UNDP supports such a procurement policy and has incorporated it into the Procurement Manual.

45. The Procurement Division (formerly the Purchase and Transportation Service) at Headquarters indicated that local procurement was not its responsibility and that it maintained data only for cases received from the requisitioning offices.

While not questioning the potential benefits of, and opportunities presented by e procurement noted above, FAO points out that it is seeking to utilize the procurement modules of its broader Oracle Financials applications to automate the process and is investigating the possibility of utilizing Oracle i procurement for frequently purchased items in response to possible increases in local purchase limits.

IAPSO, currently the most advanced entity in e procurement, reports that all its procurement functions are carried out using electronic methods and all purchase orders are issued in its UNWebBuy e commerce application.

The former Department for Development Support and Management Services (now part of the Department of Economic and Social Affairs), whose procurement operations are now integrated into the Procurement Division, procured 24 million in 1997, with 35 per cent of that amount from developing countries, up from 29 per cent in 1996.

UNPD United Nations Procurement Division

See IAPSO procurement statistics at www.iapso.org.

Although the organizations indicated to the Inspector that they valued IAPSO's inter agency services, it is noteworthy that the procurement business conducted by IAPSO for the same organizations combined (excluding multilateral financial institutions) was just under US 50 million or barely 1 per cent of their aggregate portfolio in 2002.

Most of the organizations currently use e procurement for displaying or posting procurement information on their web sites, including procurement guidelines, and for communicating with suppliers and clients.

The IAPWG strongly believed that with more complete information in hand about common procurement initiatives undertaken by the Geneva based Joint Purchasing Unit, a number of the JIU recommendations would need to be modified.

IAPSO Inter Agency Procurement Services Office

(b) Inter Agency Procurement Services Office

These include better procurement planning by requisitioning units, streamlining the procurement process in the Procurement Division and by the Headquarters Committee on Contracts and making necessary changes to the procurement framework, including regulations, rules and refinements in the Procurement Manual.

(f) The ongoing procurement reform process has placed additional demands on the Procurement Division s scarce resources by way of

The Section is considering new procurement practices to provide more flexibility for small purchases.

The Procurement Division was reorganized, procurement staff received training, the delegation of procurement authority has been adjusted and new procurement guidelines were finalized.

JPS Joint Purchase Service

The Inter Agency Procurement Working Group (IAPWG)

The Procurement Division was reorganized, procurement staff received training, the delegation of procurement authority has been adjusted and new procurement guidelines were finalized.

IAPWG Inter Agency Procurement Working Group

IAPSO responded to this challenge by restructuring its business model.

Procurement

Procurement

See, e.g., in China, the Shanghai Interim Measures for the Management of Online Public Procurement Bidding, articles 22 and 27 the Shenzhen City Interim Measures for the Management of Online Public Procurement Bidding, article 31 the Zhuhai City Interim Measures for the Management of Online Public Procurement Bidding, article 29 and the Hefei City Interim Measures for the Management of Online Public Procurement Bidding, article 25.

The Procurement Division procured a total of 309 million in 1997, or 11 per cent of total United Nations system procurement.

The Administration reported one ex gratia payment amounting to 40,000 that had been made to the father of a deceased UNMIK staff member who had lost her life while performing official duties during the financial period ended 30 June 2005.

The primary source of procurement statistics is the annual report on United Nations system procurement issued by the Inter Agency Procurement Services Office of UNDP.

22. Procurement planning should be improved to avoid piecemeal purchases.

UNDP Inter Agency Procurement Services Office (IAPSO) already has an advanced e procurement platform.

Procurement first purchase order

Procurement second purchase order

See the Zhejiang Province Interim Measures for the Management of Online Public Procurement Bidding, article 8 the Shanghai Interim Measures for the Management of Online Public Procurement Bidding, article 6 and the Xuzhou City Interim Measures for the Management of Online Public Procurement Bidding, article 8.

The Procurement Service was of the view that the requirement to establish local vendor review committees may in certain cases place an additional burden on some missions where staffing capacity is problematic.

Communications

Procurement

E. Procurement

VIII. PROCUREMENT 20

Level of procurement

New purchase

2. Procurement . 32 36 106

The head of the Procurement Division also renders advice to, and at times performs procurement services for, other United Nations offices, commissions, tribunals, agencies and subsidiary organs.

See the Shanghai Interim Measures for the Management of Online Public Procurement Bidding, article 19 and the Zhejiang Province Interim Measures for the Management of Online Public Procurement Bidding, article 22.

(xii) Procurement services posting of procurement plans and upcoming procurement opportunities on the Division's website preparation and issuance of tenders presentation of cases to the Headquarters Committee on Contracts, including review of procurement procedures being proposed and conducted by offices away from Headquarters and peacekeeping and other field missions award of purchase orders and contracts and negotiation and execution of contracts for the procurement of goods and services

Commodity Procurement Section I Commodity Procurement Section II Support Services Section

See, in China, the Shanghai Interim Measures for the Management of Online Public Procurement Bidding, article 22 the Shunyi District of Beijing Interim Measures for the Management of Online Public Procurement Bidding, article 20 and the Liuzhou City Rules of Implementation for Public Procurement through Online Procurement , article 22.