REQUEST FOR EXPRESSIONS OF INTEREST (CONSULTING SERVICES FIRMS SELECTION) Country: Islamic Republic of Afghanistan; Ministry of Communications and IT Name of the Project: Afghanistan ICT Sector Development Project Project ID: P121755 Grant No: IDA-H-665-AF Assignment Title: Consultancy Services by a Firm for Incubator Management Duration of Assignment: 24 Months Reference Number: Consultancy Package C 3.5 The Ministry of Communications and Information Technology (MCIT), Islamic Republic of Afghanistan has received financing from the World Bank towards the cost of the ICT Sector Development Project and intends to apply part of the proceeds for these consulting services to manage the Incubator Program of MCIT. The Consultancy Services ( the Services ) include Management of Incubator by a Qualified Firm, under overall directions of Deputy Minister-IT of MCIT, at Kabul-Afghanistan. The longterm aim of the Incubator Management is to lead and manage the establishment and growth of the business Incubator, as a self-sustaining service for new and growing Afghanistan businesses. This requires an entrepreneurial approach and a commitment to helping new and emerging businesses in Afghanistan. Objectives of the Consultancy Assignment: Ministry of Communications and IT (MCIT) of Islamic Republic of Afghanistan seeks to appoint a qualified Incubator Management Firm (IMF) to lead and manage the establishment and growth of the business Incubator, as a self-sustaining service for new and growing businesses of Afghanistan. The objective of the IMF should be to create a sustainable operation that will transition to a standalone financially viable operation at the end of this 24 months assignment. The goal is to incubate and graduate at least ten (10) firms by that time. Page 1 of 5
Following the conclusion of the Project period, the incubator management firm is based on performance expected to continue its function, being compensated, to a reasonable extent and in line with ongoing practices, out of the proceeds of the operation of the incubator under MCIT s supervision. Ownership of the incubator facilities will remain with MCIT at all times. A separate follow on contract will be defined at that time, after successful completion of this Consultancy Assignment. This is a challenging task that can be accomplished through an entrepreneurial approach and a commitment to helping new and emerging businesses. Ministry of Communications and IT (MCIT) of Islamic Republic of Afghanistan will appoint a qualified International Expert (IE) under a separate selection process; The IMF will lead and manage the establishment and growth of the business Incubator, as a self-sustaining service for new and growing businesses of Afghanistan and the IE will assist the IMF in creating a sustainable operation that will transition to a stand-alone financially viable operation. The IE will be responsible for capacity building of the IMF to ensure its performance at a high standard. As such, the IE and IMF will be individually each and jointly both be responsible for the successful setup and operation of the incubator. Interdependencies of IE s and the IMF s Tasks for ensuring successful and efficient setup and operation of the incubator will be reflected in their Contracts. These Task Link-ups will be in accordance with the International best practices for Incubator Management by IE and the IMF. Key responsibilities for the IMF will include: 1. The IMF will be responsible to acquire a wide repository of knowledge from the IE such as tools, checklists, techniques, templates, handbooks, processes, policies, and procedures and in co-managing the process of knowledge acquisition of incubation management. 2. The IMF will be fully responsible for establishing, managing & operating the Incubation Program. The IMF will be paid against its performed scope of works and successful set of deliverables. The IMF will define the Incubator objectives and to scope out an initial business plan, followed by operation guidelines, to be approved by the Deputy Minister- IT of MCIT. This shall be through engaging of the possible clientele of the Incubator in a rapid assessment of the needed services and approach. The IMF shall develop for approval by MCIT: a. The overall methodology of work and implementation approach such as up-orout approach, ensuring turnover and iterative learning in its operations, ensuring turnover and iterative learning in its operations. b. Structuring and reporting to a governance structure that provides access to government, academic and economic clusters and manage potential conflict of interest. c. Developing a sustainable business plan, seeking financial sustainability within about 2 years of the incubator s inauguration, including strategies to raise ongoing external support and funding for the continual development of the Incubator; Page 2 of 5
d. Developing concise operations guidelines that describe the implementation of the business plan and model in terms of specific incubation activities. These guidelines shall incorporate good incubation practices including: i. Facilities management for the administrative, incubation and shared facilities of the incubator. ii. With the IE, the IMF will be designing, establishing and providing various business development and mentoring services to grow incubator clients. The IMF is expected to take over the entire management of the business development services after one year based on readiness assessment. iii. With the IE, the IMF will co-develop the policies, procedures and in managing the process of incubation including the following main phases: Marketing, Outreach and Events; Composition of the Selection Panel and Friction Free Clients Selection; Pre-Incubation, Incubation and Graduation as well as Exit; Monitoring and Evaluation and Postgraduation activities of continuous monitoring and evaluation. e. As the incubator facility is already equipped with incubator and administrator side furniture, hardware, software, infrastructure, Internet connectivity and office equipment, the IMF will be responsible to provide procurement for operational needs and business supplies for around 20 rooms and other service facilities. f. Develop a sustainability model and strategy that allows the World Bank a transition strategy as well as an exit strategy in the event of force majeure. 3. As the Seed Funds for tenants might be the Innovation Support Program of the MCIT, which is managed by an external entity, the IMF will be responsible to link and coordinate with the Management of the Innovation Support Program responsible for the innovation funding to ensure strong participation of the tenants (or possible tenants) in the Program. 4. Organizing periodic training boot camps related to technology entrepreneurship, business model, technology marketing and several topics on technology. 5. Leadership in the implementation of the Incubator Program of MCIT, including setting up the management staff complement; financial oversight; operations oversight etc. Undertake aggressive marketing of the incubator s service, attracting potential clients, and then imposing adequate selectivity to identify the most appropriate and promising clients. Managing and increasing the effectiveness and efficiency of the Incubator support services to improve the growth of the Incubator business enterprises and adjusting the scope of services offered (per approval and guidance of Deputy Minister-IT of MCIT) to fit with evolving client needs. A focus area is to encourage participation in the incubation activities by women. 6. Developing an eco-system of networks and partnerships with national and international partners for coaching, mentoring, matchmaking, training, policy setting etc. that will support the operations of the incubation program. As such, the IMF will be building and managing strategic stakeholder relationships with private sector, academic sector, donors and external funders, and the public sector. Working with MCIT to meet the strategic Page 3 of 5
objectives as defined by the Government from time to time through follow up analysis and engagement with stakeholders and being accountable for good governance practices. 7. Providing all reporting including but not limited to Inception, Progress Reporting, Key Performance Indicators Tracking, Closing and Other reports based on requests by stakeholders. 8. The IMF will be responsible for the overall achievement of milestones and success of the program. Accordingly, the Management Firm will be pro-active in conducting other tasks that were not specifically mentioned in the description of its role and responsibility. MCIT will provide the physical setup for the Incubator in Kabul, and provide basic infrastructure and facilities needed to operationalize the Incubator. The incubator management firm will advise and support Deputy Minister-IT of MCIT to ensure that facilities are maintained and operated to high standards. Total incubator space is expected to be about 2000 sqft, and have space for about 20 clients. Incubator fees applicable to incubator tenants will be paid to MCIT during the duration of this contract. The IMF must have substantial presence in Kabul, Afghanistan during the period of the assignment, with key consultants being physically located on the incubator premises throughout (with the exception of standard leave or official business reasons, e.g. travel). Qualification Requirements of the Incubator Management Consulting Firm: Major Qualifications/Experience requirements for the Firm are: i) Average Annual Turnover of the Firm should be 400,000 USD per annum, taken as average of Turnovers during last 03 years [Audited Financial Statements of last three Financial Years to be submitted as a Proof along with EOI]; ii) Should have executed similar business management/business development contracts, with a maximum value of at least one such contract during last 03 years amounting to 200,000 USD[Details of such Contracts to be given in the EOI]; iii) The firm should have proven and relevant experience of at least five years in managing activities in business incubation or related fields such as startup business management, strategy consulting or advisory services for SMEs; iv) The firm should have proven and relevant experience of working in the ICT or related technology fields such as energy technologies, smart systems, light manufacturing, robotics, biosciences and similar innovative fields for at least five years; v) The staff of the Incubator Management consulting Firm should together have a strong capacity to communicate effectively in written and spoken form in English, Dari or Pashtu; Page 4 of 5
vi) The Consulting Firm should have good knowledge of government and business operations and financial rules/ regulations; vii) The Firm should either be fully present in Afghanistan or else a firm commitment should be given by the Firm that a full fledged Office with suitable and qualified staff will be established at Kabul, if selected for this Assignment. The attention of interested Consulting Firms is drawn to paragraph 1.9 of the World Bank s Guidelines: Selection and Employment of Consultants [under IBRD Loans and IDA Credits & Grants] by World Bank Borrowers -January, 2011 edition. To ensure impartiality, the consultant (including his home office, if any) must not, in any way, be affiliated with business entities that are currently providing or are seeking to provide goods or services to the project. Consultants may associate with other firms in the form of a joint venture or a sub-consultancy to enhance their qualifications. A Consultant will be selected in accordance with the QCBS [Quality and Cost based Selection] method set out in the Consultant Guidelines. Further information can be obtained at the address below during office hours from 0800 to 1600 hours: Foreign Procurement Department (FPD) (Attn: Mr. Samimullah Samim) General Manager for External Procurements; Procurement Department, Ministry of Communications and IT (MCIT) Mohammad Jan Khan Watt; Kabul, Afghanistan Phone: Office: +93 20 210 37 41; Cell: +93 700 222 009; Email: fpd@mcit.gov.af Web site: www.mcit.gov.af Any queries on the assignment may also be addressed to the above mentioned email address (fpd@mcit.gov.af), with CC to mi.bhat@mcit.gov.af and b.hassam@mcit.gov.af, latest one week before the deadline for submission of Expression of Interest(EOI). Expressions of Interest (EOIs) must be delivered by E-Mail or as signed printed copies, By 19 th March, 2014[2.00 PM-Kabul time], to the address as given below: Foreign Procurement Department (FPD) (Attn: Mr. Samimullah Samim) General Manager for External Procurements Email ID: fpd@mcit.gov.af CCs of all the Mails and EOIs should also be sent to:- 1) Engineer Baryalai Hassam; Deputy Minister-Technical and the Chairman of PICU; Ministry of Communication and IT(MCIT); Islamic Republic of Afghanistan Email ID: b.hassam@mcit.gov.af 2) Mohammad Ismail Bhat; Project Director of World Bank funded Afghanistan ICT Sector Development Project of MCIT ; Email IDs: mi.bhat@mcit.gov.af; mib1946@yahoo.com Page 5 of 5