High-Level Software Architecture Description (RA.035)

• Future Process Model (RD.011)

• Baseline Architecture Description (RD.130)

• Requirements Specification (RD.140)

• Audit and Control Requirements (RD.070)

• Analysis Architecture Description (AN.040)

• Functional Design CEMLI (AN.100)

• Analysis Model (AN.110)

• Design Architecture Description (DS.040)

• Design Specification (DS.140)

• Business Data Structures (MC.010)

• Business Requirements Mapping (MC.030)

• Application Setups (MC.050)

• Functional Security (MC.060)

• Configuration Prototyping Workshops (MC.080)

• Reporting Fit Analysis (MC.090)

• Gap Resolution (MC.110)

• Data Acquisition and Conversion Requirements (CV.010)

• Development Environment (IM.007)

• Functional Prototype (IM.010)



Short Name

Long Name Description Acceptance Criteria Products to be delivered • Reporting and

Information Access Strategy (TA.040)

• System Capacity Plan (TA.160)

• Testing Strategy (TE.010)

• Integration Test Plan (TE.015)

• System Test Plan (TE.050)

• Systems Integration Test Plan (TE.080)

• User Acceptance Test Plan (TE.082)

• Test Environment (TE.060)

• Training Strategy (TR.010)

P2.1E End of Phase 2.1

This milestone follows from the LAR and is completed when all the remaining deliverables from Phase 2.1 are completed and a decision about continuing the implementation for Phase 2.2.

• Purchaser approval of the System Implementation Plan.

• Purchaser decision to continue with Phase 2.2 or not.

• Final System Implementation Plan

• Product Descriptions for all Phase 2.2 products

• Updated PMS • Updated PMP (if

required)



Short Name


TRR Test Readiness Review

This milestone will check if the Contractor has done everything necessary to enable User Acceptance Tests and will determine if the Construction Phase has been successfully completed.

• Purchaser approval of the deliverables for the TRR.

• Purchaser Confirmation for the dates of the Transition Phase PMS

• Future Process Model (RD.011)

• Baseline Architecture Description (RD.130)

• Use Case Model (RA.023)

• Use Case Details (RA.024)

• High-Level Software Architecture Description (RA.035)

• Application Setups (MC.050)

• Analysis Architecture Description (AN.040)

• Design Architecture Description (DS.040)

• Analysis Model (AN.110)

• Installation Plan (TS.030)

• Installation Routines (IM.090)

• Systems Integration Test Scenarios (TE.090)

• Unit Test Results (TE,030)

• Integration Test Results (TE.040)

• Systems Integration Test Results (TE.100)

• UAT Training Plan (TR.070)

• Cutover Strategy (TS.020)

• Baseline FinS Release (IM.050)

• Updated PMS

TMR Training Materials Review

Training Materials Review to assess the suitability of the training materials for the scope of the project

• Purchaser approval of the deliverables for the TMR.

• Training Needs Analysis (TR.060)

• Training Plan (TR.070)

• Training slides in Powerpoint Format

• CBT implementations in Oracle UPK



Short Name


UAT User Acceptance Test

This milestone will check if the Contractor has done everything necessary to enable Go Live and will determine if the Transition Phase has been successfully completed.

• Purchaser approval of the deliverables for the TRR.

• Purchaser Confirmation for the dates of the Production Phase PMS

• User Acceptance Test Environment (TE.110)

• User Acceptance Test Results (TE.120)

• Performance Test Results (PT.120)

• Converted and Verfied Data (CV.065)

• User Training for UAT (TR.100)

• IT Transition Plan (OCM.230)

• Upgraded Production Environment (TS.055)

• Updated PMS

FSA Final System Acceptance

This milestone will check if the Contractor has done everything necessary to complete the implementation and will determine if the Production Phase has been successfully completed.

• Purchaser approval of the deliverables for the FSA.

• Purchaser Confirmation for the plan for Post-Go-Live Support.

• Purchaser acknowledgement of successful IT Transition.

• Future MoSCoW requirements (RD.045)

• Performance test Results (PT.120)

• IT Transition Report • Updated PMS

P2.2E End of Phase 2.2

This milestone will follow from the FSA and will be reached when all the remaining deliverables from Phase 2.2 are completed and the Post-Go-Live support is ended. It formally ends Work Package 2 execution.

• Purchaser approval of the deliverables for P2.2E.

• Post-Production Risk Assessment (RKM.060)

• Final Issue and Problem Report (IPM.050)



3 Project Approach & Guiding Principles

3.1 Project Approach

<As per PRINCE 2>

3.2 Methods and Best Practices

3.2.1 PRINCE 2

The Project Management approach used is based on PRINCE2 (Projects in a Controlled Environment), with a number of Project Management Methodology techniques used within the overall PRINCE framework. The key attributes of the PRINCE methodology used are:

• Specification of the Project in the form of a number of Stages • Each Stage culminating in a major Product and Review • Scope of the Project defined in terms of the PRINCE Products • PRINCE Products categorised into Quality, Management and Specialist Products • The Project Organisation and interfaces defined at the project initiation • Project Planning, control, and reporting in a standardised format • Project Products scheduled in a hierarchy called a Product Breakdown Structure • All key Project Processes defined in a Quality Management System outlined in the

Project’s Quality Management Plan

3.2.2 Requirements Analysis Approach

<TBD>

3.2.3 Unified Modelling Language (UML)

<TBD

3.3 Tools

The following tools will be utilised in the delivery of the LOGFS Finance Project. <Should cover Project Management, Issue and Risk Management, Modelling (UML) and other Software Engineering tools as needed.>



4 Project Organization

4.1 Roles and Responsibilities of each Organizational Unit

4.1.1 Contractor

Contractor (Prime Contractor) is responsible for the following: • Overall Project Management • Target System Architecture and Design • Implementation and Go Live • Training • Post-Production support. • Overall coordination of development and integration processes • ctc.

4.1.2 Subcontractor1

Subcontractor1 is responsible for: • etc.

4.2 Organisational Structure

Figure XXXX: Project Organizational Diagram

4.2.1 Key Personnel, their Qualifications, and their Responsibilities

Contractor and Sub-Contractors will supply the Key Roles as requested by the Purchaser. LOGFS Project Manager The Contractor Project Manager is ……. LOGFS Solution Architect The Contractor Solution Architect is.

LOGFS Quality Manager The Contractor Quality Manager is …..



4.2.2 Contractor Team Roles and Responsibilities

4.2.2.1 Roles and Responsibilities of the Core Team

Role Responsibility

Contractor Project Manager

The Contractor Team Project Manager will: have overall responsibility for project management, performance and completion of tasks and delivery orders be accountable for Contractor and Sub-contractors delivery be Contractor’s and the Sub-contractors 's primary contact for NCI Agency's LOGFS Project Manager and will conduct all major project design, test, and status reviews be prepared at all times to present and discuss the status of Contract activities with the NCI Agency’s Project Manager, Contracting Officer, or Technical Lead <and other responsibilities>

Contractor Solution Architect

The Contractor Team Solution Architect will: report to the Contractor Project Manager be responsible for the enhancement of the Target Architectural Model and Blueprint as the basis for architecture guidance and assurance be responsible for the consistency of all technical products once base-lined and the consistency of the overarching baseline of Data, Infrastructure, Processes, and Architecture for the entire project <and other responsibilities>

Contractor Test Director

The Contractor Team Test Director will: manage the interface between Development, Testing, Release Management and all other areas produce and manage test plans covering the entire scope of testing, gain agreement of those plans with Release Management manage production of scripts for the project manage the design, specification and monitor the production of the test environment <and other responsibilities>

Contractor Quality Manager

The Contractor Team Quality Manager will: produce the Quality Plan ensure Contractor and Sub-contractors meet quality expectations and are compliant with ISO 9001 <and other responsibilities>

4.2.2.2 Other Contractor Team Members

Role Responsibility

Some Role As required



4.2.3 Purchaser Roles and Responsibilities

Role Responsibility

Purchaser Project Manager

The Purchaser Project Manager will: chair the Integrated Project Management Team meetings report regularly to the LOGFS Project Board be a member of regular Risk Reviews, Quality Meetings, Change Advisory Board and Change Control Board <and other responsibilities>



5 Project Management Processes

5.1 Project Control

5.1.1 Review & Reporting

5.1.1.1 Highlight Report A report will be compiled by the Contractor Project Manager. This will be passed to the Purchaser Project Manager (which may be passed on to senior management) on how the project has performed against the Project Plan. The final version will be provided to NCI Agency no later than the 3rd business day of each month. A draft Highlight Report will be reviewed within 3 days and Amendments will be included in the final version.

5.1.1.2 Contractor Weekly Checkpoint Report The report will focus on:

• follow-ups from previous reports • activities during the period • products completed during the period • problems or deviations from the plan • planned work for the next two periods • issues and risks arising • product completions next two periods.

5.1.1.3 Quality Reviews Deliverable Quality Reviews Quality Reviews will be scheduled and recorded as outlined in the Project Quality Management Plan. The results of, and statistics associated with, Quality Reviews will be reported by the Contractor Quality Manager on a regular basis as part of the Highlight Report.

5.1.2 Exception Process

Any activities which are slipping with reference to the Project Plans must be brought immediately to the attention of …….

5.1.3 Issue Management

Issues will be managed in line with the Contractor Team’s Issue Resolution Strategy which reflects PRINCE2 methodologies. With particular reference to the Contractor Team’s management of issues within the LOGFS Project:

• Issues may arise that impact the scope of supply, policy, methods or products to be employed. Each item is a statement that something may impact timescales and/or costs and needs resolution before it has an effect on the project plan.

• The Issues Log is used for recording and tracking problems and issues as events occur in the project. The Log also provides visibility of the project’s current issues



for the Integrated Project Management Team, Senior Management and Project Personnel.

• The Project Managers jointly review and maintain the Issues Log. Issues can be raised by anyone with an interest in the project via the appropriate Project Manager. The Issues Log is reviewed at each Checkpoint and Integrated Project Management Team meeting.

• Stakeholders might raise Candidate Issues using the LOGFS Project Portal. These issues would be reviewed and categorised by the NCI Agency Project Manager. If a candidate issue is approved, it will be added to the official Project Issue Log. It may also be converted into a Risk and added to the Risk Register.

• The progress, outcomes, and associated statistics for all issues will be reported by the Contractor Team LOGFS Project Manager on a regular basis as part of the weekly Checkpoint Report/Briefing.

5.1.4 Risk Management

Risks will be managed in line with the Contractor Team’s LOGFS Risk Management Strategy which reflects PRINCE2 methodologies. With particular reference to the Contractor Team’s management of risk within the LOGFS Project:

• etc

5.2 Change Control

The Change Management process will cover the PRINCE2 Component ‘Change Control’ as a control of the LOGF FS project, and ITIL Service Transition ‘Change Management’ as a control of the LOGFS service. This is in order to ensure that any changes to scope, hardware and software are appropriately assessed (risk and impact), prioritised, planned, tested, documented and reviewed in line with NCI Agency best practice guidance. The process will also be used to control any amendments made to documentation produced in support of the LOGFS service.

5.2.1 Roles and Responsibilities

Contractor will appoint staff with specific tasks of managing Change Control and Change Management. Further details of roles and responsibilities can be found in the chapter on Project Organization above. We will appoint the following roles.

5.2.1.1 Contractor Requirements and Change Manager • <example>

5.2.1.2 Contractor Configuration Manager/Librarian • <if needed>

5.2.2 Establishing a Change Control Process

Contractor will work in cooperation with NCI Agency Service Delivery POC to define the most suitable approach to the delivery, management and governance of the change to meet all stakeholder objectives. At a high level, the process will observe the following guidelines:



• <guidelines>

5.2.3 Description of Process

A process flow for managing change requests with the Purchaser is shown the Figure.

Figure XXXX: Assuring Delivery through Change Management

5.3 Management of Sub-Contractors

Contractor has established a contractual relationship with each sub-contractor. The contracts cover:

• <etc>

5.4 Purchaser involvement

5.4.1 Integrated Project Management Team

<description>

5.4.2 Formal Reviews

<description>

5.4.3 (In)Formal Meetings

<description>

5.5 Project Monitoring, Control & Reporting

<description>



6 Communications Management

6.1 Time

The standard time for the project will be Central European Time (CET) or GMT +1hr. All meetings will be arranged based on CET.

6.2 Project's Website

The project will use an unclassified but managed Project Website and Collaborative Working Environment on which all relevant unclassified LOGFS project documentation and datasets will be maintained. This will allow NCI Agency and the Contractor, to share content, collaborate and work efficiently online as a team. Functionality will include: <description>

6.2.1 Establishment of Project Website

<description>

6.2.2 Maintenance of Project Website

<description>

6.2.3 Use of Website

<description>

6.3 Project Reporting

<description>

6.4 Meetings

6.4.1 LOGFS Project Kick-Off Meeting

<description>

6.4.2 Project Management Review (PMR)

<description>

6.4.3 Project Checkpoint Reviews

<description>

6.4.4 LOGFS Integrated Project Management Team/Change Control Board (CCB)

<description>



6.4.5 System Requirements Review (SRR)

<description>

6.4.6 Critical Design Review (CDR)

<description>

6.4.7 Training Material Review (TMR)

<description>

6.4.8 Process for Formal Reviews

See the Quality Plan for a description of the process to run a formal review.

6.5 Communications Plan

6.5.1 Internal Communications

Stakeholder Communication Aim

Communication Method Communication Frequency

Activity Owner

6.5.2 External Communications

Stakeholder Communication Aim

Communication Method Communication Frequency

Activity Owner



Annex A. Project Master Schedule The PMS (Project Master Schedule) is in MS Project 2010 format.



Annex B. Product Breakdown Structure The PBS is driven from the PMS. The PBS is available as a separate product.



Annex C. Work Breakdown Structure The WBS is driven from the PMS. The WBS is available as a separate product.



Annex D. RAID Log The Risks, Assumptions, Issues, Decisions (RAID) Log is available as a separate product.



Annex E. Risk Management Strategy The Risk Management Strategy is available as a separate product.



Annex F. Issue Resolution Strategy The Issue Resolution Strategy is available as a separate product.



Annex G. Quality Assurance Plan The Quality Assurance Plan is available as a separate product.



Annex H. Quality Log The Quality Log is available as a separate product.



Annex I. Sample Project Highlight Report The Project Highlight Report (PHR) for LOGFS Finance will be produced by the Contractor Project Team.



Annex J. Sample Change Request Form and Change Request Log

The Change Request (CR) Form and the Change Request Log to be used for the LOGFS Finance Project.



Annex K. Sample Checkpoint Report A sample Checkpoint Report that will be produced after each weekly Checkpoint Meeting.



Annex L. Key Products and Milestones The Key Products and Milestones are listed in section 2.9.

NATO UNCLASSIFIED

NATO UNCLASSIFIED

Development and Delivery of Finance Capability of Logistics Functional Services (LOGFS)

Product Description

Template

RFQ-CO-14624-LOGFS – Part IV – Statement of Work - Annex E

Contractor: TBD

NATO Contract Number: CO-14624-LOGFS

Reference: SOW 3.12.5

Contractor Project Manager : TBD

Address:

Issue Date:

Contractor Authorisation:

NCI Agency Approval:

Date:

RFQ-CO-14624-LOGFS – Part IV – Statement of Work Annex E


Contents Contents 2

Index of Figures and Tables 2

Document Control 3 Changes History 3

Authorised by 3

Distribution 3

References 3

Definitions 3 Acronyms 3

1 Identification 4

2 Purpose 4

3 Format and Presentation 4

4 Composition 4

5 Related Deliverables 4 6 Derivation and Allocated 4

7 Acceptance and Quality Criteria 5

7.1 Acceptance criteria 5

7.2 Quality criteria 5 8 Acceptance Method 5

9 Roles involved 5

Index of Figures and Tables Table 6-1: Derivation and Allocated Products 4 Table 6-2: Contained and Contains Products 5



Document Control Changes History

Version Number

Date Author Change Status (Draft / Authorised)

1.0 Draft version delivered as part of the LOGFS Finance Bid

First Issue

1.1 Version delivered for the PMR

Authorised by Name Role Date

LOGFS Finance Purchaser Project Manager

Contractor

Distribution Status Location

Electronic master (all other copies are uncontrolled)

Sopra Steria Configuration Management system

Purchaser and Supplier personnel Project Website and Collaborative Working Environment

Supplier personnel Sopra Steria LOGFS SharePoint

References 1 Managing Successful Projects with PRINCE 2 2009 [Book] / auth. Office of

Government Commerce. - London: TSO, 2009 2 Other references as appropriate

Definitions Term Meaning

Acronyms Acronym Meaning



1 Identification

Product Title XXX Product Description

Product Identifier

2 Purpose This document is the Product Description (PD) for the System Implementation Plan (SIP) for the LOGFS Finance Phase 2 Implementation project.

3 Format and Presentation Paragraph 4.10 of the Statement of Work (SOW) requires the production of a SIP, but does not mandate any particular standard. The first draft of the SIP shall be ready at the Project Management Review (PMR) milestone. The final version of the SIP shall be ready at the Lifecycle Architecture Review (LAR) Milestone. The final version shall be the basis of LOGFS Finance Phase 2.2 implementation.

4 Composition The following information shall be provided, with relevant associated information as appropriate.

5 Related Deliverables This section may be redundant given that this document provides details about producing and consuming information. However, the section shall not be removed, indicate explicitly that it is not needed if this is the case. List the relevant Product Title and Identifiers (if any). For example, if any hardware is associated with this interface.

6 Derivation and Allocated This section may be redundant given that this document provides details about producing and consuming information. However, the section shall not be removed, indicate explicitly that it is not needed if this is the case.

Gets Input From Gives Input To

ID Name ID Name

Table 6-1: Derivation and Allocated Products



Contained Within Contains

ID Name ID Name

Table 6-2: Contained and Contains Products

7 Acceptance and Quality Criteria

7.1 Acceptance criteria

The document shall contain, or make reference to, information that provides coverage of all the items listed in the table in Section 4 of this PD.

7.2 Quality criteria

The document shall be written in English, formatted in line with the Project's default documentation standards, be internally self-consistent and contain no ambiguous statements.

8 Acceptance Method A successful internal review shall result before the document is offered for review and approval by the NCI Agency. The following table outlines the standard timetable for review.

Deliver to NCI Agency

NCIA Review

Document Update

NCIA Final Review

Approval Meeting

PMR

LAR

Assuming the following milestone dates PMR XX/XX/XX LAR XX/XX/XX

9 Roles involved

Role P A R C I

P=Produces, A=Approves, R=Reviews, C=Contributes, I=Informed

Contractor Project Manager X

Contractor Solution Architect X



Role P A R C I

Contractor Quality Manager X

Purchaser Technical Lead X

Purchaser Project Manager X