World Bank Procurement Guidelines and Business...
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1 World Bank Procurement Guidelines and Business Opportunities Tel Aviv, January 18th, 2011 Gilles Garcia
Transcript of World Bank Procurement Guidelines and Business...
1
World Bank Procurement Guidelines
and Business Opportunities
Tel Aviv, January 18th, 2011Gilles Garcia
CONTRACTS AWARDED TO ISRAELI FRIRMS BY REGION
AFR 12.07%
EAP 1.32%
ECA 63.52%
LCR 22.77%
MNA 0.33%
Breakdown of contract awards by Bank Region
AFR
EAP
ECA
LCR
MNA
CONTRACTS AWARDED TO ISRAELI FIRMS BY TYPES
Civil Works73%
Consultant Services22%
Goods5%
CONTRACTS AWARDED TO ISRAELI FIRMS BY SECTORS
Transportation73%
Public admin, Law8%
Water/sanit/flood protection
6%
Agriculture6%
Health & social services
3%
Info & communication2%
Industry & trade1%
Education1%
Energy & mining0%
ISRAEL IN THE TOP 20 OECD COUNTRIES AWARDED
Fiscal year 2006 2007 2008 2009 2010 Overall Result
Supplier OECD
Status
Supplier
CountryAmount (USD) Amount (USD) Amount (USD) Amount (USD) Amount (USD) Amount (USD)
OECD Countries Italy 103,702,477.3 329,207,739.5 337,964,984.3 319,713,185.8 1,061,997,314.8 2,152,585,701.8
Germany 214,142,946.0 690,364,949.1 241,164,849.0 108,924,935.7 135,909,124.9 1,390,506,804.7
Turkey 151,699,992.8 178,670,559.2 222,434,598.2 289,176,459.7 337,091,891.9 1,179,073,501.8
France 332,151,035.8 172,904,223.8 291,591,171.5 160,090,369.7 220,926,195.0 1,177,662,995.7
Spain 140,772,197.3 151,841,507.4 612,733,717.3 61,263,058.2 33,164,150.4 999,774,630.5
United Kingdom 67,194,356.1 349,849,821.8 110,891,506.2 110,984,725.4 122,832,818.8 761,753,228.3
Korea, Republic 30,100,130.4 72,888,588.8 10,331,060.8 89,526,665.6 451,474,661.0 654,321,106.6
United States 159,164,206.7 130,796,135.3 157,027,406.8 89,570,166.8 103,640,168.4 640,198,084.0
Switzerland 129,804,798.9 46,123,272.7 25,668,869.4 86,873,661.0 280,473,863.2 568,944,465.2
Austria 20,275,003.1 94,735,433.2 67,374,766.1 113,787,561.7 77,176,167.8 373,348,931.9
Denmark 180,110,094.1 45,459,323.2 40,491,434.8 44,790,931.8 52,364,281.8 363,216,065.8
Japan 77,028,461.5 143,062,865.0 23,028,466.8 48,560,101.0 10,853,763.2 302,533,657.4
Netherlands 105,560,213.3 54,025,950.3 44,553,253.9 48,537,525.4 46,933,081.4 299,610,024.4
Canada 62,613,444.7 51,888,856.4 58,417,227.8 46,327,533.2 71,884,665.7 291,131,727.7
Mexico 67,314,135.7 42,952,321.6 28,993,818.2 82,137,054.8 41,586,383.4 262,983,713.7
Sweden 25,046,952.5 26,045,136.2 33,660,331.4 119,423,362.8 40,921,989.7 245,097,772.6
Australia 33,739,873.0 32,079,071.2 37,185,909.4 18,815,300.5 85,684,797.0 207,504,951.1
Belgium 62,906,797.7 73,618,924.2 25,564,191.4 32,715,571.6 12,287,448.8 207,092,933.6
Israel 12,807,111.7 19,372,163.9 100,179,498.6 2,734,913.7 3,858,878.5 138,952,566.4
SOME EXAMPLES OF ISRAELI FIRMS AWARDEDFiscal
yearSupplier Contract Country Procurement Category Amount (USD)
08Ashtrom International
Ltd.Mprovement of e-60 tbilisi-senaki-leselidze highway igoeti-s Georgia Civil Works 57,661,958
08Sbi International
Holdings Ag
Rehabilitation of rural secondary roads
(rdsm18/rdsm01/rdsm0Guatemala Civil Works 12,878,973
08Sbi International
Holdings AgRehabilitation of section : rdsm-16 deswvio sipacapa-sipacap Guatemala Civil Works 9,783,351
08Sbi International
Holdings AgRehabilit. Of the san marcos secondary rural roads, tr. Rdsm Guatemala Civil Works 7,450,959
07Tahal Consulting
Engineers LtdConsulting services in 6 counties Romania Consultant Services 7,400,753
08Tahal Consulting
Engineers LtdFeasibility study, detail design and preparation of tender d Ethiopia Consultant Services 5,021,524
06 Marmanet, Israel Lots 1, 2 & 3 Ukraine Civil Works 4,533,445
08 Motorola Israel Ltd. Terminals in tetra standard Romania Goods 3,283,634
07 Shem Tov Rehabilitation of sajavakho-chokhatauri-ozurgeti-kobuleti ro Georgia Civil Works 1,975,454
10 MarmanetDevelopment of Regulatory Plans of Berat, Korca, Lushnje,
GjAlbania Consultant Services 1,951,428
07Tahal Consulting
Engineers Ltd.Tahal consulting eng.ltd contract with fct water board for e Nigeria Consultant Services 1,546,966
06 Shem Tov Rehabilitation of the local road ozurgeti-natanebi tsvermag Georgia Civil Works 1,485,578
08Tahal Consulting
Engineers LtdConsultant's services for review & updating of the stategic Ghana Consultant Services 1,428,748
06 Marmanet, Israel Contract for volynska, lvivska and zakarpatska oblast Ukraine Civil Works 1,424,921
06 Taldor Contract for volynska, lvivska and zakarpatska oblast Ukraine Civil Works 1,424,921
06 Shem TovRehabilitation works on the secondary road sajavakho-
chokhatGeorgia Civil Works 1,344,468
10 Shem TovRehabilitation works of Tsalenjikha-Nakifu-Letsurtsume
(Km 3Georgia Civil Works 1,267,157
07Tadiran Electronic
Systems Ltd.2.2 spectrum management and monitoring system Mongolia Goods 1,265,693
07
Rom Transportation
Enginnering Ltd/Phoenix
Engineering & Res
Consultancy - prepartion of transport master plan - march 20 Nigeria Consultant Services 1,120,783
07Tahal Consulting
Engineers Ltd.Feasibility study and detailed design of main schemes - phas Romania Consultant Services 1,003,301
AGENDA
Lending Trends
How to Identify Business opportunities
The Role of the Bank and Borrower in Bank Finance Procurement
Procurement of Goods, Works and Services
Procurement of Consulting Services
Guidance to Bidders/Consultants and Learn More
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Lending Trends
IBRD/IDA LENDING IN FY10
356 Operations
IBRD
164 (46%)
IDA
192 (54%)
$58.6 Billion
IBRD
$44 billion (75%)
IDA
$14.6 billion (25%)
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Fiscal Year 2010 = July 1, 2009 to June 30, 2010
TRENDS
Top Ten Sectors by Loan Amount in FY10
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Sector Loan ($M)
Public Administration and Law 9,259.3
Health and Social Services 6,458.2
Finance 6,221.0
Transportation 4,984.8
Energy and Mining 4,091.6
Education 3,351.3
Water/Sanitation/Flood Protection 2,403.5
Agriculture 2,092.9
Industry and Trade 1,344.1
Information and Communication A,115.4
TOTAL $40.3 Billion
Trends – FY10 Lending by Major Sectors
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Public Administration and
Law 22.96%
Health and Social Services 16.02%
Finance15.43%
Transportation12.36%
Energy and Mining 10.15%
Education8.31%
Water/Sanitation/ Flood Protection
5.96%
Agriculture5.19%
Industry and Trade 3.33%
Information and Communication
0.29%
How to Identify Opportunities
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Procurement Opportunities at the World Bank
Corporate Procurement
Procurement for Bank’s internal needs
$ 700 million per year
Goods & services (incl. consulting)
Procurement done through GSDPR
www.worldbank.org/corporateprocurement
bidding opportunities
Vendor Kiosk
FAQ’s & other information
$ 58.5 billion in FY10
Consulting Services, Goods, Civil Works
Borrower executed contracts
www.worldbank.org/procurement
procurement policies/guidelines
standard bidding documents
Other relevant information
Project Operations Procurement
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Business Opportunities inBank-Funded Projects: Project Cycle
Country Assistance Strategy
Project Identification
Project Preparation
Project Appraisal
Loan NegotiationsLoan Approval and Signing
Project Supervision
Implementation
Evaluation
World Bank activityJoint activity Borrower activity
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Business Opportunities inBank-Funded Projects: Goods & Works
Implementation
Borrower activity
GoodsWorks
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Country Assistance Strategy
Project Identification
Project Preparation
Project Appraisal
Project Supervision
Implementation
Evaluation
World Bank activityJoint activity Borrower activity
ConsultingServices
Business Opportunities in Bank-Funded Projects: Consulting Services
HOW TO TRACK OPPORTUNITIES
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• Country Assistance Strategy• Sector Support Strategy• Monthly Operational Summary• Project Information Document• Project Appraisal Document• Contract Awards• UN Development Business (UNDB)• REOI for consultants hired by World Bank
World Bank websitewww.worldbank.org
The Role of the Bank and the
Borrower
THE BANK’S ROLE IN PROCUREMENT
Assess country system, project’s procurement capacity and potential risks
Assist borrower in procurement planning
Provide procurement training/ knowledge sharing
Monitor compliance with loan/credit agreement and procurement plan
Prior review, Post review, Independent review
Translations
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Operations Policy & Country Services Human Development
Poverty Reduction & Economic Management
Financial & Private Sector Development Sustainable Development
Resident Missions
Board of Governors Executive Directors President Corporate Functions
LCRLatin America/
Caribbean
AFR
Africa
MNA
Middle East/
North Africa
SA
South Asia
EAP
East Asia/
Pacific
ECA
Europe/
Central Asia
World Bank Organizational Structure
THE BORROWER’S ROLE IN PROCUREMENT
Design procurement plans
Prepare and issue bidding/Proposal documents
Invite bids
Receive and evaluate bids/proposals
Award contracts
Implement the project through the project implementing agency /contract payment
Monitor compliance with loan/credit agreement and procurement plan
- Audit
Contractual Relationships
WORLD BANK SUPPLIER/
CONTRACTOR
IMPLEMENTING AGENCY(Borrowing Country Government)
LOAN/ CREDIT AGREEMENT
BIDDING DOCUMENTS/ CONTRACTS
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COMPLAINTS/ AUDITS
Procurement of
Goods, Works and Services
PROCUREMENT GUIDELINES(CONTENT/STRUCTURE)
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I. Introduction
II. International Competitive Bidding
III. Other Methods of Procurement
IV. Appendices
INTERNATIONAL COMPETITIVE BIDDING (ICB)
International advertising
UNDB online and Development Gateway’s
dgMarket
Standard Bidding Documents
Website: www.worldbank.org
Public bid opening
Evaluation and comparison of bids
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Other Methods
• LIB - Limited International Bidding
• Direct invitation to suppliers
• NCB - National Competitive Bidding
• Country’s rules with some modifications if necessary
• Shopping
• Price quotations from at least three suppliers
• Direct Contracting
• Reconstruction, spare parts, etc.
HOW TO WIN
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• Be informed about the country, project, processes, and competition
• Identify local partners and possible associations• Understand local customs, laws, markets• Respond adequately to technical specifications• Submit timely and high-quality bid• Contact the Implementing Agency to address
any need for clarifications or other concerns
Procurement of Consulting
Services
Scope of Business Opportunities for Consultants in World Bank Projects
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Study, design, supervision of Projects
Technical assistance
Institutional strengthening
CONSULTANT SELECTION
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Basic Principles• Economy and efficiency• Quality & fair selection process• Development of national consultants
from borrowing member countries• Transparency
• Public notification for assignments• Standard Request for Proposals• Different selection methods are
specified in the loan agreement
Bank Guidelines
SELECTION METHODS
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• Quality- and Cost-Based Selection QCBS
• Quality-Based Selection QBS
• Fixed Budget FBS
• Least Cost Selection LCS
• Consultants’ Qualifications CQS
• Single Source Selection SSS
SHORT LIST
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• Six firms with a wide geographic spread
• No more than two from any one country
• Shortlist may comprise all national firms for smaller contracts
• All short listed firms must be qualified
• Participation of national consultants encouraged
CONSULTANTS’ STRATEGY
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Country Assistance Strategy (CAS)
Sector Strategies
Project Appraisal Document (PAD)
Project Information Document (PID)
Obtain background information on project:
Understand roles of Borrower and Bank
Target assignments based on regional experience and technical qualifications
Target marketing at appropriate time
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MAKING THE SHORT LIST
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• Contact, visit client before short-listing
• Identify national partner firm, consultants
• Monitor advertisements systematically
• Express interest promptly, selectively
• Expression of Interest (EOI):
• Brief information on firm’s qualifications
• Relevant technical and regional experience
PREPARING THE PROPOSAL
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• Conduct a pre-proposal visit
• Fully address the Terms of Reference (TOR)
• Emphasize innovative technical solutions
• Offer qualified consultants in key staff positions
• Provide strong technical leadership
Preparation Steps (Part 1)
PREPARING THE PROPOSAL
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• Cite directly relevant technical and regional experience
• Involve national partner consulting firm or individual consultants
• Avoid deviation from standard RFP forms
• Facilitate evaluation of proposal by using charts, diagrams, color where possible
Preparation Steps (Part 2)
SUBMITTING PROPOSALS
Respond precisely to the requirements of the
proposal
Provide highly qualified staff and ensure that
they are actually available for the assignment
Do not falsify qualifications!
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Guidance to Bidders/Consultants and Learn More
GUIDANCE TO BIDDERS/CONSULTANTS APPENDIX 3 OF THE GUIDELINES
• Address all queries or complaints to the client (the Borrower)
• Send copies of communications to the Bank or write to the Bank directly when borrowers do not respond promptly, or if the communication is a complaint against the Borrower.
• Address to World Bank Task Team Leader, copy to Country Director and Regional Procurement Manager
• Bidders may request a debriefing
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LEARN MORE
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• Procurement & Consultants Guidelines• Standard Bidding and Proposal Documents• Guide to Business Opportunities• Other
Procurement websitewww.worldbank.org/procure
