Joint Procurement Activities
2011 - UNDP/UNFPA/UNOPS
Renewed focus/commitment to joint
procurement
• Leverage joint volume to lower
purchase costs
Presented by:
Dominic Grace, Director
Procurement Support Office, UNDP
Eric Dupont, Chief
Procurement Services Branch, UNFPA
• Reduce administrative costs and
avoid duplication
• Gain efficiencies and strengthen
procurement practices
September 12, 2013
1
Joint Procurement Initiatives: Completed
Participants
Commodity/service
Annual value (est.) Benefits gained
UNDP / UNFPA / UNOPS
• Cargo Insurance
UNDP / UNFPA / UNICEF
• Medical/Health Insurance
Various
• Satellite Communications
(VSAT)
$20m
UNFPA/UNICEF
• Hospital Equipment
$3.7m
Various
Expansion of UN Web Buy:
•Ongoing vehicle LTAs
•> 200 trucks and busses
•Solar energy products
Various
• Cloud Services
$12m
UNDP / UNFPA
• Census / Election Materials
$5m
Various
• Cross-buying from LTAs (piggybacking)
UNDP / UNFPA / UNICEF /
UNOPS
• Sea Freight
• Air Freight
Various
• e-Tendering System
$2.5m
$1.89m annual savings
$1.20m annual savings
─
─
45% cost reduction
Competition
Duplication
Efficiency
• Savings of $25m annually
Duplication
Efficiency
60% Cost reduction
Efficiency
Duplication
> $433k annual savings
Efficiency
Duplication
• Cost avoidance of $12m
Efficiency
$50k
• Product standardization
• Fixed fee for product
2
Joint Procurement Harmonization Initiatives:
Completed
Participants
Commodity/service
Benefits gained
UNDP / UNFPA / UNOPS
• Policies developed to enable cross-buying from
LTAs
Various
• Supplier Code of Conduct
• Standards set
• Best practice adopted
Various
• Harmonization Project – Phase I
• Common glossary of terms
• Common guidelines for procurement at country
level
• Training Tools
• Strengthened standardized practices
across UN
• Standardized tools and guidelines
UNDP / UNFPA / UNICEF /
UNOPS
• Implementation of UN model framework for
vendor sanctions
• Standardized approach
Vendor Risk Management
Various
• UN Global Marketplace (UNGM)
• Vendor Registration Reform Project
Efficiency
Process simplification
Speed
Speed
Efficiency
Transparency
Costs
Vendor Risk Management
3
Joint Procurement Initiatives: Current
Lead agency
Commodity
Annual value (est.) Goals
UNOPS
• Carbon offset certificates
(CER) joint procurement
$50k
UNOPS
Travel and Visa services
$8m
UNOPS
Office Products
$4m
UNFPA
Harmonization Project Phase 2
─
• Promote implementation of guidelines on
Procurement at the Country Level
• Revise Procurement Practitioner‘s Handbook
• Assess feasibility of harmonizing standard
procurement documents
UNDP
Inter-Agency Task Team on
Sustainable Procurement in
Health Care
─
• Set standards
• Environmental criteria for specifications and
evaluation
• Influence / Advocate
UNDP
Motor Vehicles Project Phase 2
$300m
Duplication
•Assure supply
Eligible projects
Costs
Efficiency
Duplication
Costs
• Strengthen and standardize practices
Costs
Sustainable products
• Focus on further consolidating and
standardizing of vehicle models to reduce
costs by 10-20%
4
Joint Procurement Activities
2011 - UNDP/UNFPA/UNOPS
Renewed focus/commitment to joint
procurement
• Leverage joint volume to lower
purchase costs
Presented by:
Dominic Grace, Director
Procurement Support Office, UNDP
Eric Dupont, Chief
Procurement Services Branch, UNFPA
• Reduce administrative costs and
avoid duplication
• Gain efficiencies and strengthen
procurement practices
September 12, 2013
5
Harmonization Working Group – HLCM PN
Background:
-Procurement-related activities specified in action plan of QCPR
-…and addressed in HLCM strategic plan and result framework
-HLCM working group on harmonization aligned with priorities and outputs of
QCPR action plan
-Phase 1 now completed. Phase 2 will start very soon
6
Harmonization Working Group – HLCM PN
Phase 1 - Deliverables:
-
Revised Guidelines for Common UN Procurement at the Country
Level including an extended set of practical tools
-
Field support missions to countries to assess country outcomes and
identify best practices
-
Extensive training material on UN cooperation
-
Worked with UN organisations to include UN cooperation material in
training courses
-
Facilitated UNSSC training on common UN procurement, delivering
training to over 120 UN staff
7
Harmonization Working Group – HLCM PN
Phase 1 - Deliverables (continued):
-Standardized table of contents for UN procurement manuals
-Developed a Common UN Glossary of procurement-related Terms
-Comparative review of procurement review committees
-Piloted implementation of a new way of presenting the UN Procurement
Practitioner‘s Handbook and Guidelines for Common UN Procurement at
the Country Level (website, iPhone & Android App, E-Book)
-List of priority actions that, if implemented by UN agencies, would enable
collaborative procurement
8
Harmonization Working Group – HLCM PN
(baseline – end 2011)
Include 2 slides on status of implementation
1. UN Cooperation; 2. Secondary Review; 3. LTAs; 4. Restrictions; 5. Procurement Services; 6.
Integration of ‘guidelines´; 7. Communication on ‘Guidelines’; 8. Table of contents
Harmonization Working Group – HLCM PN
( Sept 2012)
1. UN Cooperation; 2. Secondary Review; 3. LTAs; 4. Restrictions; 5. Procurement Services;
6. Integration of ‘guidelines´; 7. Communication on ‘Guidelines’; 8. Table of contents
Harmonization Working Group – HLCM PN
(Sept 2013)
1. UN Cooperation; 2. Secondary Review; 3. LTAs; 4. Restrictions; 5. Procurement Services;
6. Integration of ‘guidelines´; 7. Communication on ‘Guidelines’; 8. Table of contents
Harmonization Working Group – HLCM PN
Phase 2 plan:
-
Scale-up roll out of the country guidelines
-
Assess countries that have been trained to use these guidelines
-
Train additional countries for the use of the guidelines
-
Assess feasibility of harmonising standard procurement documents
12