PROCUREMENT AT CERN. Dante Gregorio Electrical Engineering Meet the Buyer Event. 27 September 2011

Transcription

1 PROCUREMENT AT CERN Dante Gregorio Electrical Engineering Meet the Buyer Event 27 September 2011

2 SUMMARY CERN Budget Definition of Supplies and Services Country of origin Expenditure on Supplies Procurement Policy Requirements below CHF Price Enquiries ( CHF CHF): - Adjudication Requirements exceeding CHF: - Market surveys & Invitations to tender - Industrial Return Coefficient - Well Balanced Member States - Adjudication Contacts

3 BUDGET MEMBER STATES CONTRIBUTIONS Amounts in Swiss francs Germany 19.10% Sweden 2.42% France 16.47% Austria 2.14% United Kingdom 14.74% Greece 1.90% Italy 10.99% Denmark 1.87% Spain 8.67% Finland 1.24% Netherlands 4.21% Portugal 1.23% Switzerland 4.15% Czech Republic 1.10% Poland 3.09% Hungary 0.67% Belgium 2.73% Slovak Republic 0.54% Norway 2.56% Bulgaria 0.31% Total 100% CHF

4 DEFINITION OF SUPPLIES & SERVICES Supply contracts: Contracts for supplies of equipment including R&D contracts, electricity, telecommunications and insurance contracts as well as maintenance and leasing contracts covering data processing, printing and telecommunication equipment. Country of origin: In accordance with standards defined by EU i.e. the country(ies) where the supplies (including their components and sub-assemblies) are manufactured or undergo the last major transformation by the contactor or his sub-contractor. Service contracts: Contracts for the provision of services to be executed on the CERN domain. Country of origin: The country in which the bidder is established.

5 TOTAL COMMITMENTS: MCHF

6 TOTAL COMMITMENTS: 12.7 MCHF

7 PROCUREMENT POLICY Ensure bids fulfil all the necessary technical, financial and delivery requirements; Keep overall costs for CERN as low as possible; Achieve balanced industrial returns for the Member States.

8 PROCUREMENT POLICY Not less than three competitive tenders to be sought for the purchase of supplies and services; Invitation to tenders to be limited to manufacturers and contractors located within the territories of Member States.

9 REQUIREMENTS BELOW CHF Technical officers may issue enquiries directly, provided CERN procurement rules and procedures are followed; At least three written offers to be sought for requirements above CHF; Offers to be sought from manufacturers or suppliers located in CERN s Member States;

10 REQUIREMENTS BETWEEN AND CHF Price enquiries: Drafted and issued by Procurement Service Documents include: Cover letter - including enclosures; Technical specification - including technical annexes and technical drawings; Tender form; Technical questionnaire (not compulsory).

11 REQUIREMENTS BETWEEN AND CHF Price enquiries: Deadline for bidders to submit bid is at least 4 weeks from mailing date; Number of firms to contact should be at least three and as a general guideline should not exceed five; Market survey is not needed; Price enquiries are not published but all enquiries exceeding CHF are also sent to Industrial Liaison Officers (ILOs) for information.

12 INDUSTRIAL LIAISON OFFICES Representatives of the CERN Member States in charge of: - Identifying suitably qualified suppliers to be contacted for CERN requirements; - Ensuring the proper flow of information between CERN and potential suppliers in the Member States.

13 ADJUDICATION < CHF Price enquiries: Lowest offer - Free Carrier (FCA) price which complies with the technical, financial and delivery requirements.

14 REQUIREMENTS EXCEEDING CHF Calls for Tenders: Announcement in the document Forthcoming Market Surveys and Calls for Tenders available on Procurement Web-page: Market survey; Selection of firms to be invited for tender; Technical auditing.

15 MARKET SURVEYS Purpose: Pass information to industry on future requirements; Allow delegates, ILOs to propose potential bidders; Update and improve CERN s supplier database; Encourage firms to seek early exchange of technical information with CERN and vice-versa; Allow CERN to draw up a final list of qualified bidders; Allow CERN to draw up a final Technical specification for the call for tenders.

16 MARKET SURVEYS Drafted and issued by Procurement Service Documents include: cover letter (including on which basis the call for tenders will be adjudicated); brief technical description (1-2 pages); qualification criteria (financial and technical); qualifyinq questionnaire. minimum 4 weeks for suppliers to reply; a market survey is valid up to 12 months from the date of issue (or up to 18 months for prototypes).

17 PRELIMINARY LIST OF FIRMS Firms proposed by technical officers; Firms selected from CERN s supplier database by the Procurement Service; Firms from the Member States which have expressed an interest in a Market Survey or a similar requirement; Firms proposed by ILOs and Delegations.

18 FINAL SELECTION OF FIRMS Only companies which have fulfilled the qualification criteria of the market survey concerned shall be considered; As a general guideline, the final list of firms to be invited to tender shall not exceed: - 10 firms for contracts between and CHF; - 15 firms for contracts exceeding CHF.

19 FINAL SELECTION OF FIRMS Likelihood that the selected firm will submit a bid; CERN s previous experience with the firm, if any; The number of firms selected from each Member State for both Supply contracts and Industrial Service contracts shall take into account the Member State s contribution and its Industrial Return Coefficient.

20 Contains: CALLS FOR TENDER Cover letter - including enclosures; Technical specification - including technical annexes and technical drawings; Tender form; Technical questionnaire (not compulsory). Deadline for bidders to submit a bid is at least 4 weeks from mailing date (with a longer period for more complex requirements);

21 CALLS FOR TENDER At least an English version of all documents including technical annexes and technical drawings; Technical auditing to be carried out to ensure that the tendering documents are objective and unambiguous (e.g. technical specifications are based on international rather than local standards and concentrate on processes involved rather than on technical details).

22 INDUSTRIAL RETURN COEFFICIENT The return coefficient of a Member State for Supply contracts for a given twelve-month period starting on 1 st March is defined as: The ratio between that Member State's percentage share of all purchases of supplies (excluding purchases funded by non- Member States) during the preceding four calendar years and that State's percentage contribution to the Budget over the same period.

23 BALANCED MEMBER STATES For 2011, a CERN Member State is considered to be poorly balanced if its Industrial Return Coefficient is: < 0.89 for Supply contracts; < 0.40 for Industrial Service contracts. Otherwise, it is considered to be well balanced.

24 WELL BALANCED MEMBER STATES For calls for tenders for Supply contracts issued between and the following CERN Member States are considered to be well balanced: Czech Republic, France, Poland, Switzerland For calls for tenders issued between and the following CERN Member States are well balanced for Industrial Service contracts: Belgium, Bulgaria, Denmark, France, The Netherlands, Poland, Portugal, Spain, Switzerland

25 ADJUDICATION Supply contracts, whose estimated value exceeds CHF, are awarded on the basis of the lowest compliant bid: To the firm whose bid complies with the technical, financial and delivery requirements and is the lowest, subject to the following rules aimed at achieving well balanced industrial return coefficients for the Member States:

26 THE ALIGNMENT RULE 1. LOWEST BIDDER FROM POORLY BALANCED MS: CONTRACT

27 THE ALIGNMENT RULE 2. LOWEST BIDDER FROM WELL BALANCED MS: NEGOTIATIONS IF PRICE DIFFERENCE IS WITHIN 20%: A. LOWEST BIDDER FROM PB MS ALIGNS: CONTRACT B. IF NOT - 2ND LOWEST BIDDER FROM PB MS ALIGNS: CONTRACT C. IF NOT - CONTRACT TO INITIAL LOWEST BIDDER

28 BIDS MADE BY A CONSORTIUM When a firm submits a tender offering supplies originating from several Member States, or when several firms jointly submit a tender, the tender shall be treated as that from a poorly balanced Member State provided that the value of supplies originating in one or more poorly balanced Member State(s) is not less than 51% of the total amount of the contract.

29 UK CERN LIAISON OFFICER Dr Julie Bellingham Innovations Directorate Science and Technology Facilities Council Polaris House North Star Avenue Swindon WILTS SN2 ISZ e.mail:

30 CONTACT AT CERN FOR UK INDUSTRY Mr Dante Gregorio CERN Procurement Service Finance, Procurement and Knowledge Transfer Department CH-1211 Geneva 23 Tel: Fax:

31 PROCUREMENT SERVICE HOME PAGE ADDITIONAL INFORMATION ON WWW: