bau:june 16, 2011 planning is a legal obligation ppa:section-11 and ppr-16: procurement planning is...

BAU:June 16, 2011

Planning is a legal Obligation

• PPA:Section-11 and PPR-16:

Procurement Planning is mandatory for all Procuring Entity (PE)

PP must be approved by the Head of the Procuring Entity (HOPE) or by the officer empowered by the HOPE

1PP for SPMBAU:June 16, 2011

Four Key WordsFour Key Words

ItemItemA single article or unit in a list.

With an identified quantity ….. 1,2,3 etc

LotLotA number of items grouped together

Any number of items can form a lot

PackagePackageA group of lots forming a contract

No package can have more than 5 lots

ContractContract

The agreement between the PE and Supplier/Contractor/Consultant and enforceable by law

Through which the package is purchased

BAU:June 16, 2011

Package & Procurement MethodsPE decides

Splitting /Assembling packages

Applicability of the Procurement methods

considering the nature & size of the procurement , by carefully

reviewing the proposed procurement activities & issues


BAU:June 16, 2011

Combination of Lot

• Items of same nature & generally supplied by a particular group of supplier and normally available in a single shop or in a market. (Computer and Air Cooler should not be in the same lot while scanner, printer and computer should be in a single lot)

• Suppliers availability and ability also to be considered


BAU:June 16, 2011

Packages Few or More?? Large or Small ??Arguments in favour of Groupings into Few Large Procurement Packages

►Benefits from economics of scale-achievement of economy & efficiency

►Management aspects ( PE’s capacity to manage the whole project)

►Risk aspect (where failure of a sub-supplier may unduly affect critical path)

►Benefits from participation of large International Tenderers

►Administrative costs of tendering


BAU:June 16, 2011

Packages Few or More?? Large or Small ??Arguments in favour of Splitting into

more small Packages

►Time element (procurement items are needed at different times)

►Business structure( some good or services are not available from a single source)


BAU:June 16, 2011

Three Initial StepsThree Initial Steps1. Categorize procurement into:

2. Consider time scale and combine into contract packages….. assign a unique Code Number

3. Make packages as large as practicable for improved participation and competition.

GoodsGoods WorksWorks ServicesServices


BAU:June 16, 2011

Packages

Splitting of Packages for avoiding particular method or sanction from Higher authority have been prohibited in the Act/Rules

But

HOPE or AO may approve splitting to smaller packages & lots on

justifiable grounds


BAU:June 16, 2011

Splitting of Packages► PE shall not generally split a

Project components with the intention of avoiding either method or the approval of a higher authority

►PE shall not usually split a package into more than five ( 5) lots for keeping cross –discounts application simple


BAU:June 16, 2011

Splitting of Packages (Contd.)►PE shall take into account the

following aspects for splitting single object of Procurement

the capacity of the local & international markets in submitting responsive Tenders

the convenience of implementation with due regard to geographical location of sites for potential Works contracts.


BAU:June 16, 2011

PackagesClassified by category such as

Goods, Works and Services

Separate for Development Project and Revenue Budget

Revenue Budget is not needed for SPM


BAU:June 16, 2011

Key Issues► PE shall arrange to publish the

Procurement Plans on their notice boards, and where applicable in their websites & in the websites of the concerned Department or Directorate or organizations, bulletins and reports (PPR- 16.9)

►PE shall, for its own purposes, update the Procurement Plan on a quarterly basis to accommodate delays, re-tendering & other unforeseen changes or constraints (PPR-6.10).


BAU:June 16, 2011

Key Issues (contd.)

Publication in CPTU website Procurement Plans, above the

threshold, specified in Schedule II shall be published in CPTU website on a regular basis (PPR- 16.11).


BAU:June 16, 2011

Procurement Scheduling ProcessSeven Key Steps in preparing the

Procurement Plan1. List objects to be acquired under the Project or

Programme, categorizing procurement into:

►Goods (Section 2.16)( raw materials, products, equipment and objects in solid, liquid or gaseous form, electricity & related services) (readily useable)

► Works (section 2. 6)( construction, reconstruction, site preparation, demolition, repair, maintenance or renovation railways,roads, highways or building etc. as well as physical services)

► Services (section 2. 24 )(intellectual & professional services)


BAU:June 16, 2011

Procurement Scheduling Process ( cont’d)

2. Consider time scale and determine target dates when each goods or works or services should be ready for use, within the overall project implementation framework

3. Identify Interrelationship between the processing of these procurement objects

4. Decide on the content of Individual Procurement Packages.


BAU:June 16, 2011

Procurement Scheduling Process (contd.)

5. Determine the procurement lead times for each package & schedule the target date for each event in the procurement process

6. Prepare Implementation Schedule – Table, Bar Chart or list identifying key dates of each package ( Gantt Chart)

7. Develop a Monitoring System to ensure timely procurement decisions & Implementation follow-up actions.


BAU:June 16, 2011

Procurement Plan Formats

Procurement Plan has been made an integral part of DPP by the Government.

Procurement Plans for the both the Dev and Revenue Project are to be prepared in the Formats prescribed by the Government from time to time.

(For SPM World Bank Format as supplied)


BAU:June 16, 2011

Total Procurement Plan for Total Procurement Plan for Development ProjectDevelopment Project

• Identifies: The packages for goods, works and

services that are required under the development project.

Each procurement package, giving it a unique code and considers the expected cost of the package (as per the PP/TAPP), and

The anticipated dates when the procurement package will be supplied


BAU:June 16, 2011

Annual Procurement Plan for Annual Procurement Plan for Development & Revenue BudgetsDevelopment & Revenue Budgets

• Time bound PP assists a Procuring Entity to effectively plan its procurement requirements and is an important and useful tool used to monitor the progress of procurement

A. to ensure that it does not go astray;

B. to ensure that early problems with slippage can be dealt with promptly; and

C. can form a useful Annual Plan for procurement.

A. to ensure that it does not go astray;

B. to ensure that early problems with slippage can be dealt with promptly; and

C. can form a useful Annual Plan for procurement.


BAU:June 16, 2011

Procurement Methods

•PPA section: 31-34

•PPR: 61-62, 69,74,83, & 103-104


BAU:June 16, 2011

Frequently used Proc Methodsfor Goods & Works

• OTM (Open Tendering Method) (PPR-61)

(WB term it National Competitive Bidding NCB)• ICB (International Competitive Bidding)

(International Tender) (PPR-83)

• RFQ (request for Quotation) (PPR- 69)

• Direct Contacting (Direct Cash Purchase and Others methods) (PPR- 75)


BAU:June 16, 2011

Proc Methods for services frequently used by SPM

• CQ (Consultant Qualification) (normally firm) (PPR-108)

• IC (Individual Consultant) (PPR-112 )

• FBS (fixed Budget Selection) (PPR- 106)

• LCS (Least Cost Selection) (PPR-107)

• QCBS (Quality Cost Based Selection) (PPR- 105)


BAU:June 16, 2011

Procurement Plan Format

Column 4: Unit (unit of measurement)

Goods: Numbers, Pieces, Liter, meter, Lot etc

Works: Cubic Meter, Square meter, Lump sum etc

Service: Staff Months, Days, Hours , lump sum etc


BAU:June 16, 2011


Column 10: Planned Date of Bid opening (Actual Date of Bid Opening)

• We are to follow the provision PPR-61(4), 64(5) 71(4) and 83 (1) (ka)

• Time from publication of invitation to bid opening depends on threshold and proc methods


BAU:June 16, 2011


Column 11: Planned Date of Contract Signing (Actual Date of signing)

• Signing of Contact depends not only on PE but also on the Supplier/ contractor/ Consultant.

• Period of Evaluation, approval by the proper authority, issuance of NOA, Suppliers acceptance, Submission of performance security, are the factors to be considered


BAU:June 16, 2011


Column 12: Planned Date of Completion (Actual date of completion)

• It depend on the Size/ Quantity/ Volume/ market situation/suppliers ability/ urgency/ weather/transport facilities/availability of funds and so many things. We are to consider all these.


BAU:June 16, 2011

World Bank Format for PP

Sl No

Contact Package No

Contact Description

1 2 3

1 G-1 Supply of a microbus

2 G-2 Printing of Lab Operation Manual

3 G-10 Printing Quarterly Newsletter

BAU:June 16, 2011


Sl. No

Contact Package No.

Contact Description

1 2 3

1 W1 Sand filling to play ground

2 W2 Construction of two latrin for female students

3 W3 Repair of laboratory room of Physic dept

BAU:June 16, 2011


Sl. No

Contract package No.

Contract description

1 2 3

1 S1 Website dev and maintenance for BUD

2 S2 Selection of local partnership for network design and implementation

3 S3 Selection of Digital Library specialist

BAU:June 16, 2011


Unit Quantity/numbers

Estimated cost (Actual Contract Price)

Procurement Method

Procurement Guideline (PPA/BG)

4 5 6 7 8Unit of measurement

1,5,3 etc

US$

BDT.

OTM/ICB/RFQ/CQ/ IC etc

PPA/

BG

BAU:June 16, 2011


Prior Review

(yes/no)

Planned Date of Bid opening/ Proposal Submission (Actual date of Bid opening/ )

Planned Date of contract signing (actual Date of contract signing)

Planned Date of Delivery/ completion (actual date of delivery/ completion

9 10 11 12

BAU:June 16, 2011

• Basic principle is not to be adopt any ill tactics

• Keep budget provision for honurium

• Training and foreign visit not to be included in planning

• Lump Sum Contract: A contract for the performance of a specified amount of work by a specified date for a sum established in advance

Miscellaneous


BAU:June 16, 2011

Queries ??

• If you have any query please do not hesitate to contact HEQEP procurement unit

Procurement specialists and procurement officers are always ready to response your queries.

BAU:June 16, 2011

Thanks.Md. Alamgir Hossain

Procurement OfficerHEQEP

Phone: 01819567424Email:[email protected]

34PP for SPM

bau:june 16, 2011 planning is a legal obligation ppa:section-11 and ppr-16: procurement planning is...

Documents

procurement planning

procurement methodsconsidering

procurement plans

smaller packages

contract packages

spmsplitting of packages

single source

single shop