Introduction

Question 1

In order to obtain Best Value for Money, Requisitioners and Procurement Officials should

Answer 1

a. Plan for demand in a timely manner and define an acquisition strategy based on an analysis of the demand and supply market;
b. Strive to maximize competition;
c. Conduct the procurement exercise after good planning and pursuant to clear specifications;
d. Carefully establish the evaluation criteria prior to the issuance of the solicitation document (in order to select the offer to meet needs in accordance with the evaluation parameters set forth in the solicitation documents);
e. Ensure that all costs are considered within the total cost of ownership, including transportation costs, installation costs, operating costs, maintenance costs, disposal costs, etc.;
f. Ensure that benefits are optimized, and financial and operational risks and any other adverse impacts are minimized;
g. Ensure impartial and comprehensive evaluation of offers, in a timely manner and in accordance with the pre-established criteria;
h. Ensure that the vendor whose offer is considered can satisfy the requirements.

Question 2

following general principles shall be given due consideration:

Answer 2

a. Best Value for Money
b. Fairness, integrity, and transparency
c. Effective international competition
d. The interest of the UN

Question 3

Best Value for Money

Answer 3

‘Best Value for Money’ shall be understood as the optimization of the total cost of ownership and quality needed to meet the user’s requirements, while taking into consideration potential risk factors and resources available. The Best Value for Money solution may not necessarily offer the lowest cost.

Question 4

Effective international competition is concerned with

Answer 4

‘right time, right quality, and right price’, meaning:

Question 5

Effective international competition is concerned with ‘right time, right quality, and right price’, meaning:

Answer 5

a. Adequate notification should be given to as geographically broad as possible vendor community to ensure that there is sufficient time to participate in the procurement processes;
b. There should be no restriction of competition through over-specification (e.g. the inclusion of unjustified or unrealistic requirements in the specifications and/or Terms of Reference (TOR) or Statement of Work (SOW)) or under-specification (e.g. the omission of essential information in the specifications and/or TOR/SOW);
c. Economies of scale (i.e., quantity/volume discounts, fewer resources invested, and reduced administrative costs) can be achieved when procurement volumes for identical or similar requirements are consolidated in a single solicitation.

Question 6

Procurement is defined

Answer 6

Procurement is defined in Financial Regulation 5.12 as all actions necessary for the acquisition, by purchase or lease, of property, including products and real property, and of services, including works

Question 7

The acquisition process refers to

Question 8

The acquisition process entails, amongst other elements:

Answer 8

a. The gathering and analyzing of initial demand data;
b. Acquisition planning;
c. Design of specifications;
d. The procurement action;
e. Delivery/freight forwarding;
f. Receipt & Inspection (R&I);
g. Payment;
h. Contract management and contract administration.

Question 9

order to sanction vendors in the UNGM that have been involved in proscribed practices such as fraud, corruption, collusion, coercion, unethical practices, and obstruction

Answer 9

Censure:

b. Suspension: 
c. Removal: 
d. Other Sanctions

Question 10

Acquisition planning is

Answer 10

ffectively and systemically forecast the Organization’s requirements, based on demand plans generated by the end-user/requisitioner. Acquisition planning supports the timely and efficient fulfillment of mandates

Question 11

Advantages of procurement planning include:

Answer 11

a. Improved sourcing, ensuring appropriately qualified vendors and an adequate number of vendors, leading to increased competition, and, potentially stronger offers at lower prices;
b. Less waste of resources on last-minute actions;
c. Early identification and management of risks;
d. Reduction of delays and lead times due to the ability to perform tasks proactively;
e. Better planning and monitoring of procurement activities;
f. Identification of time periods when a high percentage of procurement actions are required (which can be useful in planning and distributing the workload);
g. Early consideration of logistics aspects and factors for the procurement of goods and equipment.

Question 12

Source Selection Plan (SSP).

Answer 12

The SSP describes critical components of the sourcing process and provides justification for sourcing decisions in order to achieve Best Value for Money. It also provides an objective approach to the methodology of selecting the best source to fulfill the established need

Question 13

The following are elements that would be appropriate to include in the SSP:

Answer 13

a. Description of the requirement (including operational circumstances, timeline, etc.);
b. Solicitation Method and justification thereof;
c. Method for identifying vendors (particular attention should be given to attract vendors from developing countries and from countries with economies in transition) and details thereof of the UNSPSC;
d. The contractual instrument to be used;
e. Evaluation Committees responsible for commercial and technical evaluation;
f. Evaluation Criteria for commercial and technical evaluation and reasonable minimum criteria, such as minimum passing score and mandatory requirements, as well as how optional requirements will be evaluated;
g. Weighting (i.e., the relative importance of each of the Evaluation Criteria), if applicable;
h. Market conditions;
i. Planning and procurement activity schedule;
j. Rating and scoring system;
k. Required level of expertise and Requisitioner resource capacity;
l. Risk factors that should be assessed during the evaluation and potential remedies;
m. Any relevant information with regard to the forthcoming contract management capacity and expertise, staff training, equipment maintenance, after-sale service, disposal, etc

Question 14

KPIs and/or Service Level Agreements (SLAs) are

Answer 14

essential tools to express and measure performance against agreed targets, and these are particularly recommended for complex contracts of goods and services

Question 15

Three types of defining needs (or a combination of the three) can be included in the specification:

Answer 15

a. Functional specifications, defining what the goods/services are required to do;
b. Performance specifications, defining the output of the goods/services; or
c. Conformance specifications, defining the physical characteristics and dimensions of the goods.

Question 16

Specifications are

Answer 16

Specifications are typically the description of the technical requirements for a material or product. They usually refer to defined requirements for materials or products, but in some instances can also relate to requirements for services. Specifications give a description of what the Organization wants to buy and what the vendor is required to provide. Specifications can be simple or complex, depending on the need

Question 17

A TOR is

Answer 17

A TOR is a description of the scope of work for services, generally indicating the work to be performed, the level of quality and effort, the timeline, and the deliverables

Question 18

Sourcing of Vendors is

Answer 18

Sourcing is the process of identifying suitable suppliers, including vendors, that could provide the required goods or services.

Sourcing is carried out using several main methodologies, as described below.

a. Supply market research and analysis, including through internal and external sources;
b. Advertisement of business opportunities through sourcing methods, such as Request for Information (RFI), REOI, and pre-qualification.

Question 19

Request for Information (RFI

Answer 19

The RFI is an instrument to conduct a market survey to obtain information that can be used to identify available or potential solutions/suppliers to fulfill identified needs

Question 20

Request for Expression of Interest (REOI)

Answer 20

A Request for EOI is an advertisement prepared by the Procurement Official, in consultation with the Requisitioner, to identify vendors that wish to participate in a solicitation. Vendors are requested to express interest by a specified deadline by submitting the detailed information requested in the REOI.

Question 21

Pre-qualification is recommended when:

Answer 21

a. The high costs of preparing detailed bids could discourage competition (such as custom-designed equipment, design and build projects, or specialized services).
b. The requirement involves complex technical components for which the vendor needs to have minimum technical capability and capacity to complete the works to the required quality standard such as construction works;
c. As determined necessary to achieve the best outcome for the procurement process for highly complex or otherwise appropriate needs, subject to approval by the Director, PD or Chief Procurement Officer. The criteria for the prequalification, the process, and the staff involved in the prequalification evaluation shall be established before the REOI is advertised. It shall be outlined in a separate document, and signed and dated by the Requisitioner, and cleared and signed by the Procurement Official.

Question 22

2.6.4 Local Procurement Authority (LPA), 2 categories

Answer 22

1. Goods and/or services that fall, for reasons such as safety and security, within the scope of a center-led approach (e.g., aviation, ammunition, counter rocket and artillery radars, information, surveillance and reconnaissance systems, food rations or body armor etc.) and for which the authority to undertake procurement is retained by the Department of Operational Support for requirements of any amount (above the threshold for Low Value Acquisitions).
2. Goods and/or services needed by a broad range of clients to meet commonly required, high volume needs, which lend themselves to center-led procurement for reasons of economies of scale, standardization or other reasons, and that are usually available under Long Term Agreements. These goods and/or services can be procured by any UN Secretariat entity up to the threshold stated in the Strategic Goods and Services Matrix. Product

Question 23

2.7.3 Contract Awards

Answer 23

An award means the authorization is given by the Authorized Official (following Review Committee recommendation if required) or the Procurement Approving Authority, as applicable, to establish a contractual commitment on behalf of the UN. It includes the issuance of contracts, Long Term Agreements (LTAs), Letters of Assist (LOAs), purchase orders, or amendments thereof.

Question 24

4.4.3 Technical Specifications

Answer 24

. Specifications give a description of what the Organization wants to buy and what the vendor is required to provide.