1. How to Do Business with United Nations Procurement Seminar, Seoul, Republic of Korea 15 October 2004 Francis Tse Procurement Division United Nations

2. THE UNITED NATIONS SYSTEM

3.   The United Nations is made up of a variety of organizational entities (agencies, organizations, commissions, programmes, funds, etc).   Each entity has a distinct and separate mandate (covering the political, economic, social, scientific and technical fields). THE UNITED NATIONS SYSTEM

4. Detailed chart available at http://www.un.org/aboutun/chart.html

5. EACH ORGANISATION……   has its own special requirements for goods and services   conducts its own procurement activities   follows its own procurement rules and regulations   constitutes a separate and distinct customer THE UNITED NATIONS SYSTEM

6.   Identify the Organization that has a need for your product or service   Target your customer THE UNITED NATIONS SYSTEM

7. http://unbiz.un.int

8. http://www.ungm.org

9. “DOING BUSINESS WITH THE UN SYSTEM OF ORGANISATIONS”   Please note that NOT all UN Organizations subscribe to the UNGM !

10. http://www.iapso.org/supplying/business.asp

11. THE UNITED NATIONS PROCUREMENT SERVICE

12. THE PROCUREMENT SERVICE SERVES THE NEEDS OF…..   The Secretariat   Peacekeeping Missions   Offices Away from Headquarters (OAHs) THE UNITED NATIONS SYSTEM

13. UN Peacekeeping Missions UN Economic and Social Commissions International Criminal Tribunal THE UNITED NATIONS SYSTEM

14. The United Nations Procurement Service  Air Transportation Services  Chemical & Petroleum Products  Telecommunication Equipment & Services  Food Rations & Catering Services  Motor Vehicles/Parts & Transportation Equipment  EDP Equipment & Maintenance Services  Logistics & Freight Forwarding  Prefabricated Buildings  Inspection & Related Services  Architecture, Engineering & Construction Related Services  Electrical Apparatus & electronic component  Real Estate Lease & rental  Banking & Investment Types of Equipment, Goods and Services Procured

15. Detailed contact information available at http://www.un.org/depts/ptd/contact.htm

16. The United Nations Procurement Service TOTAL ANNUAL PROCUREMENT IN 2003 $891 MILLION

19. The United Nations Procurement Service As of September 2004 Total Number of Suppliers: 5,400 Total Number of Korean Suppliers: 27

20. Type of Commodities Purchase in 2003 TOTAL Air Transportation Services$206,080,727 Chemical & Petroleum Products $96,418,278 Motor Vehicles/Parts and Transportation Equipment $66,536,615 Telecommunication Equipment & Services$60,695,332 Freight Forwarding & Delivery Services$58,936,530 EDP Equipment and Maintenance Services $53,199,531 Food Rations & Catering Services$41,651,419 Architecture, Engineering & Construction Related Services$31,675,208 Building Management & Maintenance$30,642,269 Travel and Related Services $30,366,538 Prefabricated Buildings$23,622,141 Real Estate Rental & Lease$22,302,153 Inspection and Related Services$20,171,335 Airfield Operations$15,343,337 Cleaning and Waste Disposal Service $14,237,694 Maintenance & Repair Services $10,790,079 Generator Sets$10.728.037 Electrical Apparatus and Electronic Component $7,844,628 Tools & Hardware$7,053,011 Management Services $6,812,354 Others$76,747,075 GRAND TOTAL: $891,854,689 United Nations Procurement Service

21. www.un.org/depts/ptd

25. Practical Tips for Suppliers Doing Business with the United Nations

26.   UN Procurement Market   UN Procurement Reform   UN Procurement Web Sites   Company Pre-Test: Are you ready to supply the UN?   Step by step towards success Overview

27. UN Procurement Market Characteristics:   Decentralized market (within the system at large and within each organization)   Different procurement areas (Peace & Security, Humanitarian Aid, Development Aid)   Different mandates result in different procurement plans

28. UN Procurement Market Characteristics: (cont’d)   different registration procedures for companies and consultants   Awards are only given to registered vendors   Some organizations publish awards on web-site   procurement reform

29. The UN procures on competitive basis   Request for Quotation (RFQ)   Invitation to Bid (ITB)   Request for Proposal (RFP)   Direct Negotiation (DN) United Nations Procurement TYPES OF SOLICITATIONS/AWARDS

36. Payment Terms   Standard Payment Term: Net 30 days The United Nations Procurement Service

37. Delivery Terms   Incoterms 2000   DDU (Deliver Duty Unpaid) Destination e.g. : DDU New York   FCA (Free CArrier) Place e.g. :FCA Seoul The United Nations Procurement Service

38. Change has become a part of the UN’s culture Procurement Reform; Achievements and future plans United Nations

39. New UN Initiatives and Objectives:  Increase the number of inter agency master or enterprise agreements  Lead Agency Initiatives  Direct Agreements with Manufacturers  Decentralization of Low Value procurement  Electronic Commerce  UNGM – United Nations Global Marketplace

41. Online Portal (http://unbiz.un.int)(http://unbiz.un.int) Guide to websites of UN Organizations and their procurement offices includes:  Procurement Procedures and Services  Frequently Purchased Goods and Services  Recent Tenders  Contract Awards  Contacts  Procurement Plans and Statistics  Vendor Registration

42. UN Procurement Web Sites  http://unbiz.un.int/ (inter agency portal)  www.un.org/Depts/ptd (UN Procurement Service)  www.unops.org (UN Office for Project Services)  www.undp.org (UN Development Program)  www.wfp.org/index.asp?section=5  www. unicef.org/ supply/  www.un.org/unrwa/plo/procurement.html  www.iapso.org (Inter-Agency Procurement Services)  www.ungm.org (UN Global Marketplace)  www.worldbank.org (The World Bank Group)  www.unglobalcompact.org (The Global Compact)  http://www.devbusiness.com/ (dev. Business)

44. Company Pre-Test: Are you ready to supply the UN?  Market knowledge (UN structure and culture)  Suitable products / services  Export experience / references  Languages (employees, documents)  Networks / partner (country knowledge, after sales services)  Competitive Pricing  Capacities (financial, personnel)  Intercultural skills  Flexibility and accuracy  Persistence, endurance, patience

45. Step by step towards success  Extensive market research!  Identification of relevant UN Organization!  Monitor the respective websites!  Obtain systematic and regular information about Expressions of Interest, upcoming and current procurement opportunities and contract awards!  Find out what products and services the local UN offices, missions and projects procure!

46.  Respond to all tender invitations!  Respond to what is being requested in the tender documents  Follow procedures, norms and standards!  Seek clarification in case of questions!  Perform! Step by step towards success

47. We look forward to working with you! In Service of Peace and Development!