This initiative builds on the work that has been done in the “Delivering as One” countries of Tanzania and Mozambique in the area of harmonized procurement at the local level.
To lay the groundwork for the potential savings in this area, the HBP Plan of Action is funding a project led by UNICEF to put the required tools in place.
Time-frame: Implemented by December 2012 Anticipated
Benefits & Results
The main benefit of this project and the subsequent roll-out of a standardized toolkit and updated procurement practitioners handbook are expected to be simplified and streamlined common procurement and supply chain processes that have the potential to reduce transaction costs and increase efficiency and collaboration at the country level leading to increased effectiveness and greater cohesion across the UN system.
Based on data from an informal survey of duty stations and organizations, a reasonable expectation of savings is approximately 10% of local procurement (estimates provided range from 0-60% savings but cluster around 10-15%). Non-strategic (local) procurement globally is currently about US$2 billion.