ANNEXURE 1

TECHNICAL REQUIREMENTS

(BIIDDERS MUST SUBMIT ANNEXURE 1B TOGETHER WITH THE BID SPECIFICATION DOCUMENT)

RFB NUMBER: / RFB 1398/2015
CLOSING DATE: / 20 APRIL 2016
CLOSING TIME: / 11:00AM
RFB DESCRIPTION: / ESTABLISHMENT OF A PANEL OF EXPERT NEGOTIATORS FOR SITA LARGE ACQUISITIONS AND CONTRACTS FOR A PERIOD OF THREE (03) YEARS.

ANNEXURE 1A: RFB BACKGROUND

1.  INTRODUCTION

The purpose of this RFB is to establish a Negotiation Support Experts Panel for commercial lead negotiators for a period 3 (three) years. The acquisition of professional services for the provision of Expert Negotiators who are Lead Commercial experts to support Supply Chain Management division with the negotiation of SITA large acquisition and contracts.

2.  SCOPE

The scope of this RFB is to establish the Negotiation Support Experts Panel for negotiators which is to support negotiation activities at SITA:

a)  Commercial Lead Negotiators

§  Lead the negotiation team on behalf of SITA during negotiation of current and new large acquisitions;

§  Interpret SITA business objectives in terms of operational efficiency, cost effectiveness, economic transformation agenda and regulatory compliance to achieve value for money outcome for SITA.

§  Coordinate the negotiation meetings together with SITA Procurement team

§  Negotiation strategy development:

o  Develop a commercial negotiating strategy by assessing objectives, priorities, mandates and contingency options as well as those of the other side, whether sales or procurement.

o  Analyze both party's strengths and weaknesses, the relative power balance between them and the possibility of power-building where appropriate having regard, at all times, to the relationship between the parties and the opportunity to add bottom line profit and value to the negotiation wherever possible.

§  Define Service Level Agreement measures for the new contract based on the negotiated outcome.

3. Evaluation criteria and methodology

The evaluation of the RFB shall be based on the 0/10 preference points system as per PPPFA.

The breakdown of points is as follows:

Price points / 0
B-BBEE status level contribution / 10
Total / 100 points

Stage 1: Screening of mandatory documents

Stage 2: Technical Mandatory requirements

Stage 3: Price and B-BBEE Evaluation

NB: THE BIDDER MUST COMPLY WITH ALL THE REQUIREMENT OF A SPECIFIC STAGE TO PROCEED TO THE NEXT STAGE OF EVALUATION.

ANNEXURE 1B: TECHNICAL SPECIFICATION

1  INSTRUCTIONS

1.1  Bidders are required to EXPLICITLY MARK EITHER “COMPLY”, “OR “DO NOT COMPLY” on each and every requirement. Failure to do so will be taken as a “DO NOT COMPLY”.

1.2  Bidders must SUBSTANTIATE/MOTIVATE where required. Failure to do so will be taken as a “DO NOT COMPLY”.

1.3  Bidders may where necessary, REFER TO ADDITIONAL REFERENCE MATERIAL SUBMITTED BY DOCUMENT NAME/NUMBER, PAGE NUMBER AND PARAGRAPH. Where a reference in substantiation is made to another page (“off-page”) in the bidder’s submission, such referenced page shall be clearly identified by a unique reference number and such reference number shall be provided in the question’s substantiation. During evaluation, SITA reserves the right to treat a question for which an “off-page” referenced substantiation page cannot be located based on such a unique reference number as a “DO NOT COMPLY”.

2  MANDATORY REQUIREMENTS

A Previous Experience

1. / Bidder must have previous experience in leading large commercial contract negotiations. This includes expertise in the following areas:
v  Leadership skills to leverage cross functional team expertise
v  Defining and execution of negotiation tactics and strategy.
v  Knowledge of ICT products and market and ability to Lead large Commercial negotiations / Comply / Not comply
Substantiate or provide relevant proof / The bidder must provide three (3) contactable references confirming work done in the last three years from the date of publishing this tender, on the above mentioned areas.

NB: If the previous work done was conducted for SITA, please provide the contract number and the responsible SITA end-user for reference. SITA will not provide reference against its own tenders.

Technical evaluation criteria: non-mandatory requirements

All of the following non-mandatory criteria must be completed in full and must be met where possible. It is imperative to understand that non-compliance to any non-mandatory criterion will be taken into account for the scoring of functionality.

In all cases, it is necessary for the bidder to substantiate their response in detail in the “Comments” field provided. Bidders may, where necessary, refer to additional reference material submitted by document name/number, page number and paragraph. Where a reference in substantiation is made to another page (“off-page”) in the bidder’s submission, such referenced page must be clearly identified by a unique reference number and such reference number must be provided in the question’s substantiation comment field.

Bidders are encouraged to focus on accuracy and quality of their responses as this may affect the scoring.

A Skills Transfer

1. / Bidder must provide detailed approach and plan on how they intend to transfer skills to SITA employees with regards to expertise to lead successful negotiation with suppliers.
Substantiate or provide relevant documentation / The bidder must provide a detailed step by step skills transfer approach on how skills will be transferred to SITA employees in terms of expertise to lead successful negotiation with suppliers.

B Previous Experience

2. / Bidder must provide more details on their experience and track record in terms of leading large contracts negotiation with suppliers including Original Equipment Manufacturers and Original Software Manufactures.
Substantiate or provide relevant documentation / The bidder must provide a profile document listing all the clients/ transactions for the bidder leading large contracts negotiation with suppliers including successes (savings) achieved during the negotiation.

DETERMINATION OF EVALUATION WEIGHTING:

The table below depict the evaluation criteria and the weighting for evaluation of the technical non-mandatory requirements:

No. / Non-mandatory criteria requirements / Weighting
1. / Skills Transfer / 30%
2. / Previous Experience / 70%
TOTAL / 100%

DETERMINATION OF EVALUATION THRESHOLD:

NB: The bidders will be required to achieve a minimum threshold score of 75% out of 100% to be eligible for the next stage of evaluation.

Non-mandatory evaluation minimum threshold score: / 75%

DETERMINATION OF SCORING MATRIX:

To ensure consistency in terms of the scoring of a bidder’s responses with regard to non-mandatory requirements, the following matrix will be used.

1. / Criteria description: / Skills Transfer /
Level of substantiation required or information required / Score /
None submission of skills transfer approach and plan / 0
Skills Transfer approach submitted without plan / 1
Skills Transfer approach and plan submitted / 3
Skills transfer approach, plan and resources submitted / 5
2. / Criteria description: / Previous Experience /
Level of substantiation required or information required / Score /
None submission of previous experience. / 0
Bidder submitted profile indicating 1 year worth of contract lead negotiation previous experience. / 1
Bidder submitted profile indicating 3 years’ worth of contract lead negotiation previous experience including savings achieved. / 3
Bidder submitted profile indicating 5 years
Worth of contract lead negotiation previous experience including savings achieved. / 5

ANNEXURE 1C: PRICING SCHEDULE

1. General Criteria

1.1  SITA reserves the right to award the required services to multiple service providers.

1.2  NOTE All prices must be VAT inclusive and must be quoted in South African Rand (ZAR).

1.3  All the consortium or joint venture partners must submit a complete set of the latest audited financial statements.

1.4  Scope of Pricing: All prices quoted are the total price for the entire Scope of Required Services and Deliverables to be provided by Bidder.

1. / SITA reserves the right to award the required services to multiple service providers. / Accept / Not accept
Comment
2. / All prices must be VAT inclusive and must be quoted in South African Rand (ZAR). / Accept / Not accept
Comment
3. / Bidder is required to provide a copy of previous financial year audited financial statement, e.g. income statement and balance sheet, etc. / Accept / Not accept
Comment
4. / All prices quoted are the total price for the entire scope of required services and deliverables to be provided by the bidder. / Accept / Not accept
Comment
5. / The cost of delivery, labour, S&T, overtime, etc. must be included in this bid. / Accept / Not accept
Comment
6. / All additional costs must be clearly specified. / Accept / Not accept
Comment

SBD 3.1

PRICING SCHEDULE – FIRM PRICES

(PURCHASES)

NOTE: ONLY FIRM PRICES WILL BE ACCEPTED. NON-FIRM PRICES (INCLUDING PRICES SUBJECT TO RATE OF EXCHANGE VARIATIONS) WILL NOT BE CONSIDERED

IN CASES WHERE DIFFERENT DELIVERY POINTS INFLUENCE THE PRICING, A SEPARATE PRICING SCHEDULE MUST BE SUBMITTED FOR EACH DELIVERY POINT

Name of Bidder: …………………………………………………………………………………………
Bid Number: RFB 1398/2015 Total Bid Price:…………………………………(vat incl.)
Closing Time 11:00am Closing date: 20-04-2016

OFFER TO BE VALID FOR 120 DAYS FROM THE CLOSING DATE OF BID.

______

-  Required by: SITA SCM

- At: …………………………………………..

…….………………………………………

-  Brand and model ......

- Country of origin ...... ………………......

- Does the offer comply with the specification(s)? *YES/NO

-  If not to specification, indicate deviation(s) ......

- Period required for delivery ....………………………......

- Delivery: Firm / Not firm

-  Delivery basis ......

Note: All delivery costs must be included in the bid price, for delivery at the prescribed destination.** “all applicable taxes” includes value- added tax, pay as you earn, income tax, unemployment insurance fund contributions and skills development levies.

*Delete if not applicable

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TABLE: COSTING MODEL

PROVIDE YOUR PRICE BREAKDOWN IN SOUTH AFRICAN RAND VALUE AS PER THE TABLE BELOW:

LUMPSUM ACTIVITY-BASED COSTING MODEL:

Contract Value Threshold / Gain Share Percentage / Maximum Gain Share Cap / Overheads Fixed Amount
R100m and Above / 15% / R10 million
R30m – R99m / 10% / R5 million
R10m – 29m / 5% / R1.5 million

NB: Overheads Fixed Amount for transaction below R30 million cannot exceed R500, 000.00; for transaction between R30 million and R99 million cannot exceed R1, 000,000.00; and for transaction of R100 million and above cannot exceed

R2,000,000.00.

NOTE: The pricing must be submitted in a separate envelope.

eSCPE-00002 rev 1.0 / confidential / Page 7 of 7