Details for Engagement of Management Consulting Firm for OSRFS
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- Imogene Cunningham
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1 Details for Engagement of Management Consulting Firm for OSRFS 1. Background. In order to continue with the pace of reform and to implement the next phase of Public Enterprises (PE) Reform, Odisha State Renewal Fund Society (OSRFS), a Society under the Department of Public Enterprises (DPE), Government of Odisha, proposes to engage a Management Consulting (MC) Firm for a period of five years. The MC Firm shall assist in the provision of technical assistance & support to the PE reform and strengthening programme of the State Government. DPE is the "Nodal Department" for the State PEs for implementation of PE Reform Programme. It is now decided that, the next phase of reform programme should focus on policy and institutional reforms, strengthening of corporate governance, human resource management, capacity building, IT enabled business process, re-engineering in PEs to facilitate timely service delivery and accurate performance monitoring in PEs implementing decisions relating to privatization / restructuring of PEs. The MC Firm shall assist DPE and OSFRS in the said phase of reform programme. It may be noted that in the earlier phase of reform, the focus was on reduction of fiscal burden, increased allocation of public resources for priority sector development and creation of more employment opportunities. 2. Principal Tasks of Management Consulting Firm The MC Firm will be required to undertake the following principal tasks during the period of assignment: i) Policy & institutional reforms Develop new policy / guidelines as required from time to time based on emerging needs and best practices Establishing institutional arrangements for implementing various reforms in the PEs Facilitate funding for smooth operation of various institutional arrangements Facilitate capacity building of counterpart officials of Administrative Departments for better participation in the affairs of the PEs and performance monitoring ii) Strengthening corporate governance in PEs Monitor implementation of corporate governance measures in PEs Strengthen board composition of PEs and capacity building of board members Strengthen the MoU based performance monitoring process and link the same to categorization and incentivisation Review implementation of categorization framework and empowerment of PE boards Assist the PE boards in development of business strategy and corporate plan iii) PE human resources management and capacity building Facilitate induction of professionals in PEs Provide support in aligning PEs organization structure and human resource requirements to envisaged business needs Efficiency improvement through training and capacity building iv) IT-enabled business process automation Provide support in automating business processes through IT interventions 1
2 Facilitate training and capacity building of PE employees v) Provide support on the overall strategy of implementation as well as monitoring of overall public enterprise reforms programme. vi) In case of enterprises to be restructured, the MC Firm shall suggest appropriate financial, organisational & business process restructuring and develop a suitable business model to ensure long-term commercial viability. The plan should also contain the projected business plan for the PE over a period of five years. The sequence of restructuring and time table for implementation of the reform plan should be clearly laid down with monitorable quarterly milestones. vii) In case of enterprises to be divested, the MC Firm will suggest necessary restructuring that may precede sale. Further the MC Firm will suggest the suitable method of divestment after conducting appropriate options study and a clear timetable for divestment. The MC Firm will assist OSRFS / DPE in selection of requisite Advisors for individual transactions, as necessary. viii) The MC Firm will provide technical support and advice for asset sale/liquidation winding up P.Es requiring such assistance and will be assisting P.E/AD and concerned PSU in this effort. ix) Assist in administering VRS in the PEs selected. Assist OSRFS / DPE in planning, redesigning and administering the Social Safety Net Programme (SSNP). x) Advise for sustaining the momentum of the PE Reform Programme already implemented. xi) Advise on matter of legal encumbrances arising out of implementation of activities of OSRFS. xii) Assist OSRFS and DPE in any other activity as may be required from time to time. 3. Personnel The MC Firm should have the following consultants / personnel for the specialized activities. The core team on full-time basis will comprise Strategic Advisor, Corporate Governance Adviser, Human Resource Advisor, Business Analysis & Process Reengineering Advisor and Officer Manager. One of the core consultants would function as Team Leader, who will be the contact person between the MC firm and DPE / OSRFS. Any change in core team during the implementation of the assignment, can only be undertaken with the prior consent of DPE / OSRFS and after substitution with personnel having similar qualifications & experience. In addition to the above positions, the MC Firm will provide a panel of expert consultants to support the Core Team as and when required with prior approval of DPE / OSRFS. The pool of experts shall consist of Finance Advisor, IT Implementation Advisor, Legal Advisor and Public Enterprises Development Advisor and for such other activity as may be required, from a pool of consultants. They will be provided by the MC Firm on a need basis with the prior approval of DPE / OSRFS. Key responsibilities of the consultants are detailed below: Sl. No. Position Key responsibilities Core Team (Five Consultants) 1. Strategic Advisor Analyse operational & financial performance, competitive business environment and develop strategic plan Assist in developing restructuring plan, business strategy, business plan, policy documents etc. Any other related activities as agreed from time to time 2. Corporate Assist in implementation of Corporate Governance measures and 2
3 Sl. No. Position Key responsibilities Governance Advisor monitor corporate governance compliance Develop policy/ guidelines and other measures for strengthening corporate governance among PSEs Support improvement to MOU based performance monitoring and periodical evaluation 3. Human Resource 4. Business Analysis & Process Reengineering Advisor Any other related activities as agreed from time to time Advise and assist in development of Organaisation restructuring, manpower planning Training need assessment and training plan Support OSRFS/DPE in planning capacity building program for PSE personnel Develop incentive structures for public enterprises Any other related activities as agreed from time to time Anaysis of business process, performance in operation, finance, market etc. Research on best practices, benchmarking norms Business processes reengineering Support in revival and reform studies, development of business plan, business analysis and restructuring initiatives Any other related activities as agreed from time to time 5. Office Manager Managing the MC Firm s project office, support service and maintain documents related to the PE reform programme Coordinate and support training and capacity building programmes of OSRFS Supporting the office management functions of OSRFS. Additional responsibilities of Team Leader Responsible for overall program management and liaisoning with OSRFS/ DPE and beneficiary enterprises Develop quarterly program implementation plan with defined milestones in consultation with OSRFS/DPE Deploy team members with different expertise for various interventions/activities and monitor for timely completion of the intervention Facilitate stake holder interaction and consensus building Manage stakeholders expectations through interaction with enterprises, administrative departments etc. Provide strategic guidance and direction to the implementation team members Develop and agree reporting systems and participate in client review meetings Any other related activities as agreed from time to time. Panel of Expert Consultants (Four Experts) 6. Finance Advisor Provide expert input for financial analysis and develop financial restructuring plans Provide expert input for restructuring measures undertaken for individual enterprises Provide expert inputs for Business plan and financial management plans 7. IT Implementation Advisor Provide expert input to core team on business process reengineering, develop functional & technical requirements for IT Solutions for automation of business process Assist in development RFP/bid documents for procurement of 3
4 Sl. No. Position Key responsibilities IT Implementation consultants Assist core team monitoring IT implementation in different PEs 8. Legal Advisor Analyze legal issues arising out of the activities of OSRFS and offer advice on the same Study cases pending before various courts and assist OSRFS/DPE in developing responses for the same 9. Public Enterprises Development Advisor 4. Terms & Conditions Provide inputs & support to core team on reform interventions, business planning, organizational development, etc Support performance improvement and capacity building programmes for PEs The MC Firm cannot sub-contract any task / assignment to any other firm / agency. The MC Firm should give details of its clients (contact person & contact numbers) in the last 5 years, so that DPE / OSRFS may verify performance and credibility. No consortium of firms is allowed and the interested MC Firm should bid for the assignment in its single capacity. Confidentiality clauses as per good governance norms are applicable to this assignment. Principal Secretary, PE and Chairman, OSRFS is the final authority for deciding on any claim or dispute relating to the interpretation or execution of this assignment. 5. Basis of Evaluation of the Proposal / Offer i) The firm should be registered in India and should have minimum five years of experience in management consulting. ii) The firm should not have been black listed by any State or Central Government. iii) The turnover of the firm should not be less than Rs. 50 crore per annum during the past three financial years from consultancy services. (The bidder shall submit incorporation certificate and audited financial statements for past three years). iv) Experience of undertaking similar tasks for large institutions including Government. v) Experience of similar works in India, preferably in the State of Odisha. vi) Availability of qualified professionals to undertake the work. The individual consultants should have post-graduate degree / MBA or equivalent qualification from reputed institutes, relevant to each position. The consultants should have minimum experience of 5 years for core team, 7 years for expert panel and the Team Leader must have minimum 10 years experience. The Team Leader should have managed large programmes / projects for the Central or State Government (s). The core team members may preferably have prior exposure and experience in programmes / projects entailing Governance reforms, PE reforms, utilities restructuring, etc. vii) Proposed approach, workplan and methodology for the assignment responsiveness of the proposal to the tasks of OSRFS and contribution of the MC Firm towards their achievement. 6. Non-refundable Application Fee Pay order / bank draft of Rs. l0,000/- (Rupees Ten Thousand only) should be submitted along with the offer, payable at Bhubaneswar in favour of "Odisha State Renewal Fund Society". 7. Pre-bid Conference A pre-bid / pre-application conference shall be held at A.M on 27 th April, 2015 (Monday) in the Department of Public Enterprises, Odisha Secretariat, Bhubaneswar. Firms wishing to attend the said conference are advised to send the names of participants and 4
5 queries at least 2 (two) days in advance through to dpesec.or@nic.in No new / additional queries shall be entertained during the conference. 8. Submission of Proposal Firms wishing to provide management consulting services under this assignment should submit their proposal in writing (hard / paper copy) in two parts, i.e. (i) technical offer (Annexure 1 & 2) and (ii) financial offer (Annexure - 3) in separate sealed envelopes to the address below on 11 th May, 2015 (Monday) within 3 P.M. The financial offer of only the technically qualified firms will be considered and opened. The first envelope shall contain five hard copies of the technical offer and non-refundable application fee in shape of pay order / bank draft and superscribed as Technical Proposal for Engagement of MC Firm for OSRFS. The second envelope shall contain the financial offer proposal as per the proforma provided at Annexure - 3 and super-scribed as Financial Proposal for Engagement of MC Firm for OSRFS. Both the sealed envelopes should be put in another envelope and super-scribed as Proposal for Engagement of MC Firm for OSRFS. Proposals are to be submitted by Speed Post or Registered Post only. The technical offer will be opened at 5 P.M on 11 th May, 2015 (Monday) and the financial offer of the technically qualified firms will be opened on 18 th May,2015 at 5P.M (Monday). Any change in the scheduled date will be intimated. OSRFS reserves the right to reject any or all offer(s) without assigning any reason thereof at any stage of the process. OSRFS reserves the right to cancel the advertisement and related selection process at any stage. For the purpose of improved structuring of the assignment, OSRFS reserves the right to negotiate with the preferred bidder before issuance of letter of award. The decision of OSRFS is binding on all concerned in this regard. Principal Secretary to Government Department of Public Enterprises and Chairman, OSRFS Odisha Secretariat, Bhubaneswar Phone: Fax: dpesec.or@nic.in 5
6 Proposal for Engagement as Management Consulting Firm for OSRFS and Statement of Legal Capacity (To be forwarded on the letter head of the interested Firms submitting proposal) Reference No... Date Annexure - 1 To, Sub: Principal Secretary to Government, Department of Public Enterprises & Chairman, OSRFS, Odisha Secretariat, Bhubaneswar Proposal for Engagement of Management Consulting Firm for OSRFS Sir, This is with reference to your advertisement dated....inviting proposal for engagement as Managing Consulting Firm for OSRFS. We have read and understood the details of the tasks and are desirous of performing the afore-mentioned assignment, and for this purpose: We hereby submit our proposal on behalf of... (insert name of the Firm). We confirm that our Firm satisfies the eligibility criteria set out in relevant sections of the advertisement issued and the related details hosted on the website of Department of Public Enterprises, Government of Odisha. We certify that our Firm has not been convicted by a Court of Law or indicted or adverse orders passed by a Regulatory Authority which would cast a doubt on our ability to provide such service. We further certify that no investigation is pending either against us or against our principals. We shall be glad to receive further communication on the subject. Yours faithfully, Enclosure: Authorised Signatory (For and on behalf of the Firm) 1. Proforma for Technical Proposal (Annexure - 2) 2. Power of Attorney authorising the signatory. 6
7 Proforma for Technical Proposal Annexure - 2 (Engagement of Management Consulting Firm for OSRFS) Name of the Firm: 1. Constitution (Tick, wherever applicable) i) Public Limited Company ii) Private Limited Company iii) Others, if any (please specify) 2. Sector (Tick, wherever applicable) i) Public Sector ii) Private Sector 3. Nature of business: 4. Date of commencement of business: 5. Full address including phone No. / Fax No.: i) Registered Office: ii) Head Office: 6. Address for correspondence: 7. Turnover achieved during the past three financial years from consultancy services: 8. Experience of undertaking similar tasks for large institutions including Government: 9. Experience of similar works in India, preferably in the State of Odisha: 10. Availability of qualified professionals to undertake the work (CVs of core and non-core consultants to be attached as per the requirement mentioned in the section on Personnel): 11. Proposed approach, workplan and methodology for the assignment (separate statement to be attached not exceeding 20,000 words which should contain inter alia the understanding of the tasks and the contribution of the MC Firm towards their achievement) 12. Contact person (s): i) Name ii) Designation: iii) Phone No.: iv) Mobile No.: v) Fax No.: vi) Yours faithfully, Place: Date: Authorised Signatory (For and on behalf of the Firm) Note: The order adopted in the format is to be followed. If the interested Firm is unable to respond to a particular question / request, the relevant number must be nonetheless be set out with the words "No response given" against it. Enclosure: 1. Format - 1 (Proforma for Firm s experience) 2. Format - 2 (Proforma for CV of individual Consultants). Page 7
8 Proforma for Firm s experience Format - 1 Assignment Name: Country: Location within Country: Key professional staff Provided by Your Firm / entity(profiles): Name of Client: No. of Staff: Address: No. of Staff-Months; duration of assignment: Start Date (Month/Year): Completion Date Approx. Value of Services (in (Month/Year): Current INR): Name of Associated Consultants, if any: No. of Months of Key professional staff, provided by Associated Consultants: Name of Senior Staff (Project Director / Coordinator, Team Leader) involved and functions performed: Narrative Description of Project Description of Actual Services Provided by Your Staff: Firm s Name: Page 8
9 Format - 2 Proforma for Curriculum Vitae (CV) of individual Consultants 1. Name: 2. Nationality: 3. Education: 4. Membership Professional Society: 5. Date of Birth: 6. Years with Firm/Entity: Employment Record: [Starting with present position, list in reverse order every employment held.] Relevant Professional Experience: [Provide details of relevant experience (name of client, name & nature of the assignment, your responsibility and duration of the assignment) which best illustrates consultant s capability to handle the task assigned] Languages: [For each language indicate proficiency: excellent, good, fair, or poor; in speaking, reading, and writing] Certification: I, the undersigned, certify that to the best of my knowledge and belief, these data correctly describe me, my qualifications, and my experience. Signature Page 9
10 Annexure - 3 Proforma for Financial Proposal (Engagement of Management Consulting Firm for OSRFS) 1. Consultants inputs and fee rates Name and position Description No. of days Rate Total fees (INR) Total projected consultants input and fee costs: Rs. 2. Projected reimbursable costs Projected reimbursable costs should be shown separately in the format set out below using separate sheets to provide full details under each heading. Unit prices should be quoted for such items such as air-fares (stating the class of fare as envisaged), subsistence, property rents and local transport. Fares Domestic Other travel costs (Specify) Vehicle Rental for local travel Sub total Subsistence person / days Sub total Accommodation person / days City 1. person City (specify) Sub total Communication including telephones and postage Documentation & reporting including computing expense Any other(specify) Sub total Total projected reimbursable costs: No. Class Rate Cost (INR) Economy Rs. Total projected contract cost: (1) + (2) Rs. (in figure and words) Note: The afore-mentioned costs are to be quoted exclusive of service tax and other applicable taxes. Page 10
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