FIDIC Conference, Beijing Sustainable Quality Consulting Services

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FIDIC Conference, Beijing Sustainable Quality
Consulting Services

• Robert Robertson
• ADB Director Consulting Services
• 7 September 2005

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Presentation coverage

• What is the Asian Development Bank (ADB)?
• Need for sustainable, quality consulting services
• Revised ADB consulting services Guidelines
• ADBs assistance to the PRC consulting services
  industry

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Asian Development Bank

• The Asian Development Bank, (ADB) is a
  multilateral finance institution dedicated to
  reducing poverty in the Asia Pacific-region.
• - Two thirds of the worlds poor live in the
  Asia Pacific region
• - 690 million people live on less
  than US1/day
• - ADB established in 1966
• - Headquarters in Manila, Philippines
• - 63 member countries
• - 2000 staff from 53 countries

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Offices
HQ in Manila, 26 field offices
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Sustainability consultants

• ADB and its borrowing member countries (DMCs),
  require consultants who can provide high quality
  services to assist in developing and implementing
  long-term sustainable poverty alleviation
  solutions

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Sustainability

• Definition for consulting industry
• Sustainability means developing strategies and
  procedures (solutions), that meet the needs of
  clients and stakeholders today while protecting,
  sustaining and entrusting the human and natural
  resources that will be needed in the future
• modification of a definition developed by the
  International Institute for Sustainable
  Development

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ADBs changing needs

• Consultants need to become aware of ADB and
  its Borrowers changing needs
• Project are multi-faceted and complex and
  consultants need to be able to respond to
  sustainable development requirements if they wish
  to participate
• -Solutions are required for
• - policy reforms
• - capacity building
• - innovative technical solutions

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Country Strategy and Program (CPS)

• Consultants should review CPSs at the ADB web
  site
• http//www.adb.org
• The CPS
• - defines the ADBs medium-term development
  strategy agreed with the DMC
• - determines ADBs country-specific poverty
  reduction strategy, thematic and sector
  priorities
• - is anchored on strong poverty, economic,
  social and sector analysis

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Policy aspects

• Consultants should review ADB policy reports at
  the ADB web site
• http//www.adb.org
• Anticorruption, ADB and NGO cooperation,
  project financing, environment, loan products,
  gender and development, governance, regional
  cooperation, resettlement, private sector
  operations etc

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Sector issues

• Consultants should review ADB policy reports at
  the ADB web site http//www.adb.org
• - Agriculture and natural resources
• - Education
• - Energy
• - Forestry
• - Health
• - Transportation
• - Water

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Western Roads Development

• Project in Sichuan Gansu Provinces
• Consultant were required to review the
  Governments feasibility study and prepare a
  project suitable for ADB-financing

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Western Roads Development

• Non-traditional engineering services
• Traffic flow analysis, environmental impact
  assessment, resettlement, private sector
  development commercialization, financial
  management, pricing policies, road safety,
  vehicle emissions, etc
• Traditional engineering services
• Horizontal vertical alignment, subsurface
  investigation, pavement, bridge tunnel design,
  construction materials, interchanges, toll
  station service area design etc

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Quality Consulting Services

• - What is the ADBs policy on quality?
• - What policies, procedures control quality?
• What level of quality is required?
• - Who controls quality?

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ADBs Guidelines 1

• Quality
• The technical qualifications of consultants to
  perform the required services are the most
  important criteria in the selection of
  consultants

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ADBs Guidelines 2

• Economy and Efficiency
• The assistance of consultants is needed by ADB
  and its borrowers to ensure maximum economy and
  efficiency in the preparation, construction and
  operations of projects

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Example - QCBS

• Quality and cost-based selection QCBS
• - 750 (75) minimum technical score
• - 80 technical 20 price
• Quality at market price

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Revised Guidelines 1

• - Current Guideline outdated, written in 1979
• Assignments now more complex
• Expertise requirement has changed
• Consulting firms/organizations 5-1000 employees
• Universities
• NGOs (large and small)
• Government Agencies
• Individual consultants

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Revised Guidelines 2

• Consultant recruitment must
• Be quicker and procedures streamlined
• More variety of selection methods required
• Take account of varying capacity of EAs
• Need to harmonize with other MDBs/IFIs
• Greater use of internet

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Greater focus on Quality

• Use of a quality management system
• - entry (consultant selection)
• - shortlisting and evaluation of proposals
• - during implementation of services (PER)
• - upon completion of service (PER)
• - improved DACON and DICON
• ADB, EAs and consultants will all be involved
  in ensuring high quality

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FIDICs comments

• ADB appreciates the very useful comments FIDIC
  made on the draft revised ADB Guideline proposals

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Sustainable consulting industry

• Model for a sustainable consulting industry
• - framework/policies/procedures -
  guidelines
• - association/professional body
• - consulting firms
• - individual consultants

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Capacity Building

• Capacity building and training
• - for ADB staff
• - for EA staff
• - for the consulting industry
• - ADB briefings to consultants
• - ADB web site, handbook
• - Development of domestic consultant
  industry seminars (DDC)

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TA-4486-PRC

• Formulation of regulations for the selection
  and engagement of consultants for
  Government-financed projects
• - ADB has been providing support for the
  development of the PRC consulting industry since
  1995
• - With the assistance of consultants ADB has
  worked with the PRC government to develop
  Guidelines for the recruitment consultants
• - In 1999 under TA-3138-PRC draft Guidelines
  were developed
• - Under TA-4486-PRC the Guidelines are now
  being converted into regulations
• - The intention is that the Guidelines will
  become law

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PRC Guidelines

• Use of the Guideline will provide for
  sustainability by providing a process for
  transparent and fair consultant recruitment on an
  on-going basis
• - Guidelines will ensure consultants with
  required expertise are selected and remunerated
  at market rate costs for their services
• - Guidelines are in line with a Governments
  goal of achieving
• - good governance
• - improved economic efficiency
• - combating corruption

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Thank you for your attendancefor more information

• please visit http//www.adb.org