Achieving peak performance in contracting for services

Presentation to the 10th IPPU CPD

Grand Imperial Hotel

31st March, 2012

John F. A. Etidau

Expectations

• Addition of knowledge for CPD• Skills in procurement of consultancy services•

Achieving peak performance in contracting for services

The presentation is expected to tackle pre- contract issues in consultancy services e.g.

1. What are the contents of TOR? 2. How a buyer can use them in preparation of the

solicitation document, 3. Different types of services 4. Issues to be tackled when making decisions on the

evaluation criteria

What are services

The Different Type of Services• Consultancy Services

–Reviews, –Assessments–Sector studies, –Audits

• Non Consultancy Services–Printings–Catering services–Security–Repair and maintenance services

Key Challenges in procurement of services

• Development of Terms of Reference• Time & Financial Resources – Budgets/Work

Plans• Decision on In-house or Outsourcing Options• Team or Individual Assignment• Key Performance indicators/ milestones• Contract monitoring issues

Terms of Reference

• Introduction/Background–Institutional arrangements–Mandate of the organization–Project brief - components & project objective–Sources of financing–Justification for doing the assignment

Objective of the assignment

• SMART• Define the reason/purpose for the assignment• Define what need to be achieved

Scope of services

• Detailed tasks or milestones• Derived from the overall objective • Measurable/Quantifiable• Time specific• Actionable

Qualifications for the assignment

• Academic qualifications• Professional qualifications• General experience• Specific experience

Institutonal arrangements

• Reporting Structure• Facilities by the Client• Facilities/inputs by theConsultant

Reports

• Inception Report• Progress Reports• Draft Reports• Final Reports• Approving authority• Definition of time for approvals

Duration of the assignment

• Duration for the assignment – calendar months

• Quantify the services – consultancy time – person days – consultancy weeks or months

• Location of the assignment

Type of contract to be signed

• Lumpsum based Contracts–Definition of outputs–Payment against outputs and deliverables

• Time based Contracts– Workdays/ work months 8.00am to 5.00pm–Part of the organizational team–Focuses on doing, coaching & transfer of skills–Management of projects

Budgeting & Workplanning

• Budget• Realistic estimation of the cost of the

assignment• Number of Specialists• Input in consultancy days/weeks or months• Duration • Unit Rates – Bench Mark

Workplans

• Generate procurement plan• Quantify the lead time –Total Procurement

Time• Generate work plan• Link up procurement plan and the workplan

Preparation of Solicitation Document

• The Bid Data Sheet–The ToR is the basis for preparation of SD–The objective and tasks/milestones–How much time is given for prepn. of RFP–The Key professional staff–Volume of the assignment–Duration of the assignment–Evaluation methodology–Append the ToR to the RFP

Evaluation

Experience of the Firm–General experience in the Sector–Specific Experience in similar assignment

Methodology& Workplan –Understanding of Terms of Reference–Methodology/model proposed–Workplan linkage with methodology

Qualifications of Key Professional staff

Adequacy of the CV for the assignment

• Academic qualifications• Professions qualifications• General experience• Specific experienceLocal Participation and Transfer of skills• Local staff• Transfer of skills

In-house or Outsourcing

In-house• Availability of skills• Availability of time resources• Cost aspects• Magnitude of the project/ assignment

Individual or Team

• Multiplicity of skills• Complexity of the assignment• Time Constraints• Transfer of liability – level of risk• Capacity building & transfer of skills

Contract Monitoring• Contract implementation plan• Appointment of contract management teams• Performance indicators and targets• Monitor quality• Monitor time• Monitor human resources• Monitor tasks• Terms and conditions of contract