http://www.unfpa.org/procurement/methods.

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Procurement Methods
Click below to jump to a brief description of the different procurement procedures used by UNFPA: Shopping (below USD$ 2,500 National or International) Requests for Quotation (USD 2,500 USD 30,000) Request for Proposal Limited International Competitive Bidding (LIB) International Competitive Bidding (ICB) (Above USD $ 30,000) UNFPA Contracts Review Committee (CRC) Procurement for UNFPA funded projects may be undertaken by UNFPAs country office personnel (local country office procurement) or by headquarters (headquarters procurement). About 85% of the total procurement volume is carried out by headquarters. Procurement on behalf of external entities such as other UN Agencies, Governments and NGOs, is the sole responsibility of headquarters Procurement Unit. Those responsible for UNFPA procurements are to be guided by the following principles: Maximize economy and efficiency Encourage as wide a solicitation of proposals as possible to promote competition Encourage and/or include sources of supply indigenous either to the country being assisted and from other developing countries; Encourage and/or include sources of supply from underutilized major donor countries; and Promote integrity and fairness and maintain the transparency of the procurement process.

Shopping (below USD$ 2,500 National or International)

Shopping is a procurement method based on comparing price quotations obtained from several suppliers, usually a minimum of three. Shopping will be used for procurement of items costing below USD $ 2,500 per order. Quotations will be sought from registered vendors. Award of business will be made to the supplier offering the lowest price. Shopping is a common procurement method used by UNFPAs field offices who mostly purchase low value administrative goods and services.

Requests for Quotation (USD 2,500 USD 30,000)

Requests for quotations are informal solicitation documents that are normally used for contract values between USD 2,500 USD 30,000). These documents request prices and commercial terms for goods, works, or services that meet standard specifications. Such informal quotations are typically requested from local suppliers. UNFPAs field offices as well as Procurement request quotations from registered suppliers for low value commodities on a regular basis.

Request for Proposal

Requests for proposals are generally issued for high-value service contracts that require services to be customized to fit unique circumstances. Specifications are often complex and the evaluations of proposals thus take significantly longer than evaluations of normal bids. Criteria such as delivery time, availability and quality of onsite support services, clarity of technical manuals, ability to understand local languages and culture, and ability to dispatch skilled personnel to a field missions etc. are likely to be determining factors - other than price for the award of contract. Contracts are typically awarded to the offer that presents the best value in accordance with the evaluation criteria. UNFPA only uses Request for Proposals in very limited number of cases.

Limited International Competitive Bidding (LIB)

Limited international competitive bidding is typically only open to prequalified suppliers. This method of bidding is mostly used in emergency or urgent situations where lead times need to be kept at a minimum and for certain categories of commodities, e.g. products with short shelf lives and/or with specific quality requirements. Submission of the registration form will serve as a request for prequalification for potential supplier of items in the above categories. Basically, the pre-qualification process requires the supplier to prove that the/she can meet specific requirements detailed by UNFPA. Please refer to criteria for pre-qualification for a more detailed description of the process. Pre qualified suppliers will be invited to submit bids for the requirements that UNFPA may have during the year.

International Competitive Bidding (ICB) (Above USD $ 30,000)

Invitations to bid are issued for high-value contracts that require formal competitive bidding procedures. Invitations to bid are open and typically advertised on UNFPAs webpage. Potential suppliers submit bids based on the requirements outlined in the Bidding Document and the award is made to the lowest priced, technically acceptable bidder or best value bidder.

UNFPA Contracts Review Committee (CRC)

In accordance with the UNFPA Financial Regulations and Rules, the UNFPA Contracts Review Committee (CRC) at headquarters is established to

formulate recommendations to the Executive Director on any contract that UNFPA proposes to enter into for a purpose totaling US$ 100,000 or more. The Executive Director approves the final decision on award of contract.