Procurement Planning Presentation

1. Procurement Planning Presentation Prepared by : Myat Thu @ Matt (Team-4)

2. Procurement and Contacting • Two kind of Procurement Activities are………. • Procurement of Goods • Procurement of Services

3. What is Procurement? The act of obtain or buying goods and services. The process includes preparation and processing of a demand as well as the end receipt and approval of payment. It often involves. • 1. Purchase Planning • 2. Standards determination • 3. Specification development • 4. Supplier research and selection • 5. Value analysis • 6. Financing • 7. Price negotiation • 8. Making the purchase • 9. Supply control administration • 10. Inventory control and stores, and • 11. Disposals and other related functions

4. Purchase Planning • The requester by prepare of PR (Purchase Request) demand and to submit to procurement Department. • Prepare of PR(Purchase Request Form) • Request Date ( Exp; 10-12-2016 ) • Required Date ( Exp; 25-12-16 )

5. Standards Determination & Specification Development • Prepare of PR(Purchase Request Form) • Estimated Cost • Donor / Program / Account Code / Sub Code / Cost Center / • Location (Delivery to Place) • Description of item (Qty/ Quality ) Detail Specification (Technical) • Approval by Authorization Levels • Reviewed by Finance (The completion request documentation submit Procurement Unit)

6. Supplier Research and Selection RFQ (Request for Quotation ) Minimum of three quotation from supplier/ vendor • If need of additional documents attached are • EOI (Expression of Interest) • RFI ( Request for Information ) • ITB (Invitation to Bid) • RFP ( Request for Proposal )

7. Value Analysis / Financing Quotation Analysis (QA) • Supplier / Vendor accepted of minimum three quotation • SOW ( Statement of Work ) • TOR (Terms of Reference ) blacklist • UNGM (United Nations Global Marketplace) • Attached files; Request of technician specification • Note: ( Goods / Services ) • Justification noted prepare from Procurement unit for Services.

8. Price Negotiation & Marking the Purchase PO ( Purchase Order ) • Price Negotiation to supplier / vender. • Additional are SG(Services Agreement), SC (Services Contract) or GCC (General Conditions of Contract) • Supplier/ Vendor Control Administration • UNSPSC (United Nations Standard Products and Services Code) • UNCITRAL (United Nations Commission of International Trade Law)

9. Inventory Control & Stores, and GRN (Good Received Noted ) • Disposals and other related functions • Terms of Payment • After received of Physical Goods and Services • And Received of Invoice/ Received • PR (Purchase Record )

10. THE PROCUREMENT PROCESS Request for Quotation Purchase Request (PR) Quotation Analysis and Compliance Check (QA) Purchase Order (PO) Goods Received Note (GRN) Purchase Record (PR) Request for Quotation Request for Quotation (RFQ) Signatures Authorize up to the level described in the Approval Authority Matrix PROCUREMENT Procurement Quotation Analysis Committee Procurement Reviewed by Finance Originated by PROGRAM or ADMIN WAREHOUSE

11. Linked fields to complete Location Code will be entered front of the pre–printed serial number PURPOSE: To initiate the procurement process Using the same Project Title for separate activities will allow to filter data project by projects. Originated staff member Approved by the appropriate manager Estimated Value will determine the authorization and the bid collection process REMEMBER TOUPDATE THE EXCHANGE RATE!!! ALWAYS reviewed by Finance Submit to Procurement both linked electronic and hard copies Carbonized paper

12. Make sure that vendors will sign and stamp this form upon returning.

13. Linked fields to complete Linked from previous forms Quotation Analysis Committee: Procurement, Program Mgr. and Head Of Office if necessary.

14. Linked fields to complete Linked from previous forms Location Code will be entered front of the pre–printed serial number The vendor’s information will appear automatically from the completed Quotation Analysis. Will be issued by Procurement, approved by the Head of Office ( or Country Director) Red color will automatically indicate if the expected delivery date is over the required date. Procurement will notify the originator if this occurs. The actual unit cost will have to be entered manually from the winning bid The Vendor will acknowledge the order by signing it at the space below Carbonized paper

15. Linked fields to complete Linked from previous forms The Location Code will appear front of the pre –printed serial number The automated system has a capacity for up to five GRN-s per Purchase Order Completed by the authorized receiving officer (normally warehouse personnel) Once all of the requested materials are received, the complete documentation will be submitted to Procurement The Program Manager of the Originator’s department will have to inspect the delivery in 24 hours after receiving the goods. In the Remarks section indicate broken items, or incomplete delivery Carbonized paper

16. Linked from previous form(s) Linked fields to complete The complete compilation of all procurement data for each purchase. The data can be uploaded to data management tables and databases.

17. COMPARISON CHART PROCUREMENT OF GOODS CONTRACTING OF SERVICES • Service Request • (on PR) • Purchase Request • Request for Quotation • Tender Documents • Quotation Analysis • Quotation Analysis • Contract • Purchase Order • Goods Received Note • Completion Report

18. Incoterms • What is Incoterms ? • International Commercial Terms (Incoterms) are internationally recognized standard terms defining the obligations of both the buyer and seller during the transportation of goods. Incoterms were established by the International Chamber of Commerce (ICC). • All Modes of Transportation ( 7 – Terms ) • Sea and Inland Waterway Transportation ( 4 – Terms )

19. 1; All modes of Transportation • EXW – EX Works (named place) • FCA – Free CArrier (named place) • CPT – Carriage Paid To (named place to destination) • CIP – Carriage and Insurance Paid (named place to destination) • DAT – Delivered At Terminal (named place) • DAP – Delivery At Place (named place) • DDP – Delivery Duty Paid (named place of destination)

20. EXW – EX Works

21. FCA – Free CArrier

22. CPT – Carriage Paid To

23. CIP – Carriage & Insurance Paid

24. DAT – Delivered At Terminal

25. DAP – Delivered At Place

26. DDP – Delivered Duty Paid

27. Sea and Inland Waterway Transportation • FAS – Free Alongside Ship (named port of shipment) • FOB – Free On Board (named port of shipment) • CFR – Cost and FReight (named port of destination) • CIF – Cost, Insurance and Freight (named port of destination)

28. FAS – Free Alongside Ship

29. FOB – Free On Board

30. CFR – Cost and FReight

31. Procurement Principles • Best Value for Money • Fairness, integrity and transparency; • Effective Competition; • The best interest of UN/INGOs and its partners.

32. What is Logistics • Logistics: The process of planning, implementing and controlling the efficient, cost-effective flow and storage of goods and related information from point of origin to point of consumption for the purpose of conforming to customer requirements.

33. Five Rights of Logistics • Items (needed for consumption) • Tim • Place • Condition • Cost

34. Procurement & Logistics Procedure base organization are (GFATM, USAD, UN & INGO)

35. “ Thanks for all ” • Prepared By: Myat Thu @ Matt Email; myatthu.7272@gmail.com Contact; +959 43090823