prepared for: slovak industry day 02-03 may 2012

www.namsa.nato.int

Prepared for:

Slovak Industry Day02-03 May 2012

Presented by:

Robbert SMIT

Deputy Director of Procurementand Competition Advocate

[email protected]

DOING BUSINESS WITH NAMSA

Main Locations

NATO Maintenance & Supply AgencyNATO Maintenance & Supply Agency

2Procurement Directorate

Organization

02 - 03 May 2012

NAMSA Mission and PrinciplesNAMSA Mission and Principles

■ Provide full spectrum of logistics support to NATO/NAMSO Member states individually or collectively

■ Provide direct logistics support solutions in operational theaters■ Maximize effectiveness of logistics support to NATO Armed Forces■ Provide rapid response at lower cost

■ Consolidation■ Centralization■ Competition

02 – 03 May 2012 3Procurement Directorate

Mission

Principles

NAMSA’s RoleNAMSA’s Role

4Procurement Directorate02 – 03 May 2012

■ A contracting agency - NOT a contractor

■ Customer funded, ruled by the no profit, no loss principle - NOT a profit-making organization

■ Acts as an extension of national logistics support chains - NOT a competitor to national procurement and logistics organizations

OrganisationOrganisation

Procurement Directorate02 – 03 May 2012 5

0

200

400

600

800

1000

1200

1400

1600

1800

2000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 (*)

Operational Commitments

Expenditure

Direct Support

NATO Initiatives

WSP/ SC-Funded

Common-Funded

Direct Services

0%

2%

4%

6%

8%

10%

12%

14%

Ratio Net Admin. Expenditure to Value of Services

Financial EvolutionFinancial Evolution

Procurement Directorate02 – 03 May 2012

1668 MEUR

1798MEUR

1546 MEUR

1518MEUR

* - Provisional Figures

66

Current businessCurrent business


NAMSA

Conventional In-service Logistics

Support

Support to NATO Initiatives

NATO Crisis Response Operations

■ Weapon System Partnerships■ Support Conferences■ NATO common- funded programmes■ eLogistics■ European Union■ United Nations

■ PfP Trust Fund■ Strategic Lift■ ACT Support■ Deployable NATO Assets

In-theatre integrated logistics support:■ ISAF■ NATO Response Force - NRF■ Humanitarian relief■ Balkans

Spectrum of Operations

Leveraging Industry

Direct Support (In-theatre Level)General Support (Depot Level)

2011 Value of services € 1.6 billion

02 – 03 May 2012

Future business and perspectivesFuture business and perspectives

8

NAMSAStrategic Plan 2020

In-service Logistics Support

Support to NATO Initiatives

NATO Crisis Response Operations

■ Leopard MBT■ Unmanned Aerial

Systems ■ Night Vision

Equipment■ A400M

■ Dismantling of old Weapon Systems

■ Medical Support■ MRAP Vehicles

■ Environmental Solutions for OPS■ Strategic Transport■ Comprehensive Approach■ Fuel

Spectrum of Operations

Leveraging Industry

Direct Support (In-theatre Level)General Support (Depot Level)

Evolution of relationship with non-NATO countries, European Union, United Nations

Procurement Directorate02 – 03 May 2012

Current Business & Business StructuresCurrent Business & Business Structures

NATO AWACS

Communications

Radars and Surveillance

RAT 31 radar

AN/FPS-117 radar

ACCS LOC 1

CRC/Systems Interface

RSRP

NH90 Helicopter (NAHEMA)

Tiger Helicopter (OCCAR)

COBRA radar (OCCAR)

PfP Trust Fund projects

Sidewinder

Strategic Sealift

Log. Serv. For Missiles, UAVs, Platforms

Missiles: HAWK, PATRIOT, Stinger, AMRAAM, Air-to-Surface Missiles, Artillery Rocket & Missile Systems (ARMS), Land Combat Missiles (LCM)

Fixed-Wing Aircraft, Helicopters

Land Combat Vehicles

CL-289 Drone

MPRE/WARDAM II

Torpedoes

Ship-Shore-Ship Buffer (SSSB), MIDS

Ground-Based Defence (GBD)

Global Positioning System (GPS)

Common Item Materiel Management (COMMIT)

Strategic Airlift Interim Solution (SALIS)

Ammunition Support

Naval Logistics Support (NLSP)

Operational Logistics Support (OLS)

NATO Common Funded

Support Conferences

Sales Agreements

Weapon System Partnerships

Equipment / Service Partnerships

Random Brokerage

Individual Requirements


Strategic LiftStrategic LiftStrategic LiftStrategic Lift

206 missions (4439 flying hours) in 2010

Partnership extended to end 2012

Contract review to increase flying hour efficiencies

Managing Assured Access Contracts for the MSSC

Contract increased from 2 to 3 Ro-Ro ships

Potential for a 4th ship

Objective: develop, implement and administer Northern LOC rail transport contract

Letter of Intent from interested nations being staffed

AN-124

Ro-Ro

Strategic Airlift Partnership (SALIS)

Strategic Sealift Sales Agreement

ISAF Strategic Rail Initiative


Meymaneh

(KAIA)

(KAF)

Bagram

11

NAMSA Support to ISAF

APOD & Real Life Support (RLS)

APOD RLS- CATO - Food /DFACs- A/C cross servicing - Utilities- Airfield equipment, - Watervehicle maintenance - Waste- Billeting - Contracts on demand- Supply services

Integrated Logistics Support (ILS)

InfrastructureRelocatable Buildings

Food Services

Food Services

Procurement Directorate

InfrastructureAccommodation

Konduz

02 – 03 May 2012

APOD & Life Support Capabilities APOD & Life Support Capabilities

■ Air Traffic Management■ Medical crash crew ■ Fire, crash rescue■ Movement Control & Air Terminal ■ Aircraft cross servicing■ Airfield equipment & vehicle maintenance■ Transport, supply & billeting

■ Food, Water

■ Power

■ Laundry, cleaning, ablution & wash rack

■ Sewage, waste & hazard. waste disposal

■ Pest (vector) control

■ Pass & permits, Security vetting

■ Mortuary services

■ Demining, Equipment Demilitarization

■ Morale, Welfare & Recreation

■ Vehicle rental, Jingle Trucks

■ Translation

APOD Services

Real Life Support (RLS) Services


NAMSA Procurement Regulations and Policy

02 – 03 May 2012 Procurement Directorate 13

02 – 03 May 2012

MissionMission

ALLIANCE ARMED FORCES / SHAPE

LOGISTICS PROGRAMMES & DIVISIONS

PROCUREMENT DIRECTORATE

INDUSTRY / GOVERNMENT ENTITIES


02 – 03 May 2012

Regulations tailored to international cooperation Regulations tailored to international cooperation

• NAMSO Charter

• Functional Directive 251 approved by all NAMSO nations

• NAMSA Procurement Regulations (NR 251-01)


02 – 03 May 2012

Procurement policyProcurement policy

QUALITY

TIMEFRAME

PRICE

CONSOLIDATION

COMPETITION

BALANCING

OBJECTIVES

PRINCIPLES


02 – 03 May 2012

Procurement Policy Procurement Policy

TWO PRINCIPLE FORMS OF CONTRACTING Supply Contracts: spare parts Service Contracts: MRO, engineering, demilitarization, etc.

• International Competitive Bidding (ICB)Normal procedure

• Foreign Military Sales (FMS)In some cases

• Single Source Under certain conditions : - urgency

- options - low value - security - commonality of Equipment


02 – 03 May 2012

Procurement Policy Procurement Policy

LIMITATIONS AND CONSTRAINTS

• NATO/NAMSO Countries

• PfP and MD nations under certain circumstances (PfP Trust Fund)

• Competition restricted by some customer committees(e.g. PATRIOT, HAWK)

• Unavailability of Technical Data


02 – 03 May 2012

Procurement policy & industryrelations – NAMSA in 2011Procurement policy & industryrelations – NAMSA in 2011

• Activities monitored by International Board of Auditors

• More than 24.000 contractual instruments

• Total contracted value MEUR 2,080.5 Supply 688.7, Services 1,316, Foreign Military Sales (FMS) 75.8

• Workforce 1,150 people of whom 123 work directly inProcurement

• Relations with industry : 10,000 firms throughout NATO


02 – 03 May 2012

Tendering rulesTendering rules

• To participate firms must be registered in the NAMSA supplier data base

• Selection from NAMSA suppliers’ data base

• Solicitation of at least 3 sources for requirements below EUR 76.800

• Obligation to consult all the capable suppliers for requirements above EUR 76.800

• Request for Proposals (RFPs) constitutes basis for binding contract

• Fixed price preference


02 – 03 May 2012

Contract awardContract award

• Proposals received

• Kept in safe until after closing date

• Late proposals not taken into consideration

• Selection of best proposal

• Team of procurement and programme personnel

• Award of contract (Award Committee)

• Lowest fully responsive offer (technical compliance + lowest offer)

• Unsuccessful bidders informed


02 – 03 May 2012

e-Procurement Homepage e-Procurement Homepage

Two main functions:

• Serve as an info hub (Procurement@NAMSA)

Procurement rules, contract provisions, forms, practicalinformation to suppliers, awarded contract, etc

• Single point of entry to eProcurement applications(Business@NAMSA)

Objective : to facilitate the communication and integrationof business processes with our suppliers


NAMSA e-Procurement


02 – 03 May 2012

• On-line supplier registration

• Publication of Future Business Opportunities

• Supplier can express interest on-line

• A link to [email protected] is available to obtain additional information

• Publication of Requests for Proposal

• Secure upload of bids• File delivery notifications

e-Procurement Modules (1/2)


02 – 03 May 2012

• eBid allows registered firms to quote on-line in a secure environment

• eCat I is a catalogue of NAMSA negotiated Basic Outline Agreements which allows Armed Forces to place orders on-line with registered NAMSA suppliers


e-Procurement Modules (2/2)

02 – 03 May 2012

Electronic bidding system : for codified, non-restricted items of supply

• Simple, secure web-based

• Available 24h/7 days

• Need to register as vendor

• Vendors can :

•See available requests for tender

•Make offers

•See their offers

•Modify their offer prior to closing date

eBID (Electronic Bidding)


02 – 03 May 2012

With the e-Procurement application the procurement process is :

• e-Transfer of RFP documents from SAP to the web

• e-Registration to procurement application

• e-Download RFP documents

• e-Upload of bids from suppliers

• e-Storage of bids in “virtual safe” until bid closing date

• e-Transmittal of bids from registry to evaluation team

• PRINT OUT A PAPER, VERSION OF THE CONTRACT TO BE SIGNED BY HAND, SENT BY MAIL, COUNTERSIGNED AND RETURNED BY MAIL

e-Procurement and e-Signature


02 – 03 May 2012

Procurement solution:

• With flexible regulations adapted to the Alliance armed forces needs

• Opened to new technologies

• Particularly well adapted tool for the support of contingency operations

Summary



R =VALUE OF CONTRACT PLACED IN SLOVAKIA

VALUE OF PURCHASES THROUGH NAMSA BY SLOVAKIA

POORLY PLACED COUNTRIES

Development of Slovak Industrial ReturnDevelopment of Slovak Industrial Return

R= >=0.8 Well placedR= >= 0.25 et < 0.8 Less well placedR= < 0.25 Poorly placed

R= >=0.8 Well placedR= >= 0.25 et < 0.8 Less well placedR= < 0.25 Poorly placed

No procurement activity registered during this period

NOTE: MBC+NSIP funded projects are excluded as from 2009 on


R= >=0.8 Well placedR= >= 0.25 & < 0.8 Less well placedR= < 0.25 Poorly placed

R= >=0.8 Well placedR= >= 0.25 & < 0.8 Less well placedR= < 0.25 Poorly placed

R =VALUE OF CONTRACTS PLACED

VALUE OF PURCHASES THROUGH NAMSA

Industrial Return Ratio 2011-2012Industrial Return Ratio 2011-2012

NOTE: MBC+NSIP funded projects are excluded as from 2009 on

SV

K


TOTAL 2011 : MEUR 2,080.5TOTAL 2011 : MEUR 2,080.5

Industrial Return Value of Contracts PlacedIndustrial Return Value of Contracts Placed

MEUR 0.007


TOTAL NAMSA MEURSLOVAK SHARE

2,0800.0003%

1,7540%

1,0110%

Value of Contracts placed in SlovakiaValue of Contracts placed in Slovakia

1,4600%

1,5510%

No Contracts have been placed


TOTAL 2011 : MEUR 2,086.5TOTAL 2011 : MEUR 2,086.5

NAMSA Customers 2011NAMSA Customers 2011

MEUR 5.00


TOTAL NAMSA MEURSLOVAK SHARE

1,7370.09%

1,0750.09%

1,6140.12%

Value of Purchases by Slovenia through NAMSAValue of Purchases by Slovenia through NAMSA

2,0870.24%

1,5290.21%


RATIO =SLOVAK BIDS

AWARDS TO SLOVAK FIRMS

Competitiveness of Slovak Industry for SupplyCompetitiveness of Slovak Industry for Supply


per line item SUPPLY JAN-DEC 2011

TOTAL NBR. OF CONTACTS :

2

NONENO

REPLY

NO NEGATIVECONTACTS

POSITIVECONTACTS

Contacts Analysis of Slovak IndustryContacts Analysis of Slovak Industry

(100%)

02 – 03 May 2012 NAMSA Procurement Directorate 37

per line item SERVICES JAN-DEC 2011

TOTAL NBR. OF CONTACTS :

24

NO REPLY

NO NEGATIVECONTACTS

NOPOSITIVE

CONTACTS

Contacts Analysis of Slovak IndustryContacts Analysis of Slovak Industry

(100%)

prepared for: slovak industry day 02-03 may 2012

Documents

national procurement

spectrum of logistics

namsa support

surface missiles

nato armed forces

nonnato countries

rapid response

radar anfps