Tender – Request for Proposal, Business Process Reengineering

One of the Global Alliance for Trade Facilitation’s host organisations, the Center for International Private Enterprise (CIPE), requests proposals for a holistic Business Process Reengineering exercise.

RFP Issue Date: November 26, 2018
RFP Closing Date: December 14, 2018
RFP Closing Time: 5pm Eastern Standard Time

The Center for International Private Enterprise (CIPE) requests proposals for a holistic Business Process Reengineering exercise encompassing procedural, Legal, and IT considerations for all import operations under the purview of Brazil’s National Institute of Metrology, Quality and Technology of Brazil (INMETRO).

The Center for International Private Enterprise (CIPE) strengthens democracy around the globe through private enterprise and market-oriented reform. CIPE is one of the four core institutes of the National Endowment for Democracy and an affiliate of the U.S. Chamber of Commerce. Since 1983, CIPE has been working from the ground up with partners to find locally driven solutions to problems that affect the lives of millions of people.  CIPE believes that democracy is at its strongest when the private sector is flourishing. Working with local partners that include business associations, chambers of commerce, think tanks, universities and advocacy organizations, CIPE is helping create the enabling environment for business to thrive. CIPE’s key program areas include enterprise ecosystems, business advocacy, democratic governance, and anti-corruption & ethics. CIPE delivers program excellence globally (www.cipe.org). CIPE has a network of 8 established project offices and a number of representatives worldwide. CIPE is a public charity, tax-exempt under Section 501(c) (3) of the Internal Revenue Code.

Vendors are encouraged to read this RFP in its entirety (including any and all attachments), including specific instructions and requirements. Issuance of this solicitation does not, in any way, obligate  CIPE to award a contract, nor will CIPE pay for any costs incurred in the preparation and submission of a proposal. The agreement resulting from this RFP will be provided to the most responsive Offeror(s) whose offer will be the most advantageous in terms of cost, functionality, and other factors as specified in this RFP.

The Assignment

The Global Alliance for Trade Facilitation is a public-private platform that leverages business expertise, leadership and resources to support effective trade facilitation reforms to foster broad-based opportunity and economic growth in both developing and least developed countries. It is led by the International Chamber of Commerce, the World Economic Forum and the Center for International Private Enterprise – in cooperation with Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ). The financial support for the Alliance activities is provided by the governments of the United States, Canada, the United Kingdom, Australia, Denmark, and Germany.

The GATF is in the process of implementing a project to modernize and simplify the regulatory processes for all import operations under the purview of the National Institute of Metrology, Quality and Technology of Brazil (INMETRO).

INMETRO is Brazil’s national standards agency, whose role in international trade involves issuing import licenses for a wide array of consumer and durable goods, from automotive parts to children’s toys. The agency has seen over 35% annual growth in the demand for such licenses (therefore doubling approximately every two years), as Brazil’s economy becomes more integrated into global supply chains.

The agency, though, is incapable of meeting demand for these licenses. In 2016 and 2017, importers reported delays of up to 90 days for obtaining such licenses, often resulting in considerable disruption to border operations. INMETRO responded to this emergency with a temporary service level agreement whereby any license application that had not yet been processed after five days would automatically be approved. Even with these new measures in place, problems continue: 55% of all INMETRO licenses are issued through this service agreement, with no proper risk assessment and thus potentially undermining legitimate traders and endangering Brazilian consumers. Resource scarcity at INMETRO and the expected growth in license applications mean this figure will only grow higher.

The proposed project is part of a larger effort by Brazilian trade authorities to introduce elements of coordinated border management and risk management across government agencies. As such, the project counts with ample support from key government agencies like INMETRO and Receita Federal (Customs), and leading private sector organizations like the National Confederation of Industry (CNI), the National Association of Electronics and Appliances Manufacturers (ELETROS), and the National Association of Auto Manufacturers (ANFAVEA).

The project is divided in two components:

  • Component 1 will focus on introducing a risk management strategy to help INMETRO analysts differentiate between low risk and high-risk applications.
  • Component 2 focuses on developing new processes and upgrade INMETRO IT systems. This phase will involve four key activities: 1) reengineering INMETRO’s license processes and align them with international best practices; 2) capacity building program; 3) review existing regulatory framework for potential legal constraints with an eye towards reform; and 4) full diagnostic of current IT systems used by INMETRO together with recommendations for improvement that will allow for automatic cross referencing of data and a full interoperability with Portal Unico, the new single window environment developed by the Government of Brazil. The successful integration of INMETRO’s import specific operations under Portal Unico will chart the path for other PGAs in Brazil, such as the Health Regulatory Agency, that are confronting similar bottlenecks.

To support the implementation of the project, the Alliance wishes to partner with a qualified  individual consultant(s) or consulting firm to modernize INMETRO’s licensing processes and facilitate the migration of licensing procedures to Portal Unico.

Scope of Services

The required services are described below. Technical and financial proposals are expected to be comprehensive and include the information indicated below. Offerors may send any additional supplemental material as part of proposal package. Please be sure to respond to each of the elements requested.

The general objective of this consultancy is to modernize, streamline, and simplify INMETRO’s licensing procedures. The specific objective is to conduct a thorough business process reengineering in line with international best practices that will help INMETRO shorten the time to analyze and issue import licenses.

The selected candidate will: i) conduct an in-depth diagnostic of the current licensing processes of INMETRO and propose recommendations for improvement to expedite the approval process of import licenses; ii) analyse the current regulatory framework to identify any regulatory constraints as a result of the new recommended processes; and iii) analyze the current IT systems of INMETRO and make recommendations for improvement.

SPECIFIC ACTIVITIES

The successful candidate is expected to conduct, as a minimum, the following activities divided in four (4) phases.

Phase 1 – “As Is” Report

  1. Prepare an Inception Report detailing the methodology and updated project schedule for all project deliverables and key meetings.
  2. Conduct a kick-off meeting with INMETRO to introduce the project, its scope and objectives.
  3. Define the “As Is” INMETRO licensing processes both from the point of view of the private sector and the point of view of INMETRO analysts. In collaboration with private sector representatives from ANFAVEA and ELETROS, this activity will map[1] the current processes and also identify bottlenecks and gaps. Wherever possible, the consultant will estimate the cost in US$ and time of inefficiencies and gaps detected both for the private sector and INMETRO itself. The consultant will also look at the current data requirements in search of opportunities for simplification and harmonization.

Phase 2 – “To Be” Report

  1. Definition of “To Be” state. The consultant, in collaboration with INMETRO and the private sector, will identy and agree on the ideal operating environment. This activity will take into consideration the upcoming implementation of Portal Unico for importsand will develop new workflows and processes to issue licenses.
  2. As part of the new processes, the consultant will also develop a risk management strategy to differentiate between high risk and low risk application.
  3. Develop new process maps and standard operating procedures to issue licenses. The new procedures should provide a seamless process flow to integrate with Portal Unico and minimize the number of steps and human interventions to approve licenses.
  4. Wherever feasible, the selected candidate will estimate the benefits in US$ and time of the proposed recommendations for improvement both for the private sector and INMETRO.

Phase 3 – Legal Review

  1. Diagnosis of the regulatory framework of INMETRO in search of legal constraints, if any, for the implementation of the new processes. If legal constraints are indeed identified, the consultant will provide recommendations for improvement with specific language. This activity will only take place if it is expected that the adoption of the new processes will require changes in the current regulatory framework of INMETRO.

Phase 4 – IT Recommendations

  1. Conduct a diagnostic of the current IT systems to identify the main gaps and weaknesses.
  2. Based on the diagnostic and the To Be Report, propose recommendations for improvement including, but not limited to, the development of new IT solutions, or strategies to improve the interoperability between the existing systems. Each recommendation should be accompanied by an estimated budget for implementation.
  3. Based on the IT solutions proposed to INMETRO, the selected candidate will develop terms of reference for the development and implementation of the selected solution with detailed functional and business requirements.

DELIVERABLES TABLE AND SCHEDULE

No. Deliverable Delivery
Timeframes
Report Format
PHASE 1 – AS IS REPORT
1 Inception Report[2]: Report detailing the methodology and updated project schedule for all project deliverables and key meetings. 7 days[3] after contract signature Electronic (MS Word)

 

 

2 As Is Report: AS IS process Maps of INMETRO licensing procedures, including gaps, bottlenecks, and estimated costs. 30 days after contract signature Presentation to INMETRO and key stakeholders, Electronic copy (MS Word)

 

PHASE 2 – TO BE REPORT
3 To Be Report: To Be Report including: i) ideal operating environment, ii) risk management strategy, iii) estimated benefits, iv) new process maps, and v) standard operating procedures.

 

60 days after contract signature Presentation to INMETRO and key stakeholders, Electronic copy (MS Word)

 

PHASE 3 – LEGAL REVIEW
4 Regulatory Review: Report detailing the legal constraints, if any, and suggested solutions to implement the new processes.

 

75 days after contract signature Electronic (MS Word)

 

PHASE 4 – IT RECOMMENDATIONS
5 IT Solutions Proposal:

Report detailing the gaps and weaknesses of the current IT systems, and recommendations for improvement.

90 days after contract signature Presentation to INMETRO and key stakeholders, Electronic copy (MS Word)

 

6 Terms of Reference for desired IT solution 120 days after contract signature Electronic (MS Word)

 

DURATION OF THE ASSIGNMENT AND ESTIMATED LEVEL OF EFFORT

The selected candidate is expected to start the assignment in mid January 2019 for a total of 4 months.

The estimated level of effort is 60 full time days/person.

PAYMENT SCHEDULE

20% of the total amount after contract signature.

40% of the total amount after submission and approval of deliverables 1, 2, and 3.

40% of the total amount after submission and approval of deliverables 4, 5, and 6.

SUPERVISION AND COLLABORATION

The successful candidate will be under the direct supervision of the CIPE Senior Program Officer, Aurelio Garcia.

RELATIONSHIP WITH OTHERS

The successful candidate will work in collaboration with staff in INMETRO, CIPE, and private sector representatives from Brazil.

ACCOUNTABILITY

  • Supervision: Works independently under the supervision of the assigned CIPE Senior Program Officer.
  • Decision Making: Has full responsibility of decisions pertaining to the technical execution of the assignment and in line with this RFP.

JOB SPECIFICATIONS

The assignment will require a high level of technical competence in public sector reform as well as expertise knowledge in single window systems, customs, port, logistics, and management consulting concepts such as business process reengineering, root cause analysis, cost-benefit analysis, restructuring of public service regulations, Kaizen methodology, and total quality improvement.

The consultant will have the liberty to compose a multidisciplinary team with the appropriate skills for the different reports and deliverables required. It is expected that the consultant or team will meet the following criteria which should be included in the technical proposal:

  • Strong command of business process reengineering and risk management systems.
  • Previous experience in at least 2 similar BPR projects.
  • Knowledge of the Brazilian public sector with special emphasis on port operations, trade and single window environments is a must.
  • Strong command of Kaizen methodology or similar.
  • Practical experience conducting IT audits and proposing IT solutions for government agencies or private sector organizations.

Selection Process

PROCUREMENT METHODOLOGY

CIPE will utilize a Quality-Cost based selection. Individual consultants or consulting firms are  required to submit: one technical proposal, and one financial proposal.

The technical proposal will include:

  • CV of the consultant(s) interested in the assignment. In case of more than one consultant, please indicate which consultant will work on which deliverable.
  • Demonstrated knowledge of business process reengineering and risk management systems
  • Experience working with at least 2 similar BPR projects.
  • Knowledge of the Brazilian public sector with special emphasis on port operations, trade and single window environments.
  • Knowledge of Kaizen or similar methodology.
  • Methodology to conduct the assignment (meeting schedule, identification of key stakeholders, preliminary sources of data and information required,…).
  • Experience conducting IT audits and proposing IT solutions for government agencies or private sector organizations.

The financial proposal will include all expenses (in USD) associated to the implementation of this assignment. It will be divided, as a minimum, in the following sections:

  • Daily rate (including all taxes)
  • Per diem (including economy flight tickets to Rio de Janheiro, hotel, and meal expenses)
  • Transportation

EVALUATION METHODOLOGY

The overall score will be based on a combination of the evaluation of the technical and financial proposals. The weights given to the Technical and Financial Proposals are 75% and 25% respectively.

Technical Proposal Evaluation Criteria

Criteria Maximum points
Specific experience of the consultant(s) relevant to the assignment 30
Adequacy of the proposed methodology 70

Financial Proposal Evaluation Criteria

The lowest evaluated Financial Proposal (FP) is given the maximum financial score of 100. The formula for determining the financial scores (FS) of all other proposals is calculated as following:

FS = 100 x (FP/F), in which “FS” is the financial score, “FP” is the lowest price, and “F” the price of the proposal under consideration.

Submission of Proposals

Please submit your technical and financial proposals in PDF format to: agarcia@cipe.org by 5:00pm Eastern Standard Time, December 14, 2018. Include in the subject line: Proposal for INMETRO Project.

Late submissions will not be considered.

Any questions in relation to this RFP must be submitted by email to: agarcia@cipe.org

Deadline to submit questions: December 10, 2018 by 5:00pm Eastern Standard Time.  All questions and answers will be published on CIPE’s website (https://www.cipe.org/who-we-are/opportunities/) no later than December 12, 2018 by 5:00pm Eastern Standard Time.

 

[1] BPMN 2.0 notation recommended

[2] All reports must be presented in English and Portuguese unless otherwise indicated by the Global Alliance for Trade Facilitation.

[3] Calendar days.