TENDER FOR SUPPLY, IMPLEMENTATION AND COMMISSIONING OF AN ENTERPRISE RESOURSE PLANNING (ERP) SOLUTION FOR KENTRADE

KENYA TRADE NETWORK AGENCY (KENTRADE) Embankment Plaza First Floor P.O. Box 36943-00200-NAIROBI Tel: +254 020 2614896; email: info@kentrade.go.ke TENDER FOR SUPPLY, IMPLEMENTATION AND COMMISSIONING OF AN ENTERPRISE RESOURSE PLANNING (ERP) SOLUTION FOR KENTRADE TENDER NO. KTNA/06/2013-2014 JUNE 2014

TABLE OF CONTENTS INTRODUCTION. 3 SECTION I INVITATION TO TENDER 4 SECTION II INSTRUCTIONS TO TENDERERS. 6 Appendix to Instructions to Tenderers 20 SECTION III GENERAL CONDITIONS OF CONTRACT. 23 SECTION IV SPECIAL CONDITIONS OF CONTRACT.. 30 SECTION V TECHNICAL SPECIFICATIONS 31 SECTION VI SCHEDULE OF REQUIREMENTS. 103 SECTION VII PRICE SCHEDULE FOR GOODS.. 104 SECTION VIII STANDARD FORMS. 105 PAGE 8.1 FORM OF TENDER 106 8.2 CONFIDENTIAL BUSINESS QUESTIONNAIRE FORM.. 107 8.3 TENDER SECURITY FORM. 109 8.4 CONTRACT FORM 110 8.5 PERFORMANCE SECURITY FORM 111 8.6 BANK GUARANTTE FOR ADVANCE PAYMENT FORM. 112 8.7 MANUFACTURER S AUTHORIZATION FORM. 113 8.8 LETTER OF NOTIFICATION OF AWARD.. 114 8.9 FORM RB 1 115 KenTrade ERP Solution Page 2

Introduction 1.1 This Standard Tender Document has been prepared for use by The Kenya Trade Network Agency for the Supply, Implementation and Commissioning of an Enterprise Resource Planning (ERP) Solution for the Agency. 1.2 The Kenya Trade Network Agency (KENTRADE) is a State Corporation under the Ministry of Finance which was established in 2011. The mandate of KENTRADE is to implement, operationalize and manage the Kenya National Electronic Single Window System (KNESWS) as well as Trade Facilitation. The Single Window System is an electronic platform which acts as the single entry point that will allow parties/shippers involved in international trade to lodge standardized information and documents electronically to fulfill all import/export and transit regulatory requirements for cargo clearance through Kenyan ports. 1.3 KENTRADE requires an Enterprise Resource Planning (ERP) Solution supplied, installed and commissioned at KENTRADE premises in Nairobi. Implementation of the Enterprise Resource Planning Solution shall entail: a. Needs Assessment Review and Gap Analysis, b. Solution Design, c. Supply and Implementation of the proposed solution including the following components: i. Human Resource Module, ii. Payroll Module iii. Finance and Accounting Module, iv. Procurement and Logistics Module, and v. Enterprise Performance to include:- a. Initial Data input and conversion. b. User, administration and management training, c. User Acceptance Testing, d. Commissioning, e. Post Implementation Support and f. Quality Management. KenTrade ERP Solution Page 3

SECTION I INVITATION TO TENDER DATE: June 06, 2013 TENDER REF NO: KTNA/06/2013-2014 TENDER FOR THE SUPPLY, IMPLEMENTATION AND COMMISSIONING OF AN ERP SOLUTION FOR KENTRADE 1.1 The Kenya Trade Network Agency invites sealed Bids from Eligible Candidates for The Supply, Implementation and Commissioning of an ERP Solution for Kentrade 1.2 Interested candidates may obtain further information and inspect the Tender documents at the Kenya Trade Network Agency offices (Procurement Office) at Embankment Plaza, Upper Hill, (First Floor) at the address given below. 1.3 A complete Tender document may be obtained by any interested tenderer upon payment of a non-refundable fee of Kshs. 1000.00 in cash or banker s Cheque, payable to the Kenya Trade Network Agency. Candidates are advised that the fee does not include postage charges and are strongly advised to arrange for direct collection of the tender documents. The document can also be viewed and downloaded free of charge from our website on the following link:- http://www.kentrade.go.ke/index.php/procurement/tenders 1.4 Completed Tenders should be submitted accompanied by a Tender Security issued by a bank or legally approved Financial Institution, in the amount of Kenya Shillings four hundred thousand only (Kshs. 400,000.00). The tender security should be valid for three (3) months from the closing date of the tender and should be received on, or before Wednesday, June 25, 2014 at 1000hours. Failure to provide tender security will lead to disqualification of the tender. 1.5 Prices quoted shall be inclusive of duty and other taxes and shall remain valid for 120 days from the closing date of the tenders. 1.6 Completed Tender documents, shall be submitted in two separate envelopes as TECHNICAL PROPOSAL, and FINANCIAL PROPOSAL. KenTrade ERP Solution Page 4

1.7 Both envelopes shall be placed into an outer envelope and sealed. This outer envelope shall bear the Tender number and name, and marked DO NOT OPEN BEFORE Wednesday, June 25, 2014 and shall be addressed to:- The Chief Executive Officer, Kenya Trade Network Agency, Embankment Plaza, Upper Hill, P.O Box 36943-00200 NAIROBI 1.8 All Tender Documents MUST be submitted in HARD COPY and should be deposited in the Tender Box located at the reception area of KENTRADE Offices at Embankment Plaza (First Floor). Documents submitted online shall NOT be acknowledged. 1.9 Tenders will be opened immediately after the closing time in the presence of tenderers representatives who choose to attend the opening in the boardroom on first floor, Embankment Plaza. Youth, Women and Persons with disabilities who own registered firms are encouraged to apply. MANAGER-PROCUREMENT FOR: CHIEF EXECUTIVE OFFICER KenTrade ERP Solution Page 5

SECTION II - INSTRUCTIONS TO TENDERERS Table of Clauses Page 2.1 Eligible tenderers 7 2.2 Eligible goods. 7 2.3 Cost of tendering 7 2.4 Contents of Tender document 8 2.5 Clarification of documents 8 2.6 Amendment of documents.. 9 2.7 Language of tender.. 9 2.8 Documents comprising the tender. 9 2.9 Tender forms.. 9 2.10 Tender prices... 10 2.11 Tender currencies. 10 2.12 Tenderers eligibility and qualifications 10 2.13 Goods eligibility and conformity to Tender documents.. 11 2.14 Tender security. 11 2.15 Validity of tenders 12 2.16 Format and signing of tenders. 13 2.17 Sealing and marking of tenders. 13 2.18 Deadline for submission of tender 14 2.19 Modification and withdrawal of tenders.. 14 2.20 Opening of tenders 15 2.21 Clarification of tenders.. 15 2.22 Preliminary examination.. 15 2.23 Conversion to single currency 16 2.24 Evaluation and comparison of tenders.. 16 2.25 Contacting the procuring entity. 16 2.26 Award of contract.. 17 (a) Post qualification.. 17 (b) Award criteria.. 17 (c) Procuring entity s right to vary quantities. 17 (d) Procuring entity s right to accept or reject any or all tenders 17 2.27 Notification of award.. 18 2.28 Signing of contract. 18 2.29 Performance security. 18 2.30 Corrupt or fraudulent practices. 19 KenTrade ERP Solution Page 6

SECTION II - INSTRUCTIONS TO TENDERERS 2.1 Eligible Tenderers 2.1.1 This Invitation to tender is open to all tenderers eligible as described in the Appendix on instructions to tenderers. Successful tenderers shall complete the supply of goods by the intended completion date specified in the Schedule of s Section VI. 2.1.2 The procuring entity s employees, committee members, board members and their relative (spouse and children) are not eligible to participate in the tender. 2.1.3 Tenderers shall provide the qualification information statement that the tenderer (including all members of a joint venture and subcontractors) is not associated, or have been associated in the past, directly or indirectly, with a firm or any of its affiliates which have been engaged by the Procuring entity to provide consulting services for the preparation of the design, specifications, and other documents to be used for the procurement of the goods under this Invitation for tenders. 2.1.4 Tenderers shall not be under a declaration of ineligibility for corrupt and fraudulent practices. 2.2 Eligible Goods 2.2.1 All goods to be supplied under the contract shall have their origin in eligible source countries. 2.2.2 For purposes of this clause, origin means the place where the goods are mined, grown, or produced. Goods are produced when, through manufacturing, processing, or substantial and major assembly of components, a commerciallyrecognized product results that is substantially different in basic characteristics or in purpose or utility from its components 2.2.3 The origin of goods is distinct from the nationality of the tenderer. 2.3 Cost of Tendering 2.3.1 The Tenderer shall bear all costs associated with the preparation and submission of its tender, and the procuring entity, will in no case be responsible or liable for those costs, regardless of the conduct or outcome of the tendering process. 2.3.2 The price to be charged for the tender document shall not exceed Kshs.1,000/= KenTrade ERP Solution Page 7

2.4. The Tender Document 2.4.1 The tender document comprises the documents listed below and addenda issued in accordance with clause 2.6 of these instructions to Tenderers (i) Invitation to Tender (ii) Instructions to tenderers (iii) General Conditions of Contract (iv) Special Conditions of Contract (v) Schedule of requirements (vi) Technical Specifications (vii) Tender Form and Price Schedules (viii) Tender Security Form (ix) Contract Form (x) Performance Security Form (xi) Bank Guarantee for Advance Payment Form (xii) Manufacturer s Authorization Form (xiii) Confidential Business Questionnaire 2.4.2 The Tenderer is expected to examine all instructions, forms, terms, and specifications in the tender documents. Failure to furnish all information required by the tender documents or to submit a tender not substantially responsive to the tender documents in every respect will be at the tenderers risk and may result in the rejection of its tender. 2.5 Clarification of Documents 2.5.1 A prospective tenderer requiring any clarification of the tender document may notify the Procuring entity in writing or by post at the entity s address indicated in the Invitation to Tender. The Procuring entity will respond in writing to any request for clarification of the tender documents, which it receives not later than four (4) days prior to the deadline for the submission of tenders, prescribed by the procuring entity. Written copies of the Procuring entities response (including an explanation of the query but without identifying the source of inquiry) will be sent to all prospective tenderers that have received the tender document. 2.5.2 The procuring entity shall reply to any clarifications sought by the tenderer within 2 days of receiving the request to enable the tenderer to make timely submission of its tender. KenTrade ERP Solution Page 8

2.6 Amendment of Documents 2.6.1 At any time prior to the deadline for submission of tenders, the Procuring entity, for any reason, whether at its own initiative or in response to a clarification requested by a prospective tenderer, may modify the tender documents by amendment. 2.6.2 All prospective candidates that have received the tender documents will be notified of the amendment in writing or by post and will be binding on them. 2.6.3 In order to allow prospective tenderers reasonable time in which to take the amendment into account in preparing their tenders, the Procuring entity, at its discretion, may extend the deadline for the submission of tenders. 2.7 Language of Tender 2.7.1 The tender prepared by the tenderer, as well as all correspondence and documents relating to the tender exchange by the tenderer and the Procuring entity, shall be written in English language, provided that any printed literature furnished by the tenderer may be written in another language provided they are accompanied by an accurate English translation of the relevant passages in which case, for purposes of interpretation of the tender, the English translation shall govern. 2.8 Documents Comprising of Tender 2.8.1 The tender prepared by the tenderers shall comprise the following components (a) a Tender Form and a Price Schedule completed in accordance with paragraph 2.9, 2.10 and 2.11 below (b) documentary evidence established in accordance with paragraph 2.1 that the tenderer is eligible to tender and is qualified to perform the contract if its tender is accepted; (c) documentary evidence established in accordance with paragraph 2.2 that the goods and ancillary services to be supplied by the tenderer are eligible goods and services and conform to the tender documents; and (d) tender security furnished in accordance with paragraph 2.14 2.9 Tender Forms 2.9.1 The tenderer shall complete the Tender Form and the appropriate Price Schedule furnished in the tender documents, indicating the goods to be supplied, a brief description of the goods, their country of origin, quantity, and prices. KenTrade ERP Solution Page 9

2.10 Tender Prices 2.10.1 The tenderer shall indicate on the appropriate Price Schedule the unit prices and total tender price of the goods it proposes to supply under the contract 2.10.2 Prices indicated on the Price Schedule shall include all costs including taxes, insurances and delivery to the premises of the entity. 2.10.3 Prices quoted by the tenderer shall be fixed during the Tender s performance of the contract and not subject to variation on any account. A tender submitted with an adjustable price quotation will be treated as non-responsive and will be rejected, pursuant to paragraph 2.22 2.10.4 The validity period of the tender shall be 120 days from the date of opening of the tender. 2.11 Tender Currencies 2.11.1 Prices shall be quoted in Kenya Shillings unless otherwise specified in the Appendix to Instructions to Tenderers. 2.12 Tenderers Eligibility and Qualifications 2.12.1 Pursuant to paragraph 2.1. The tenderer shall furnish, as part of its tender, documents establishing the tenderers eligibility to tender and its qualifications to perform the contract if its tender is accepted. 2.12.2 The documentary evidence of the tenderers eligibility to tender shall establish to the Procuring entity s satisfaction that the tenderer, at the time of submission of its tender, is from an eligible source country as defined under paragraph 2.1 2.12.3 The documentary evidence of the tenderers qualifications to perform the contract if its tender is accepted shall be established to the Procuring entity s satisfaction; (a) (b) (c) that, in the case of a tenderer offering to supply goods under the contract which the tenderer did not manufacture or otherwise produce, the tenderer has been duly authorized by the goods Manufacturer or producer to supply the goods. that the tenderer has the financial, technical, and production capability necessary to perform the contract; that, in the case of a tenderer not doing business within Kenya, the tenderer is or will be (if awarded the contract) represented by an Agent in Kenya equipped, and able to carry out the Tenderer s maintenance, repair, and spare parts-stocking obligations prescribed in the Conditions of Contract and/or Technical Specifications. KenTrade ERP Solution Page 10

2.13 Goods Eligibility and Conformity to Tender Documents 2.13.1 Pursuant to paragraph 2.2 of this section, the tenderer shall furnish, as part of its tender documents establishing the eligibility and conformity to the tender documents of all goods which the tenderer proposes to supply under the contract 2.13.2 The documentary evidence of the eligibility of the goods shall consist of a statement in the Price Schedule of the country of origin of the goods and services offered which shall be confirmed by a certificate of origin issued at the time of shipment. 2.13.3 The documentary evidence of conformity of the goods to the tender documents may be in the form of literature, drawings, and data, and shall consist of: (a) (b) (c) a detailed description of the essential technical and performance characteristic of the goods; a list giving full particulars, including available source and current prices of spare parts, special tools, etc., necessary for the proper and continuing functioning of the goods for a period of two (2) years, following commencement of the use of the goods by the Procuring entity; and a clause-by-clause commentary on the Procuring entity s Technical Specifications demonstrating substantial responsiveness of the goods and service to those specifications, or a statement of deviations and exceptions to the provisions of the Technical Specifications. 2.13.4 For purposes of the documentary evidence to be furnished pursuant to paragraph 2.13.3(c) above, the tenderer shall note that standards for workmanship, material, and equipment, as well as references to brand names or catalogue numbers designated by the Procurement entity in its Technical Specifications, are intended to be descriptive only and not restrictive. 2.14 Tender Security 2.14.1 The tenderer shall furnish, as part of its tender, a tender security for the amount specified in the Appendix to Invitation to Tenderers. 2.14.2 The tender security shall be in the amount of 0.5 2 per cent of the tender price. 2.14.3 The tender security is required to protect the Procuring entity against the risk of Tenderer s conduct which would warrant the security s forfeiture, pursuant to paragraph 2.14.7 KenTrade ERP Solution Page 11

2.14.4 The tender security shall be denominated in Kenya Shillings or in another freely convertible currency, and shall be in the form of a bank guarantee or a bank draft issued by a reputable bank located in Kenya or abroad, and valid for thirty (30) days beyond the validity of the tender. 2.14.5 Any tender not secured in accordance with paragraph 2.14.1 and 2.14.3 will be rejected by the Procuring entity as non responsive, pursuant to paragraph 2.22 2.14.6 Unsuccessful Tenderer s tender security will be discharged or returned as promptly as possible but not later than thirty (30) days after the expiration of the period of tender validity prescribed by the Procuring entity. 2.14.7 The successful Tenderer s tender security will be discharged upon the tenderer signing the contract, pursuant to paragraph 2.27 and furnishing the performance security, pursuant to paragraph 2.28 2.14.8 The tender security may be forfeited: (a) (b) if a tenderer withdraws its tender during the period of tender validity specified by the procuring entity on the Tender Form; or in the case of a successful tenderer, if the tenderer fails: (i) to sign the contract in accordance with paragraph 2.27 or (ii) to furnish performance security in accordance with paragraph 2.28 2.15 Validity of Tenders 2.15.1 Tenders shall remain valid for 120 days or as specified in the Invitation to tender after the date of tender opening prescribed by the Procuring entity, pursuant to paragraph 2.18. A tender valid for a shorter period shall be rejected by the Procuring entity as non responsive. 2.15.2 In exceptional circumstances, the Procuring entity may solicit the Tenderer s consent to an extension of the period of validity. The request and the responses thereto shall be made in writing. The tender security provided under paragraph 2.14 shall also be suitably extended. A tenderer may refuse the request without forfeiting its tender security. A tenderer granting the request will not be required nor permitted to modify its tender. KenTrade ERP Solution Page 12

2.16 Format and Signing of Tender 2.16.1 The tenderer shall prepare two copies of the tender, clearly marking each ORIGINAL TENDER and COPY OF TENDER, as appropriate. Each Technical Proposal and Financial Proposal shall be marked ORIGINAL or COPY as appropriate. If there are any discrepancies between the original and the copies of the proposal, the original shall prevail. 2.16.2 The original and all copies of the tender shall be typed or written in indelible ink and shall be signed by the tenderer or a person or persons duly authorized to bind the tenderer to the contract. The latter authorization shall be indicated by written power-of-attorney accompanying the tender. All pages of the tender, except for unamended printed literature, shall be initialed by the person or persons signing the tender. 2.16.3 The tender shall have no interlineations, erasures, or overwriting except as necessary to correct errors made by the tenderer, in which case such corrections shall be initialed by the person or persons signing the tender. 2.17 Sealing and Marking of Tenders 2.17.1 The original and duplicate copy of the Technical Proposal shall be placed in a sealed envelope clearly marked TECHNICAL PROPOSAL, and the original and duplicate copy of the Financial Proposal in a sealed envelope clearly marked FINANCIAL PROPOSAL and warning: DO NOT OPEN WITH THE TECHNICAL PROPOSAL. Both envelopes shall be placed into an outer envelope and sealed. 2.17.2 The inner and outer envelopes shall: (a) be addressed to the Procuring entity at the address given in the Invitation to Tender: (b) bear, tender number and name in the Invitation for Tenders and the words, DO NOT OPEN BEFORE Wednesday, 25 June, 2014 AT 1000HOURS 2.17.3 The inner envelopes shall also indicate the name and address of the tenderer to enable the tender to be returned unopened in case it is declared late. 2.17.4 If the outer envelope is not sealed and marked as required by paragraph 2.17.2, the Procuring entity will assume no responsibility for the tender s misplacement or premature opening. KenTrade ERP Solution Page 13

2.18 Deadline for Submission of Tenders Tenders must be received by the Procuring entity at the address specified under paragraph 2.17.2 no later than Wednesday, 25 June, 2014 AT 1000HOURS. 2.18.1 The Procuring entity may, at its discretion, extend this deadline for the submission of tenders by amending the tender documents in accordance with paragraph 2.6, in which case all rights and obligations of the Procuring entity and candidates previously subject to the deadline will therefore be subject to the deadline as extended 2.19 Modification and Withdrawal of Tenders 2.19.1 The tenderer may modify or withdraw its tender after the tender s submission, provided that written notice of the modification, including substitution or withdrawal of the tenders, is received by the Procuring Entity prior to the deadline prescribed for submission of tenders. 2.19.2 The Tenderer s modification or withdrawal notice shall be prepared, sealed, marked, and dispatched in accordance with the provisions of paragraph 2.17. A withdrawal notice may also be sent by cable, telex but followed by a signed confirmation copy, postmarked not later than the deadline for submission of tenders. 2.19.3 No tender may be modified after the deadline for submission of tenders. 2.19.4 No tender may be withdrawn in the interval between the deadline for submission of tenders and the expiration of the period of tender validity specified by the tenderer on the Tender Form. Withdrawal of a tender during this interval may result in the Tenderer s forfeiture of its tender security, pursuant to paragraph 2.14.7 2.19.5 The procuring entity may at any time terminate procurement proceedings before contract award and shall not be liable to any person for the termination. 2.19.6 The procuring entity shall give prompt notice of the termination to the tenderers and on request give its reasons for termination within 7 days of receiving the request from any tenderer. KenTrade ERP Solution Page 14

2.20 Opening of Tenders The Procuring entity will open all tenders in the presence of tenderers representatives who choose to attend, at 1000 hours on Wednesday, 25 June, 2014, in the location specified in the Invitation to Tender. The tenderers representatives who are present shall sign a register evidencing their attendance. 2.20.1 The tenderers names, tender modifications or withdrawals, tender prices, discounts and the presence or absence of requisite tender security and such other details as the Procuring entity, at its discretion, may consider appropriate, will be announced at the opening. 2.20.2 The Procuring entity will prepare minutes of the tender opening. 2.21 Clarification of Tenders 2.21.1 To assist in the examination, evaluation and comparison of tenders the Procuring entity may, at its discretion, ask the tenderer for a clarification of its tender. The request for clarification and the response shall be in writing, and no change in the prices or substance of the tender shall be sought, offered, or permitted. 2.21.2 Any effort by the tenderer to influence the Procuring entity in the Procuring entity s tender evaluation, tender comparison or contract award decisions may result in the rejection of the tenderers tender. 2.22 Preliminary Examination 2.22.1 The Procuring entity will examine the tenders to determine whether they are complete, whether any computational errors have been made, whether required sureties have been furnished, whether the documents have been properly signed, and whether the tenders are generally in order. 2.22.2 Arithmetical errors will be rectified on the following basis. If there is a discrepancy between the unit price and the total price that is obtained by multiplying the unit price and quantify, the unit price shall prevail, and the total price shall be corrected. If the candidate does not accept the correction of the errors, its tender will be rejected, and its tender security forfeited. If there is a discrepancy between words and figures the amount in words will prevail 2.22.3 The Procuring entity may waive any minor informality or non-conformity or irregularity in a tender which does not constitute a material deviation, provided such waiver does not prejudice or affect the relative ranking of any tenderer. KenTrade ERP Solution Page 15

2.22.4 Prior to the detailed evaluation, pursuant to paragraph 2.23 the Procuring entity will determine the substantial responsiveness of each tender to the tender documents. For purposes of these paragraphs, a substantially responsive tender is one, which conforms to all the terms and conditions of the tender documents without material deviations. The Procuring entity s determination of a tender s responsiveness is to be based on the contents of the tender itself without recourse to extrinsic evidence. 2.22.5 If a tender is not substantially responsive, it will be rejected by the Procuring entity and may not subsequently be made responsive by the tenderer by correction of the non conformity. 2.23 Conversion to Single Currency 2.23.1 Where other currencies are used, the procuring entity will convert these currencies to Kenya Shillings using the selling exchange rate on the date of tender closing provided by the Central Bank of Kenya. 2.24 Evaluation and Comparison of Tenders 2.24.1 The Procuring entity will evaluate and compare the tenders which have been determined to be substantially responsive, pursuant to paragraph 2.22 2.24.2 The tender evaluation committee shall evaluate the tender within 15 days of the validity period from the date of opening the tender. 2.24.3 A tenderer who gives false information in the tender document about its qualification or who refuses to enter into a contract after notification of contract award shall be considered for debarment from participating in future public procurement. 2.25 Preference 2.25.1 Preference where allowed in the evaluation of tenders shall not exceed 15% 2.26 Contacting the Procuring entity 2.26.1 Subject to paragraph 2.21 no tenderer shall contact the Procuring entity on any matter related to its tender, from the time of the tender opening to the time the contract is awarded. KenTrade ERP Solution Page 16

2.26.2 Any effort by a tenderer to influence the Procuring entity in its decisions on tender, evaluation, tender comparison, or contract award may result in the rejection of the Tenderer s tender. 2.27 Award of Contract (a) Post-qualification 2.27.1 In the absence of pre-qualification, the Procuring entity will determine to its satisfaction whether the tenderer that is selected as having submitted the lowest evaluated responsive tender is qualified to perform the contract satisfactorily. 2.27.2 The determination will take into account the tenderer financial, technical, and production capabilities. It will be based upon an examination of the documentary evidence of the tenderers qualifications submitted by the tenderer, pursuant to paragraph 2.12.3 as well as such other information as the Procuring entity deems necessary and appropriate. 2.27.3 An affirmative determination will be a prerequisite for award of the contract to the tenderer. A negative determination will result in rejection of the Tenderer s tender, in which event the Procuring entity will proceed to the next lowest evaluated tender to make a similar determination of that Tenderer s capabilities to perform satisfactorily. (b) Award Criteria 2.27.4 The Procuring entity will award the contract to the successful tenderer(s) whose tender has been determined to be substantially responsive and has been determined to be the lowest evaluated tender, provided further that the tenderer is determined to be qualified to perform the contract satisfactorily. (c) Procuring entity s Right to Vary quantities 2.27.5 The Procuring entity reserves the right at the time of contract award to increase or decrease the quantity of goods originally specified in the Schedule of requirements without any change in unit price or other terms and conditions (d) Procuring entity s Right to Accept or Reject any or All Tenders 2.27.6 The Procuring entity reserves the right to accept or reject any tender, and to annul the tendering process and reject all tenders at any time prior to contract award, without thereby incurring any liability to the affected tenderer or tenderers or any obligation to inform the affected tenderer or tenderers of the grounds for the Procuring entity s action KenTrade ERP Solution Page 17

2.28 Notification of Award 2.28.1 Prior to the expiration of the period of tender validity, the Procuring entity will notify the successful tenderer in writing that its tender has been accepted. 2.28.2 The notification of award will constitute the formation of the Contract but will have to wait until the contract is finally signed by both parties 2.28.3 Upon the successful Tenderer s furnishing of the performance security pursuant to paragraph 2.28, the Procuring entity will promptly notify each unsuccessful Tenderer and will discharge its tender security, pursuant to paragraph 2.14 2.29 Signing of Contract 2.29.1 At the same time as the Procuring entity notifies the successful tenderer that its tender has been accepted, the Procuring entity will send the tenderer the Contract Form provided in the tender documents, incorporating all agreements between the parties. 2.29.2 The parties to the contract shall have it signed within 30 days from the date of notification of contract award unless there is an administrative review request. 2.29.3 Within thirty (30) days of receipt of the Contract Form, the successful tenderer shall sign and date the contract and return it to the Procuring entity. 2.30 Performance Security 2.30.1 Within Thirty (30) days of the receipt of notification of award from the Procuring entity, the successful tenderer shall furnish the performance security in accordance with the Conditions of Contract, in the Performance Security Form provided in the tender documents, or in another form acceptable to the Procuring entity. 2.30.2 Failure of the successful tenderer to comply with the requirements of paragraph 2.27 or paragraph 2.28 shall constitute sufficient grounds for the annulment of the award and forfeiture of the tender security, in which event the Procuring entity may make the award to the next lowest evaluated Candidate or call for new tenders. KenTrade ERP Solution Page 18

2.31 Corrupt or Fraudulent Practices 2.31.1 The Procuring entity requires that tenderers observe the highest standard of ethics during the procurement process and execution of contracts when used in the present regulations, the following terms are defined as follows; (i) corrupt practice means the offering, giving, receiving, or soliciting of anything of value to influence the action of a public official in the procurement process or in contract execution; and (ii) fraudulent practice means a misrepresentation of facts in order to influence a procurement process or the execution of a contract to the detriment of the Procuring entity, and includes collusive practice among tenderer (prior to or after tender submission) designed to establish tender prices at artificial non-competitive levels and to deprive the Procuring entity of the benefits of free and open competition; 2.31.2 The procuring entity will reject a proposal for award if it determines that the tenderer recommended for award has engaged in corrupt or fraudulent practices in competing for the contract in question. 2.31.3 Further a tenderer who is found to have indulged in corrupt or fraudulent practices risks being debarred from participating in public procurement in Kenya. KenTrade ERP Solution Page 19

Appendix to Instructions to Tenderers Notes on the Appendix to the Instruction to Tenderers 1. The Appendix to instructions to tenderers is intended to assist the procuring entity in providing specific information in relation to the corresponding clause in the instructions to Tenderers included in Section II and has been prepared specifically for this procurement. 2. The information and requirements given herein are specific to the circumstances of the procuring entity, the goods to be procured, and the tender evaluation criteria that will apply to the tenders. Appendix on the instructions to Tenderers The following information regarding the particulars of the tender shall complement supplement or amend the provisions of the instructions to tenderers. Wherever there is a conflict between the provision of the instructions to tenderers and the provisions of the appendix, the provisions of the appendix herein shall prevail over those of the instructions to tenderers INSTRUCTIONS TO TENDERERS REFERENCE PARTICULARS OF APPENDIX TO INSTRUCTIONS TO TENDERS 2.1.1 All tenderers Accredited and/or appointment as resellers for each of the required Products are eligible to participate in this tender. 2.14.1 The tender security shall be Kshs. 400,000.00 (Four Hundred thousand only) in the form of a bank guarantee from a reputable bank or legally approved institution. 2.18 The closing date for the tender shall be Wednesday, June 25, 2014 at 1000hours 2.22 Preliminary Evaluation The following evaluation criterion shall be applicable for this tender. i) Mandatory s i. Form of Tender duly filled and signed. ii. Power of Attorney. iii. Statutory documents duly certified by a Commissioner of oaths/magistrate or the KenTrade ERP Solution Page 20

issuing body. - Valid Tax Compliance Certificate (TCC). - Registration certificate/ Certificate of incorporation - Valid trade license. iv. Confidential Business questionnaire duly filled and signed. v. Tender Security (indicate values and duration). vi. Audited financial accounts for the past three years. vii. ERP Vendor Authorization. viii. Organization structure of the implementation team together with their CVs inclusive of relevant technical certifications and experience.(one of the team members MUST belong to the disadvantaged groups i.e. Youth, Women or PWDs) ix. Reference Sites relevant to this project (at least three and include a brief of work done or services rendered, value of contracts, and contact person with both reachable phone number and email) x. A work plan must be provided indicating the activities or tasks, resources, and timelines. Bidders must also include a comprehensive training program for each module. xi. Attach Identification documents (IDs or Valid Passports) of the owners/directors of the firms. Bidders MUST comply with all mandatory requirements to be considered for Technical evaluation. 2.24 Technical Evaluation Criteria Response to compliance to all Technical Specifications is MANDATORY. Bidders MUST respond to ALL the requirements on a clause by clause basis stating clearly how their solution meets the requirements. Responses to compliance to technical specifications in any other way other than clause by clause will be treated as NON- RESPONSIVE. Bidders who meet ALL the technical specifications SHALL be considered for the next stage of evaluation. KenTrade ERP Solution Page 21

2.27 (a) 2.27 (b) Post Qualification For purposes of facilitating due diligence work to be carried out, the stage has been divided into two: 1. Site visits to the bidders reference sites shall be done to confirm the authenticity of the sites and the scope of work done. 2. Successful bidders will be invited to provide a detailed demonstration of their proposed solution to enable the evaluation team confirm the capabilities of the proposed solution in line with the requirements presented. The tender shall be awarded to the firm which shall have met all the Mandatory requirements (both in the preliminary and Technical stages) and with the lowest financial quote. 2.30.1 The Performance Security shall be charged at 7.5% of the total bid amount KenTrade ERP Solution Page 22

SECTION III: GENERAL CONDITIONS OF CONTRACT Table of Clauses Page 3.1 Definitions 24 3.2 Application.. 24 3.3 Country of Origin.. 24 3.4 Standards. 24 3.5 Use of Contract documents and information. 25 3.6 Patent Rights 25 3.7 Performance security 25 3.8 Inspection and Tests. 26 3.9 Packing... 26 3.10 Delivery and documents 26 3.11 Insurance. 27 3.12 Payment 27 3.13 Price. 27 3.14 Assignments 27 3.15 Sub contracts.. 27 3.16 Termination for default.. 28 3.17 Liquidated damages.. 28 3.18 Resolution of Disputes 28 3.19 Language and law.. 29 3.20 Force Majeure 29 KenTrade ERP Solution Page 23

SECTION III - GENERAL CONDITIONS OF CONTRACT 3.1 Definitions 3.1.1 In this Contract, the following terms shall be interpreted as indicated:- (a) The Contract means the agreement entered into between the Procuring entity and the tenderer, as recorded in the Contract Form signed by the parties, including all attachments and appendices thereto and all documents incorporated by reference therein. (b) (c) (d) (e) The Contract Price means the price payable to the tenderer under the Contract for the full and proper performance of its contractual obligations The Goods means all of the equipment, machinery, and/or other materials, which the tenderer is required to supply to the Procuring entity under the Contract. The Procuring entity means the organization purchasing the Goods under this Contract. The Tenderer means the individual or firm supplying the Goods under this Contract. 3.2 Application 3.2.1 These General Conditions shall apply in all Contracts made by the Procuring entity for the procurement installation and commissioning of equipment 3.3 Country of Origin 3.3.1 For purposes of this clause, Origin means the place where the Goods were mined, grown or produced. 3.3.2 The origin of Goods and Services is distinct from the nationality of the tenderer. 3.4 Standards 3.4.1 The Goods supplied under this Contract shall conform to the standards mentioned in the Technical Specifications. KenTrade ERP Solution Page 24

3.5 Use of Contract Documents and Information 3.5.1 The tenderer shall not, without the Procuring entity s prior written consent, disclose the Contract, or any provision therefore, or any specification, plan, drawing, pattern, sample, or information furnished by or on behalf of the Procuring entity in connection therewith, to any person other than a person employed by the tenderer in the performance of the Contract. 3.5.2 The tenderer shall not, without the Procuring entity s prior written consent, make use of any document or information enumerated in paragraph 3.5.1 above 3.5.3 Any document, other than the Contract itself, enumerated in paragraph 3.5.1 shall remain the property of the Procuring entity and shall be returned (all copies) to the Procuring entity on completion of the Tenderer s performance under the Contract if so required by the Procuring entity 3.6 Patent Rights 3.6.1 The tenderer shall indemnify the Procuring entity against all third-party claims of infringement of patent, trademark, or industrial design rights arising from use of the Goods or any part thereof in the Procuring entity s country 3.7 Performance Security 3.7.1 Within thirty (30) days of receipt of the notification of Contract award, the successful tenderer shall furnish to the Procuring entity the performance security in the amount specified in Special Conditions of Contract. 3.7.2 The proceeds of the performance security shall be payable to the Procuring entity as compensation for any loss resulting from the Tenderer s failure to complete its obligations under the Contract. 3.7.3 The performance security shall be denominated in the currency of the Contract, or in a freely convertible currency acceptable to the Procuring entity and shall be in the form of a bank guarantee or an irrevocable letter of credit issued by a reputable bank located in Kenya or abroad, acceptable to the Procuring entity, in the form provided in the tender documents. 3.7.4 The performance security will be discharged by the Procuring entity and returned to the Candidate not later than thirty (30) days following the date of completion of the Tenderer s performance obligations under the Contract, including any warranty obligations, under the Contract KenTrade ERP Solution Page 25

3.8 Inspection and Tests 3.8.1 The Procuring entity or its representative shall have the right to inspect and/or to test the goods to confirm their conformity to the Contract specifications. The Procuring entity shall notify the tenderer in writing in a timely manner, of the identity of any representatives retained for these purposes. 3.8.2 The inspections and tests may be conducted in the premises of the tenderer or its subcontractor(s), at point of delivery, and/or at the Goods final destination If conducted on the premises of the tenderer or its subcontractor(s), all reasonable facilities and assistance, including access to drawings and production data, shall be furnished to the inspectors at no charge to the Procuring entity. 3.8.3 Should any inspected or tested goods fail to conform to the Specifications, the Procuring entity may reject the equipment, and the tenderer shall either replace the rejected equipment or make alterations necessary to make specification requirements free of costs to the Procuring entity. 3.8.4 The Procuring entity s right to inspect, test and where necessary, reject the goods after the Goods arrival shall in no way be limited or waived by reason of the equipment having previously been inspected, tested and passed by the Procuring entity or its representative prior to the equipment delivery. 3.8.5 Nothing in paragraph 3.8 shall in any way release the tenderer from any warranty or other obligations under this Contract. 3.9 Packing 3.9.1 The tenderer shall provide such packing of the Goods as is required to prevent their damage or deterioration during transit to their final destination, as indicated in the Contract. 3.9.2 The packing, marking, and documentation within and outside the packages shall comply strictly with such special requirements as shall be expressly provided for in the Contract 3.10 Delivery and Documents 3.10.1 Delivery of the Goods shall be made by the tenderer in accordance with the terms specified by Procuring entity in its Schedule of s and the Special Conditions of Contract KenTrade ERP Solution Page 26

3.11 Insurance 3.11.1 The Goods supplied under the Contract shall be fully insured against loss or damage incidental to manufacturer or acquisition, transportation, storage, and delivery in the manner specified in the Special conditions of contract. 3.12 Payment 3.12.1 The method and conditions of payment to be made to the tenderer under this Contract shall be specified in Special Conditions of Contract 3.12.2 Payments shall be made promptly by the Procuring entity as specified in the contract 3.13 Prices 3.13.1 Prices charged by the tenderer for goods delivered and services performed under the Contract shall not, with the exception of any price adjustments authorized in Special Conditions of Contract, vary from the prices by the tenderer in its tender. 3.13.2 Contract price variations shall not be allowed for contracts not exceeding one year (12 months) 3.13.3 Where contract price variation is allowed, the variation shall not exceed 25% of the original contract price. 3.13.4 Price variation request shall be processed by the procuring entity within 15 days of receiving the request. 3.14. Assignment 3.14.1 The tenderer shall not assign, in whole or in part, its obligations to perform under this Contract, except with the Procuring entity s prior written consent 3.15 Subcontracts 3.15.1 The tenderer shall notify the Procuring entity in writing of all subcontracts awarded under this Contract if not already specified in the tender. Such notification, in the original tender or later, shall not relieve the tenderer from any liability or obligation under the Contract KenTrade ERP Solution Page 27

3.16 Termination for default 3.16.1 The Procuring entity may, without prejudice to any other remedy for breach of Contract, by written notice of default sent to the tenderer, terminate this Contract in whole or in part (a) (b) (c) if the tenderer fails to deliver any or all of the goods within the period(s) specified in the Contract, or within any extension thereof granted by the Procuring entity if the tenderer fails to perform any other obligation(s) under the Contract if the tenderer, in the judgment of the Procuring entity has engaged in corrupt or fraudulent practices in competing for or in executing the Contract 3.16.2 In the event the Procuring entity terminates the Contract in whole or in part, it may procure, upon such terms and in such manner as it deems appropriate, equipment similar to those undelivered, and the tenderer shall be liable to the Procuring entity for any excess costs for such similar goods. 3.17 Liquidated Damages 3.17.1. If the tenderer fails to deliver any or all of the goods within the period(s) specified in the contract, the procuring entity shall, without prejudice to its other remedies under the contract, deduct from the contract prices liquidated damages sum equivalent to 0.5% of the delivered price of the delayed items up to a maximum deduction of 10% of the delayed goods. After this the tenderer may consider termination of the contract. 3.18 Resolution of Disputes 3.18.1 The procuring entity and the tenderer shall make every effort to resolve amicably by direct informal negotiation and disagreement or dispute arising between them under or in connection with the contract 3.18.2 If, after thirty (30) days from the commencement of such informal negotiations both parties have been unable to resolve amicably a contract dispute, either party may require adjudication in an agreed national or international forum, and/or international arbitration. KenTrade ERP Solution Page 28

3.19 Language and Law 3.19.1 The language of the contract and the law governing the contract shall be English language and the Laws of Kenya respectively unless otherwise stated. 3.20 Force Majeure 3.20.1 The tenderer shall not be liable for forfeiture of its performance security or termination for default if and to the extent that it s delay in performance or other failure to perform its obligations under the Contract is the result of an event of Force Majeure. KenTrade ERP Solution Page 29

SECTION IV - SPECIAL CONDITIONS OF CONTRACT Notes on Special Conditions of Contract The clauses in this section are intended to assist the procuring entity in providing contract-specific information in relation to corresponding clauses in the General Conditions of Contract. The provisions of Section IV complement the General Conditions of Contract included in Section III, specifying contractual requirements linked to the special circumstances of the procuring entity and the goods being procured. In preparing Section IV, the following aspects should be taken into consideration. (a) (b) Information that complement provisions of Section III must be incorporated and Amendments and/or supplements to provisions of Section III, as necessitated by the circumstances of the goods being procured must also be incorporated. KenTrade ERP Solution Page 30

SECTION IV - SPECIAL CONDITIONS OF CONTRACT 4.1. Special Conditions of Contract shall supplement the General Conditions of Contract. Whenever there is a conflict, between the GCC and the SCC, the provisions of the SCC herein shall prevail over these in the GCC. 4.2. Special conditions of contract as relates to the GCC REFERENCE OF GCC SPECIAL CONDITIONS OF CONTRACT 3.7.1 The Performance Security shall be 7.5% of the total bid amount 3.12.1 Payment shall be made as shall be agreed upon in the signed contract. 3.18.1 Any disputes shall be resolved under Kenyan laws. KenTrade ERP Solution Page 31

SECTION V - TECHNICAL SPECIFICATIONS 5.1 General 5.1.1 These specifications describe the requirements for goods. Tenderers are requested to submit with their offers the detailed specifications, catalogues, etc for the products they intend to supply where applicable. 5.1.2 Tenderers must indicate on the specifications sheets whether the software offered comply with each specified requirement. 5.1.3 All the dimensions and capacities of the software to be supplied shall not be less than those required in these specifications. Deviations from the basic requirements, if any shall be explained in detail in writing with the offer, with supporting data such as calculation sheets, etc. The procuring entity reserves the right to reject the products, if such deviations shall be found critical to the use and operation of the products. 5.1.4 The tenderers are requested to present information along with their offers as follows: (i) (ii) Shortest possible delivery period of each product Information on proper representative and/or workshop for back-up service/repair and maintenance including their names and addresses. KenTrade ERP Solution Page 32

5.2 INTRODUCTION ENTERPRISE RESOURCE PLANNING (ERP) SOLUTION KenTrade requires an Enterprise Resource Planning (ERP) Solution supplied, installed and commissioned at KENTRADE premises in Nairobi. Implementation of the Enterprise Resource Planning Solution shall entail: a. Needs Assessment Review and Gap Analysis, b. Solution Design, c. Supply and Implementation of the proposed solution including the following components:- i. Human Resource Module, ii. Payroll Module iii. Finance and Accounting Module, iv. Procurement and Logistics Module, and v. Enterprise Performance (a) Initial Data input and conversion. (b) User, administration and management training, (c) User Acceptance Testing, (d) Commissioning, (e) Post Implementation Support and (f) Quality Management. 5.3 NEEDS ASSESSMENT REVIEW AND GAP ANALYSIS The tenderer shall detail how, at the beginning of the assignment, they will assess the procuring entity s operational environment with regards to the user and functional specifications as detailed herein; including the approach to be applied to gap analysis, and standard ways of gap fixing. An assessment review report shall be availed to the procuring entity upon conclusion of this step. Any gaps and their impact as well as how to address them shall be discussed with the procuring entity. Any material gaps that may have cost implications will be addressed outside the scope of this tender. The assessment review report will include (but not limited to):- a. Any identified conflicts the proposed solution may have with the organisation structure and procedures, with proposals of how to resolve these. b. Suggested changes in processes and steps to bring in these changes, including best practices. KenTrade ERP Solution Page 33

5.4 SOLUTION DESIGN The tenderer shall state how they will ensure that the user and functional requirements are adequately covered in the design of the solution, including how gaps will be addressed, to ensure delivery of a comprehensive solution that meets or exceeds the project objectives. The design information shall include how the system will operate, in terms of the hardware, software, and network infrastructure; the user interface, forms, and reports that will be used; and the specific applications, databases, and files that will be needed; including but not limited to the following:- a. Architecture Design: Description of the hardware, software, and network infrastructure that will be used. b. Database and File Specifications: Definition of what and where the data will be stored. c. Program Design: Definition of applications to be deployed including customization, and third party interfaces. The bidder must have authorization from the ERP Vendor to provide the solution. Any bid that fails to attach this proof will be considered NON RESPONSIVE. The technical requirements detailed below are MINIMUM requirements and successful bidders MUST provide a solution with ALL specified requirements. Bidders MUST respond to ALL the requirements on a clause by clause basis stating clearly how their solution meets the requirements. The Bidder shall provide enough documentation to back up their compliance to technical specifications claims. Reference to these documents should be direct and specific. The technical specifications for the ERP Solution are detailed below and bidders are expected to respond on a clause by clause basis stating clearly how their solution meets the requirements. Responses to compliance to technical specifications in any other way other than clause by clause will be treated as NON-RESPONSIVE. KenTrade ERP Solution Page 34

5.5 TECHNICAL SPECIFICATIONS 5.5.1 PROJECT MANAGEMENT Besides the employment of skilled resources, the success of the project will depend on excellent understanding of the current business environment and user requirements and expectations. The supplier is expected to outline the project governance, team structure and standard management methodology to be used. Outline to include the following in the scope: - a. Detailed plan of delivery, b. Installation & configuration of all hardware, c. Software, and d. Tools Include also any integration with external systems that are necessary for successful operation of the solution, clearly listing them and explaining how the integration will be achieved. Clearly state how you will ensure all pre-requisites are addressed conclusively. State how the entire project will be managed and communication strategies to keep all stakeholders updated and project information flowing so as not to hamper progression of project activities and achievement of project objectives At a minimum the Supplier shall submit to the procuring entity the following reports for the purpose of project management during implementation:- a. Periodic progress reports, summarizing: i. Results accomplished during the prior period; ii. Cumulative deviations to date from schedule of progress milestones as specified in the Agreed and Finalized Project Plan; iii. Corrective actions to be taken to return to planned schedule of progress; proposed revisions to planned schedule; iv. Other issues and outstanding problems; proposed actions to be taken; v. Resources that the Supplier expects to be provided by the Purchaser and/or actions to be taken by the Purchaser in the next reporting period; vi. Other issues or potential problems the Supplier foresees that could impact on project progress and/or effectiveness. b. Inspection and quality management reports c. Training reports d. Monthly log of service calls and problem resolutions KenTrade ERP Solution Page 35

5.5.2 PRODUCT SPECIFICATIONS AND REQUIREMENTS i. Human Resources Management Module/System Human Resource Objectives: (a) Provide a foundation of KENTRADE workforce information leveraged across the business, to support processes such as professional services automation, asset allocation, financial management, and approvals. (b) Integrate and track the lifecycle of various human resource and payroll management processes, including but not limited to recruitment, staffing requests, personnel transactions, new hires, promotions, pay changes, performance evaluations, training assessment, and payroll. (c) Adopt structured approaches to attracting, retaining, developing and using the critical skills and knowledge needed to improve the capability of KENTRADE business to meet new challenges. (d) Automate all aspects of workforce management to achieve drastic productivity gains and cost savings throughout the workforce, while ensuring that confidential data is maintained electronically and securely. (e) Develop the skills and knowledge of KENTRADE workforce, and a systematic method for assessing and rewarding their use in meeting business objectives. (f) Adopt the latest thinking based on benefits best practices as well as comply with governmental legislation by using full featured, rules-based compensation system. (g) The system should interface to existing providers such as Pension, Medical Scheme, SACCO, for purposes of viewing current status. Human Resource Management System s Item 1. 2. Administration & Personnel Management The system should have automatic number generation for employees and applicants. Employee History. The system should maintain - employee data and details which includes (but is not limited to) following detailed employee Information: Employee Name, Employment Number, NHIF (National Hospital Insurance Fund) Number, PIN Number (Tax Number), NSSF (National Social Security Number) Number, National Identity Card Number, Age, Driving License, Labor Contracts, Passport Number Personal details, nationality, status, photograph, Assets/Company Property assigned etc. s/reference to proposed Solution KenTrade ERP Solution Page 36

Item 3. 4. 5. The system should maintain detailed professional and educational information (experience w/ other companies, details of job assignments, transfer training, performance appraisals, career planning information). The system should be flexible enough for administrator to define new fields to be maintained for employees. Accept the details of unlimited number of dependents details (name, gender, date of birth, relationship, etc.). 6. Maintain multiple employee address and contact details. 7. It should be possible to record, monitor and review disciplinary, capability and performance management actions. All actions should be date stamped. 8. Ability to attach passport copy or any other relevant document. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. Monitor Employee Contract expiry dates / renewals and flag expired ones. The system should be able to track pre-employment history of the company employees The system to keep track of each employees history right from hiring, grades, job assignment, probation/confirmation, transfer, promotions, salary/ benefits changes (including reasons/background), rewards, recognition, warning, grievances, disciplinary action, etc. till the employee leaves the enterprise. (Including reasons for leaving in order to analyze turnover). It must be possible to protect employee history from unintentional deletion The solution must provide protection from setting up duplicate employee records Linking of employee records with positions within the overall organization must be possible The solution must provide the ability to record contract type permanent, temporary, casual and others The solution must be able to generate notifications via email, distribution/work lists or online notifications. These notifications should be user-definable (eg. Anniversaries, retirement dates, overexpenditure recoveries, etc) data items.. The solution must allow for terminating the employee record at the conclusion of the employment period without deletion. The system should provide facilities to record skill components / competencies in each job description. 19. Provide an automated job application tracking functionality 20. Ability to maintain changes in employee status data 21. Ability to add additional Comments 22. Provide either centralized or decentralized data entry, or both as required 23. Provide integration functionality to KENTRADE Intranet s/reference to proposed Solution KenTrade ERP Solution Page 37

Item 24. 25. Provide automatic interface to external modules that share the same information Ability to handle and maintain historical information for employee activity: promotions, transfers, and salary changes. 26. Ability to assign manager for each employee in that position. 27. 28. 29. 30. 31. 32. 33. Comparison of employee skills, education and/or training (is this analysis report) On-line access to Human Resource Department contact from remote locations Ability to maintain employee discipline history archive actions taken, track actions and generate reports Ability to manage exit/separation process to include surrender of assets assigned/managed by employees, passes among others Work Structure The system should be able to define and configure the reporting channels, hierarchies, organization (departments, sub divisions / divisions ) The system should be able to identify vacancies when they arise (e.g. from the start date of deputation, study leave or separation from service by any mean). The system shall provide the capability to store, review and update Job descriptions. 34. Facility to maintain user-defined grading scales and rates. 35. Employee assignments to single or multiple jobs 36. Ability to handle/maintain jobs by units, department, division, and individual work shifts as per station 37. Ability to show all vacant positions on Organization charts 38. Ability of coding jobs and interrelate them with organizational structure 39. Ability to create future-effective dated positions 40. Maintain job evaluation scores 41. Ability to maintain employee career planning data 42. Ability to attach documents to a position record 43. Ability to track training needs, qualifications and certifications required for a position Medical 44. Ability to interface to a Medical management systems. 45. 46. Manpower Planning & Budgeting The system must handle manpower planning and budgeting (including scenario planning, staff costs, forecasting, etc) The system should have the facility to allocate budgeted positions for a period with start and end date. A position could be in budget for next year and it also could be for specific time period. This facility should be available based on authority give s/reference to proposed Solution KenTrade ERP Solution Page 38

Item 47. The system should be able to provide monthly status of budgets and actual. 48. The system should be able to flag deviations in budgeted headcount 49. 50. 51. 52. 53. The system should support budget definition at the Organization, Job, Position or Grade Levels as well as a combination of criteria The system should be able to review positions approved, recruited and still to be recruited All these is linked to the organization structure and approved establishment Recruitment The solution should support the concept of positions, and vacancies linked to structure Automatic letter production at the various stages of the recruitment cycle must be provided There must be a simple mechanism for moving individuals through the recruitment cycle and of the successful candidate into the new employee processes 54. Electronic access to post and person specifications must be possible 55. 56. 57. 58. 59. System should support single/multiple levels of approval of the employment requisition. The system should have the facility for maintenance of data on recruitment and advertising agents. System should assist in online tracking/monitoring of applicants through each stage of the recruitment cycle. The system should have the query facility to search for one or more applicants and then drill down into their detailed resume information. The recruitment data bank should hold individual applicants CVs containing personal details, competencies, previous work experience and academic attainments. 60. The system should create test and interview schedules. 61. 62. 63. 64. 65. 66. 67. The system should record scores for interview tests and interview results with detailed comments. The system should have a checklist and should generate alert if the necessary documents required from a successful candidate have not been received and entered in the system. The system shall automatically allocate unique applicant number for each applicant. Automatic transfer of applicants details into employee details upon hiring. Facility to execute bulk changes/updates to applicants records in one single activity/screen. The system should allow identifying matching profiles by comparing jobs/positions required competencies to applicants' competencies. The system supports generating reports that identify the best match profiles by comparing required and existing competencies for a s/reference to proposed Solution KenTrade ERP Solution Page 39

Item 68. job/position. The system should generate a notification mechanism by way of an alert at the end of probationary period 69. Ability to support ad-hoc reports 70. Ability to maintain new hiring data on applicant database for reporting and analysis 71. Ability to maintain a database for new applicants 72. 73. 74. 75. 76. Provide ability to determine if applicant has applied before for varying periods Provide ability to determine if applicant has worked for the company before The solution should allow one or more authorized users to determine which records may be accessed by either managers or users either as read only or with amendment rights. (granting/revoking access rights check if repeated) The solution should provide for managers to be able to view employee records of their subordinates The solution should provide the facility for employees to request and record absences (e.g. sickness, annual leave, compassionate, study or parental leave) on a self service basis 77. The system should allow users to view their leave balance online 78. 79. 80. 81. 82. The solution should provide for integrating to the intranet where managers will manage employee leave requests, including provision for forwarding to others for opinion/approval or rejecting request. In all cases, employees must be notified of the outcomes. The solution should enable the capture of data in two ways, firstly, the online e-hr solution and secondly via the use of online forms The solution should be able to save partially completed forms and complete at a later stage. The solution should be able to export online forms to an MS Word document for offline operation. The solution should provide the facility to attach notes of discussions with employees concerning their sickness absence 83. Should allow for on-line applications for vacant positions 84. Able to provide the tools needed to plan and manage employee career and succession data. s/reference to proposed Solution KenTrade ERP Solution Page 40

Performance Management System s Item 1. It shall allow for the employee to maintain information in self appraisals. 2. It shall enables managers to conduct performance appraisals 3. Able to assess an employee s key strengths and developmental areas. Developmental areas include competencies that the employee is lacking or needs to develop and improve. 4. To set up a training plan that will enable the employee to develop the skills and knowledge required to improve in the current job or move to the next job. 5. The solution must provide for on-line completion of appraisal using competencies by manager & staff to include needs and wants. 6. The system shall be able to prompt when particular appraisals are required for employees. 7. The system should handle appeals against performance appraisals and remarks after case review. 8. Ability to define multiple appraisal templates. 9. The system should allow employees to view online their pay slip. 10. Ability to compare performance to plan relative to a balanced workforce. 11. Ability to provide advance notification of performance evaluations due alerts, and past due notices. 12. Ability to administer individual employee performance reviews, notifying supervisors of upcoming reviews, tracking and maintaining results and reporting/calculating results. 13. The system should be able to identify which employees have the skills/competencies required for a specific position or job. s/reference to Payroll Module s Item 1. 2. The system should be able to define the compensations elements, allowances, associated benefits, remunerations and other facilities based on employee grade. It should also be integrated with Administration (populate the terms). The solution must perform the calculation and payment - overtime, leave, meal & Shift, Acting, House, Responsibility, Hardship, Subsistence, among others. Some of the allowances will be calculated as a percentage of the salary. Some of the allowances are pegged on grades. s/reference to KenTrade ERP Solution Page 41

Item 3. 4. 5. 6. The solution must be able to make payments by the due date, direct to a specified bank account, by cash, or by cheque. The solution must be able to perform the calculation and payment of a supplementary run on any pay frequency The solution must perform the calculation of retrospective amounts for salaries and allowances for a period of at least one (1) year. The solution must undertake the administration of allowances and deductions in line with statutory guidelines e.g. pension contributions, transport allowances, housing loans, entertainment allowance, tax, rent arrears recovery 7. The system should support various deduction of loans and payments 8. Calculation of deductions based on the percent of earnings 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. The system must be capable of maintaining year to date (YTD) balance of the Income tax and other deductions where applicable deducted for each employee. The solution must produce payslips, in a format approved by the company, holding both monthly and cumulative payments/deductions/balances Provides the facility to apply future commencement and completion dates for all allowances System to have facility for calculating salary/ allowances on the basis of company rules/policy i.e. grades and benefits structure. The system should support computing end of service entitlements based on local labor law. The system should interface with the GL and other applicable applications The System should be able to maintain employee grades and link them to the salary structures Facility to define pay type i.e. hourly, daily, weekly, monthly payment, as well as permanent, temporary, full time/part-time. Also have facility for logging existing, on hold and resigned staff. The solution should allow recording of absences in working days and hours depending on individual working patterns and by type (nature of illness / injury against a pre-determined list). The solution should enable recording other reasons for absence to include extended or overseas study leave, unpaid leave, compassionate leave, dependent leave, career break and others The solution should enable the storing and easy retrieval of sickness absence history 20. System should be able to allow management of accruals such as leave 21. 22. 23. The system must be capable of calculating salaries after accounting for unpaid leave information of each employee. The system must be capable of calculating pension/commutation / gratuity for any employee based on the standard government formulas. Facility to calculate bonus/ increment on user defined parameters & generate bonus/ increment letters. s/reference to KenTrade ERP Solution Page 42

Item 24. Allow running of multiple payroll to reflect different group of employees or different payroll calendars. 25. Activate or deactivate specific deductions for any payroll month 26. Ability to generate ad-hoc and standard reports 27. Ability to administer each benefits option change through user-defined formula. 28. Ability to administer a different set of benefits for each employee. 29. System should notify when employees qualify for benefit enrollment. 30. The system should take either percentage or fixed amount. 31. 32. 33. 34. Ability to provide "what if" compensation analyses and salary projections Ability to collect data and report on potential disparate or adverse impact situations. Ability to maintain the organization's current year's goals for action plan. Comparison of goals with actual results. Ability to handle management salary change requests using standard business processes. 35. Ability to initiate exit/separation benefit processing 36. 37. The system should handle the history data for all transactions for a defined period of time. Ability to manage creation of groups of employees with flexible criteria based on department, location, position, titles, local or foreign office, Science degree, fleet, etc ) 38. Salary and Allowances will be in defined currency 39. 40. 41. 42. 43. 44. Employee Bank details / Electronically deposits payroll to employee bank accounts The system shouldn t allow for any deletion process to the transferred transaction from sub Ledger to the GL. Any reversal to any mistake or adjustment should be done on the payroll module then transferred it to the GL. Ability to support multiple payroll cycles (e.g. weekly, monthly, daily,etc) with multiple employees pay groups or individual cases. Ability to automatically calculate pay adjustments based on effective date of adjustment Ability to calculate retroactive pay and process retroactive payment in the next payroll period 45. Ability to manage all standard allowances cycles. 46. Ability to manage allowances per groups of employees with flexible criteria (period of calendar days, working days, working hours, etc). 47. Ability to manage all Deductions cycles. 48. 49. Ability to manage deductions per groups of employee with flexible criteria with start and end dates. Ability to calculate deductions based on parameterized values such as, income tax, and predetermined installments (deductions), according to s/reference to KenTrade ERP Solution Page 43

Item rules and regulations defined by public or governmental organizations as per the company policy. 50. Ability to process one-time deductions 51. Ability to deduct money for saving and other funds 52. Ability to change deduction rules for certain individual, groups, depts..etc 53. Ability to support check-off system as defined 54. Ability to manage deductions up to approved limits 55. Ability to integrate to a clocking/biometric system for operational staff 56. Ability to automatically regulate payment of meal and shift allowance 57. Displays completed salary reviews. s/reference to ii. Finance and Accounting System: Finance and Accounting Objectives: a. Allow KENTRADE to easily develop and deliver financial reports that meet the Kenya government reporting requirements b. Elimination of redundant data entry c. Support flexible and enhanced chart of account that provides financial tracking for department, cost centers, product and service, as well as projects. d. Provide ability to forecast and track budget expenditure. e. Enable drilldown, audit trail, and workflow based processes and approvals. Finance and Accounting Scope The scope includes supply and installation of finance and accounting system comprising of the following modules: a. General Ledger b. Budget Preparation and Control c. Banks and Cash Management d. Accounts Receivable (AR) e. Accounts Payable (AP) f. Fixed Assets g. Billing KenTrade ERP Solution Page 44

General Ledger s Item 1. State of the art Technology State of the art Technology GL and the other Financial systems should be parts of an integrated Enterprise solution based on the state of the art Information Technology, fusing the technologies GUI, Graphics, Charts, Object linking, Internet, email, Workflow, Drill-down, End-user reporting, Data import/export etc. within the package. 2. Multiple companies GL and the other Financial systems should support multiple companies within a corporation. Every company is a separate operating unit with its own Purchase, Payable, Inventory and Receivable. Corporation level consolidation and reporting should be available. 3. Multiple currencies The package should support multiple currencies using a centralized currency conversion table. The sub-ledgers should be maintained in respective foreign currencies with an option to print the results in the functional currency or respective foreign currency. 4. Object linking The package should enable linking of objects such as images, scanned images of documents, MS Word documents, MS Excel spreadsheets etc. to the screens and the reports. For example, a spreadsheet may be attached to a JV to support how the values of the JV were derived. 5. Report Writer An end-user driven online report writer should be available within the package. Up to the moment data from the GL and the other financial systems should be available to the end-users for reporting purposes. 6. The system should be able to analyze Financial information. 7. The system should provide an online facility to maintain a flexible, centralized, company level Organization Structure. All sub-systems should make use of this Organization structure. 8. The organization may consist of any number of levels (Company, Division, Department, Section, Unit, Profit/Cost centre etc.). The codes should be alphanumeric. 9. The Profit / cost Centre links the Organization Structure and the Chart of Account. The Organization Structure enables to consolidate the data at various levels (Company, Department, Division etc.) for printing Management Reports. 10. Changes to the organization structure should be dynamically reflected in inquiries and reports. 11. Online facilities should be available to inquire/print the Organization Structure. 12. The system should provide an online facility to maintain a centralized, flexible, company level Chart of Account. It should be possible to copy a range of accounts from one company to another company. A Chart of Account may be common to several companies 13. The structure, coding scheme and the maintenance will be controlled centrally. All sub-systems should make use of this Chart of Accounts. s/reference to KenTrade ERP Solution Page 45

Item 14. The Chart of Account should provide for an alpha-numeric, flexible account code structure with a user-defined number of segments and lengths per segment. Example: Account structure may consist of the segments Company, Account No., Profit Centre, Sub-Account Type and Code, Region, Location, etc. 15. The applicability condition (mandatory/optional/not-applicable) of a segment within an account structure, and the valid values of segments should be maintained in the Chart of Account. Examples: - Sub-account may be mandatory for an account. - Only Profit Centres 101010, 101020 and 101030 are valid for account number 10001000 - Profit Centres 101010, 101020 and 101030 are not valid for account number-10002000 16. It should be possible to add new account segments whenever required and to delete the segments that have never been in use and hence not required. 17. It should be possible to flag account numbers and other segments as active/inactive by assigning effective dates. It should also be possible to activate/deactivate specific account structure by assigning effective dates. 18. While inputting a Journal, an account structure may consist of segments that are individually valid, but the account structure as a whole is invalid as the relationship among the segment is not defined in the system. Under these circumstances, the system may define the required relationship optionally. 19. Classify accounts into assets, liability, equity, income, expense, etc. 20. Provide user-definable fields per account that can be used to classify financial data as: Direct, Indirect, Allocatable, Attributable 21. Maintain non-financial data along with account numbers and segments. Example: Description etc. 22. Provide the capability to perform mass updates to the Chart of Accounts. This feature may be necessary for reorganizations etc. 23. Allow the entry of certain background/historical data concerning each update to Chart of Accounts. Example: (User/dept who requested creation or update, Date etc.) 24. Provide for the entry of a percentage or fixed amount per account or account/department, to identify exceptional (budget actual) variances. This norm can be used to print (Budget Actual) exception report. 25. Define Parent-Child relationship at multiple levels. The system should not allow posting to the parent account. 26. Online facilities should be available to inquire/print the Chart of Account. 27. An online facility should be provided to input, update, copy, balance and post the Journals. JV No. should be automatically generated by the system. 28. Journals for certain accounts may need approval from another s/reference to KenTrade ERP Solution Page 46

Item department prior to posting. Journals involving multiple departments may require approval from respective departments. Online facilities should be available to control this review/approval flow. 29. Provide the capability to identify source documents or module references which are associated with the journal entry (e.g., Invoice No., Payment Voucher No., Telephone No. etc.) for reporting purposes. 30. Maintain a reason code to indicate the purpose of the journal entry (e.g., general, reconciliation, late entry, amortization, etc.) 31. Description may be input at Journal header level (applies to the entire journal) and at the entry level (applies to that entry only). 32. It should be possible to choose the date format as required by users. 33. Voucher type should be input for each JV. Voucher type is a useful parameter to control the JVs. User access may be controlled with respect to Voucher type. Voucher type serves as a useful selection criteria. 34. Provide the capability to hold a JV, even if it is error free, for later recall by the user. 35. Provide the capability to copy a JV (with or without reversing the signs). 36. Restrict updates to account structure and amounts of a JV after posting. 37. Provide facility to inquire/report posted/unposted journals satisfying user specified selection criteria. 38. Journals may be created by sub-systems (Accounts Receivable, Accounts Payable, Fixed Assets, Materials, Budgeting/forecasting etc.)these journals will be transferred to the General Ledger system directly or through interfaces, edited, validated and posted in the General Ledger system. The frequency of the interface will be established by the users. The interfaces should be automated. 39. Journals interfaced from the sub-systems should undergo same validation as applied to on-line JVs. The error JVs are corrected and posted using online facilities. 40. The system should be able to detect and prevent duplicate journals. Example: A payment voucher from Accounts Payable System should not be interfaced more than once 41. Restrict data entry to those accounts that are marked as control accounts such as payable control, Receivable control, Bank account etc. 42. The General Ledger and the subsystems should support accrual method of accounting. 43. The system should allow the user to post to the G/L from the submodules in detail or summary. 44. Provide a daily transaction log of all postings made during the day. Provide facility to inquire/report posted/unposted journals satisfying user specified selection criteria. 45. Auto Reversal Journal This is a journal that posts an accrual to an account. The reversal date is also input in the accrual Journal. The system automatically generates the reversal JV and posts it. Reversal need not be in the same fiscal year. 46. Recurring Journal s/reference to KenTrade ERP Solution Page 47

Item This is a journal that posts a fixed amount to an account beginning from an effective date and continuing through the user specified end-date (Example: Rent). The user can define the cycles for recurring transactions. The system automatically generates and posts the recurring JVs. Recurring JVs may cross more than one fiscal year. A recurring JV may be an auto reversal JV. 47. Recurring Journals (Standard) This is journal that posts to an account beginning from an effective date and continuing through the user specified end-date. However the amount is not specified in the JV. The amount must be supplied prior to its posting in the General Ledger (e.g. phone bill)the system should issue a reminder to the respective user to post these JVs before closing the respective period. 48. Templates Templates may be maintained to input frequently input JVs. Templates are not posted by the system. A JV is created by copying the template. The JV is then edited with amounts and posting date and then posted. 49. Statistical Journals These JVs are used to input statistical quantities (e.g. No. of Staff joined in a month). These JVs may be single entry JVs and need not balance. 50. Prepaid expense Journals Prepaid expense journals are input with data necessary for future amortization. Amortization JVs are automatically created and posted by the system. Example staff rent 51. Account Transfer Journals Whenever it is required to transfer either the balance only or balance and detail information from an existing account structure to a new account structure, the system creates a Transfer JV and posts it. The system audit trails such transfers. 52. Memo Journal This is to enter post-dated cheques, future transactions etc. The system will alert the user on the respective date so that the user can post the voucher. 53. Journals Input/Processing Authorization It should be possible to control the posting period both at the company level or user level. 54. It should be possible to control the access to each function and level of access within each function e.g. 55. Restrict a user to view JVs only or data entry only or post etc. 56. Restrict access of a user to certain account /departments only. 57. Some users may have authority to only input the Journals, but denied for posting. Only after approval by another authorized user, he may post the journal. 58. If a Journal involves more than one department, the concerned departments may be required to input their acceptance prior to posting. Certain accounts may need approval from a particular department prior s/reference to KenTrade ERP Solution Page 48

Item to posting. 59. It should be possible to temporarily deactivate an account to restrict posting. 60. Set up security for various user groups to restrict access to certain predefined account ranges. 61. Provide a workflow management feature to create/review/post online journals according to the journal type, amount etc. 62. Compare amounts in the general ledger accounts with the amounts in the related subsidiary ledger and create reports for those accounts that are out of balance. 63. Provide the capability to identify (actual vs. trend), (actual vs. budget) and (actual vs. forecast) variances based on user defined criteria (e.g., actual postings greater than budget by a predefined percentage/amount, etc.). 64. Provide Inquiry/Report facilities to inquire/report variances as per user specified selection criteria. 65. Provide for electronic notification of variances to the persons responsible for the analysis and response. 66. Provide necessary online functions to drill down these variances and analyze the reasons. Drill down facilities may extend to the respective sub-systems. 67. Provide the capability to enter and maintain the explanations on-line. 68. Provide facility to inquire/report the variance explanations. 69. Whenever the user requests, the system should generate journal entries to allocate costs across accounts and departments using an allocation table. The allocation table provides the account structure from which they are allocated and the account structures to which they are allocated 70. Permit periodic allocation of data, the timing of which is controlled by the user. 71. Provide facility to process inter-company transactions. System should enable to set up default accounting rules for inter-company transaction processing. 72. Allow the users to specify the selection/rejection criteria and the consolidation key to summarize the data for reporting purposes. User may opt to consolidate different companies within a group. Multiple level of consolidation may be required. 73. Templates may be maintained to include number of consolidation specifications, so that these consolidations may be run in one stretch. (Example: Template for P&L or Balance Sheet, cash flow statements etc) 74. Provide the reporting capability for user-defined multi-level rollups for all financial, management and ad hoc business reporting at all levels 75. Provide budget variance reports and exception reports for user defined consolidation groups or sub-groups. 76. It should be possible to obtain Account balances as of any date. 77. The G/L module must support multiple hierarchies and roll-up for s/reference to KenTrade ERP Solution Page 49

Item reporting purposes. 78. Provide the capability to produce reports automatically from General Ledger report writer at varying levels of detail as specified by requester 79. Support the ability to perform what if analysis, such as varying the exchange rate used, on consolidated data 80. JV Register 81. The module should provide a flexible, end-user driven report writer to enable the users to consolidate data and print management reports online. 82. The module should allow the users to define the accounting periods within a year. 83. Provide the ability to close accounting periods on a monthly and annual basis 84. It should be possible to re-open an already closed year, post journals in that year and then re-close that year. Account balances should be automatically carried over to the subsequent years. 85. The module should allow for multiple open periods. 86. The system should keep minimum 7 (seven) years of data (General Ledger and the subsystems) online. 87. The system should be able to create year-end journal which sets the income and expense account balances to zero and updates the retained earnings account balance. Multiple Retained Accounts may be required. Budget 88. User-friendly on-line budget preparation and input tools should be available. 89. It should be possible to import Budget data from Excel sheets. 90. Templates shall be provided to prepare and input budgets. 91. Ability to generate Budgets by applying inflation/deflation factor to actual data and then copying into budget. 92. Ability to input Budgets at summary/detail account level. It may be input for the year or by month. 93. Ability to Allocate budget amounts from a summary account to the detail accounts bases on different allocation basis. 94. Ability to Allocate annual budget amounts to the accounting periods with different allocation basis, with the ability to override the allocations manually. 95. Ability to Transfer budget between accounts within various sections. 96. Ability to Restrict transfer of budget between two groups of account such as recurrent expenses budget and capital expenditure budgets. 97. Ability to Support centralized and decentralized budgeting process. 98. Ability to Restrict inputting/changing finalized budgets by way of password. 99. Ability to Maintain multiple budgets for a year. Allow inputting budgets for 5 years under different budget ids. Generate comparison reports based on revised and original budgets. s/reference to KenTrade ERP Solution Page 50

Item 100. Ability for the System should support transferring budgets from one year to another year within the same account structure. 101. Ability to Verify that funds distributed do not exceed the funds available for allocation or sub-allocation at each distribution level. The system should not allow activating a budget as current unless this condition is met. 102. Sub-system activities should be controlled according to the Budget provided in the GL. 103. Ability to Generate budget allocation reports by various services and distribute them electronically to various services indicating the version, date and time. 104. Ability to Provide online facilities to view actual data with original budget or revised budgets. 105. Ability for Each department/function should be able to view its own actual budget, spending to date and expected expenditures for the rest of the period. 106. Commitment Accounting & Fund Checking Commitment Accounting 107. Ability to automatically generate Purchase Requisition (PR) commitment journals when a PR is created/amended/cancelled. When a PR is converted into P.O., reverse PR commitment and increase the PO commitment. When the PO is closed or cancelled reverse the PO commitment. 108. Ability to Provide a link to the Commitment journal and the Obligating document. 109. Ability to Carry forward outstanding commitment to next year. Budget Balance Checking 110. Ability to Provide option to set up account codes to check funds. 111. Ability to Setup approval tolerance for budget checking by percentage and amount. 112. Ability to Allow funds to be reserved at different instances. Example: While creating/forwarding the Purchase Request for approval or while finally approving the Purchase Request 113. Ability to Recheck for funds availability when changes are made to commitments. 114. Ability to Allow for available fund balances to include credits due from internal and external organizations. 115. Ability to Fund check failed transactions should be saved in the system for corrective action or cancellation. 116. Ability to Provide inquiries based on budget, commitment and actual. Multi Currency Management Currency Table 117. The system should support multiple currencies. For this purpose, it should maintain a currency table that is common to GL and the subsystems. s/reference to KenTrade ERP Solution Page 51

Item Exchange gain/loss 118. The system should automatically generate Exchange gain/loss entries for Supplier/Customer transactions. Foreign Currency Valuation 119. System should be able to carry out foreign currency valuation of Foreign currency Balance sheet accounts. Revaluation of Assets and Liabilities 120. System should provide for revaluation of Assets and Liabilities based on predefined rates. General s Import of data 121. It should be possible to import Journals, Chart of Account, General Ledger, Sub-ledgers, Budget etc. from text files or Excel sheets. All imported data should go through respective data validation. Export of data 122. Flexible data export capability based on user-defined selection criteria should be available to support decision support modules and reporting needs. Bank Reconciliation 123. The module should provide the bank reconciliation function (manual and electronic). Cash Flow Management 124. The module should provide the Cash Flow Management function. Drill-down facility 125. It should be possible to seamlessly drill down from the summary level to each subsequent hierarchy level below it, including the data from the sub-systems. Archival 126. System should enable to archive data as required by the users. Audit Trails 127. All data entry and changes to online JVs, interface JVs, Chart of Account etc. should be audit trailed with user name, date and time of entry/change etc. System generated recurring JVs, allocation JVs etc. also should be audit trailed. Online facility should be provided to review these Audit trails. s/reference to KenTrade ERP Solution Page 52

Planning and Budgets s Item 1. Ability to Support different methods of Budgeting such as: top down, bottom up 2. Ability to Enter budget by GL code, period (e.g. monthly), in summary or in detail 3. Ability to Facilitate spreadsheet integration with budget 4. Ability to Restrict inputting or changing finalized budgets by way of password 5. Set up budgets by various budget sections 6. Consolidate various budget sections/departments etc to a single master budget 7. A unified Chart of Accounts for Accounting and Budgeting 8. Ability to integrate the budgets to all relevant modules. 9. Maintain budgets by: Account, sections, departments etc 10. Ability to budget at top and detailed levels (cost centre, expense code etc). Ability to allocate the top level budget to detailed levels through defined formulas 11. Ability to adjust multiple levels of budgets in hierarchical relationship cumulating at top level and budgeting at detail account level. Ability to produce a starter set of data for new budget year and send to various departments through desk top integrators or spreadsheets through email. Actual to be downloaded from General ledger 12. Ability to download budget / actual data on company, departmental basis, account range, period etc both at top and detailed levels 13. Ability to provide formula tools for calculating the budgets based on statistical / prior year figures 14. Ability to work out new Budget as percentage of previous years expenses or original / previous budget 15. Ability to Upload budget from spreadsheets. 16. Ability to freeze / unfreeze budgets by authorized users in Budget department 17. Ability to generate mass budget revisions, formula budgets 18. Ability to record and keep an original budget, budget changes, and a revised budget for each cost account at each level in the hierarchy 19. The ability to save Budget file and to create history file BUDGETARY CONTROLS 20. Maintain encumbrance Accounting (absolute) basis. 21. Ability to stop processing the RFQ / PO / invoice when the commitment exceeds budget 22. Ability to encumber the budgets at Purchase order / invoice level on absolute check.the commitment check to be made at detailed and top level of each expense account and to be passed if cleared at either level s/reference to KenTrade ERP Solution Page 53

Item 23. Support commitment accounting interlinked with Purchasing module 24. Ability to reverse commitment once the concerned RFQ / PO are cancelled 25. Facility for all departments to view / query budget data (pertaining to that department) - linked to user privileges 26. Provide basic budget preparation tools to generate "what-if" scenarios based on Past year average Revenue and cost forecasting Manpower cost Forecasted Policies Budget formula Budget rules etc. Budget relating to statistical information/account Incorporating different underlying assumptions on variables such as inflation and exchange rates 27. Ability for the System should support transferring budgets from one year to another year within the same account combination 28. Verify that funds distributed do not exceed the amount of funds available for allocation or sub-allocation at each distribution level. 29. Allow entering annual budget spread over different periods: At detailed account level At summary account level for a range of detailed accounts s/reference to 30. 31. 32. Validation of budget transfers at the same cost level between the cost centers. No budget transfers allowed between the cost codes until the approval of budget transfers the commitment to be kept on hold Restrict transfer of budget between two groups of account and make it subject to management approval Ability to amend / reallocate budgets at any time during the year with adequate security Fund Checking & Commitment Accounting 33. Have absolute, advisory and no fund checking 34. 35. Absolute, advisory and no fund checking option to be possible for: All commitment transactions All actual transactions including direct journals Allow funds to be reserved at different instances. e.g.: While creating and forwarding the PR for approval or while finally approving the PR 36. Recheck for funds availability when changes are made to commitments. 37. Setup approval tolerance for budget checking by percentage and amount 38. Option to setup checking funds against a single account code 39. Option to setup checking funds against a summary account code 40. Set up budgets and budget checking based on year to date balance 41. Create commitments online when a Purchase requisition is created 42. Create commitments online when a Purchase order is created KenTrade ERP Solution Page 54

Item 43. 44. 45. 46. 47. Create commitment journals automatically when a PR or a PO is created, amended or cancelled Reverse PR commitment when a Purchase Requisition is converted Purchase Order and increase PO Commitment automatically and excess commitment to be credited back Adjust commitments automatically upon closing or canceling of PO and PR documents Allow multiple commitments to be combined into one obligating document. Maintain history of related to each commitment document, including amendments. s/reference to 48. 49. 50. Allow online budget inquiry based on commitment and actual: In Summary In Detail Fund Checking & Commitment Accounting An on-line query system with flexible options to show the budget (original, revised, encumbered, actual, statistical etc) at top and detailed level of cost codes, the details filtered based on user privileges. Ability to produce reports on the same basis as above with variations / percentages / ratios and graphical presentations if needed 51. Ability to produce reports on budget changes and transfers 52. Ability to produce exception reports 53. The ability to download and upload information 54. 55. To capture budgets for reporting at pre-defined times per year (PTD, QTD, YTD, etc) A user friendly ad-hoc report generator with items such as multiple year capability, year end and monthly reports for managers, departments (show expense and income accounts) 56. Access to historical information on-line 57. Ability to produce master budget book with details, sub details and consolidation, including budget / actual/ statistical and comparative data and graphical presentation of the details Accounts Payable (AP) s Item 1. State of the art Technology Accounts Payable and the other Financial systems should be parts of an integrated Enterprise solution based on the state of the art Information Technology, fusing the technologies GUI, Graphics, Charts, Object linking, Internet, email, Workflow, Drill-down s/reference to KenTrade ERP Solution Page 55

Item 2. Multiple companies Accounts Payable and the other Financial systems should support multiple companies within a corporation. Every company is a separate operating unit with its own Purchase, Payable, Inventory and Receivable. 3. Multiple currencies The package should support multiple currencies using a centralized currency conversion table. 4. Object linking The package should enable linking of objects such as images, scanned images of invoices, MS Word documents, MS Excel spreadsheets etc. to the screens and the reports. 5. Report Writer An end-user driven online report writer should be available within the package. Up to the moment data from the Payables and the other financial systems should be available to the end-users for reporting purposes. 6. Provide company level vendor master with the capability to identify common vendors within the Corporation. 7. Provide an online facility to maintain the vendor master. The Vendor master is common to Purchase and Accounts Payable System. 8. Enable interfacing of vendor master data from external applications to Accounts Payable System, if necessary. 9. It should be noted that a vendor may have business units in various countries. Hence there may be several business addresses for a vendor. 10. Though a vendor normally transacts in a particular currency, occasionally there may be invoices with different currencies from a vendor. 11. Main data to be kept for each vendor Vendor No. (alphanumeric, system generated or user assigned) Legal name of a vendor, Other Name, Short name Vendor category/type for reporting purposes Remittance-to addresses (minimum 5 nos.) including phone no., contact name, fax no., email id. Web address etc. for each occurrence Bank information (e.g., Bank code, Bank account number, etc.) Vendor PIN Number Vendor VAT Number Default payment mode (Cheque/DD/TT etc.) Default payment currency Payment grouping Option (Each invoice should be paid separately or several invoices can be grouped and the total may be paid). Status (active/inactive/on-hold etc.) Payment/Credit/Discount terms User defined data 12. It is possible that a vendor of Accounts Payable and a customer of s/reference to KenTrade ERP Solution Page 56

Item Accounts Receivable may be same. Hence there should be a link between Vendor Master and Customer Master to identify common vendor/customer. 13. Prevention of duplicate Vendor Master records The system should not allow for duplicate vendors 14. Provide an indicator for identifying whether number of outstanding invoices can be grouped and paid as one payment or each invoice should be paid individually. 15. Provide an indicator to indicate how long a vendor should be active in the system. One-time vendors may be archived at the time of payment of all outstanding invoices. Regular vendors should be archived based on the user specified date or length of inactivity. The archival data includes vendor master data, invoices, payments and audit trails. The archival should be readily accessible for inquiry/report purposes. 16. Maintain Payment terms, Discount terms, Early payment discount, Late payment penalties etc. offered by the vendor. The payment processing should consider these terms to maximize the discounts and minimize the penalties. 17. Maintain Vendor History (Invoices, payments etc.) online for the required no. ofyears. Minimum 7 (seven) years. 18. Provide vendor inquiry/report as per user defined selection and sorting criteria (e.g., all utility vendors that are on hold).also provide the option to the users to specify what information they desire to see (e.g., vendor type, vendor status, and vendor name). 19. Recurring payments will be used if a predefined amount is to be paid to a vendor periodically based on an invoice or contract terms. As soon as a user registers a Recurring Payment, the request is automatically routed to the respective approver. Upon approval, the recurring payment record becomes active and will be automatically paid during the standard payment cycle at the appropriate time. 20. Provide an online facility to register recurring payments with following data. - Vendor no. - Invoice/Contract no. - Recurring payment amount - Accounting information - Begin and End payment date - Frequency of payment (Weekly, Monthly, Quarterly, Biannually, Annually etc.) - Recurring payment type - Business reason for the payment,etc 21. Provide facility to include onetime special payments (deposit payment etc.) within a recurring payment. Allow modification of recurring payment information due to changes in agreement terms, amounts, s/reference to KenTrade ERP Solution Page 57

Item frequency, etc. 22. Allow the duration of payments to span years. 23. Allow a recurring payment to be deleted within its period of payment. 24. Provide notification to the user on any recurring payments nearing expiration based on a user specified notification time period. 25. Vendors may be paid advances against specific purchase orders or on account. Invoices/Purchase-orders may be advanced in part/full. 26. If advance has been paid for an invoice, system should adjust the advance automatically. Offset on account payment against invoices payable. 27. In case of on account payment, system should offset the on account payment against the invoices. 28. System should provide an ageing report of advances paid. 29. When adjusting an invoice against an advance, the resulting currency conversion differences should be automatically interfaced into GL. 30. Provide for user defined Voucher types (Vendor Invoices, Credit memos, Adjustments, Employee Advances etc.) and multi currencies. The system should assign automatic serial numbers to the vouchers. 31. Provide the capability to support rush payments. A rush payment is one that is processed immediately subject to pre-determined payment processing rules. 32. Provide an online data entry facility to register and maintain vendor invoices. Display default information obtained from vendor master such as Vendor name, Remit-to address, Payment terms, Payment due date, Payment mode, Payment grouping indicator, Payment currency, Bank information, Discount terms etc. that may be overridden by the user. 33. Invoices may be imported from an Excel/Text file and then processed in batch. The invoices thus processed in batch should undergo all the checks done for online invoices. 34. Prohibit the entry of duplicate vendor invoices. 35. Users will be required to enter all pertinent information about the invoice such as Invoice Date, Invoice amount, Payment terms, department / sections responsible for the invoice etc. Line level data includes Purchase order No., Quantity, Line amount and accounting entries. 36. Provide the ability for the user to create and maintain templates, set up for a specific vendor for goods and/or services that are commonly purchased. The user is allowed to retrieve the template, make the necessary updates and release. 37. Permit the user to specify that the invoice should be processed and posted but should not be paid (Held).Also allow the entry of a reason for holding payment. The reason may be obtained from a table of userdefined reasons. 38. Permit the user to specify multiple accounting entries per line item in order to facilitate the proper allocation of expenses across the organization. 39. Require the entry of the employee number if the expense involves an s/reference to KenTrade ERP Solution Page 58

Item employee (e.g. imprest, petty cash etc.) 40. Ensure that each invoice is accompanied by a business reason. Allow a business reason for each specific invoice line item. 41. Provide the ability to relate a vendor invoice to one previously processed. For instance, a separate tax invoice may be tendered that pertains to a previous invoice. Insure that the charges were not levied on the original invoice. 42. In case of invoices in foreign currency, provide a facility to indicate the exchange rate and the value date as at the date of the transaction. 43. Generate a unique serial number for each invoice and invoice line for later reference. 44. Discounts and penalties should be based on the invoice date and the payment date. 45. Identify fixed assets based on the account and interface them to the Fixed Asset system. 46. Provide an interface to the General Ledger Module to post the appropriate journal entries. 47. Provide standard inquiry/report facilities as per user defined selection criteria (Invoices awaiting approval, Outstanding invoices, Paid invoices etc.), sort order and data fields. 48. The Accounts Payable System should support entry, approval, and payment of advances to employees (Salary advances, Duty travel advances, Expense Reports etc.). 49. Expense reports may be treated as request for advance for which an advance might have been already paid. In case of Expense reports, system should automatically adjust the advance already paid. If the total expenses are less than the advance, the employee may pay back the difference or the difference may be deducted from the payroll. The system should automatically handle these tasks. 50. The Accounts Payable system should integrate with Payroll module to ensure that the employee number is valid and the employee is currently in service. 51. Payment of advances to employees is similar to the payment of invoices to the vendors. Hence employees may be identified as vendors and the expense-reports as invoices. Functions that are available for invoices should be available for Employee advances also, wherever applicable. 52. Provide an online data entry facility to register and maintain employee advances. Display default information obtained from Employee master such as Employee name, Remit-to-address, Payment due date, Payment mode (Payroll/Cheque/Direct transfer to Bank Account), Payment Currency, Bank information etc. Users will be inputting all the pertinent data such as amount, Voucher type, date payment is needed, whether the amount is repayable by the employee, how the advance will be repaid, the accounting entries for the payment. Etc. 53. Business reason should be input at the voucher level or line level. Each s/reference to KenTrade ERP Solution Page 59

Item reason should include certain prompts for information. For instance, if the reason for the advance is for travel, the module should prompt the user to indicate where, why, when and how long. 54. Provide a mechanism whereby an advance may be written off. Ensure that the appropriate approval exists and a reason is included. 55. Create a unique identifier for each advance and advance line. 56. Provide inquiries/reports on employee payment data based on user defined selection criteria. 57. Allow the user to input the details of the payee, if payee is not the employee. 58. Provide an alert to the employee responsible for processing the payment when the expense is scheduled for payment. 59. Enable to define Expense Report templates with default accounting information for the expense items for selected employee expenses. Certification of Invoices for Payment 60. Validate invoices entered through a user defined approval hierarchy with amount limits and pass it for payment 61. Provide invoice approval workflow module. 62. Match the invoice quantity with Purchase order, GRN and Inspection Report to certify Stock invoices subject to pre-determined rules. E.g.: A user should be allowed to match an invoice with a goods receipt even if the PO price and Invoice price differ within perm 63. Amount payable to a P.O. should not exceed (Total value of inspection approved receipt qty Amount already paid for that P.O.) 64. When there is an invoice towards incidental charges such as freight, customs or insurance which is related to a consignment received, the system should allow the users to match these invoices to the respective GRN or Purchase Order. 65. Payment should not be cleared unless goods are accepted by the concerned department and electronic approval is provided. 66. Accept payment, or reject it while seeking further clarifications for the rejected payments. s/reference to Payment Features 67. Enable Partial payments of invoices and payments in installments. 68. Enable payments to one-time vendors who are not defined in the payable system. 69. Consolidate multiple payments to a single payee. 70. Following payment methods should be supported -Cash, Cheque automated or handwritten or typewritten -Bank transfer, Electronic Transfer capable of interfacing with the banking software -Letter of Credit KenTrade ERP Solution Page 60

Item 71. The system should support -Part payment of invoices, Payment of invoices in installments -Recurring Payment as per contracts, Pre-paid Invoices -Petty cash payment s/reference to 72. Allow defining multiple bank accounts (normally, depending on currency). 73. Provide the capability to prevent payment to a vendor with a debit balance (AR).Create charge-backs to receivables automatically. 74. The system should provide for Post dated cheques. This is to be handled through memo vouchers. The system should provide a list of post-dated cheques. 75. Hold Payments -Enable to hold Payments for a specific vendor/ specific invoice. -Automatically hold payment of invoices that do not match with PO. -Provide user definable hold types. -Hold removal should be based on password control. Capability to place payments on hold based on user specified criteria (e.g., vendor, due date range, etc.). 76. Invoices/Purchase-orders may be advanced in part/full. If advance has been paid for an invoice, system should adjust the advance automatically. Offset on account payment against invoices payable. Payment Scheduling 77. All invoices, expense reports and employee advances will be marked Ready to Pay upon approval. The Accounts Payable section is responsible for scheduling and processing the actual payments. 78. Payment schedules may be based upon -Vendor category (Local, Foreign etc.) -Due date -Payment method (Cheque or DD or TT etc.) -Voucher types (Vendor Invoices, Staff advances etc.) 79. A quick payment option should be provided to select the vendor and the invoice for immediate payment. 80. Provide access to payment scheduling information based on user defined selection criteria (i.e., desire to view the schedule for paying advances). 81. Generate list of invoices selected for payment and an exception list with invoices not selected for payment. Select or exclude invoices after auto generating them for payment. 82. Specify whether to include debit/ credit note at payment run. 83. Credit notes Credit notes may be against a specific invoice or for a vendor. Adjust the credit notes to against invoices and pay the balance. If a credit note is not fully used by one payment, maintain the balance of the credit for application against a future payment. KenTrade ERP Solution Page 61

Item Send a note to the supplier that a credit has been applied to the affected payment. 84. Retention Money control Calculate retention according to a predefined percentage or a fixed amount. Provide inquiry on total retention for a vendor. Provide report showing Invoice amount, paid amount, outstanding amount and retention amount for each invoice. Retention money should be posted into a separate GL Account. 85. Bank Transfer payments Print Bank transfer letters with Vendor bank Account details. 86. Provide for inputting debit/credit memos and apply them to the invoice. 87. Remittance advices Print remittance advices for all payments with detailed breakdown of the payment. Email the remittance advices to the vendors directly from the system. 88. Payment currency Pay the invoices in Invoice currency. Post exchange gain or loss automatically into GL. 89. Generate debit notes for Purchase Returns. 90. When interfacing a Payment voucher to GL, include bank charges, etc. and the net effect is posted to the bank. 91. Accumulate all outstanding expense reports for an employee and process a single payment. Indicate the individual expense report identifiers on the payment support. 92. Automate late delivery penalties Processing. Calculate the penalty based on the delay in actual delivery from the agreed delivery date based on predefined percentages and tariffs. The amount payable on the invoice to be reduced to that extent 93. Automatically generate unique payment identification numbers. 94. Provide a report, inquiry or printed, of those vouchers that consist of invoices to which discounts may be taken (based on their scheduled payment process date), but are not specified to take advantage of the discounts. 95. Provide online facility to cancel a Payment. The payment cancellation involves - Mark the payment as canceled and post the cancellation reason in the payment record. - Reversal of all the associated accounting entries. - Reset the associated voucher, vendor invoice, expense report or advance status to ready to pay status. 96. Provide the access to payment cancellation information based on user defined selection criteria (all canceled payments for a specific department by a specific employee). s/reference to KenTrade ERP Solution Page 62

Item Interface to General Ledger 97. Option to interface accounting entries to GL in detail or in summary. 98. Should be able to post Expense accounting entries and Payment entries. 99. Capability to pass accruals for invoices. 100. Generate accrual entries upon receipt and acceptance of goods and services. 101. Capability to derive expense accounts from the Part No. etc. 102. Capability to pass Exchange gain/loss account entries automatically. 103. Accounts Payable Sub-ledger should reconcile with GL at any point of time. 104. Enable amortization of prepaid expenses in GL, once the payment is made. 105. Allow inputting pre-defined text codes in the place of account Nos. For example, if the user inputs hotel in Account field, it should be automatically translated into corresponding account number. 106. Validate all accounting data using General Ledger. 107. Transaction inquiries - By vendor key -By vendor name -By check or payment number etc Vendor sub-ledger inquiry/report 108. Open vendor transactions 109. Vendor transactions not posted to General Ledger 110. Payable amounts -Vendor -Accounts Payable Control account -Advance payments account -Expense account etc. 111. Provide the ability to perform document cross-referencing in which a user can query on any document and identify the document numbers of associated transactions in the processing "chain" (e.g., querying on a purchase order would provide any amendments to purchase orders, receiving notes, requisitions, and invoices). 112. Payment voucher 113. Bank transfer advice 114. Cash requirement report (proposed payments listing based on due date) 115. Age the payable reports (Summary or detail) by Due date, by Invoice date 116. Historical vendor invoices (settled fully) 117. Material Receipts for which invoice is not yet received 118. Vendor Statement of Account in foreign/local currency 119. Overdue invoices by vendor s/reference to KenTrade ERP Solution Page 63

Item 120. Penalty imposed 121. Uncertified invoices 122. Vendor purchases/purchase-returns/payments/voided-payments 123. Unallocated payment 124. Invoices on hold 125. Approved invoices, Unapproved invoices 126. Invoices released from hold 127. Post-dated cheques 128. Email to suppliers (Balance Confirmation, Remittance advice etc.) 129. Outstanding analysis by Department or Cost Centre. 130. Accounts payable sub ledger in summary and in detail to reconcile the vendor balances with the control account balances in the General Ledger 131. Payment due alert 132. Payment due date management 133. Bank reconciliation. 134. Discounts earned and lost report 135. Check Register 136. User friendly report writer for ad hoc inquiries/reports General s 137. Goods and services may be received as a single receipt or multiple receipts. An invoice may contain multiple Purchase Orders. 138. Prevent duplicate payment and overpayment of invoices/purchaseorders. 139. Close the P.O. Automatically upon final matching of invoices. 140. Interface to Fixed Assets System Fixed Assets should be automatically interfaced into the Fixed Assets System from Accounts Payable System. 141. Audit Trails -Provide audit trail of all changes to master files and transactions. 142. Supplier/Customer Netting -Set off vendor balance with customer balance -Notify the existence of a related customer outstanding -Generate warning while making payment to vendors who is also a customer if any outstanding amount is due from him s/reference to Accounts Receivable (AR) s Item 1. State of the art Technology s/reference to KenTrade ERP Solution Page 64

Item Accounts Receivable and the other Financial systems should be parts of an integrated Enterprise solution based on the state of the art Information Technology, fusing the technologies GUI, Graphics, Charts, Object linking, Internet, email, Workflow, Drill-Down 2. Multiple companies Accounts Receivable and the other Financial systems should support multiple companies within a corporation. Every company is a separate operating unit with its own Purchase, Payable, Inventory and Receivable. Corporation level consolidation and reporting 3. Multiple currencies The package should support multiple currencies using a centralized currency conversion table. 4. Object linking The package should enable linking of objects such as mages, scanned images of invoices, MS Word documents, MS Excel spreadsheets etc. to the screens an3 the reports. 5. Report Writer An end-user driven online report writer should be available within the package. Up to the moment data from the Receivables and the other financial systems should be available to the end-users for reporting purposes. 6. Objective Provide management with the information required to exercise financial and administration control over the Debtors. 7. Main data to be kept for each customer Customer Id. (alphanumeric, system generated or user assigned) Legal name of the customer, Short name Multiple addresses (Sold-to, Bill-to, Shipment-to, Statement-to etc.) names and addresses including phone no., contact name and designation, fax no., email id. Web address etc. Customer category/type for reporting purposes (Internal/External, Local/Foreign, Private/Government etc.) Default Currency Default Payment/Credit/Discount terms (Payment days, Interest rates on overdue payments, Prepayments, Minimum charge etc.). Default standard customer terms may be overridden by the user. Allow different Payment terms by the billing address. Credit Rating and Limit Method of payment Status (active/inactive/on-hold etc.) Parent customer code to consolidate the customer with multiple bill-to and sold-to addresses for credit and balance calculations Sales Representative responsible for the customer Credit contacts made with vendor (dates and comments) Flag to indicate disputes exist with the customer s/reference to KenTrade ERP Solution Page 65

Item Default Revenue account Market Segment Frequency of Statement of Account Generation User defined data 8. Maintain a Customer Master for each company with the facility to identify common customers within the Corporation. 9. Provide an online facility to maintain the Customer Master. Customer master may be interfaced from external applications to Accounts Receivable System. 10. System should prevent creation of duplicate customer masters. If there are identical information input such as customer name or P.O. Box or Phone No. while creating a new customer, the system should warn that the customer is already present. 11. A vendor of Accounts Payable and a customer of Accounts Receivable may be same. Hence there should be a link between Vendor Master and Customer Master to identify common vendor/customer. 12. If a customer has multiple billing addresses, provide for individual credit limit as well as corporate level credit limit. If only corporate level credit limit is specified, distribute it to various companies within the corporation. Customer Invoices 13. Provide for various types of invoices. Examples: Sales invoices, Manual invoices, Inter-department invoices Adjustment to invoices, Credit and debit memos, Statements Applicable penalties such as delayed rent, landing and parking fees, bounced cheques, etc Advances, Prepayments Every document type may have its own document sequence. 14. Invoices may be interfaced from an external Billing System and processed in batch. However provide an online facility to input/maintain invoices with following data. Customer number Invoice no. and date (system generated) PIN and VAT number Customer s PO number (one or more lines) Comments, Source identifier Default Payment terms code, due date etc. that may be overridden Default accounting period that may be overridden Gross and net invoice amount, Currency Taxes Ability to provide ETR signature Discount type and amount, Account No. to post discount. Tag to indicate that the Invoice is under dispute etc. s/reference to KenTrade ERP Solution Page 66

Item Display default customer information that may be overridden by the user. If invoices are processed in batch, they should undergo all the validations of invoices entered online. 15. Enable to input details necessary for distributing the revenue (Division, Department, Cost Centre, Location, Product Type, Account number, Activity, Event etc.). Allow unlimited account distribution lines. The user may override default account distribution 16. The system should prevent inputting duplicate invoices. 17. Invoice Printing Provide facility to print invoices in multiple customizable format. Invoice format may differ depending upon the product type, customer type etc. The invoices may be printed on A4 or Preprinted stationery. Restrict invoice printing if not approved. If an invoice is reprinted, indicate it as Reprint. Select Bank Account in the invoice for payment Print Bank account and payment mode details on the invoice. Invoices may be printed in batch based on a predefined sort order such as Customer code. Invoices may be printed in multiple currencies. 18. The system should support Multiple invoices for a Purchase order Multiple Purchase Orders for an invoice Calculation of commissions, freight, discount, and net invoice amount Different due dates for individual lines on the same invoice 19. The system should keep track of following data for each customer. Turnover details for this period, year to date, and last year Average number of days paid late Last invoice date and amount History of invoices 20. The system should consider Freight outward, Insurance etc. along with the respective invoice. Receipts from Customers 21. Provide for various types of receipts. Examples: Pre-payments Partial payments Automatic recurring payments One-time customer payments Stop payments Void payments (automatic reversal for void cheques) s/reference to KenTrade ERP Solution Page 67

Item Write-offs Offsets Non-A/R receipts (Cash payment from employees etc.) 22. Receipts from Customers may be interfaced from a feeder module. However provide an online facility to input and maintain receipts. 23. The online facility to maintain the receipts should also enable the users to navigate through the open invoices and apply the receipt. 24. When entering a Receipt for a customer, the system should consider the bank charges, exchange loss etc. 25. Provide facility to print Cash Receipt form (customer copy). 26. Record bad cheques from vendors 27. Maintain collections history for every customer. Application of Receipts to Invoices 28. Receipts may be applied to the invoices at the time of inputting the receipt or later. Receipts may be applied to invoices in batch run also. The receipts may be applied to selected invoices or oldest invoices or left as unapplied. A receipt may be applied. 29. Reversal of cash application should be equally flexible, and should fully reverse an applied payment. 30. Enable cash application corrections across companies and generate related accounting distribution. 31. The system should support partial receipt for an invoice as well as one receipt for multiple invoices. 32. Enable to apply a single payment from a customer across multiple business units 33. Enable to apply Credit Notes to invoices. 34. Receipts and Invoices may be of different currency. Automatically calculate and generate accounting entries for currency exchange gains or losses 35. Prepaid receipts should be automatically processed. Application of Prepaid receipts may span one or more financial years. 36. A receipt that is already applied and posted in GL may be voided, if a cheque is dishonored. The history of dishonored cheques by customer should be available in the system for future decision making and classify the customer on his credit worthiness. In 37. The system should interface accounting entries automatically to GL for each receipt. Netting of Payables and Receivables 38. In case of a customer who is also a vendor, Compare A/P and A/R balances by customer for potential offset. ability to create a payment in Accounts Payable against the supplier s invoice ability to create a receipt in Accounts Receivable against the customer s invoice s/reference to KenTrade ERP Solution Page 68

Item Produce a report with the above details that may be sent to the Vendor/customer. Inquiries 39. A single screen to analyze all obligations, receipts and unapplied receipts for a given customer 40. Summary screen showing following details by customer. Sales year to date Last invoice date and amount Last receipt date and amount Outstanding invoice balance, ageing Overdue invoice balance, ageing Unapplied receipts It should be possible to drill-down these details to Invoices and Receipts level. 41. Online inquiry of invoices/receipts by Invoice No. Customer No. Customer Name Cheque/Receipt No. Invoice amount Invoice date Receipt amount Receipt date 42. Online inquiry of Period-to-date/Year-to-date invoices/receipts/voided- Receipts etc. by Customer or Customer-type Reports 43. Customer Master Report 44. All "children" related to a specific "parent" customer 45. Customers on hold 46. Customer Credit status (Balance and remaining credit) 47. Customer Transaction Register (Summary/Detail) 48. Unapplied Receipts Register 49. Customer History Report 50. Customer PTD/YTD invoices/receipts/voided-receipts 51. Receivable amount by customer or by GL control account 52. Overdue invoices by Customer or Customer type 53. Customer Statement of account, Reminder letter, Balance confirmation letter etc. (in customized format) 54. Customer Performance report showing due date and payment date. 55. Profitability Report by Customer or by product 56. Sales Commissions due report s/reference to KenTrade ERP Solution Page 69

Item 57. Customers with credit balance 58. Budget vs. Actual sales 59. Price/Qty variance analysis 60. Daily invoices register 61. Open or Paid invoices by customer (by Invoice No. or by Invoice/Line No.) 62. Daily receipts register 63. Bank deposit slip 64. Receipts history by Customer or Payment type or Invoice 65. Standard report for tracking unapplied receipts 66. Aged customer statement of account (Summary/Detail) The aging may be based on Invoice date, transaction date, due date, discounts date etc. User may specify the selection criteria and the sort sequence. Ageing report may be required as of a past date. For this purpose the system should keep a snapshot of the statement as of last date of every month. Include Invoice reference and customer s reference for cheques. A Period-to-date Statement of account will show the opening balance carried forward from the previous period, movements during the current period and the closing balance. A detailed Statement of account will include all the outstanding invoices. Print disputed outstanding in a separate column. The statement of account should be available by billing-address as well as consolidated by the parent customer. It should be possible to group the statement as per user requirement.). Example: - by Department - by Division - by Sales agent - by Territory - by Customer Class s/reference to Enable to fax or E-mail the statement to customers automatically. Enable to download the statement into Excel. 67. Sales Reports Sales and gross profit by customer (YTD, last year) Sales Register (Shows variance between the Quotation and invoice) 68. Standard reports: Bad debts Invoices past due days and outstanding days Invoices coming due in future time periods collections performance KenTrade ERP Solution Page 70

Item 69. Dunning Letters Provide multiple form of dunning letters. Enable to automatically fax or email them to the customer. Enable to selectively remove line items from the dunning letter. 70. Customer activity statements produced automatically for certain customers or for all customers for a given sales executive 71. Automatic reconciliation of Accounts Receivable Ledger with General Ledger 72. Average collection period analysis (number of days taken to pay from invoice date) 73. Cash-flow forecast for current/future periods. 74. Corporate level reports by consolidating the company level data General s 75. Bad debts Automatically determine bad debts (based on parameters), initiate write-off procedure and generate appropriate account entries. 76. Interface to GL ability to apply bad debts on case by case basis Provide an on-line facility to write-off bad debts. Invoke a written-off amount, if a customer agrees to pay the amount. The system should generate accounting entries automatically for every transaction that takes place in the system. The Journals may be interfaced to GL daily/weekly/monthly as required by the users. 77. Provide an automatic credit rating facility for each customer. 78. Provide for automatic write-off of small differences on cash remittances according to pre-set criteria. 79. Restrict sensitive functions (generation of credit memos, rescheduling of due dates, reductions in receivable amounts, bad debt write off etc.) to authorized users only. 80. Provide auto-reminder capabilities. 81. It should be possible to pay a debtor for Credit Notes through a bank transaction. 82. Provide a facility to maintain security deposit for a customer. Security deposit should be independent of the customer balance. 83. Provide facility to manage the post dated cheques from the customers. 84. Provide web access to customers to view their account. 85. Audit trails should be provided for all data. s/reference to KenTrade ERP Solution Page 71

Cash Management s Item 1. The module should provide cash flows projections from the integrated modules 2. The module should provide cash flows projections from external modules on local and remote databases 3. Users can define cash forecast templates including: -Forecasting periods -Selection criteria for each source 4. Module should be able to generate cash forecast in any currency 5. Module should allow to analyze currency exposure 6. Module should allow the recording of bank statements automatically or manually 7. Users should be able to reconcile bank statements automatically or manually 8. Users should be able to reconcile with payments and receipts in the payables and receivables programs and external modules 9. Users should be able to reconcile correcting statement lines against error statement lines 10. Users should be able to Clear payments and receipts prior to reconciliation 11. Users should be able to : a. automatically create miscellaneous transactions to record bank initiated activities b. Automatically generate reconciliation accounting entries c. automatically record foreign currency gains and losses d. automatically reverse bounced cheques or rejected receipts 12. The module should allow users to run inquiries to review cash forecasts and reconciliation activities 13. Module should allow users to run standard reports to: -Review cash forecasts -Analyze bank statements -Identify transactions available for reconciliation -Compare bank and G/L balances Audit bank statement document numbers, among others 14. Provide access to projected cash requirements information based on selected time frames (i.e., desire to view the projected cash requirements for the next 30 days). 15. Support the real time printing of cheques that are designated as real time rushes. 16. Provide access to payment information based on user defined selection criteria (i.e., desire to see all cleared payment information for the month of August). 17. Provide the ability for reprinting of cheques or the regeneration of electronic funds transfers (BANK TRANSFER).The module should allow s/reference to KenTrade ERP Solution Page 72

Item reprinting and regeneration only if the payment has not cleared and a stop payment has been issued. 18. Provide a report, inquiry or printed, of current cash needs based on those expenditures (vouchers, expense reports and advances) that are approved to pay, but not yet paid. 19. Default the cancellation date to the current date, but allow it to be overridden. 20. Prevent any cancellation activities if the payment has cleared the bank. 21. Prevent the issuance of any new payment until the stop payment is flagged as received and accepted by the banking institution. 22. Provide a facility to indicate that the stop payment has been received and accepted by the banking institution. 23. Have the ability to create both computer produced and manual cheques. 24. Allow for the automatic production of cheques based on date, account balance etc. 25. Electronic payment capability must be included in the module. 26. Be capable of producing cheques on a mass basis after appropriate security has been exercised. 27. Allow for the entry and recording of manual produced cheques; 28. Allow for the generation of a single cheque for multiple invoices from a single vendor. 29. Prevent the use of duplicate cheque numbers and flag breaks in cheque number sequence. 30. Maintain a minimum of seven year record of cheques paid to vendors, sorted by vendor. 31. Checks for duplicate cheque numbers. 32. Can print cheque details on more than one cheques tub. 33. Can print separate cheque remittance advices. 34. Provides an audit trail of voided cheques. s/reference to Fixed Assets s Item 1. State of the art Technology Fixed Assets and the other Financial systems should be parts of an integrated Enterprise solution based on the state of the art Information Technology, fusing the technologies GUI, Graphics, Charts, Object linking, Internet, email, Workflow, Drill-down, E s/reference to KenTrade ERP Solution Page 73

Item 2. Multiple companies Fixed Assets and the other Financial systems should support multiple companies within a corporation. Every company is a separate operating unit with its own Purchase, Payable, Inventory and Receivable. Corporation level consolidation and reporting should 3. Multiple currencies The package should support multiple currencies using a centralized currency conversion table. 4. Object linking The package should enable linking of objects such as images, scanned images of invoices, MS Word documents, MS Excel spreadsheets etc. to the screens and the reports. 5. Report Writer An end-user driven online report writer should be available within the package. Up to the moment data from the Fixed Assets and the other financial systems should be available to the end-users for reporting purposes. 6. Objective Provides the capability to setup and maintain depreciation methods and schedules to the Fixed Assets and apply the depreciation. Depreciation Setup and Processing 7. Capitalized assets are setup within asset groups. Provide online facility to maintain depreciation method, depreciation schedule and the first year convention for the asset groups. Support depreciation methods such as Straight line, Declining balance, 8. For an asset, the system assigns the depreciation method and schedule that correspond to the group of the asset. However, these values may be overridden by the user. 9. Certain percentage of the cost/net-book-value of an asset or a specific amount may be depreciated for an asset group or a specific asset. 10. Support the flexible designation of first year conventions, such as half-year, mid-quarter and full year. 11. Multiple methods and schedules may be established for asset groups in order to support financial books and multiple tax books. 12. Provide for multiple books (including net book value for each asset) for: Kenya Financial Activities Kenya tax "What if" analysis of alternative depreciation methods 13. Allow the user to specify how depreciation should be applied. Depreciation can be applied to: Active (asset currently in use) Inactive(asset currently not in use e.g., in storage) All(All fixed assets, both active and inactive) 14. Allow the user to switch depreciation methods for a specific fixed asset or group of fixed assets during the life of the asset(s) (e.g., switch from an s/reference to KenTrade ERP Solution Page 74

Item accelerated method to straight line in order to maximize depreciation). 15. Provide the user with the ability to adjust book values manually and generate the appropriate journal entries. The module should require an explanation for the adjustment. 16. Prorate depreciation when changes occur. 17. Compute depreciation as per the depreciation method and depreciation schedule specified for the asset. Post appropriate accounting entries in GL. 18. Provide the ability to calculate the annualized and forecast depreciation expense. 19. Provide the ability to recalculate depreciation for previous periods, within a calendar year, whenever changes occur (e.g. when rebates from vendors are allocated) 20. Allow single fixed asset depreciation to be allocated, as specified by the user to multiple departments (e.g., large computer mainframe depreciated and the depreciation is allocated to all user departments). 21. Maintain both Financial and Tax books. The tax books should be maintained in multiple variations (e.g., earnings and profit, local tax). 22. Allow the Financial and Tax books to be processed and closed independent of each other. Allow the Financial group to process transactions but have the transactions suspended while the Tax group processes returns. 23. Allow comparison of different methods of depreciation for an asset. Fixed Assets Addition 24. Main data to be kept for each asset: Asset Serial No. (system generated as well as manually numbered) Manufacturer, Model, Description Asset bar code Asset Type or Group, Account No. Vendor, Invoice reference, P.O. reference, Acquisition Date Commissioned date or Depreciation start date Original cost, Multiple add-on costs, Salvage value, Useful life Main and Sub category Asset Status (active, inactive) Location, Profit Centre Components Shared-use ability Inventory control Part No. or tag number Asset ownership, Partnership ownership information status Custodian Property tax Lease terms (leased asset report) Depreciation method, Depreciation rate, type and convention Warranty terms, start and end date Insured value and conditions (insured assets report) s/reference to KenTrade ERP Solution Page 75

Item Licensing terms Project Tracking reference, Regulatory identification number User defined data 25. Normally, the fixed assets are interfaced by Accounts Payable System into Fixed Assets System as part of vendor invoice processing. Based on the account and cost of the invoiced item, the Accounts Payable System will decide whether the item is a Fixed Asset or not. Payables may optionally prompt the user to input additional information necessary to add the Fixed Asset in the Fixed Asset system. Or, Payables may create an incomplete Fixed Asset record with whatever data available. Later, the user may input the additional data in Fixed Assets, making it active. 26. The Fixed Assets may be input directly into the Fixed Asset system. Provide an online input/maintenance facility for this purpose. 27. Provide for super assets, where multiple occurrences are kept for an asset. Generate a tag number for each occurrence of the item. Certain quantities may be detached from a super asset and relocated. 28. Provide the ability to select the line item description from a table that consists of predefined descriptions that are associated with the appropriate account code. 29. Allow the specification of different cost values for the financial and tax books for the same asset. 30. Display default depreciation method and depreciation schedule corresponding to the asset group while adding an asset. Enable the user to override these values. 31. Provide an indicator for capital leases and loaned assets to prevent transfer, sale, or disposal. 32. Provide an indicator to record assets that are received free of charge. Fixed Assets Disposal 33. Assets may be disposed off at any point of time. There may be various types of disposals. Example: Donation Sale Write-off trade-in etc. 34. The users will input all information necessary to record the disposal. Type of disposal Date of disposal (may be in past accounting period) Reason for the disposal Proceeds in the case of a sale or trade-in Disposal quantity in case of super asset 35. Enable mass disposals. 36. In case of a sale or trade-in, Profit or Loss = (Sales Proceeds) - (Net Book value of disposed asset) s/reference to KenTrade ERP Solution Page 76

Item 37. Disposal information should be reviewed and approved by the appropriate authority Fixed Assets Transfer 38. Provide for various types of asset transfers. Example: Change of location (Inter-department, Inter-company etc.) Change of commissioned date to retrospective/future date Change of Asset account number Upgrading or Value addition to the asset Maintenance cost Component part transfers Mass asset transfers from one account, project, location, or responsibility center to another. Revaluation of assets (Change the basis of depreciation and net-book value) Adjustment to the cost of the asset (e.g. capitalization of renovation cost) The above changes may be with respect to a retroactive date. 39. The users will input all information necessary to record the transfer. New location/account etc. The effective date of the change The reason for change The transfer must be approved by the appropriate authorities. 40. The system will update the fixed asset record(s) with the new location/account etc. and generate appropriate journal entries. 41. Ability to integrate to external systems such as intranet workflows (refer to Appendix 1) Inquiries 42. Asset inquiry By asset id. By asset type By asset status By location By ownership By Asset Tag No. By period of commissioning etc. 43. Drilldown facility for inquiring assets Reports 44. An asset register (showing net book value) as per user defined selection criteria and sorting order 45. List of Fixed assets transactions (Asset additions, Asset changes, Asset disposals etc.) s/reference to KenTrade ERP Solution Page 77

Item 46. Gains/Losses report for all sales and trade-in disposal assets 47. Asset depreciation register (detail and summary) 48. Projected results of a change in depreciation methods for an asset group or a specific asset 49. Projected depreciation over a user specified period of time for budgeting purposes. 50. Reports to facilitate the reconciliation of GL and Fixed Assets Register 51. List of all Journals created during a month 52. Maintenance expenses incurred for assets 53. History of upgrades to the asset 54. Report showing Insurance expiry dates General s 55. Interface to General ledger Interface appropriate accounting entries to the General Ledger for each transaction (Asset addition, disposal and Asset changes). Depreciation entries to the respective profit centres may be posted in detail or summarized and posted. 56. Interface from Accounts Payable Interface Fixed assets, value addition to already present assets, details of respective invoice etc. from Accounts Payable to Fixed Assets. 57. Provide for complete asset history, for example: Depreciation, Depletion, and Amortization: current period, year-to-date, accumulated Book value Remaining life Transaction history with line-item comments Repair and maintenance tracking Property tax payments and accruals tracking Warranty claims and settlements tracking Insurance claims and settlements tracking Start and end-dates 58. Provide facility to print bar code stickers to tag the assets. This will simplify the physical inventory process. 59. Track non-capital assets. Non-capital assets are outside the capitalization policy but required to be tracked and controlled. 60. Track asset insurance details such as sum insured, premium etc. s/reference to KenTrade ERP Solution Page 78

iii. Procurement and Logistics System Objectives a. Standardize the purchasing processes and throughout KENTRADE departments. b. Drive touch-less purchasing and influence KENTRADE corporate procurement policy c. Increase saving opportunities d. Establish online link between the procurement, financial, budget control, and inventory through requisition, ordering, quoting, and contract management. e. Track procurement contracts compliance f. Manage maintenance contract and maintenance vendor performance g. Integrate fixed assets management with the purchasing and financial information h. Monitor asset regular maintenance Scope The supplier and contract administration component identifies suppliers, negotiates contracts and monitors their performance. This will ensure business protection, standardization, enforceability, renewal leveraging and safe business practices. This includes the day to day ordering, receiving and payment for products / services. a. Purchasing Management b. Procurement Contracts Management c. Inventory Management d. Sourcing e. E-procurement Procurement and Logistics s Item General requirements 1. The system shall support a wide variety of procurement agreements including Technical/Works, Goods/Services, Consulting Services, In- Licensing Agreements, etc. 2. The system should provide a mechanism to enforce the business rules and functions required to execute the business. 3. Vendor management: monitoring obligations and performance of third party service providers. 4. Identify vendors with compatible corporate cultures 5. The system should be available 24 x 7, and data should be recoverable.(no data should ever be lost) s/reference to KenTrade ERP Solution Page 79

Item 6. If the system is dependent on incoming data feeds, for a user to perform a task, then the system must be able to accommodate such feeds. 7. Must include sub modules / functionalities for: User Requisitions Tendering / Request for Quotation processing Contract preparation Contract Administration Inventory management / Stores 8. Database module must store and access all contracts (for all contract types, divisions, subsidiaries and affiliates) in a single database, or otherwise searchable with a single search query. Must have ability to store a wide variety of key dates and milestones beyond merely the start and end dates (e.g., when payments are due, reports are due, other deliverables are due, notice periods, options or rights expire, time for regular 6 month post-o Must include tickler / notification ability, utilizing these key dates and milestones data for other workflow tasks or reminders (e.g., to tickler alert to lawyer when time for 6 month checkup). Must keep track of all these related documents, and all related agreements, with sub-folders or other structured hierarchy (e.g., original agreement and all amendments; master consulting agreement and all statements of work) Must be adaptable (workflow and/or database fields can change, entries can be updated, business rules and policies can be updated, etc.) Contract information 9. Execute contract processing, Such as: Maintain Contract Change Contract with proper approvals Maintain Contract Supplement Create and send a Messages for Contract Release/approve contracts 10. Maintain a contract conditions, Such as: Conditions for Purchasing Conditions for Contract Conditions for Info Record Contract Management 11. Document Retention: Must have retention management functions, including validity period and storage period. 12. Should have ability to calculate payments due, including if escalator clauses Contract Creation/Initialization- Contract Intake 13. The system contains an "Intake checklist" form that contains the following areas for end users to complete: Contract type and name, Budget Availability, Request For Proposal (Y or N), Vendor Name, Non Disclosure Agreement (One-way and Two-way), and Financial due diligence. 14. The system contains the functionality to house a "Contract Fact Sheet" s/reference to KenTrade ERP Solution Page 80

Item during the intake process that stores the following information: Business Justification, Technical s, Maintenance s, Vendor Contacts (business and legal), Client 15. The system has an area within "Intake" that supports textual documentation for "Contract Review" during the Intake process. Areas of input include: Risk Assessment and Issues, Key Benefits, ROI Summary, Key Negotiated Issues, Current Status. 16. The system intake process has functionality that includes the "Contract Finalization."This area includes signoffs, effective date and signature, final version and deal summary, term and termination date, renewal date deadline, notice requirements and date 17. The system should allow contracts to be automatically created and manually created, based on contract 'types'.(i.e.-advertising Revenue, Other Revenue, Purchasing Agreements, Lease Agreement, etc. 18. Each contract should have a unique ID. This unique ID should exist for both manual and auto-created contracts. 19. Ability to create a "single" contract number that can be utilized across all operational, ERP, and other financial systems. 20. The system will allow other 'external' applications to request the creation of contract ID's. This should be pre-defined as part of workflow. Contract Creation 21. Ability to route and approve term sheet prior to drafting of the contract with language 22. Create standardized contracts quickly and easily by utilizing standard menus, lists and auto-fills for population of contract data. 23. Need to have the ability to create contracts using standard terms and clauses. 24. Timely and consistent generation of contracts compliant with company policies. 25. The system supports required fields to avoid missing information. 26. The system should support multiple addresses and contact information for vendors - vendor/supplier management. 27. The Contract Management Module differentiates between prospective and existing vendors. 28. Allow special item products to be defined as needed 29. Inform sub-contractors of obligations: Customer, Contract #, Locations, Model, Serial and Configuration, Start Date, Service Products 30. The system should have the ability for contract specialists to document the products covered by the contract. This should include general and specific product information. 31. Build mechanisms for pricing and service-level agreement flexibility into the contract. 32. Enables unique workflows based on business rules. e.g. based on contract type or business process. Enables ad hoc routing changes based on user permissions; Assign reviewers read-only or modify permissions 33. Attach supporting documents in any format, e.g. MS Word, Adobe PDF, s/reference to KenTrade ERP Solution Page 81

Item and.rtf 34. Includes complex validation, e.g. an attempt to assign an item that is already under exclusivity with another party 35. The system should support transaction-based contracts. 36. The system needs to have the ability to apply an indicator to an entire contract, contract part, or individual revenue dimension to have guaranteed and non-guaranteed revenues. 37. The Contract Management module should have the ability to support contract data from outside sources. (i.e. other systems) 38. The Contract Management module should display the current status of the contract. 39. The system will allow for each contract ID to have multiple versions. Each new version of an original contract must be assigned a revision reason. 40. Every revised contract must have a valid revision reason associated with it. 41. The system should support the ability of users to enter notes and other contract specific "general information". These notes should be stamped with the date, time, and name/login of the user who entered the data. 42. The system should support the ability of users to enter changes to the contract specific "general information". These changes should be stamped with the date, time, and name/login of the user who entered the data. 43. Ability to automatically notify via e-mail/reporting people prior to certain pre-determined triggers (e.g. renewals notices, performance milestones. 44. Ability to search on keywords 45. The system shall support the manual creation of contracts. This requirement is necessary to support situations where Revenue Accounting must create expense or other contract types that are not necessarily initiated by any other upstream system. 46. Only certain users, based on their role, will have the ability to manually create contracts. Contract Admin and Maintenance 47. The system controls changes on data fields (revision history on critical data, notes who changed data field when, owner restrictions), preferably through time, date and user stamps for all activities. 48. The system supports auto-refresh capabilities. 49. Renegotiate/renew existing contract or put services out for rebid 50. The system should inform all parties of expiring contracts. 51. Allow rapid documentation of finalized renewal of contract by coping existing contract and allowing for modification (content and dates) to previously established contract. 52. Need to have the ability to store and access all contracts in a single location. System Integration 53. The Contract Management Module should support integration with other ERP modules including, Purchasing) Auditing and Controls 54. The system should have the ability to audit the contract lifecycle. s/reference to KenTrade ERP Solution Page 82

Item 55. The system should provide a secure and tiered access by user type. 56. The system controls changes on data fields (revision history on critical data, notes who changed data field when, owner restrictions), preferably through time, date and user stamps for all activities. 57. Access and user rights are may be limited on a user-by-user and a group-bygroup basis. Supplier Master Information- Supplier code 58. Allow Supplier code to be created as follows: Manual alphanumeric Supplier code System generated alphanumeric supplier code Key Supplier Information 59. Ability to maintain the following information per supplier: Supplier code Supplier name Supplier Registration Number Supplier VAT number Supplier PIN number Registration date Registration expiry date Supplier type (local or foreign) Supplier type (Material, Service). Multiple Contact name Supplier location Multiple Supplier addresses P.O. Box No. Postal Code E-mail address Web Site Phone number (multiple) Fax number Owner(s) Details Default payment / credit term Active / inactive flag Default expense account Ability to change this default expense account if required Default GL AP control account Default currency Multiple Supplier bank account name Multiple Supplier bank account number & sort code Default delivery options Maximum order amount s/reference to KenTrade ERP Solution Page 83

Item Minimum order amount Comments Grading of Supplier Supplier Purchasing Data Supplier Accounting Data Activities of the supplier Maintain Supplier's electronic catalog Working hours Centralized Supplier Information 60. Ability to create Supplier master centrally for the entire COMPANY. However, the Suppliers should be grouped by business functions 61. Ability to merge the suppliers 62. Ability to enter multiple supplier addresses to a single supplier based on certain criteria such as for payment only or not. 63. Ability to maintain Supplier price lists based on agreed rate contract 64. Supplier file can be shared by both payments and purchasing department with different authority levels. 65. Ability to classify Suppliers. System should allow to create user defined classification for the same in multiple dimensions 66. COMPANY has certain Standard approved list of items / suppliers maintained by COMPANY. The processing of purchase of items figuring in this list is different from that of other items. System should facilitate this flexibility. Payment defaults 67. Ability to setup Supplier payment terms, payment schedule and payment groups 68. Ability to setup payment types such as cheque, bank transfer and effect the payments to various Suppliers based on the predefined payment. System should allow overriding the default payment type, if required, with proper authority. 69. Ability to define supplier bank accounts, link to various Suppliers and effect payment to these bank accounts through bank transfer electronically 70. Ability to make partial payment of an invoice 71. Ability to attach Company s internal banks to suppliers or supplier group from where the payment is made Duplication 72. System should avoid creation of duplicate suppliers. System should check for duplicate Suppliers Item Supplier relationship 73. On selecting an item, system should list out all the suppliers who have registered to supply that item 74. Assign various products / commodities to a Supplier Block suppliers 75. Maintain the list of Blacklisted suppliers that do not perform as per s/reference to KenTrade ERP Solution Page 84

Item Company s expectations 76. Block Supplier because of certain reasons by both purchasing and accounting depts. 77. The Blocked suppliers can be released only by appropriate authority 78. Record complaints about Supplier and responses Supplier Performance Evaluation 79. Maintain supplier evaluation information 80. Maintain supplier performance history 81. Automatic evaluation of suppliers through agreed criteria 82. Manage Suppliers Without Evaluation Supplier Registration 83. Create and rank approved supplier list 84. Control supplier status at the item level 85. If the validity period expires, then the Supplier should automatically become inactive, Should be override-able with proper authority 86. System should maintain a list of suppliers whose validity has expired Supplier Analysis 87. Purchases YTD and PTD in number and currency 88. Statistics for on-time, early, late deliveries 89. 24 month statistical performance data 90. Average days early and late 91. Rejected salvaged in number and currency value 92. Supplier performance analysis: quality defects, delivery performance, cost/price 93. Supplier performance (price, quality, delivery) report 94. Supplier quality ratings 95. Statistical updating and reporting of supplier rating 96. Multiple Search criteria for supplier data 97. Historical information on Purchase Order / contract cancelled by COMPANY, if any Purchase Requisitions - Create Purchase Requisitions 98. Create Purchase Requisitions for stocked item, non stocked items and fixed assets 99. Allow Online requisition entry and update 100. Purchase Requisition (PR) Header should facilitate at least the following information: PR Number PR Description PR Type Requester id & Service Total Value of PR in default currency Remarks s/reference to KenTrade ERP Solution Page 85

Item PRs originated either manually or from PNR (Procurement Notification Report) 101. Purchase Requisition line facilitate at least following information: Item Code Item Description if requesting non coded item / service Unit of Measure Currency for purchase Estimated Price in both Local and foreign currency (if any) Multiple delivery dates for the PR header and for each line item Delivery instruction & Address for delivery (allow delivery at multiple locations) Suggested Supplier(s) Contact person(s) Urgency requirement by giving the reason and specifying approximate date of req Justification for requisition Note for approver Note for buyer / purchasing agent Note for receiver Note to Payable clerk General Notes Multiple Charge Accounts / Cost Center Tolerance limit for quantity receiving with proper authority approvals. Tolerance limit for price when PR line is converted into PO/Contract with proper authority approvals. System should provide the functionality of three way matching Concept. 102. Linking Purchase/Service Requisitions to Budget and option of reserving budget at the time of creating PR or at its approval 103. Ability to purchase an item by way of using funds checking from both capital and recurrent budget partially 104. Ability to link purchase requisition to Project or contract for which request is created 105. Copying Purchase Requisition to Request For Proposal / Quotation (RFP / RFQ) 106. Copying Purchase Requisition to Purchase order 107. Ability to Refer to previous purchase price on PR 108. Ability to see the history of purchase of line items mentioned on line 109. Ability to Refer to purchase agreement if any for the items 110. Have the capability to consolidate multiple purchase requisition from multiple departments in one PO/Contract per supplier 111. User can check the budget online against different charge account mentioned on the lines of PR s/reference to KenTrade ERP Solution Page 86

Item 112. Ability to create Purchase Requisition for local as well as foreign purchases 113. Ability to attach documents (e.g. Word, excel etc) with the header and lines of purchasing documents (PR, RFQ, Quotes and PO/Contract) 114. The purchasing document should be integrated with supplier module 115. System should provide an indicator (e.g. highlighting) for supplier prices which are more than a defined period 116. System should not raise Pos/Contracts directly if the supplier price is more a defined period. Validating PRs 117. Receive PRs electronically in a central admin Office 118. Check PR for completeness of information and proper authorization, if incomplete, do not allow for further processing. Send PR electronically back to originator with reasons for doing so and indicating action required by originator 119. Check items in PR against the Standardized list (list of approved suppliers ) and categorize PR as not from the Standardized list 120. Check if PR is related to one or multiple suppliers and categorize PR as single or multiple source procurement 121. Ability to forward PR through workflow based on the value of the document. 122. Change status of PRs 123. Record on the PR the type of PR supporting documents received 124. Allow Printing of PR 125. Return PR requesting further Information 126. Track time taken to process Purchase Requisitions in system 127. Transfer the Purchase Requisition electronically to the concerned person through workflow as per authority level 128. View supplier database 129. Cancel all or part of PR at any time and record the reason for canceling it, this Should be done only with proper authority Purchase Orders Processing- Purchase order information 130. Pos/Contracts are maintained on-line 131. Different PO/Contract sequential numbering per purchase order type 132. Pos/Contracts can be printed ( Original PO/Contract should be printed only once with the company stamp; the next print should say "Duplicate copy", or the like) : On-line Batch Tracks Pos/Contracts for at least the following status: Unapproved Approved Held Released (in case of release order only) s/reference to KenTrade ERP Solution Page 87

Item Issued Received Closed Canceled 133. Purchase Order Header facilitate following information: PO Number PO Description PO Type (call off order, maintenance & repair, one time purchase, and service contract) Description Buyer Requester id supplier id Priority (urgent, routine) Comments Ship to address Incoterms (FOB, C&F, CAD etc) Payment Term Fully / Partially shipments Supplier Terms P.O. Date Expiry Date Extension Date Total Value of the PO/Contract 134. Purchase order line facilitate following information: Item code Item description Quantity ordered Price Tax if applied Total Value of the line item Reference to Last price paid Units of purchase Multiple shipment dates Multiple Receipt location Limit on for receiving period and tolerance for quantity for closing line for receipt Note to receiver Note to approver Note to payable clerk Comment lines s/reference to KenTrade ERP Solution Page 88

Item Estimated lead time Carrier FOB destination Warranty dates (and terms of warranty) Penalty applicable for late delivery, discrepancy etc Automatic Reference to Tender/Quotation number Automatic Reference to Purchase Requisition number if any Free form comments 135. The system should allow to associate different approval hierarchies and conditions for different types of POs 136. Supplier and item information defaults from supplier and item files to the Purchase order 137. Allow for multiple line description per item 138. Processes multi-item type Pos 139. Processes POs with multiple ship-to locations 140. Checks for duplicate Purchase order numbers 141. Purchase order numbers can be: System assigned 142. A single Purchase order can Reference multiple ship-to locations 143. System should show all opened/closed PO s/contra at any point of time with an appropriate summary description for opened ones 144. A buyer can review (online or reported) the following prices that might be associated with an item: Last quotation Last price paid 145. Link PO/Contract to payments 146. Ability to convert purchase requisitions to POs/Contract 147. Ability to link PO/Contract to PR 148. Ability to convert Quotations to Pos 149. Ability to link purchase receipts to Purchase order/contract 150. Ability to convert the PR budget reservation into commitment and adjusting any difference in PR and PO prices to budget 151. 152. Ability to link POs/Contract to Project to help / Controlling in scheduling project activities 153. Calculate and record the equivalent value of purchase Orders issued in foreign currency 154. Set authority levels to approve POs 155. Automatically generate a PO serial number which satisfies the following: Includes the PR serial number Denotes the section that has placed the order Purchase Order Messages 156. Maintains Standard messages at the: s/reference to KenTrade ERP Solution Page 89

Item Supplier level Header level Line level Requester level Approval level Standard messages can be manually overridden at entry time 157. PO messages can be entered manually as comment lines at: Header level Line level Requester level Approval level 158. Users can automatically add ship-to information to the order by specifying a warehouse location at: Header level Line item level Purchase Order History 159. System maintains a purchase order history 160. Purchase order history file is maintained on-line Approval Hierarchies 161. System supports on-line approval processing for purchase orders and call off orders 162. Ability to designate approval hierarchies to approve Purchase Requisitions, Purchase Orders and supplier Quotations on the following criteria : Amount limit Item ranges Types of purchases 163. Ability to send an electronic notification to approver to take action on the Purchasing document submitted for approval 164. Ability to send an electronic notification on approval or rejection of purchasing document (PR, PO and Quotation) to initiator 165. Ability to include a person more than one time in hierarchy if he is sharing more than one role (designation) in organization Receiving information 166. Receiving information is maintained on-line with on-line validation 167. Receiving Header facilitate at least following information P.O. Number Buyer Requester id Date required Comments Receipt location Contract Number s/reference to KenTrade ERP Solution Page 90

Item 168. Receiving line facilitate at least following information Quantity required Quantity delivered Price Units of issue/purchase Expiry date Item required date Delivery date Item description Comment lines Destination 169. Receipt numbers can be: Automatically generated 170. Receipt entry screen displays latest purchase order data 171. Validates receipts on-line against: An open purchase order line item A scheduled quantity A scheduled delivery date 172. Compute penalty to be charged to suppliers based on no. of days delay in delivery and applicable percentage 173. Ability to automatically post lead times to the item master file Inspection and Acceptance Information 174. Specifications provided in the PR shall be available under the inspection information 175. Provision for making comments on the inspection 176. Provision to accept or reject the specification 177. Link to payment/inventory/asset register or any relevant module s/reference to Sourcing s Item Invitation to Quote (ITQ) / Invitation to Tender (ITT)- Create ITT / ITQ (Herein after referred as Bids) 1. Ability to create ITQ / ITT by converting PR 2. Create ITQ / ITT by selecting items from different PRs 3. The ITQ / ITT header should facilitate at least following information: ITQ / ITT Number (system defined number) ITQ / ITT Subject / Description s/reference to KenTrade ERP Solution Page 91

Item ITT Type (open tender, restricted or direct tender) ITQ Type (call off order, maintenance & repair, one time purchase, and service contract etc) ITQ/ITT number (applicable in case of COMPANY Tenders/Quotations) Originating department Date of receipt of ITT/ITQ documentation Number of tender document copies received from originating department Suppliers to whom ITQ / ITT to be issued (Select potential suppliers from common supplier database and insert them into ITQs / ITTs) where applicable Issue date to suppliers Date of Reply required from suppliers Extended date (if applicable) Price of tender document and currency Validity period for the quotation ITQ / ITT Status (new tender, retender, approved, cancelled, postponed) Terms and conditions (Select relevant terms and conditions for inclusion into ITQ / ITT from a suite of forms in word format) Tender opening date and time. Tender time scale. Full/ Partial delivery. End-user 4. The ITQ / ITT Line should facilitate at least following information: Item code Item description Unit of Measure Quantity Required Multiple delivery dates for the ITQ/ITT header and for each line item Multiple delivery location 5. The approval criteria, approving authority and the workflow are different for open tender and selective tender 6. Ability to convert ITQ into Quotation and adding the prices and terms and condition given by supplier in their quotes 7. Link quotation/tender to PO 8. Annotate the PR as pending whilst requesting further information from the services at any stage prior to dispatch of ITQ / ITT 9. Amend ITQ / ITT specification at any stage prior to the closing date 10. Monitor closing date extensions 11. Send ITQs / ITTs electronically to suppliers 12. Send amendments to ITQ/ITT electronically 13. Documentation for reason of selection/rejection can be included with the ITQ / ITT s/reference to KenTrade ERP Solution Page 92

Item Reports related to ITQs / ITTs 14. Execute reports about ITQs / ITTs Such as: List of ITQs / ITTs sorted by date, material/product, department, purchase cell etc. List of ITQs / ITTs sorted by PR List of Resubmission of ITQs / ITTs List of ITQs / ITTs sorted by User Name List of ITQs / ITTs sorted by Suppliers Sale of tender documents by date, by originating department and by end user department Supplier based analysis on tenders purchased, tenders responded, tenders rejected, tenders awarded, value of Pos or Contracts awarded Daily payment details of fees collected by Cash Office from suppliers against tender sales, supplier registrations etc. Quotations/Bids Received from Suppliers- Recording quotations 15. Ability to receive quotations electronically from suppliers 16. Ability to open quotation electronically through an authorized committee 17. Ability to accept quotations only from suppliers who purchased tender documents (in case of ITT) 18. Ability to record date and time of receipt of supplier quotations 19. Ability to record the user name of COMPANY staff acknowledging receipt of quotation 20. Ability for supplier quotation receipt to be printed directly from the system to be given to suppliers as an acknowledgement for accepting tenders 21. Ability to register details (value, currency etc.) for all the supplier quotations received against each tender. Sometimes one supplier provides multiple quotations against the same tender. These details should also be recorded in the system 22. Record supplier's response to the tender (Offer, Regret, No Bid) 23. Retrieve ITQ/ITT details by entering ITQ/ITT Reference 24. Insert bids details in the ITQ/ITT specification pricing schedule. Bid details include: 25. Create a record of suppliers who submitted their bids by retrieving supplier names from database 26. Record details of samples received or any remarks 27. Record multiple options from same supplier in multiple currencies Reports related to RFQs / Quotations 28. Execute reports about RFQs / Quotations such as: Price Comparison List List of RFQ/Qs sorted by Tracking Number List of RFQ/Qs sorted by Supplier List of RFQ/Qs sorted by Material/Product/Service List of RFQ/Qs sorted by RFQ /Q Number s/reference to KenTrade ERP Solution Page 93

Item Define a different number ranges for RFQ/Q Maintain a different document types for RFQ/Q Cost Comparison Worksheet - Compiling Cost Comparison Worksheet 29. System should automatically generate cost Comparison sheet for Quotations/bids received from different suppliers 30. The "Cost Comparison Sheet" should capture the following information from supplier Bids where applicable: Brief item description (retrieve from supplier Bid) Number of units to be provided (retrieve from supplier Bid) Unit cost (retrieve from supplier Bid) Bids Evaluation 31. Record when and to whom the item specification details were sent 32. Record the date of receipt of Technical assessment report. Record report on evaluation of samples, if applicable 33. Receive the technical assessment report from the evaluation team, including dates of evaluation, responsiveness of bids with reasons for non responsiveness, recommended bidder(s) etc. 34. Input various technical assessment criteria in the form of points or percentages, where applicable. 35. Generate, based on the technical assessment report and the cost comparison sheet, the best supplier(s)/item combination 36. Select the best supplier(s)/item combination, and record the reason for choosing a specific supplier 37. Amend selection of supplier, and record the reason for amendment. This should be done by creating an additional record of the amendment made and not overriding the initial record 38. Provide a supplier shortlist based on the quotations received and evaluation process 39. Maintain audit trail of supplier selection 40. Ability to Analyze supplier's Quotations/ Tenders (Technically, Financially) at least on following criteria : Lowest Price Best Delivery By assigning points on quality offered Payment Term User definable criteria System should be able to evaluate the quotation on the basis of above criteria s/reference to KenTrade ERP Solution Page 94

Inventory Management s Item Maintain Inventory Item / Products 1. Ability to maintain alpha numeric Character Item / Product code 2. Ability to break item / product code in individual segments 3. Ability to identify alternate items for the item / product 4. Ability to create items with attributes that support Inventory, Sales, Project, Contracts, Maintenance and Purchasing module of application 5. Ability to issue goods to the Department assets and/or to employees custody Maintain Item / Products information 6. Ability to maintain the following information per Item / Product: Item / Product code (alphanumeric) Item / Product description Purchase lead time per Item / Product / supplier Supplier Item / Product code Stocking unit of measure Default selling unit of measure Default purchasing unit of measure Weight Dimensions (length, width, height and volume) Minimum stock level, Maximum stock level, Re-order Stock level. Date last in Quantity last in Cycle Count Category Code ABC Analysis code Model(s)to be associated with Lot numbers expiry date for selective Item / Products only Serial numbers Additional user defined codifications Country of Origin Supplier bar code number Slow moving items as per certain criteria Inventory module account No. Group inventory Item / Products 7. Ability to group the inventory Item / Products in user defined groups s/reference to KenTrade ERP Solution Page 95

Item 8. Ability to have 10 grouping levels / dimensions at least Maintain stock levels 9. Ability to maintain the minimum,maximum, re-order stock levels on: Item / Product / location level 10. System alerts on the Item / Products to be replenished / transferred for the Item / Products below the pre-defined minimum levels 11. Ability to insure the inventory at desired level, and as stock varies the insurance value should be adjusted Warehouse / Location setup 12. Supports multiple warehouses / locations/ showrooms 13. Consolidate stock from multiple locations 14. Ability to consolidate stock from selected warehouses only Inventory costing -Define costing methods 15. Supports the following costing methods: FIFO Weighted Average LIFO Inventory transfers- Transfer stock Item / Products 16. Ability to generate Stock transfer requests 17. Ability to route requests for appropriate approvals 18. Ability to process inventory transfers between: Warehouse locations Bins / Shelves 19. Ability to show stock in transit until received at destination Maintain Max, Min & Re-order levels by location 20. Ability to define maximum, minimum and re-order levels for each location and monitor stock against such levels 21. Ability to generate weekly stock requirements list based on the following: On hand Quantity On order/in-transit Quantity Min-Stock Level Stock requirement for a period of time Average issuance for past user defined time period Month-to-date issuance 22. Ability to generate system alerts on need to transfer stock from one location to another e.g. if stock of a Item / Product below minimum level in one location and stock of the same Item / Product is above re-order level in another location, system should Transfer at margin 23. Ability to process inter-divisions transfers with margin/markup Issue stock (other than sale transactions) 24. Issue Stock for internal Transfer s/reference to KenTrade ERP Solution Page 96

Item 25. Ability to pick and dispatch Item / Products based on internal requests and track the following: Internal request number Requestor 26. Issue stock on delivery order 27. Ability to issue stock with ability to identify the contact and purchase order number for tracking and reporting 28. Ability to dispose surplus items Physical inventory / cycle counts 29. Ability to define the cycle count per Item / Product or product category 30. Ability to generate count sheets based on user defined criteria: Quantity, e.g. include Item / Products with quantity above 10000 pieces Value, e.g. include the Item / Products with unit value above 50K Item / Product Groups Location User defined fields (price codes, Movement Code) On a random Basis 31. Ability to sort the count sheets by: Item / Product Location Locator/ bin number 32. Ability to count item / product using bar coding 33. Ability to process physical count adjustments 34. Ability to enter the physical count results with a different unit of measure from the Item / Product's stocking unit of measure 35. Route physical count adjustments for proper approvals prior to committing them to the system Monitor the stock aging 36. Ability to generate stock aging analysis based on the receipt date 37. Ability to generate stock aging report based on the receipt date by: Part Movement Code Part Category Code s/reference to KenTrade ERP Solution Page 97

iv. Enterprise Performance Executive Objectives a. Improve Enterprise visibility b. Increase information capabilities to support enhanced decision-making process and highlight business trends c. Implement a flexible business solution to respond to rapidly changing business needs d. Replace the current manual operations with automated and integrated business solutions using a centralized approach e. Enhance enterprise consolidation processes General System s Item Capability 1. Easy to Learn and Use Tool must be intuitive and user friendly 2. Visualization Allow for a single presentation layer of reports, dashboards, BI portals, etc. 3. Financial Information Data Model Business rules and filters are already applied to the underlying data. It should be seamless to users. Static and dynamic reports. s/reference to Exception reports, alerts etc. Ability to run simple, complex and multiple queries. Provides for a central data store of financial data. 4. Analytic Applications 5. Online Analytic Processing 6. Performance Dashboards Provides for preconfigured financial information data model. Provides for capability to extract data from different systems. User has the ability to define criteria of the data required. Fast performance is required. Examples are customer analysis, productivity analysis, marketplace analysis etc. Interactive data analysis. The ability to slice and dice data according to specific dimensions. Monitor key business metrics (KPIs). KenTrade ERP Solution Page 98

Item Capability 7. Enable Scorecards 8. Financial Reporting And Analysis KPIs are presented in visual formats that highlight performance, trends, forecasts and alerts clearly and concisely. Dashboard is integrated with underlying analytics applications to support drill-down to the details. Monitor a large number of metrics historically and with a strong focus on trends / targets. The company is viewed from 4 perspectives: 1. Financial e.g. total revenue, profit. 2. Customer e.g. new clients, customer service. 3. Business Processes e.g. number of engagements, rebate % etc. 4. Learning and Growth e.g. training per employee, hours of training etc. Reporting on a daily basis on key business processes. Perform Ad hoc reporting Perform Variance analysis s/reference to Forecasting 9. Budgeting and Planning 10. Profitability and cost Follows international reporting standards such as IFRS Ability to automate the budget process Budgeting process should follow a configurable business process Handle both bottom up and top down budgeting processes Tight integration with Excel Create different planning scenarios Roll department planning up to corporate level Support real time planning and analysis Enable Cross Functional Enterprise Planning Facilitates dynamic forecasting Support Rolling period plans for continuous planning Event-based planning incorporating internal and external events System should be able to generate accurate and frequent updates on costs and profitability. KenTrade ERP Solution Page 99

Item Capability s/reference to management Gain needed insight into the levers affecting organizational costs and profitability KenTrade ERP Solution Page 100

EVALUATION CRITERIA The following evaluation criterion shall be applicable for this tender. ii) Mandatory s i. Form of Tender duly filled and signed. ii. Power of Attorney. iii. Statutory documents duly certified by a Commissioner of oaths/magistrate or the issuing body. - Valid Tax Compliance Certificate (TCC). - Registration certificate/ Certificate of incorporation - Valid trade license. iv. Confidential Business questionnaire duly filled and signed. v. Tender Security (indicate values and duration). vi. Audited financial accounts for the past three years. vii. ERP Vendor Authorization. viii. Organization structure of the implementation team together with their CVs inclusive of relevant technical certifications and experience.(one of the team members MUST belong to the disadvantaged groups i.e. Youth, Women or PWDs) ix. Reference Sites relevant to this project (at least three and include a brief of work done or services rendered, value of contracts, and contact person with both reachable phone number and email) x. A work plan must be provided indicating the activities or tasks, resources, and timelines. Bidders must also include a comprehensive training program for each module. xi. Attach Identification documents (IDs or Valid Passports) of the owners/directors of the firms. Bidders MUST comply with all mandatory requirements to be considered for Technical evaluation. iii) Technical Evaluation Criteria Response to compliance to all Technical Specifications is MANDATORY. Bidders MUST respond to ALL the requirements on a clause by clause basis stating clearly how their solution meets the requirements. Responses to compliance to technical specifications in any other way other than clause by clause will be treated as NON- RESPONSIVE. Bidders who meet ALL the technical specifications SHALL be considered for the next stage of evaluation. KenTrade ERP Solution Page 101

iv) Due Diligence/Post Qualification For purposes of facilitating due diligence work to be carried out, the stage has been divided into two: 1. Site visits to the bidders reference sites shall be done to confirm the authenticity of the sites and the scope of work done. 2. Successful bidders will be invited to provide a detailed demonstration of their proposed solution to enable the evaluation team confirm the capabilities of the proposed solution in line with the requirements presented. v) Financial Evaluation The bidder with the lowest financial cost shall be awarded this Tender provided they have met all Preliminary and Technical requirements. KenTrade ERP Solution Page 102

SECTION VI - SCHEDULE OF REQUIREMENTS Number Description Quantity Delivery schedule (shipment) (To be delivered and installed as per contract agreement schedule) All as indicated in section 5.0 As stated in section 5.0 KenTrade ERP Solution Page 103

SECTION VII - PRICE SCHEDULE FOR GOODS Name of tenderer Tender Number Page of 1 2 3 4 5 6 7 Item Description Country of origin Quantity Unit price Total Price EXW per item (cols. 4x5) Unit price of other incidental services payable Signature of tenderer Note: In case of discrepancy between unit price and total, the unit price shall prevail. KenTrade ERP Solution Page 104

SECTION VIII - STANDARD FORMS Notes on the sample Forms 1. Form of Tender - The form of tender must be completed by the tenderer and submitted with the tender documents. It must also be duly signed by duly authorized representatives of the tenderer. 2. Confidential Business Questionnaire Form - This form must be completed by the tenderer and submitted with the tender documents. 3. Tender Security Form - When required by the tender documents the tender shall provide the tender security either in the form included herein or in another format acceptable to the procuring entity. 4. Contract Form - The Contract Form shall not be completed by the tenderer at the time of submitting the tender. The Contract Form shall be completed after contract award and should incorporate the accepted contract price. 5. Performance Security Form - The performance security form should not be completed by the tenderers at the time of tender preparation. Only the successful tenderer will be required to provide performance security in the form provided herein or in another form acceptable to the procuring entity. 6. Bank Guarantee for Advance Payment Form - When Advance payment is requested for by the successful bidder and agreed by the procuring entity, this form must be completed fully and duly signed by the authorized officials of the bank. 7. Manufacturers Authorization Form - When required by the tender documents this form must be completed and submitted with the tender documents. This form will be completed by the manufacturer of the goods where the tenderer is an agent. KenTrade ERP Solution Page 105

8.1 FORM OF TENDER To: Date Tender No. [name and address of procuring entity] Gentlemen and/or Ladies: 1. Having examined the tender documents including Addenda Nos.. [insert numbers].the receipt of which is hereby duly acknowledged, we, the undersigned, offer to supply deliver, install and commission ( (insert equipment description) in conformity with the said tender documents for the sum of. (total tender amount in words and figures) or such other sums as may be ascertained in accordance with the Schedule of Prices attached herewith and made part of this Tender. 2. We undertake, if our Tender is accepted, to deliver install and commission the equipment in accordance with the delivery schedule specified in the Schedule of s. 3. If our Tender is accepted, we will obtain the guarantee of a bank in a sum of equivalent to percent of the Contract Price for the due performance of the Contract, in the form prescribed by..( Procuring entity). 4. We agree to abide by this Tender for a period of [number] days from the date fixed for tender opening of the Instructions to tenderers, and it shall remain binding upon us and may be accepted at any time before the expiration of that period. 5. This Tender, together with your written acceptance thereof and your notification of award, shall constitute a Contract, between us. Subject to signing of the Contract by the parties. 6. We understand that you are not bound to accept the lowest or any tender you may receive. Dated this day of 20 [signature] [in the capacity of] Duly authorized to sign tender for an on behalf of KenTrade ERP Solution Page 106

8.2 CONFIDENTIAL BUSINESS QUESTIONNAIRE FORM You are requested to give the particulars indicated in Part 1 and either Part 2(a), 2(b) or 2 (c ) whichever applied to your type of business You are advised that it is a serious offence to give false information on this form Part 1 General: Business Name Location of business premises. Plot No Street/Road Postal Address Tel No.. Fax E mail. Nature of Business Registration Certificate No. Maximum value of business which you can handle at any one time Kshs. Name of your bankers Branch Part 2 (a) Sole Proprietor Your name in full Age.. Nationality Country of origin.. Citizenship details Part 2 (b) Partnership Given details of partners as follows: Name Nationality Citizenship Details Shares 1.... 2. 3. 4. Part 2 (c ) Registered Company Private or Public State the nominal and issued capital of company- Nominal Kshs.. Issued Kshs. KenTrade ERP Solution Page 107

Given details of all directors as follows Name Nationality Citizenship Details Shares 1 2. 3. 4. 5 Date. Signature of Candidate.. If a Kenya Citizen, indicate under Citizenship Details whether by Birth, Naturalization or registration. KenTrade ERP Solution Page 108

8.3 TENDER SECURITY FORM Whereas. [name of the tenderer] (hereinafter called the tenderer ) has submitted its tender dated. [date of submission of tender] for the supply, installation and commissioning of [name and/or description of the equipment] (hereinafter called the Tender ).. KNOW ALL PEOPLE by these presents that WE of. having our registered office at (hereinafter called the Bank ), are bound unto.. [name of Procuring entity} (hereinafter called the Procuring entity ) in the sum of.. for which payment well and truly to be made to the said Procuring entity, the Bank binds itself, its successors, and assigns by these presents. Sealed with the Common Seal of the said Bank this day of 20. THE CONDITIONS of this obligation are:- 1. If the tenderer withdraws its Tender during the period of tender validity specified by the tenderer on the Tender Form; or 2. If the tenderer, having been notified of the acceptance of its Tender by the Procuring entity during the period of tender validity: (a) fails or refuses to execute the Contract Form, if required; or (b) fails or refuses to furnish the performance security in accordance with the Instructions to tenderers; We undertake to pay to the Procuring entity up to the above amount upon receipt of its first written demand, without the Procuring entity having to substantiate its demand, provided that in its demand the Procuring entity will note that the amount claimed by it is due to it, owing to the occurrence of one or both of the two conditions, specifying the occurred condition or conditions. This tender guarantee will remain in force up to and including thirty (30) days after the period of tender validity, and any demand in respect thereof should reach the Bank not later than the above date. [Signature of the bank] KenTrade ERP Solution Page 109

8.4 CONTRACT FORM THIS AGREEMENT made the day of 20 between [name of Procurement entity) of.. [country of Procurement entity] (hereinafter called the Procuring entity) of the one part and.. [name of tenderer] of.. [city and country of tenderer] (hereinafter called the tenderer ) of the other part; WHEREAS the Procuring entity invited tenders for certain goods ] and has accepted a tender by the tenderer for the supply of those goods in the sum of [contract price in words and figures] (hereinafter called the Contract Price). NOW THIS AGREEMENT WITNESSETH AS FOLLOWS: 1. In this Agreement words and expressions shall have the same meanings as are respectively assigned to them in the Conditions of Contract referred to: 2. The following documents shall be deemed to form and be read and construed as part of this Agreement viz: (a) the Tender Form and the Price Schedule submitted by the tenderer (b) the Schedule of s (c ) the Technical Specifications (d) the General Conditions of Contract (e) the Special Conditions of contract; and (f) the Procuring entity s Notification of Award 3. In consideration of the payments to be made by the Procuring entity to the tenderer as hereinafter mentioned, the tender hereby covenants with the Procuring entity to provide the goods and to remedy defects therein in conformity in all respects with the provisions of the Contract 4. The Procuring entity hereby covenants to pay the tenderer in consideration of the provisions of the goods and the remedying of defects therein, the Contract Price or such other sum as may become payable under the provisions of the Contract at the times and in the manner prescribed by the contract. IN WITNESS whereof the parties hereto have caused this Agreement to be executed in accordance with their respective laws the day and year first above written. Signed, sealed, delivered by the (for the Procuring entity Signed, sealed, delivered by the (for the tenderer in the presence of KenTrade ERP Solution Page 110

8.5 PERFORMANCE SECURITY FORM To. [name of Procuring entity] WHEREAS [name of tenderer] (hereinafter called the tenderer ) has undertaken, in pursuance of Contract No. [reference number of the contract] dated 20 to supply [description of goods] (hereinafter called the Contract ). AND WHEREAS it has been stipulated by you in the said Contract that the tenderer shall furnish you with a bank guarantee by a reputable bank for the sum specified therein as security for compliance with the Tenderer s performance obligations in accordance with the Contract. AND WHEREAS we have agreed to give the tenderer a guarantee: THEREFORE WE hereby affirm that we are Guarantors and responsible to you, on behalf of the tenderer, up to a total of. [amount of the guarantee in words and figure] and we undertake to pay you, upon your first written demand declaring the tenderer to be in default under the Contract and without cavil or argument, any sum or sums within the limits of.. [amount of guarantee] as aforesaid, without you needing to prove or to show grounds or reasons for your demand or the sum specified therein. This guarantee is valid until the day of 20 Signed and seal of the Guarantors [name of bank or financial institution] [address] [date] KenTrade ERP Solution Page 111

8.6 BANK GUARANTEE FOR ADVANCE PAYMENT FORM To [name of Procuring entity] [name of tender].. Gentlemen and/or Ladies: In accordance with the payment provision included in the Special Conditions of Contract, which amends the General Conditions of Contract to provide for advance payment,. [name and address of tenderer](hereinafter called the tenderer ) shall deposit with the Procuring entity a bank guarantee to guarantee its proper and faithful performance under the said Clause of the Contract in an amount of. [amount of guarantee in figures and words]. We, the. [bank or financial institutions], as instructed by the tenderer, agree unconditionally and irrevocably to guarantee as primary obligator and not as surety merely, the payment to the Procuring entity on its first demand without whatsoever right of objection on our part and without its first claim to the tenderer, in the amount not exceeding [amount of guarantee in figures and words] We further agree that no change or addition to or other modification of the terms of the Contract to be performed there-under or of any of the Contract documents which may be made between the Procuring entity and the tenderer, shall in any way release us from any liability under this guarantee, and we hereby waive notice of any such change, addition, or modification. This guarantee shall remain valid in full effect from the date of the advance payment received by the tenderer under the Contract until [date]. Yours truly, Signature and seal of the Guarantors [name of bank or financial institution] [address] [date] KenTrade ERP Solution Page 112

8.7 MANUFACTURER S AUTHORIZATION FORM To [name of the Procuring entity]. WHEREAS [ name of the manufacturer] who are established and reputable manufacturers of.. [name and/or description of the goods] having factories at [address of factory] do hereby authorize [name and address of Agent] to submit a tender, and subsequently negotiate and sign the Contract with you against tender No.. [reference of the Tender] for the above goods manufactured by us. We hereby extend our full guarantee and warranty as per the General Conditions of Contract for the goods offered for supply by the above firm against this Invitation for Tenders. [signature for and on behalf of manufacturer] Note: This letter of authority should be on the letterhead of the Manufacturer and should be signed by a person competent. KenTrade ERP Solution Page 113

8.8 LETTER OF NOTIFICATION OF AWARD To: Address of Procuring Entity RE: Tender No. Tender Name This is to notify that the contract/s stated below under the above mentioned tender have been awarded to you. 1. Please acknowledge receipt of this letter of notification signifying your acceptance. 2. The contract/contracts shall be signed by the parties within 30 days of the date of this letter but not earlier than 14 days from the date of the letter. 3. You may contact the officer(s) whose particulars appear below on the subject matter of this letter of notification of award. (FULL PARTICULARS) SIGNED FOR ACCOUNTING OFFICER KenTrade ERP Solution Page 114

8.9 FORM RB 1 REPUBLIC OF KENYA PUBLIC PROCUREMENT ADMINISTRATIVE REVIEW BOARD APPLICATION NO.OF..20... BETWEEN.APPLICANT AND RESPONDENT (Procuring Entity) Request for review of the decision of the (Name of the Procuring Entity) of dated the day of.20.in the matter of Tender No.. of..20 REQUEST FOR REVIEW I/We,the above named Applicant(s), of address: Physical address.fax No Tel. No..Email, hereby request the Public Procurement Administrative Review Board to review the whole/part of the above mentioned decision on the following grounds, namely:- 1. 2. etc. By this memorandum, the Applicant requests the Board for order/orders that: - 1. 2. etc SIGNED. (Applicant) Dated on.day of / 20.. FOR OFFICIAL USE ONLY Lodged with the Secretary Public Procurement Administrative Review Board on day of...20. SIGNED Board Secretary KenTrade ERP Solution Page 115