1. DOING BUSINESS WITH THE UNITED NATIONS (UN)
Brief introduction:
My name is …. I’m here on behalf of the UN Procurement Division (New York); [Introduce colleague – if applicable].
Thank the organizers for the opportunity of giving this presentation on ‘How to do business with the United Nations’;
In 2008, the total procurement volume of the UN system was more than thirteen (13) billion US dollars. The procurement volume of the UN Procurement Division last year was over three (3) billion US dollars.
The objective if this presentation is to provide you with some background information of the UN Organization and the UN procurement process, which will allow you to:
Register as a vendor
Take part in the solicitation process, and
If successful, win contracts with the UN
Presented by:
Yavar Khan
Chief, Corporate Procurement Section
United Nations Secretariat
Procurement Division
June 2014
DOING BUSINESS WITH THE UNITED NATIONS (UN) 1

2. How to do Business with the United Nations (UN)
A. Overview of the United Nations Procurement System
UN Procurement Statistics
How to Identify Business Opportunities
General UN Procurement Procedures
B. United Nations Secretariat Procurement Division
Briefly explain the agenda of the presentation:
In the next … minutes I will explain the following topics:
An overview of the UN Organization
Procurement Statistics – an overview of the market volume
How to identify Business Opportunities for your company
The UN Procurement process and procedures
Some practical tips for doing business with the UN
More detail on the UN Procurement Division, which represents UN Headquarters and Peacekeeping Missions
The UN Global Compact – the UN values companies who honor human rights, the environment, and anti-corruption norms
After the presentation there will be time to ask questions.
Note: time management is important! Make sure that you know how much time you have for this presentation and that you know how long it will take to go through it.
C. The UN Global Compact
D. How to Identify Career Opportunities with the UN
E. Your questions and more info…. 2

3. First, an overview of the UN system of organizations
A. Overview

4. The United Nations is made up of a variety of organizational entities:
Overview
The United Nations is made up of a variety of organizational entities:
Funds & Programmes
Specialised Agencies,
Secretariat: UNHQs, Offices Away From Headquarters, commissions, tribunals and field peacekeeping missions.
Each organization has a distinct and separate mandate covering the political, economic, social, scientific, humanitarian, and technical fields.
The UN is not a single organization, but in fact a large number of organizations. This is very important to recognize if you wish to do business with the UN. It is a market in itself, made up of a variety of organizational entities, each with its separate function and mandate.
Because each organization has a different function, each entity also has its own characteristics and requirements.
Although we try to harmonize our processes, each entity has its own procurement organization, and processes and procedures may be different per organization.

5. UN Funds & Programmes United Nations Development Programme (UNDP)
Major goods/services: Telecommunications, electrical, laboratory and agricultural equipment, Medical supplies and equipment, Water supply systems, Pharmaceuticals, Educational, training and social services
United Nations Children’s Fund (UNICEF)
Major goods/services: Vaccines/biologicals, Pharmaceuticals, Educational supplies
Medical supplies and equipment, Water and sanitation, Bed nets
Here are two examples of the UN Funds & Programmes. You will notice the differences in the types of commodities procured. Many UN agencies have delegated authority to their respective country offices to undertake procurement up to a certain financial limit.
UNDP – is the UN’s global development network, advocating for change and connecting countries to knowledge.
UNICEF – advocates and works for the protection of children’s rights. Specializes in the procurement of supplies for children.
WFP – is the world’s largest international food aid organization, which handles 70% of all global food relief.
World Food Programme (WFP)
Major goods/services: Food, Transport, Warehousing and Logistics, Vehicles, IT Equipment, Communication Equipment
UN Funds & Programmes

6. UN Specialized Agencies
Food and Agriculture Organization (FAO)
Major goods and services: Chemicals, Grain mill products, starches & starch products, Agricultural produce, Machinery, special purpose, Transport equipment, Animals and animal products
World Health Organization (WHO)
Major goods and services: Pharmaceutical products & Vaccines, X-ray/Radiological apparatus, Administrative supplies, office furniture, Laboratory supplies, equipment and instruments, Medical and surgical equipment, Transport ,HIV Test Kits, Dental instruments and appliances
Here we present two examples of UN Specialized Agencies: FAO and WHO.
It is important to note that each UN agency may have a different registration process and/or criteria.
FAO – is the leading international body in food and agriculture. It provides direct technical assistance through its Field Programmes.
WHO – is the leading agency in international health.
UN Specialized Agencies

7. Identify Relevant Agencies
The United Nations Global Marketplace (UNGM) website provides useful publications which will assist potential suppliers to identify which UN agencies they should aspire to do business with.
The Annual Statistical Report provides data on UN system procurement of goods and services by country of supply.
The General Business Guide indicates the dollar value of goods and services purchased during the year.

8. Here is a look at the principal UN offices around the world.1 1

9. The United Nations Secretariat - Area of operation
NYC
UN HQ (New York, Geneva, Vienna)
UN Peacekeeping (Haiti, Africa, Middle East, Asia)
UN Economic and Social Commissions
International Criminal Tribunals
It is important to note that although the office in New York the main headquarters, local offices also have delegated procurement authority, up to certain thresholds, therefore each office has a local procurement office, that may conduct business up to their delegation of authority. In addition to registering with the United Nations Secretariat Procurement Division, vendors located in one or more of the operating regions are encouraged to also contact the local UN offices to seek business activities.
The office in New York looks after Systems Contracts, special requirements and more complex procurement exercises.
UN Peacekeeping Missions
UN Economic and Social Commissions (OAH)
International Criminal Tribunal 9

10. This slide gives an overview of all the different organizations within the UN system and is to illustrate that the UN is not one entity, but many different organizations that all have their own function.
On the left you may recognize the names of our Peacekeeping Missions (e.g. MONUC, UNMIS, UNIFIL, etc) and on the right you see the different funds and programs (UNICEF, UNHCR, WFP, etc) and the specialized agencies (FAO, UNESCO, WHO, etc). You will also see many different organizations you may not be familiar with.
If you are interested in doing business with the United Nations, it is important to recognize the structure of the UN system and know the background of each organization, as each of them will have their own specific needs. 10

11. Useful General Addresses
International Atomic Energy Agency
International Labour Organisation
International Trade Centre
UN Educational, Scientific and Cultural Organization
UN Populations Fund
UN High Commissioner for Refugees
UN Children’s Fund
UN Industrial Development Organisation
UN Office for Project Services
UN Development Program
UN Secretariat
UN Relief and Works Agency
World Food Programme
World Intellectual Property Organisation
Food and Agricultural Organization
International Telecommunications Union
International Fund for Agricultural Development
United Nations Economic Commission for Africa
In order to familiarize yourself with the UN system and all its different organizations, we recommend you to go to the different websites of the entities. Most of the organizations have their own website, and this slide gives just an example of some of them.
All websites can be accessed through the internet portal, highlighted in red.

12. has its own specific requirements for goods and services
Overview
EACH ORGANISATION……
has its own specific requirements for goods and services
may conduct its own procurement activities
follows, in general, common principles for procurement rules and regulations
constitutes a separate and distinct customer/partner
has its own tempo, portfolio, specific characteristics
YOU MUST LEARN ABOUT IT ……
As mentioned earlier, it is very important to recognize that the UN is not just one organization, but in fact it is a multitude of organization, whereby each organization: …
Read bullet points on slide.

13. Statistics (UN procurement system)
Transition:
Now we know a little more about the organization, let’s have a look at the procurement volume of the United Nations.
Statistics (UN procurement system)

14. Total UN Procurement of Goods and Services (UN System) 2007-2012
This graph shows the procurement volume of the entire UN system (i.e. all the different entities combined).
We recognize a number of important trends in this graph:
The market volume is growing fast;
It has doubled in the past five years;
In 2008, the total procurement volume of the UN system was just over thirteen (13) billion US dollars;
The UN is buying both goods and services; and each representing half of the total procurement volume. 14 14

15. Major Items procured by the UN procurement system
Goods
Food
Pharmaceutical Supplies
Vehicles
Computers and Software
Shelter and Housing
Telecommunications Equipment
Laboratory Equipment
Chemicals (POL)
Building Materials
Services
Security Services
Outsourced Personnel Services
Engineering Services
Construction
Corporate Services
Freight Services
Printing Services and Equipment Rental
Consultancy Services
Telecommunication Services
These are some examples of different types of goods and services that are being procured by the different UN organizations:
Food – rations for the peacekeepers, but also food for refugees
Pharmaceuticals and medicine
Vehicles – SUV’s and trucks for all organizations who operate in the field
Engineering and construction services – to construct buildings, roads, airfields, etc. in the field, but also building services for Headquarters
Freight: as the UN is a global organization we need to ship goods all over the world, sometimes to places where conditions on the ground might be harsh.
You may recognize the products of your own company in this list. But in addition to this list, there are many other goods and services that are being procured as well.

16. How to Identify Business Opportunities
Transition:
In order to start doing business with the United Nations, it is important to know ‘How to identify the business opportunities’.
How to Identify Business Opportunities

17. Pre-registration – Are you ready to supply to the UN (1/2)
UN market knowledge
UN structure
UN procurement procedures
UN requirements
Range of goods and services
International experience
Existing customers/references
Languages
English primary language
Local languages
Standards
International standards
Best value for money
The first step is to start with your own company:
Does your company have sufficient knowledge about the UN procurement system and offices? It is important to become familiar with the structures of different UN organizations and their requirements and to learn more about UN procurement procedures.
Does your company have experience with supplying goods and or services as required by the UN? - Does your company have global/international experience? - If so how many years? - Does your company have similar customers and can your company provide references? - Does your company have the capacity to supply under difficult conditions?
Does your company have the language skills to work with the UN? It is important to note that English is the primary language in procurement, however there are procurement offices such as the United Nations Office at Geneva and several field missions that conduct business in French.
In addition working with local staff and or authorities may require knowledge of the local language.
Finally, the United Nations is always looking for Best Value for Money. Does your company meet the required quality standards as required? - 17

18. Pre-registration – Are you ready to supply to the UN (2/2)
Country knowledge, after sales services
Capacities: Financial, personnel, equipment
Mobilization
Acquisition project size
Persistence, endurance, patience
Supplier code of conduct:
Analysis, feedback and adjustment
Continued:
Does your company have the network to operate globally or does it need a partner? It is important to recognize potential difficulties in countries where the UN operates and infrastructure required to service the UN in such locations.
Does your company have the financial and human resources, capacity and capability to supply to an organization like the UN?
Can your company be flexible and responsive to accurately supply to the UN? It is important to remember that the nature of the UN sometimes require a quick response time.
Does your company have the persistence and patience to conduct business with the UN? It is important to realize that procurement in the public sector is lengthy, and your company should not expect quick wins or short term success and should anticipate the time required to become a supplier to the UN in its long term planning.

19. Register on-line at: www.ungm.org
Registration is Mandatory!!!
Continued:
Does your company have the network to operate globally or does it need a partner? It is important to recognize potential difficulties in countries where the UN operates and infrastructure required to service the UN in such locations.
Does your company have the financial and human resources, capacity and capability to supply to an organization like the UN?
Can your company be flexible and responsive to accurately supply to the UN? It is important to remember that the nature of the UN sometimes require a quick response time.
Does your company have the persistence and patience to conduct business with the UN? It is important to realize that procurement in the public sector is lengthy, and your company should not expect quick wins or short term success and should anticipate the time required to become a supplier to the UN in its long term planning. 19

20. UNGM Tender Alert Service
Value-added service offered by UNGM
Online and easy subscription to the Tender Alert Service on
Receive relevant business opportunities
Automatic tender alerts
UNGM Interactive Guide available to guide potential suppliers to subscribe to this valuable service.
In order to prepare yourself for doing business with the UN, we advise following the following steps:
We recommend that you subscribe to the UNGM Tender Alert service, this is an optional value-added service to receive tender information by .
All tender information is available for free on UNGM website, however if you choose not to register for this service, please be prepared to check the procurement notices on UNGM regularly so that you do not miss a business opportunity. 20

21. Registration and Post registration process
Registration with the UNGM
Continue UN market research
Thorough information about procurement
Obtain systematic / regular information about current procurement activities / opportunities
Keep yourself up-to-date and update regularly your vendor profile
In order to prepare yourself for doing business with the UN, we advise following the following steps:
Register your company with the UN – it is mandatory! - make sure you register with the global market place (UNGM), but also with the individual organizations / entities
Market research – learn about the UN organization and its needs - lot of info available on the website, such as past contract awards, future needs, contact information
Identify the UN organization / entity you wish to do business with
3. Make sure you are familiar with the UN procurement process and procedures - As a public organization, we have very strict rules and regulations
4. Keep yourself up to date with current procurement activities - New opportunities (Expression of Interest) are posted on the web site(s)

22. Post registration process
Bid according to tender documents & instructions
Administrative mistakes may lead to rejection of bid
Observe international norms and standards or equivalent
Seek clarification in case of questions
If unsuccessful obtain debrief for your strength & weakness
If successful – perform according to contract
UN requires highest standards of performance!
Continued:
Once your company begins participating in the Procurement Division’s solicitation process, it will be very important that your company adheres to the guidelines and instructions provided in the tender documents.
The Procurement Division must adhere to strict policies and procedures, therefore vendor submissions that are not compliant with the tendering documents, or if an administrative mistake is made, your company risks the rejection of its submission. It is imperative that company representatives give proper attention to the details, from instructions to norms and standards specified by the United Nations. The latter are typically international standards.
During the solicitation process, companies are able to seek clarification by submitting their questions in writing and in return the UN will respond in writing. The same response will be provided to all tender invitees.
Once you are awarded a contract, make sure you provide the performance standards as agreed upon in the contract.
The UN requires the highest standards of performance.

23. Overview of UN Procurement System Procedures

24. Common Guidelines for UN Procurement system
Procurement activities of the UN system are based on the following principles:
The objectives/needs of the UN Organization
Fairness, integrity & transparency through international competition
Economy & effectiveness
Best value for money
These Common Guidelines cover procurement stages from sourcing to execution of a procurement contract.
Within the UN system, procurement follows a number of main principles that have been agreed upon by all the member states, and which were adopted by the General Assembly in the Financial Regulations and Rules.
The principles for procurement activities are based on:
(Read the 4 principles.)
The UN defines BVM as:
Optimization of the whole life costs and quality needed to meet the user’s requirements, while taking into consideration potential risk factors and resources available.

25. Competitive suppliers of previous procurement exercises
UN Vendor Sourcing
Competitive suppliers of previous procurement exercises
Past performance
Suppliers of the required goods or services, found on the UN Global Market (UNGM)
Codification (UNCCS)
Automatic tender reference for UN Procurement Division
Through calls for Expression of Interest (EOI)
Search of World Wide Web
Trade Missions, Chambers of Commerce
Information exchange with other UN Agencies
The UN uses different methods to identify suppliers for its needs.
The most important methods are:
Database of registered vendors. All vendors in our database are enlisted with commodity codes, which were chosen at the time of registration. - Vendors are selected based on these commodity codes, therefore it is very important that companies select the correct codes when going through the registration process.
Expression of Interest. All of our requirements with a value greater than USD30,000 are advertised on the Procurement Division’s website as well on the United Nations Global Marketplace website.
It is important to remember that only fully registered companies can be awarded a contract.

26. Expression of Interest and Types of Solicitation
Expression of Interest (EOI)
Request for Quotation (RFQ)
Invitation to Bid (ITB)
Request for Proposal (RFP)
The UN organization uses different types of solicitation for different purposes.
To initiate the solicitation process a request for Expression of Interest or EOI is published on the Procurement Division’s website, on the UNGM website and maybe advertised in journals and trade publications. Suppliers interested in participating in a specific solicitation should respond to the EOI.
The three (3) types of solicitations are:
The Request for Quotation or (RFQ), this is a less formal solicitation used for procurement of goods having a value of less than USD 40,000.
The Invitation to Bid or (ITB). The ITB is a formal solicitation method for well defined goods (or services); taking into consideration the best value for money for the United Nations. The ITB is used when the estimated contract award is more than USD40,000. The contract award is typically based on lowest acceptable bid.
The Request for Proposal or (RFP). The RFP is a formal solicitation process whereby the Best Value for Money principle is applied. The contract award is based on a combined (weighted) evaluation of both the technical solution and price. The RFP is used when the estimated contract is more than USD40,000.

27. Thresholds/Award for types of solicitation
Up to [40,000 USD]
Local, informal, simplified acquisition procedure Requests for Quotation (RFQ)
Above [40,000 USD]
Invitation to Bid (ITB) and Request for Proposal (RFP)
Open and formal: advertised (on the web) generally larger shortlist (minimum 6 potential bidders)
Public bid opening
Contract award – Contract authority
Review and recommendation by independent body for higher value contracts
As mentioned earlier, RFQ is used for procurement of up to USD40,000 and ITB and RFP are used for procurement with values greater than USD40,000.
In the UN, the procurement authority has been delegated to individuals in the procurement organization. However, in all cases there is a review process in place and for higher value contracts. Proposed contract awards are presented to a special review committee. The committee makes the final recommendation regarding the suggested contract award to the decision makers.

28. Bid Evaluation Criteria (not exhaustive list)
Acceptance of UN payment terms, terms & conditions, contract template, liability, legal capacity, etc.
Delivery Terms (INCOTERMS 2010)
Delivery Time
Technical Requirements
Recognized International Standards or similar
Supporting Documentation
Proven Production Capacity & Financial Strength
Warranty Conditions
Appropriate After-sales Service
Previous Contract References
Price (life cycle cost)
In order to evaluate vendor submissions, the evaluation criteria is established in advance of launching the solicitation.
This slide lists some of the basic criteria that may be applied. However additional criteria may be developed depending on the goods and/or services required.
The evaluation criteria are usually mentioned in the solicitation documents.

29. Common General Terms & Conditions
UN General Clauses Conditions of Contracts for Goods, Services, Combination, Construction
Most provisions are common within the UN procurement system, however some provisions may vary in text depending on individual agency requirements.
Potential suppliers are encouraged to familiarise themselves with the UN Terms & Conditions (UNGCC)
Immunity & Privileges
Bid and Performance bonds
UN Supplier Code of Conduct
In general, within the UN system we use common general terms and conditions that cover goods, services or both.
Your company is encouraged to become familiar with the UN general Terms and Conditions. Some provisions may differ for different entities within the UN system. It is important to note that some provisions may differ for different entities within the United Nations system. The Terms and Conditions are available on the United Nations Procurement Division website.
Generally, the Terms and Conditions are not negotiable, and the acceptance thereof is usually one of the evaluation criteria in the solicitation documents.

30. B. United Nations Secretariat Procurement Division (PD)
The United Nations Secretariat Procurement Division provides procurement services to UN Secretariat Headquarters in New York and plays a normative role in setting policies and providing advisory support to offices Away from Headquarters, such as the United Nations offices in Geneva and Vienna, and provides field procurement services for the Peacekeeping Operations around the world, tribunals and economic commissions.
The United Nations Secretariat Procurement Division does business with vendors worldwide and actively encourages vendors from Developing countries and countries with Economies in Transition to become our partners in UN operations.
B. United Nations Secretariat
Procurement Division (PD)
Entebbe, Uganda and New York, USA

31. Your commitment – Our Support - Your success !
Key Features of the UN Secretariat
Generalist procurement organization
World wide operation
Previous procurement principles apply plus “zero tolerance policy”
Additional provisions for internal control, e.g. post employment and risk management
Easy registration process (next brief)
Detailed general and specific information available
at:
Your commitment – Our Support - Your success !
The website of the United Nations Secretariat Procurement Division provides vendors and interested organizations with valuable information and data for understanding the Division’s activities, policies and procedures and the UN requirements for goods and services.

32. The United Nations Procurement Service
Types of Equipment, Goods and Services Procured
New York HQs and Field Missions: types of Goods and Services
Air Transportation Services
Chemical & Petroleum Products
Telecommunication Equipment & Services
Food Rations & Catering Services
Motor Vehicles/Parts & Transportation Equipment
Computer Equipment and Services
Logistics & Freight Forwarding
Prefabricated Buildings
Architecture, Engineering & Construction Related Services
Electrical Apparatus & electronic component
Real Estate Lease & rental
Banking & Investment
Security Equipment
Pharmaceutical products and vaccines
Medical Equipment
This list provides examples of goods and services required by both the peacekeeping missions around the world and the United Nations Secretariat in New York.
These goods and services are sourced and procured by the Procurement Division in New York. In response to the ever changing requirements of the United Nations, especially those in critical UN peacekeeping operations worldwide, the Procurement Division continuously reinvents itself in order to satisfy the needs of our customers in an evolving local market.

33. Procurement Trend 2007-2013 (UN Secretariat)

34. Business Placed with Turkish Suppliers 2009-2013 (in US $ Millions)

35. 35

36. Senior Vendor Review Committee
Bid & Vendor Review
The United Nations Secretariat Procurement Division is committed to the continuous improvement of its operations and relationships with the vendor community.
Award Review Board
Senior Vendor Review Committee
Award Review Board – provides an opportunity to unsuccessful bidders who have participated in a high value competitive procurement process, whereby they may file a procurement challenge on a post award basis, against a contract awarded by the United Nations.
Senior Vendor Review Committee – provides written independent advice on addressing vendors registered with, or seeking to register with the United Nations who are under investigation, accused, convicted or involved in litigation in which there are allegations or evidence that the vendor engaged in a fraudulent, corrupt or unethical practice. 36

38. UN Procurement Mobile App
Real-Time access to business opportunities such as EOIs.
Convenient sharing and contact functionality.
Mobile access to resources such as the Procurement Manual.
More is coming… 38

39. SAMPLE OF EXPRESSION OF INTEREST (EOI) FORM

40. UNPD’s Regional Procurement Office (RPO), Entebbe, Uganda
Established to create peacekeeping procurement capacity in a conflict-free location close to large UN Missions in order to attract and retain qualified and experienced procurement staff and reduce the footprint and exposure to individual missions.
Conducts cross-cutting regional acquisition activities;
Consolidates requirements from several UN Missions to set up regional contracts;
Streamline acquisition process;
Provide technical assistance to UN Missions;
Provide stand-by acquisition capability for UN Missions at start-up.
The Capital Master Plan is an ongoing project to renovate the United Nations New York Headquarters.
Approved construction budget for the project is $1.876 billion and is being managed by the UN Secretariat in conjunction with Skansa USA Building. 40

41. “
We would like to spend a moment to emphasize the importance of the Global Compact.
C. UN Global Compact

42. The UN Global Compact Ten Principles:
Business should support and respect the protection of internationally proclaimed human right; and
Make sure that they are not complicit in human rights abuses;
Business should uphold the freedom of association and the effective recognition of the right to collective bargaining;
The elimination of all forms of forced and compulsory labour;
The effective abolition of child labour;
The elimination of discrimination in respect of employment and occupation;
Business should support a precautionary approach to environmental challenges;
Undertake initiatives to promote greater environmental responsibility;
Encourage the development and diffusion of environmentally friendly technologies;
Business should work against all forms of corruption, including extortion and bribery.
These are the ten (10) principles of the Global Compact.
Your company’s commitment to the ten principles of the Global Compact will be sign of your commitment to making this world a better place.

43.
D. CAREERS AT THE UN

44. Searching for job openings http://careers.un.org

45. Available Opportunities
Internationally-Recruited
Individual /Generic Vacancy for Professional and Field Service jobs
Language Competitive Examination
Young Professional Programme (YPP) Recruitment Examination
Associate Expert Programme (JPO/AE)
Locally-Recruited
National Professional Officer
General Service
Temporary
Temporary professional and general service staff
Individual/Institutional Consultants/Contractors
Other
Internship Programme
United Nations Volunteers (UNV) (unvolunteers.org)

46. Possibility for Question and Answers.
Any questions ? 46