terms of reference · 2016-03-04 · terms of reference terms of reference: appointment of service...

TERMS OF REFERENCE

TERMS OF REFERENCE: APPOINTMENT OF SERVICE PROVIDER TO PROVIDE 24 HOURS TOLL FREE ETHICS LINE SERVICES FOR NATIONAL REGULATOR FOR COMPULSORY

SPECIFICATIONS FOR PERIOD OF 36 MONTHS

Matters Arising: ARC

Author: O.M.A

File Ref: ARC.12/08/27

Date: 9 Sep 12

Ver: 1

Doc No. RFQ 495/2016 24 Hours toll free ethics line

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Enquiry: TE Tshisikhawe Telephone: 012 842 8926 TERMS OF REFERENCE: APPOINTMENT OF SERVICE PROVIDER FOR 24 HOURS TOLL FREE ETHICS LINE 1. BACKGROUND

The primary objective is to appoint service provider that can support the NRCS in providing the services of 24

Hours toll free ethics line.

The NRCS is seeking to engage the services of contractor to create and manage a 24 hour toll free call

centre to enable the NRCS employee , contractors , supplies and other interested parties to raise concerns

relating to unlawful , irregular and or suspicious corrupt related activities or conducts.

2. SCOPE OF WORK

To provide a toll free hotline or ethics line services which will be active and managed for 24 hours , 365 or 365

days a year whichever is applicable , to enable employees , contractors , suppliers and other interested parties

or members of the public to report irregular , unlawful and corrupt related activities;

To provide the following communications mediums for the ethics line: o A toll free telephone number; o A toll free fax number; o A secure email address; o A free post address; and o A web based address.

All calls to the toll free number will be handled by a call operator ( Service Provider), who will transcribe the information provided on to a sheet customized to NRCS specific requirements;

Each call will be allocated a specific reference number to be used , should the caller wish to provide more information on a subsequent date or should the caller , at later stage enquire regarding progress of the matter reported;

The information transcribed on to the call sheet will be transmitted to NRCS Chief Audit Executive , who will be responsible for taking action on the information received from such reports;

The option of remaining anonymous will be explained to each caller. In the event of the caller requiring anonymity , the contractor will be entitled to refuse to provide any indication to NRCS of caller’s identity unless it is required by law;


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All calls will be recorded and the recordings will be maintained for period of two (2) months. A copy of the information received will be stored at an off-site location to ensure safety;

In the event of the information provided indicating prima facie immediately or physical threat to members of NRCS or the general public , the information will be conveyed to the South African Police Services also knows as SAPS at 10111 as well as to the NRCS Chief Audit Executive;

Conduct workshop(s) on the use of hotline as an when it is required by the NRCS but at least on a quarterly basis , as well as highlighting the various types of information disclosures;

Assist in promoting awareness materials to be displayed in the building;

Provide monthly reports of fraud hotline activities and other services rendered in relation to the scope of work; and

Services to be rendered by the contractor must comply with all relevant South African legalisations , i.e. – Protected Disclosure Act 26 of 2000

3. ENGAGEMENT APPROACH

In light of the project objectives and scope described above, a summary of the activities that the contractor must

conduct are as follows:

Help NRCS to draft a project plan ( Marketing and operational) of the toll free services;

Furnish NRCS with details of the various reporting mediums , including unique toll free number , hotfax number

, hotspot address , Hotmail address and web-based reporting link;

Manage all aspects of the day to day operation of the ethics line services on behalf of the NRCS;

Assist the NRCS to launch and create an awareness of the toll free line services; and

Assist NRCS to develop continuous marketing initiatives aimed at sustaining awareness of the toll free line

services.


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4. KEY DELIVERABLES

The contractor is required to deliver the following:

A working and effective ethics line to NRCS;

On site and off site recording of backups;

Regular reports to South African Police Services (SAPS) where applicable;

Monthly management reports analyzing the information received and on fraud hotline activities;

Forensic investigation reports where applicable and agreed;

Marketing materials relating to the hotline and its implications; and

Awareness to NRCS staff and the general public on the hotline and highlighting the various types of disclosure

when requested to do so by the NRCS.

5. OTHER REQUIREMENTS

5.1 Timing of work

All ethics line services in line with the scope, engagement approach and deliverables above must be conducted

and carried out within reasonable time at all times

5.2 Quality Assurance Review Service provider must ensure that all work conforms to the relevant South African legislations and such work shall be subject to an external quality assurance review as may be considered necessary.

5.3 Where forensic investigation are requested and agreed upon, the Investigation process should end by producing at a minimum an investigation report outlining the findings of the investigation, including the following:

An outline of the methodology used to conduct the investigation;

Produce sufficient, relevant, reliable and effective evidence relating to the investigated matter;

Make recommendations on the possible actions that need to be taken to correct the alleged irregularities as well as recommending steps that need to be taken in executing these actions; and

Draft charge sheets and other relevant related matters if required. 5.4 Independence and objectivity of contractor staff / employees

In carrying out the work, service provider shall ensure that staff maintains their objectivity by remaining

independent of the activities they work on. Service provider shall:

Have no executive or managerial powers, functions or duties except those relating to ethics line;

Not be involved in the day-to-day operation of the NRCS; and

Not be responsible for the detailed development or implementation of new systems and procedures.


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5.5 Monitoring Progress of work Submit regular reports to the NRCS Chief Audit Executive as indicated on scope, approach and deliverable above.

5.6 Continuity and Profile of Staff on the Project Service provider must guarantee the availability of the relevant staff throughout the duration of allocated engagement, unless agreed otherwise with the NRCS Chief Audit Executive

The service provider must not bill the NRCS for any unproductive or duplicated time spent on any assignment, for any reason, including as a result of staff changes.

5.7 Special Condition 5.7.1 All intellectual proprietary rights emanating from this project will vest in NRCS; 5.7.2 All working paper files and records relating to the assignments shall become the property of NRCS, and

must be delivered to NRCS on conclusion of the project; 5.7.3 The prospective service providers must submit an all-inclusive price and detailed cost breakdown

schedule once requested to provide investigation. (The price must be VAT inclusive); 5.7.4 Travelling costs and time spent or incurred between home and office of the consultant including their

staff will not be for the account of the NRCS; 5.7.5 Supporting documentations for all prior agreed upon disbursement incurred if any must be submitted to

the NRCS together with the invoices; 5.7.6 NRCS will not pay tariffs in excess of the published hourly rates for consultants as prescribed South

African Institute of Chartered Accountants (SAICA) or the “Guide on Hourly Fee Rates for Consultants”, as prescribed by Department of Public Service and Administration (DPSA);

5.7.7 NRCS will only pay upon the acceptance of the work performed by the NRCS Chief Audit Executive and actual hours spent in line with the approved plan;

5.7.8 The service provider must adhere to all relevant legislations applicable to NRCS (i.e. LRA, Protection of Personal Information Act) when conducting the investigations in order to avoid any possible violation of rights of employees who will be involved in the investigation process; and

5.7.9 NRCS reserves the right to award the bid in part or as a whole.

NB: ALL COMPANIES PROVIDING ETHICS LINE AND INVESTIGATIONS SERVICES (or having provided such services within the past 12 months) FOR NRCS CANNOT SUBMIT A QOUTE/PROPOSAL FOR THIS SERVICE


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6. MINIMUM REQUIRED INFORMATION The following information must be provided in the proposal document:

6.1.1 The proposal should outline the service providers’ ethics line and investigation methodology and demonstrate its ability to be flexible to the needs of the NRCS;

6.1.2 Detailed curriculum vitae (CV) of key personnel that could be carrying assigned projects when requested;

6.1.3 The minimum requirement for Investigators should be Certified Fraud Examiner (CFE) or equivalent qualification in the Investigation field coupled with three to five years of practical experience in Investigations; and

6.1.4 Company background and track record in similar projects , 5 contactable references including the

confirmation letters;

7. KEY EXPERTISE REQUIRED

The project requires the services of contractor possessing practical and technical competencies in ethics

line and Investigations;

Understanding of the Standards of Professional Practice in Internal Auditing (SPPIA) and that of Institute of

Certified Fraud Examiners;

Understanding of the International Internal Auditing Standards (IIA);

Understanding of applicable relevant standards around ethics line and investigations;

Compliance with Internal Audit Charter;

Personnel assigned to this project must have:

- Extensive experience in ethics line and conducting investigations engagements in the public sector ;

- A thorough understanding of references to governance, risk management and internal controls in the

Public Finance Management Act (PFMA) and Treasury Regulations;

- Project management skills and experience;

- Relevant academic qualifications;

- Experience in presentation of evidence in a court of law; etc.

A general expectation is that the team leader and other personnel must possess:

- High levels of communication, interpersonal and analytical skills;

- The ability to work under pressure; and

- Attention to detail and deadlines.


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8. CONTRACT PERIOD

The duration of the contract is for a period of 36 months. Successful bidder will be required to enter into formal contract with the National Regulator for Compulsory Specifications prior execution of any work.

9. MANDATORY REQUIREMENTS

Failure to comply with the following mandatory requirements will invalidate the bid: 9.1.1 Submission of an original and valid South African Revenue Services Tax Clearance Certificate;

9.1.2 Submission of latest proof of company registration and annual returns from Companies and Intellectual Property Commission (CIPC) / Proof of company registration or proof of ownership; and

9.1.3 Submission of completed and signed of SBD 1, 3.3, 4, 6.1, 8 and 9.

9.1.4 Proof of resources registration with relevant professional bodies;

9.1.5 Telephonic. Telegraphic, telexed, faxed, late quotation’s and not in compliance with specification will not be accepted.

10. EVALUATION CRITERIA

For the purpose of comparison and in order to ensure a meaningful evaluation, bidders must submit detailed

information in substantiation of compliance to the evaluation criteria mentioned (e.g. details of relevant previous

work undertaken, letters from previous /current clients, etc.)

Minimum Required Score for functionality is: 60 points out of 100 points and any bidder scoring less than 60

points will not be considered for further evaluation.

Service Providers that qualified pre-evaluation in terms of the functionality cut-off points of 60 points will then be

evaluated in terms of price and preference points

Functionality Criteria Maximum Points

Past Relevant Experience at similar public entities and in respect of PFMA governed institutions (Attach at least 5 letters of reference from clients for similar projects done previously)

30 Points

Proposed approach and methodology on how the project will roll out as per the Terms of Reference

60 Points

Professional membership with relevant body, CFE certification, qualification, skills and experience of employees (10 points per employee, maximum 5 employees). Such employees must be those who will actually work on the assignment.

10 Points

Total 100 Points


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Detailed functionality evaluation criteria

Past Relevant Experience (Attach letters of reference from clients for similar projects done previously and within 24 Months)

Maximum 30 Points

At least five (5) relevant projects with good reputation 30 Points

Three (3) relevant projects with good reputation 22 Points

One (1) relevant project with good reputation 8 Points

Non submission 0 Point

Methodology and Project Approach Maximum 60 Points

A comprehensive schedule of how the services are to be provided :

Approach and methodology on executing this project

Ethics line and investigation approach /methodology and demonstrate its ability to be flexible to the needs of the NRCS

60 Points

No submission 0 Point

Professional membership of employees with professional Bodies (2 points each employee, maximum 5)

Maximum 25 Points

Relevant Experience and skill of resources (List of Key staff and their CV’s and Relevant Qualifications) (4 points per employee, maximum 5)

Ethics line/Investigation Manager / Team Leader experience in similar projects:

Over 10 years relevant experience – 5 points

Over 5 years’ experience – 4 points

Less than 5 years but greater than three (3) experience – 3 points

Less than 3 years but greater than two (2)- 2 points

Less than two years – 1 point

No experience - 0 Point

5 Points

Relevant Qualifications of resources

Masters or higher degree- 5 points

CFE or Equivalent- 4 points

BCom Degree/ Diploma in Investigations or equivalent – 3 Points

Certificate in Investigations or equivalent – 2 Points

Certificate in equivalent – 1 Point

No relevant qualification or Non Submission - 0 points

5 Points


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The bids will be evaluated on a scale of 1-5. Each panel member will rate individual criterion on the score sheet using the following scale

Value Description

5 – Excellent Meets and exceed the functionality requirements

4 – Very Good Above average compliance to the requirements

3 – Good Satisfactory and should be adequate for stated element

2 – Average Compliance to the requirements

1 – Poor Unacceptable, does not meet set criteria

A bidder/s that score less than 60 points out of 100 in respect of functionality will be regarded as submitting a non-responsive bid and will be disqualified. Bidder/s that meets the minimum required percentage or minimum points, will be evaluated in terms of price and preference as per the PPPFA Act, No.5 of 2000 and its associated Regulations issued by the National Treasury. NOTE: For the purpose of comparison and in order to ensure a meaningful evaluation, bidders must submit detailed information in substantiation of compliance to the evaluation criteria mentioned (e.g. details of relevant previous work undertaken, letters from previous /current clients. etc.)

PPPFA ratings

This Bid will be evaluated on the basis of the PPPFA 80/20 point system as presented in the Preferential Procurement

Regulations 2011, for this purpose SBD 6.1 form should be scrutinized, completed and submitted together with your

quotation. The 80/20 point system will be as follows:

B-BBEE Status Level of Contributor Number of Points (80/20 system)

1 20

2 18

3 16

4 12

5 8

6 6

7 4

8 2

Non-compliant contributor 0


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11. COMPANY PROFILE

Bidders are requested to provide their company profiles with the bids. The information provided will not used for point’s evaluation processes but to access and confirm the company status. The following information must be contained in the profiles:

Mandatory Information

Details

Company Information

Date established , names and directors and affiliates to groups

Bidders operating organization

Provide an overview of the operating structure and geographical locations of the firm at the national , regional and local levels

Standards Include information regarding you firm utilization of widely known industry standard and guidelines ,as they apply to your firm , your firm bid and proposed solutions

Company contacts details

Provide the name , title , street address , city , province , telephone and fax numbers and email of the primary contact person and for any sub-contractors

Corporate financial status

Audited financial statements from the most recent financial year

List of personnel ( when applicable)

List of all personnel to be assigned to the project by the supplier identifying their qualifications to perform task/functions

12. BID DOCUMENT CHECKLIST

A completed and signed bid document must be submitted in a file. The bid/tender documentation must

be placed into a file with dividers between every schedule. The schedule must be numbered as follows:

Schedule No. Description Submitted (Yes/No)

Schedule 1 Valid and original SARS Tax Clearance Certificate

Schedule 2 Latest company registration certificate and annual returns from the Companies and Intellectual Property Commission (CIPC) / Proof of company registration

Schedule 3 Certified ID copies of the directors / trustees / shareholders and their shareholding percentages

Schedule 4 Original and valid B-BBEE status level verification certificate or a

certified copy thereof, substantiating your B-BBEE rating.

Schedule 5 (Functionality evaluation criteria)

Ethics and investigation Approach and Methodology

Previous experience of the service provider / firm in ethic line and

investigation services preferably within the Public Sector – 5

contactable reference letters on similar services.

Qualifications and experience of the Team – Detailed CV’s

terms of reference · 2016-03-04 · terms of reference terms of reference: appointment of service...

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