NNPCL SCM_Issue RFP.pdf

NNPC Limited SCM Processes and Procedures 7.0 Issue Request for Proposal/ Quotation This policy provides guidance for issuing a Request for Proposal, which allows the procuring entity to publicise its procurement need and competitively obtain vendor proposals to help achieve the objectives of the p...

NNPC Limited SCM Processes and Procedures 7.0 Issue Request for Proposal/ Quotation This policy provides guidance for issuing a Request for Proposal, which allows the procuring entity to publicise its procurement need and competitively obtain vendor proposals to help achieve the objectives of the procurement. Objectives The objectives of this process are to: • • • Inform eligible vendors on procurement opportunities. Leverage competition in the industry to achieve value for money. Ensure compliance with Nigerian Content requirements. 7.1 Issue Request for Proposal/Quotation Policies S/N Description 1. Request for Proposals NNPC Limited shall procure the services of Vendors by soliciting for proposals to meet the procurement objectives. 2. Requests for Quotation Where the value of the services to be procured is minor (less than N5m or threshold specified by Management), NNPC Limited may without placing any notice, request at least three (3) and not more than ten (10) service providers to make proposals for the provision of the services in a format stipulating: a. b. c. d. 3. A statement of qualifications of the service provider A statement of understanding of NNPC Limited's needs. Methodology for providing the service. The time frame for providing the service, and the cost or fee for the service. Restricted Tendering NNPC Limited (as justified by the Supply Chain Team and relevant Business Unit) may for reasons of economy and efficiency engage in procurement by means of restricted tendering if the goods, works or services are available only from a limited number of vendors or the time and cost required to examine and evaluate a large number of tenders is disproportionate to the value of the goods, works or services to be procured. 66 NNPC Limited SCM Processes and Procedures 7.1 Issue Request for Proposal/Quotation Policies NNPC Limited may in these instances make direct requests to a limited number of consultants, requesting proposals for the provision of a service if: a. The services are only available from limited number of Consultants. b. The time and cost required to examine and evaluate a large number of proposals would be disproportionate to the value of the services to be performed, provided that it invites enough Consultants to ensure transparent competition. 4. Determining Case for Advertising Request for Proposal The Supply Chain Function (as reviewed by the Evaluation Team and the relevant Tenders Committee) shall consider and justify the need for public advertisement of Request for Proposal where it has validated that: a. The new nature of the procurement need and the project estimate in line with Delegation of Financial Authorities requires a wider exposure to potential vendors. b. The professional/ technical competence of registered vendors in area of focus, does not provide adequate confidence that NNPC Limited will derive optimal value. 5. Content of Request for Proposal Document Expressions of Interests shall at a minimum contain the following: a. b. c. d. e. f. g. h. 6. Introduction Brief Description and scope of Procurement Need Who may apply Suggested Format for Vendor Response Compliance with Nigerian Content (as applicable) Submission Guidelines Closing Date/ Time Any other Important Information Response Timeline At least 14 days response time shall be required for Request for Proposal published in media (at least two national newspapers) to ensure sufficient notice to target vendors and adequate time to respond to the requirements of the Expression of Interest. 7. Vendor Selection Criteria NNPC Limited shall establish criteria to evaluate the proposals and prescribe the relative weight to be accorded to each criterion and the 67 NNPC Limited SCM Processes and Procedures 7.1 Issue Request for Proposal/Quotation Policies manner in which they are to be applied in the evaluation of proposals. The criteria may concern only the following: a. The qualifications, experience, reliability, professional and managerial competence of the consultant or service provider, and of the personnel to be involved in providing the services. b. Financial capability. c. Experience on similar assignments and in similar conditions. d. Evidence of similar assignments successfully completed in the past. e. The qualifications and expertise of the key staff proposed for the assignment and whether the majority of such staff are drawn from the permanent staff of the vendor. f. For short lists including international Consultants, the consideration given by international Consultants to the inclusion of domestic Consultants in the consulting assignment. g. The effectiveness of the proposal submitted by the vendor in meeting the needs of NNPC Limited. h. The proposal price, subject to any margin of preference applied, including any ancillary or related costs. i. Community Affairs, Safety Health Environment and Security (CASHES). 8. Nigerian Content Objectives In line with the objectives of the Local Content regulation and especially for International Competitive Bidding (ICB), when comparing bids from foreign Contractors or Suppliers with national bidders, NNPC Limited may grant a margin of preference to domestic Contractors, and Suppliers for goods manufactured in Nigeria. Bid documents may provide a domestic preference of 15% of the delivered price for goods and 7.5 % for works. Domestic preference is only applicable if provided for in the bid document. 7.2 S/N 1. Issue Request for Proposal/Quotation Procedures Responsible Party Description User Department On receipt of Extract for approved Contract Strategy from relevant Tenders Committee requiring an RFP process. Job Aid Email Prepare draft RFP including detailed specification, bid evaluation criteria using standard contents defined in the relevant policy and send to SCM. 68 NNPC Limited SCM Processes and Procedures 7.2 2. Issue Request for Proposal/Quotation Procedures SCM (N-3) Finalize the RFP and share with target list of vendors (via approved communication channels. Email Where advertisement is required, go to step 3. Where advertisement is not required, go to step 4. 3. SCM (N-4) Where advertisement is required Prepare ITT/EOI Advert and forward to the Communication Team to guide on external publication. Go to step Evaluate Tenders Process. 4. SCM (N-4) Where advertisement is NOT required Send out RFP/RFQ document to target list of vendors via the approved communication channel. Go To Evaluate Tenders Process 7.3 Issue Request for Proposal/Quotation Input & Output Documents Type Frequency Source Recipient 1. Evaluation Input Committee Terms of Reference As required Tenders Committee Evaluation Committee 2. Tender document Output As required SCM (NSCM (N-2) 3)/User Department 3. RFP Output As required SCM S/N Document Description Vendor 69 NNPC Limited SCM Processes and Procedures 7.4 S/N 1. Issue Request for Proposal/Quotation Policies Key Performance Indicators Performance Basis of Timeframe Target Measure Measurement Timeliness in the issue of RFP. Latest date of issue of RFP As required Within 1 week from date of receipt of strategy approval and Tender Document from User Department. 70 NNPC Limited SCM Processes and Procedures 71