How we procure

UNOPS procurement activities are based on the careful, responsible management of our funds and funds entrusted to us by partners.

UNOPS procures according to the following principles:

Best value for money
Fairness, integrity and transparency
Effective competition
Best interest of UNOPS and its partners

The UNOPS Procurement Manual details our policy for carrying out procurement activities. It ensures that all procurement activities comply with the UNOPS legislative framework. The UNOPS Procurement Manual is available in English, French and Spanish.

The procurement process

UNOPS communicates its business opportunities by using different solicitation methods, which include shopping, request for quotation (RFQ), invitation to bid (ITB) or request for proposal (RFP). These methods are used to solicit offers from suppliers.

RFQ: Informal method of solicitation. Suppliers are requested to submit a quotation for the provision of goods, services or works. Normally used for standard, off-the-shelf items, where the value of the procurement falls below the established threshold for formal methods of solicitation ($10,000 or more to less than $250,000). The evaluation method used is 'lowest priced, most technically acceptable offer.'
ITB: Formal method of solicitation. Suppliers are requested to submit a bid for the provision of goods, services or works. Normally used when the requirements are clearly and completely specified. The evaluation method used is 'lowest priced, substantially compliant offer' and is used for high-value procurement ($250,000 or more).
RFP: Formal method of solicitation. Suppliers are requested to submit a proposal for the provision of goods, services or works based on the specifications, statement of work or terms of reference included in the solicitation documents. Normally used in cases where the requirements are complex, cannot be clearly or completely specified, and where detailed technical evaluations are to be performed and/or where pricing or cost may not be the sole basis of award. RFPs are conducted through a 'two-envelope' system, by which technical and financial proposals are submitted separately. The evaluation methodology applied is 'cumulative analysis of technical and financial proposals' and is used for high-value procurement ($250,000 or more).

UNOPS solicitation methods may also be preceded by a sourcing exercise, which helps UNOPS to identify suitable suppliers that could provide required goods, services or works. UNOPS sourcing methods are request for information (RFI), expression of interest (EOI) and pre-qualification (PQ).

Various types of competition may be used, depending on the value of the procurement, market conditions and other factors, namely open competition (publically accessible to all vendors, UNOPS default method of competition), limited competition (accessible to a restricted number of vendors previously short-listed typically through a previously openly advertised EOI or PQ process) and direct contracting (sole-sourced from one supplier).

The majority of UNOPS business opportunities are competitively tendered to provide equal access and fair opportunity to our suppliers to compete for contracts for required goods, services or works. These opportunities are posted in the form of tender notices on the United Nations Global Marketplace (UNGM).

Almost all UNOPS business opportunities require that suppliers submit their offers through the UNOPS eSourcing system which is integrated with UNGM. UNOPS requires all of its prospective suppliers to register in UNGM at the 'Basic' registration level, which is a self-registration process. This is required in order to submit an offer using the UNOPS eSourcing system.

Promoting innovation

UNOPS has in place a range of procedures within its Procurement Manual that enable the procurement of innovative goods, services or works, including allowing for the submission of alternative offers at the solicitation stage.

However, there may be situations (for example, pre-commercial activities such as research and development services, goods or services not yet available on a large-scale commercial basis) where the use of these procedures may not be sufficiently effective to procure innovation or to influence the market towards innovative solutions.

If so, UNOPS might allow alternative procedures such as multi-stage solicitation processes (for example, meetings are held prior to the tender to inform the specifications design) or quality-based evaluations (for example, where cost is not used as an evaluation criterion) for the procurement of innovation.

Important aspects on solicitation documents

UNOPS solicitation documents include essential details on the business opportunity being tendered, including:

Bid particulars and instructions to bidders: detail the provisions under which the solicitation process is undertaken. This includes the bid submission deadline, tender clarifications deadline, bid validity period, bid currency, pre-bid meeting and site visit if applicable, language required for the bids, details on UNOPS bid protest procedures, etc.
Evaluation method and criteria: the method and criteria used to evaluate the bids received. Criteria include formal and eligibility criteria, qualification criteria, technical criteria and financial criteria.
Schedule of requirements: details on the goods, services or works that UNOPS is requiring. May be in the form of technical specifications, Terms of References, design documents, etc.
Returnable bidding forms/schedules: information that the supplier must provide in their offer. The amount of information requested will depend on the complexity and value of the requirements.
Contract information: the type of contract to be signed with the awarded supplier, including the general conditions of contract.

Types of contracts

UNOPS has developed the below standard contracts types to engage with our suppliers:

Purchase order: contract issued to a supplier to document the purchase of goods and/or simple services
Goods contracts: contract for goods and related services
Small services contract: contract for simple services, valued below $50,000
Professional services contract: contract to perform services, generally valued above $50,000
Long-term agreement (LTA): written agreement between UNOPS and a supplier that is established for a longer period of time (normally 3–5 years) for specific goods or services at prescribed prices or pricing provisions and with no legal obligation to order any minimum or maximum quantity
Blanket purchase agreement: A written agreement between UNOPS and a supplier that is established for a shorter time period (normally 12 months) and for a limited monetary value ($250,000)
Contract for works: UNOPS has in place five template works contracts based on the International Federation of Consulting Engineers (FIDIC) standard suite of contracts

Contract structure and General Conditions of Contract

UNOPS contracts are generally structured as follows:

Instrument of agreement
Special or Particular Conditions of Contract
General Conditions of Contract (GCC)
Annexes, including schedule of requirements, schedule of pricing, etc.

The GCCs contain the general conditions governing the contract. They include specific provisions on mines, child labour, sexual exploitation and the fundamental rights of workers. Suppliers signing UNOPS contracts agree to abide by these conditions. The GCCs are available below.

Key recommendations to vendors

Become familiar with UNOPS policies and procedures by reviewing the UNOPS Procurement Manual
Review UNOPS General Conditions of Contract
Complete the Doing Business with UNOPS online course
Register in UNGM as a UNOPS supplier
Be ready to assist UNOPS in better understanding the market and participate in RFIs, EOIs and PQs
Focus on the types of solicitations where you think you have the most chance of success and consider partnering with another organization as a joint venture to join forces
Read the tender documents carefully and ask for clarifications if needed
If you have an innovative solution that might not fit in in traditional tender specifications, approach the local office where you operate to pitch your solution