BUSINESS AND VENDOR REGISTRATION SEMINAR PRESENTED BY PROCUREMENT SECTION UNTSO, JERUSALEM EGYPT, 02 TO 03 JUNE 2008

1. BUSINESS AND VENDOR REGISTRATION SEMINARPRESENTED BYPROCUREMENT SECTIONUNTSO, JERUSALEMEGYPT, 02 TO 03 JUNE 2008

2. OVERVIEW OF UNTSO The "United Nations Truce Supervision Organization (UNTSO)" was established on 29 May 1948 under the UN Resolution 50 (1949) as a UN Truce Mediator between Palestine and Israel. UNTSO is an observer Mission encompassing five host countries; namely, Israel, Egypt, Jordan, Lebanon and Syrian Arab Republic.

3. UNTSO ADMINISTRATIVE FUNCTIONS: The Mission's Administration works in conjunction with the military staff at HQ and the four Outstations with its main objectives being to provide an overall effective support to the Mission. The four Outstations are located at: • Observer Group Golan (OGG - Damascus) • Observer Group Lebanon (OGL- Lebanon) • Observer Group Egypt (OGE - Egypt) • Observer Group Tiberias (OGT - Tiberias) UNTSO Procurement Section comes under the direct supervision of the Chief Mission's Support of UNTSO.

4. PROCUREMENT FUNCTIONS: • Based on the UN Procurement Manual and that of the UN Financial Rules, provides procurement services of all goods and services to UNTSO HQs. and to all Outstations. • UNTSO also provides 100% of UNSCO's (United Nations Special Coordinator) procurement requirements in accordance to the Memorandum of Understanding signed between the two Parties (UNTSO and UNSCO). • Once in a year, or as and when required, conducts disposal (sales) as “scrap” of equipment. • The provision of goods and services are made in accordance to the approved yearly Acquisition Plan prepared by the end-users in collaboration with Budget Unit and Procurement Section and later approved by the DFS/UNHQ/NY.

5. MAJOR GOODS & SERVICES PROCURED DURING 2006/2007 CY 1. General Services Section: Construction Services (at the HQs and Ops); Office Equipment and Supplies (ex. Generators, air conditioners, stationeries, etc.); Rental of Premises, and Cleaning Services 2. Communication and Information Technology Services (CITS): Photocopy machines; IT Equipment (replacement & acquisitions of computers, various software, etc.) Communications equipment and related services. 3. Transport Section: Bulk and Heating Fuel; Vehicle and vehicle spare parts; (Vehicle are procured and supplied through the UN System Contract/UNHQ); 4. UNSCO requirements: Various goods and services; all related to Para. (1) to (3) above.

6. VALUE OF GOODS AND SERVICES PROCURED DURING 2006 AND 2007 CY (IN US DOLLARS):

7. Dollar Value of Purchases made by Country during 2006 and 2007 CY (in USD)

8. UNTSO's APPROVED OPERATIONAL FUNDING BY COST CENTERS FOR 2008 CY (IN US DOLLARS)*

9. METHODS OF SOLICITATIONS: • Expression of Interest (EOI) Written communication by a supplier to provide information about its products, resources, qualifications and experience. The Mission occasionally goes out on EOI in pursuit of qualified vendors for some specific requirements; i.e. consultancy services; constructions, etc. • Request for Quotation (RFQ): (value up to US$20,000.00) Less formal solicitation, lower-value, standard specifications, readily available on the market • Invitation to Bid (ITB) : (value above US$20,000.00) Formal solicitation (sealed), lowest evaluated price and technically complaint. • Request for Proposal (RFP): (value above US$20,000.00) Formal solicitation: Depending on the functional specifications for complex goods/services; Award is based on the "Best Value" concept, - combining technical solution and price considerations) – not necessarily the lowest price.

10. APPROVING COMMITTEE • Purchases up to US$50,000.00 remain within the CPO's delegated Procurement authority. The CMS approves those up to US$75,000.00 • Any purchases up to US$200,000.00 remain within the Mission's delegated procurement authority (after the LCC's recommendations); • “Special” and “Core” Requirements up to US$1 mil. remain within the Mission's delegated procurement authority; • Purchases over US$200,000.00 (not covered under “Special/Core” requirements) go to the HCC for recommendations and/or approval. • “Systems Contracts” are solicited and signed at the UNHQ level to be used within the field mission level.

11. BID EVALUATION CRITERIA: Following Evaluation Criteria are applied during bid evaluation process: • Compliance with terms and conditions of the bid and the UN payment terms; • Compliance with Technical Requirements; • Shortest lead time indicated using (INCOTERMS 2000) • Supporting documentation; • Proven Production capacity & financial strength; • Warranty conditions; • After-Sales Services • Previous contract/service references • Price Potential suppliers are encouraged to familiarize themselves with the UN Terms and Conditions

12. UN GENERAL PROCUREMENT PRINCIPLES: Best Value for Money; Fairness, Integrity and Transparency; Effective International Competition; The Interest of the United Nations

13. VENDOR REGISTRATION FORMALITIES • Vendors seeking registration in the UN vendor's database are required to provide the following information, in the English Language: • Certified/audited financial information, i.e. Balance Sheet and Income Statement, • Current and valid copy of certificate of incorporation/business certificate or national equivalent; • Payment terms; • Letters of reference from at least three (3) clients to whom the company has provided goods/services over the past twelve (12) months; • Year of established (minimum of 3 years required); • The UN may require a contractor to provide a Performance Bond (to guarantee fulfillment of terms and conditions when contracts are awarded). Companies are required to indicate the maximum amount of Performance Bond the company is able to support;) • Copy of latest Int. Org. for Standardization (ISO) Certificate or equivalent. • Vendors are required to ensure that the information provided are truthful and accurate.

14. VENDOR'S SOURCING METHOD • Vendors are usually sourced through the following ways: - Competitive suppliers of previous procurement – Past Performance; - Suppliers of the required goods or services found on the UN Global Market; • - Through calls for Expression of Interest (EOI) (Notices); - Search of World Wide Web; - Trade Mission's Chambers of Commerce, and - Exchange with other UN Agencies • Vendors are always encouraged to visit the UN web-sites shown below.

15. PRACTICAL TIPS FOR POTENTIAL VENDORS • Visit the UN Web Sites regularly; • Register on the UN Global Marketplace and with other relevant UN Agencies; • Express interest, submit bids and perform; • Always respond to bid invitations; • Be careful in your bid preparation – seek advice if required; • Read thoroughly the bid documents; • Ensure that you meet all bidding requirements; • Submit bids with all the necessary attachments; i.e. catalogues, and in the requested language; • Meet bid submission deadline.

16. BEST PRACTICES AND RESULT-BASED MONITORING OF VENDORS' DATABASE AND EVALATION SYSTEM In order to maintain good and workable vendor' database, UNTSO's Procurement Section tries its best to put the following procurement practices in place: - Monitor vendor's performance during and at the end of each contracting period; - Communicate regularly with Requisitioners/SAU on vendor's performance under each obligated contract to ensure proper feed-back are obtained and that Vendors' Performance Evaluation Reports are completed and are kept in each respective case file for further references;

17. BEST PRACTICES AND RESULT-BASED MONITORING OF VENDORS' DATABASE AND EVALATION SYSTEM Contd. - Up-date vendors' database at least once in a year so that only prospective vendors are kept in the vendors' database; - Communicate in writing with unsuccessful vendors, immediately after award of any bidding exercise is made, and highlight briefly the reason/s how selection was made - for transparency and fairness purposes; - Whenever possible, conduct site tours to ensure that information provided in the "Vendor's Registration Form" are true and are accurate.

18. CONTACT ADDRESS OF UNTSO PROCUREMENT SECTION United Nations Truce Supervision Organization (UNTSO) P.O. Box 490 Government House Jerusalem 91004 Tel.; +972-2-5687312 Fax: +972-2-5687492/7317 E-mail: <untsoprocurement@un.org

19. UN PROCUREMENT DEPARTMENT (PD/UNHQ/NY): To learn more about the UN Procurement Department at the UNHQ/NY and also get registered as a potential vendor under the United Nations Global Marketplace (UNGM), please visit the following web site: http://www.ungm.org/ Additional information can also be obtained through the following IAPSO web site: www.iapso.org

20. THANK YOU! ANY QUESTIONS?