How does UNDP do business
Procurement The UNDP Somalia Procurement Unit manages procurement of goods, works and services in support of Programme activities. The Unit liaises with project personnel on specifications, delivery/payment terms & funds availability; identifies procurement method, procurement approval (submission of data to contract review committees) in order to ensure access to favorable quality and prices. The unit also maintains roster of suppliers, which is continuously updated.
UNDP Procurement Methods
UNDP Procurement is based on competitive bidding. Depending on the type, complexity, size and value of the project and its procurement elements, commonly used methods of solicitation include:
Request for Quotation (RFQ): An RFQ is an informal invitation to submit a quotation, usually for Goods/services/civil works at a value between US$2,500 and $100,000. Prices, and other commercial terms and conditions are requested and award is made to the lowest priced technically acceptable offer.
Invitation to Bid (ITB): An ITB is a formal invitation to submit a bid, usually associated with requirements that are clearly and concisely defined, with an estimated procurement value of US$100,000 or more. Normally price is the sole determinant in making an award. Where all technical criteria are met, award is made to the lowest bidder.
Request for Proposal (RFP): An RFP is a formal request to submit a proposal, usually associated with requirements for services, which can not be clearly or concisely defined, with an estimated procurement value of US$ 100,000 or more. Price is only one of several factors comprising the evaluation criteria. Award is made to the qualified bidder whose bid substantially conforms to the requirement set forth on the solicitation documents and is evaluated to be the lowest cost to UNDP.
In some cases, exceptions to competition are being made and direct contracting is used. This usually happens when a Long-Term Agreement (LTA) is in place, either globally (IAPSO or HQ) or locally (at country office level).
For values less than US$2,500, country offices may engage in local Shopping
All submissions for ITB’s or RFP’s should be submitted by the closing date and time indicated on the solicitation documents by one of the two methods outlined below:
1) Delivery by hand – observing the sealed envelope and marking requirements noted in the solicitation documents.
2) Courier service – observing the sealed envelope and marking requirements noted in the solicitation documents.
Details of physical delivery address will be clearly marked on the solicitation documents. Some bids may invite suppliers to a public bid opening. Suppliers are asked to be present at least half an hour before the scheduled bid submission closing. Any supplier arriving after this time will not be permitted to attend. Unsolicited bids will not be considered.
Evaluation of Offers
Depending on the procurement method, different factors take on the key role in the evaluation process.
When evaluating RFQs and ITBs, the price is the most important element. In contrast to this, an RFP requires a technical evaluation. The technical component primarily determines whether the proposal will be accepted or declined.
Additionally, UNDP evaluates its products and services based on criteria, such as; level of technical specifications, delivery time, environmentally soundness, quality assurance, accuracy of documentation, customer service and availability of spare parts and general considerations on competency.
Conditions of Contract
In order to be a supplier for the United Nations Development Programme, you have to accept our General Terms and Conditions. Depending on your deliverables, the following applies:
1. UNDP general terms and conditions for professional services
2. UNDP general terms and conditions for supply of goods
3. UNDP general terms and conditions for civil works
4. UNDP supplier code of conduct
These documents are available in pdf format in the Procurement Publications section on our Resources page.
Individual Services of Technical Experts
Special Service Agreement (SSA): In addition to the above procurements of goods, works and services, UNDP Somalia procures the individual services of technical experts. The SSA modality is used for the procurement of services provided by a person engaged by UNDP in his/her individual capacity. These will cover expert and advisory services, technical skills or knowledge for the performance of a specific task on an output basis.
The selection of individual contractors is made through a competitive process, the purpose of which is to ensure the engagement of the best-qualified candidate for the assignment, as well as ensuring an open, transparent and objective assessment.
In order to be a consultant for the United Nations Development Programme, you have to accept our General Terms and Conditions.
5. General Conditions of Contracts for the Special Services Agreement
This document is available in pdf format in the Procurement Publications section on our Resources page.
UNDP Somalia is establishing a database for technical experts, for which links will be made available shortly on this website.