Consultant Opportunities with the EBRDMs Dilek Macit
Director
Consultancy and Corporate Procurement Department
Mr Andrea Baldan
Head of Operations
Consultancy Services Unit
Trieste (I), Wednesday 26th September, 2012
6 things you need to know…
… in order to be successful in providing consultancy services to the EBRD
5 “W”s
1. “Why” does EBRD need consultancy services
2. “Where” does EBRD operate and are services needed
3. “When” are consultancy services needed
4. “What” kind of consultancy services are needed
5. “Who” are the key players in EBRD and their roles(and “whom” are you offering your services to)
…and 1 “H”
1. “How” does EBRD select consultants (incl eSelection)
1. why?
EBRD finances projects in both private and publicsector, providing direct funding for financialinstitutions, infrastructure and other key sectors.
The Bank’s investments also help to developskills, improve efficiency and strengtheninstitutions.
Within this framework consultancy services areprovided to support the Bank’s operations andprojects.
Bank’s operations
Value of Contract Awards in 2007-2011
0
50
100
150
200
2007 2008 2009 2010 2011
EBRD € million consultancy contracts awarded
0
5
10
15
20
2007 2008 2009 2010 2011
€ million awarded to Italian consultants
“why” should you be interested
Year
EBRD total €million
consultancy contracts
€ million to Italian
consultants
% to Italian consultants
EBRD total number of contracts
Number to Italian
consultants
2007 136 4 3% 2,377 165
2008 120 5 4% 2,434 206
2009 137 6 4% 2,821 177
2010 175 5 2% 2,820 191
2011 169 16 10% 2,797 166
2. where?
Where we operateMay 2012
more than half bankers based in the regions
“where”: Contracts Awarded per Country(share of value) in 2011
Russian Federation17%
United Kingdom10%
Regional*10%
Ukraine10%
Turkey6%
Romania6%
Kazakhstan5%
Georgia4%
Serbia**3%
Moldova3%
Mongolia3%
Poland3%
Bosnia and Herzegovina
3%
Kyrgyz Republic2%
FYR Macedonia2%
Other13%
3. when?
ProjectPreparation
ConsultancyServices
Project Implementation Consultancy Services
“when”: Consultancy Services and project cycle
InitiationFinal repayment
Concept clearance
Concept/ structure review
Final review
Signing
Disbursements
Repayments
[Sale of equity]
Final maturity
Board approvalPublication of Project Summary Document
Publication of Board approved Projects
4. what?
“what”: type of Consultancy Services
To assist the Bank’s Clients with:
Project Preparation e.g. feasibility studies, project design,environmental impact assessment
Project Implementation:• capacity building, institutional development, eg. project implementation
units – role of a partner
• project supervision: Independent Engineer – very clearly definedcontractual role
To assist the Bank with:
due diligence (technical, financial, environmental, integrity etc)
project monitoring, lenders technical supervisor
Policy dialogue / legal reform
Technical Co-operation Funds from:• Italian Technical Cooperation Fund (tied)
• Shareholders’ Special Fund established with the Bank’s netincome, operational since July 2008
• Other untied Donor funds (e.g. Japan, Sweden, Norway, MultiDonor Fund for Early Transition Countries, European Union),Western Balkans Fund
Bank Administrative Budget
Loan Proceeds
“what”: funding sources available to Italian Consultants
Contract Awards by Funding type
Focus on:
• Initiatives to address economic crisis• e.g. FI Institution Building and Targeted Crisis Response Framework
Facilities, Trade Facilitation Programme Crisis Response Trainingprogrammes, Risk Management Advice
• Sustainable energy financing facilities incl. renewableenergy and climate change
• Infrastructure including Municipal and EnvironmentalInfrastructure & Transport and PPP’s
• Support institution building and training• e.g. Turnaround Management Programme (TAM), Business Advisory
Services (BAS), TAM/BAS Crisis Response Programme, Legal TransitionProgramme (LTP); Policy Dialogue
“what”: Technical Co-operation
“what”: an example of Municipal and Environmental Infrastructure (MEI) Sector
The MEI sector covers:• direct revenue earning services
• water supply, waste-water collection and treatment,
solid waste management, district heating, natural
gas distribution and urban public transport
• Infrastructure
• urban roads, environmental clean-up operations
• Environmental services, such as industrial and
hazardous waste management, that may be organised
nationally or outside local government responsibility.
“what” MEI Standard Consultancy Assignments and Types of Specialists
1. Financial Audit (auditors)
2. Feasibility Study (sector engineers, environmental, financial, legal experts)
3. Environmental Impact Assessment (environmental experts)
4. Financial and Operational Performance Improvement Programme (FOPIP) - (financial, management information system, corporate restructuring experts)
5. Legal Due Diligence - (legal experts)
6. Financial Due Diligence (financial experts)
7. Corporate Development Programme (financial, legal,
management information system and IT, business planning experts)
8. Project Implementation Unit; Procurement
Assistance (procurement experts)
9. Creditworthiness Enhancement Programme (financial,
legal, sector regulation experts)
10. Public Service Contract (legal, corporate, financial experts)
“what” MEI Standard Consultancy Assignments and Types of Specialists
5. who?
“who”: www.ebrd.com
About us
• What we do
• Who we are
• Where we are
• Who we work with
• (…)
Procurement Notices
(see next slides!)
Working with us
• Project financing
• Procurement (see next!)
• Trade Loan syndications
• Advice and support
• Jobs at the EBRD
• Projects
• Countries
• Sectors
“who”: procurement in ebrd.com
Consultancy
Services
- Consultant opportunities
(procurement notices)
- eSelection
-Data & reports
“who”: Consultancy Services Unit (CSU)
technical advice and operational support to the Bankand its Clients when selecting and engagingconsultants.
responsible for compliance with the Bank’sProcurement Policies and Rules with donors’ rules.
chairs evaluation Committee’s for selectingconsultants (Bank selected) and approvesevaluation recommendations (Client selected) with asupervisory and procedural role
“who”: Banking department
Banking carries out EBRD’s lending and investment
operations; consultancy services are used to support
these operations
When consultancy services are for the benefit of the
Bank, Banking members are key players in project
preparation, consultants selection manage the
consultants during delivery of the services
“who”: the Client’s role
select consultants where the Client is the main beneficiary ofthe services (mostly project implementation)
responsible for all aspects of the procurement of contracts:• invites, receives, evaluates tenders, awards contracts
• consultancy contracts between the client and the consultant.EBRD channels TC funds through a grant agreement with theClient.
The Bank reviews and monitors the tender process, assists incontract administration, pays consultants once Client approvesinvoices.
“who”: the contracting structure
EBRD
Grant Agreement
CLIENT
CONSULTANT
Consultancy Contract
Approving Invoice
Invoice
Payment
Italian Consultants: Lesson learned
Audentes Fortuna iuvat
but give Fortuna a little
help:
participate to EBRD opportunities!
how?
“How”
• How does EBRD or its Clients
select consultants?
• Strategy for winning contracts
• (eSelection for Consultants)
Procurement Policies and Rules (PP&R)
• Revised Procurement Policies & Rules (PP&R) May
2010
• fundamental principles of non-discrimination, fairness
and transparency
• Harmonisation with other International Finance
Institutions (IFIs)
• New thresholds for consultant selection procedures
Procurement Policies and Rules (PP&R)
Section 5.1 of Bank’s PP&R:
“The main concern when
choosing consultants should be the
quality of the services provided.”
Main Selection Methods (1)
QUALITY-BASED SELECTION:
No consideration of price during selection, highest-
ranked Consultant is invited to negotiate the
contract, generally for
(i) very complex assignments which can be carried
out in substantially different ways and cost
proposals may not be comparable
(ii) assignments with large downstream impacts
(iii) contracts below EUR 300,000
Main Selection Methods (2)
QUALITY- AND COST-BASED SELECTION:
Selection based on quality (approx. 80%) and price (approx. 20%), for
(i) standard assignments
(ii) scope of services are well defined and parties can estimate with reasonable precision the required input, staff time, duration etc.
(iii) contracts above EUR 300,000 if standard and not complex
Overview of Selection Procedures for Consultant
Selection (EBRD or Client)
Direct
Selection(quality-based selection, less than EUR 75,000)
Selection from
Shortlist(quality-based selection,
EUR 75,000 – EUR 300,000)
Evaluation of
Proposals(quality- & cost-based selection,
EUR 300,000 and over)
Select consultant
Negotiations
Contract
Call for expressions of interest
Long list
Shortlist
Select consultant
Negotiations
Contract
Call for expressions of
interest
Long list
Shortlist
Proposal (tech & fin.)
Select consultant
Negotiations
Contract
Contract Awards* (share of value)
by Consultant Selection Method
* Including contract awards by OGC,
Small Business Support Programme and loan funded contract awards by the Bank’s clients
• Quality-based selection (less than EUR
75,000)
• The Executing Agency (EBRD or Client)
selects without competitive selection
• Bank may negotiate on budget, team
composition and contractual terms
• How does the Client or Bank choose for direct
selection? How can consultants improve their
chances of being awarded Direct Selections?
Selection Procedures: Direct Selection
• Quality-based selection (EUR 75,000 – EUR 300,000 for firms and EUR 75,000+ for individual experts)
• Generally begins with a “Procurement Notice” requesting expressions of interest on the Bank’s Website
• The Shortlisting Committee creates a shortlist of firms who are ranked according to technical merit
• The top ranked firm is sent the Terms of Reference (ToR) and invited to submit a workplan and budget
• When negotiations are successful, contract is awarded
• If negotiations fail, second ranked firm is contacted
Selection Procedures – Selection from Shortlist
• Quality- & cost-based selection (EUR 300,000 and
over)
• Procurement Notice and shortlisting of firms
1. generally between 3 and 6 firms
2. normally no more than 2 consultants from the same country
3. normally requires at least one qualified consultant from one of the
Bank’s Countries of Operation
• Shortlisted firms are sent the Request for Proposal
(RFP) package
Selection Procedures – Evaluation of Proposals
RFP 4 (Evaluation Criteria) Key
Points:1. Firm’s project experience
2. Methodology, work plan,
3. Calibre/CVs of experts
4. Local language, local presence/input
5. Financial proposal generally 20%
Selection Procedures – Evaluation of Proposals
Selection & Contracting – Timeframe
Always depends on
circumstances of
individual case (could be
longer if Client
selects/contracts which
is not fully familiar with
EBRD standard
procedures)
Direct
Selection
7 - 14
days
Selection
from
Shortlist
5 - 7
weeks
Evaluation
of Proposals
4 - 6
months
Clarifications and Debriefing
• Before deadline for submission expires, request
clarifications from Bank or Client
• If unsuccessful you may ask for a debriefing when
selection process is completed
• Complaints to be sent to Bank or Client with a copy to
the Director of the Banking Department Team and the
Director of the Procurement Department
• General considerations:
• What is level of competition? Be selective – do you
have any comparative advantage?
• Who will select/contract? EBRD or the Client? Is
addressee “banker or municipality”?
• One step (selection from shortlist on basis of
expressions of interest only) or two steps
(expression of interest and request for proposals)?
Strategy for Winning Contracts
One step after the other:
1. Focus on smaller assignments first (the first contract with EBRD enables you to demonstrate your excellence)
2. The expression of interest (EoI) matters (starting point)
3. Carefully assess submission requirements / evaluation criteria
• Procurement Rules (e.g. Conflict of Interest?)
• Eligibility
• Deadlines
• Cost Estimate?
• Specific submission / evaluation requirements?
Strategy for Winning Contracts
• What are the specific submission requirements/evaluation criteria for EoIs/proposals?• Project references: Previous similar project experience?
Similar budget/duration? Similar services/objectives/ activities? Similar country/region?
• Key experts/CVs: Relevant previous professional experience? Language requirements? How many key (!) experts?
• For proposals: Methodology, comments on Terms of Reference (“ToR”), workplan
• Pay attention to detail! Is your expression of interest/proposal responsive?
Strategy for Winning Contracts –Assess Notice & Evaluation Criteria (1)
Be pragmatic when drafting EoI or proposal
Main objective is
• to address the requirements in the procurement
notice or Request for Proposal package and to be
awarded the contract
Main objective is not
• to describe how to successfully carry out the
assignment in the technical proposal
Strategy for Winning Contracts –Assess Notice & Evaluation Criteria (2)
Be realistic – can you match the
submission/evaluation criteria? If not, consider
• consortia or sub-contracting opportunities,
identify potential local, regional or international
partner firms to complement your firm’s
strengths (know-how, project references, key
experts)
• engaging external experts to satisfy
requirements related to key personnel
Strategy for Winning Contracts –Join Forces (1)
• Know the market. Research and assess:
(1) Contracts awards
(2) Previous shortlists for similar assignments
(3) Statistics
• EBRD information available in www.ebrd.com
• Also check similar webpages of EU, World Bank, IFC etc.
Strategy for Winning Contracts –Join Forces (2)
The key is to enable the evaluators to quickly and easily
find and assess the relevant information
Remember Blaise Pascal who wrote:
“I would have written a shorter letter but I did not have
the time!”
Strategy for Winning Contracts –“Be Kind to the Evaluators” (1)
• Consider your application from perspective of evaluation committee - are you able to easily assess your firm’s strengths and compliance with evaluation criteria?
• Submit documents that are1. tailored (adapt your regular standard documents)
2. focussed (all key points/evaluation criteria addressed?)
3. concise (table of content, clear structure & headlines, easy to assess, short sentences, use tables instead of running text when appropriate etc.)
4. accessible (submit one pdf-file not many)
Strategy for Winning Contracts –“Be Kind to the Evaluators” (2)
• Do not submit financial offer when selection is based on quality (unless otherwise requested), in particular never add financial offer to EoI!
• Seal financial offer (ensure confidentiality!) –eSelection “locks” the financial offer
• Do not apply if your firm is not eligible (check eligibility clause in notice)
• Do not submit late
• Do not liaise with EBRD/Client after publication of notice (apart from requests for clarifications via instructions)
• Do not stay silent on conflict of interest!
Strategy for Winning Contracts –Avoid the Big Don’ts
• Monitor developments in the
relevant sector/country, by
donor/IFI
• Monitor EBRD’s website for
‘Procurement Opportunities’
• Subscribe to EBRD eSelection and
procurement alerts
Strategy for Winning Contracts –Be Up to Date
Information available under EBRD Procurement
• EBRD’s new projects
• Project pipeline and executing agencies
• Lists the latest public and private sector projects
approved by the EBRD
• Procurement notices for consultancy assignments
• Consultancy contract awards
and shortlisted consultants
• Major contracts that were
awarded in operations financed by the EBRD
(These pages are
regularly updated)
“how” does EBRD select consultants
eSelection
for
Consultants
eSelection for Consultants
This is a web based application intended to provide:
• More transparency
• More efficiency
• Wider participation in competition
• Level playing field
eSelection: Benefits for Consultants
• Subscribe for electronic notification about new
opportunities by industry sector and area of expertise
to increase competition
• Submit expressions of interest & proposals (including
financial proposals) on-line/electronically
• Consultant can view the status of application, manage
participation in selection processes and monitor the
progress of any selection process
• Cost reductions as a result of on-line submissions
eSelection -https://eselection.ebrd.com/suite/
Sends email with link to reset password
Register here
Click here to view procurement notices
Send a query or request assistance
“who” to contact in EBRD
Project enquiries (existing EBRD projects only) Tel: +44 (0)20 7338 6282 / fax: +44 (0)20 7338 7380
Business Development and project proposals Tel: +44 (0)20 7338 7168 / fax: +44 (0)20 7338 7380
General enquiriesTel: +44 (0)20 7338 6372 / fax: +44 (0)20 7338 6690
Procurement opportunitiesvia web site: www.ebrd.com
PublicationsTel: +44 (0)20 7338 7553 / fax: +44 (0)20 7338 6102
Consultancy Services UnitTel: +44 (0)20 7338 6124 / fax:+44 (0)20 7338 7451
eSelection Tel: +44 (0)20 7338 7307 / Fax: +44 (0)20 7338 7451
Questions?
“He must be very ignorant
for he answers
every question he is asked.”
Voltaire
Thank You!
Mr Andrea Baldan
Head of Operations
Consultancy Services Unit
℡℡℡℡ +44 (0)20 7338 7307
���� +44 (0)20 7338 7451
Ms Dilek Macit
Director
Consultancy and Corporate Procurement
Department
℡℡℡℡ +44 (0)20 7338 6863
���� +44 (0)20 7338 7451