REQUEST FOR EXPRESSIONS OF INTEREST
(CONSULTING SERVICES – FIRMS SELECTION)

Country: 		Ukraine
Project: 		Public Finance Management Support Programme for Ukraine 
Grant:			TF0B6630
Assignment Title:  	Option Paper for Public Investment Management (PIM) Automated Solution for Ukraine
Reference No.:	ME-CQ-3

Ukraine has received financing from the International Bank for Reconstruction and Development and International Development Association (“World Bank”), acting as administrator of the grant funds provided by the European Commission on behalf of the European Union (“Donor”) under Part III of the European Commission-World Bank Partnership Programme for Europe and Central Asia Single-Donor Trust Fund (TF073423) for the implementation of Public Finance Management Support Programme for Ukraine Project and intends to apply part of the proceeds for consulting services. The Letter of Agreement for Grant TF0B6630 was signed between Ukraine and the World Bank on 9 February 2022 (the “Letter of Agreement”) and the First Amendment to the Letter Agreement on 25.09.2023. The project closing date is June 11, 2025..
The Project is aimed to better manage public resources and consists of four parts: Part A “Country-wide launch of the HRMIS” (Project`s Part A), Part B” Enhancing Public Investment Management” (Project’s Part B), Part C “Better Governance and Oversight of State-Owned Enterprises” (SOEs) (Project’s Part C), and Part D “Project Management and Implementation Support”. The project closing date is June 11, 2025.
Ministry of Economy of Ukraine (MoE) within its Project’s activities aimed at strengthening and improving the efficiency of the PIM system in public administration institutions (Part B) is going, inter alia, to i) establish of a comprehensive database of the public investment portfolio and automation of the public investment decision making and management process; ii) deliver capacity building of participating stakeholders for better management of public investment projects, including their coordination and monitoring, and iii)  strengthening of capacities of key stakeholders, including the MoE, Ministry of Finance (MoF), and Ministry for Communities, Territories and Infrastructure Development (MinInfra), to coordinate implementation and monitoring of public investments and support the change management process; and (iv) improving PIM transparency and citizen engagement.
The automation of PIM processes is critical and will help to increase the public transparency of PIM procedures, to save costs due to reducing of paperwork, lowering the risk of corruption by reducing face-to-face contacts during documents submission. The PIM automation task will be implemented through: (a) carrying out analysis of automation options for PIM to cover needs for the MoE and MoF; (b) developing functional requirements and technical specifications for the PIM automation of selected function(s).
To get support in identifying the most beneficial PIM automated solution option to cover needs for the MoE and the MoF and preparing functional and technical requirements for it, the MoE is going to contract through a competitive selection an experienced consulting company to provide relevant services (“the Services”).
The detailed Terms of Reference (TOR) for the assignment is attached to this request for expressions of interest.
The estimated timeframe for the assignment is six months.
The MoE now invites eligible consulting firms (the Consultant) to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services. 
The selection of the most qualified and experienced Сonsultant for the assignment will be based on the following criteria:
Mandatory requirements: 
•	At least 8 years, namely since 01.01.2016 of relevant professional consulting experience in developing or implementing IT solutions;  
•	Successful implementation of at least three (3) similar contracts (projects) for the development  business process models, functional requirements for automated solutions over the last 5 years, namely since 01.01.2019;
•	Successful implementation of at least three (3) contracts in investment project-management-related activities;
•	Availability of relevant staff and resources to carry out the required work, including access to international knowledge base;
Desirable requirements (considered as advantage):
•	Experience of cooperation with the Ministry of Economy and / or other central executive bodies on the implementation of reforms in Ukraine.
•	Experience in implementing IT solutions under the World Bank and / or IFI-funded projects.
Key Experts will not be evaluated at this stage of selection process.

The attention of interested Consultants is drawn to Section III, paragraphs, 3.14, 3.16, and 3.17 of the World Bank’s “Procurement Regulations for IPF Borrowers” dated September 2023 (“Procurement Regulations”), setting forth the World Bank’s policy on conflict of interest.

Consultants may associate with other firms to enhance their qualifications but should indicate clearly whether the association is in the form of a joint venture and/or a sub-consultancy. In the case of a joint venture, all the partners in the joint venture shall be jointly and severally liable for the entire contract, if selected.

A Consultant will be selected in accordance with the Consultant’s qualifications-based selection (CQS) method set out in the Procurement Regulations.

Further information can be obtained at the address below during office from 09:00 to 17:00 Kyiv time.

Expressions of interest must be delivered in a written form in Ukrainian and in English to the address below (in person, or by courier or by mail, or by e-mail) by 17:00 of March 28, 2024.

Expressions of interest shall be marked in the subject line: " TF0B6630: ME-CQ-3: Expression of Interest".

Ministry of Economy of Ukraine
12/2, Grushevskogo Str., Kyiv, 01008, Ukraine
Tel: +38(044) 200-47-42, +38(044) 596-68-03
E-mail: ovechkin@me.gov.ua, riabtseva@me.gov.ua with mandatory copy to vshpytalna@me.gov.ua, procurements.pfm@gmail.com.  

Annex: Terms of reference No. ME-CQ-3

Annex 1
Ministry of Economy of Ukraine
Project: Public Finance Management Support Programme for Ukraine/ Grant # TF0B6630
Part B. Enhancing Public Investment Management

TERMS OF REFERENCE 
for Consulting Services 

for Option Paper for Public Investment Management (PIM) Automated Solution for Ukraine 

(contract reference: ME-CQ-3)

I.	BACKGROUND
Ukraine has received financial assistance from the International Bank for Reconstruction and Development and International Development Association (“World Bank”), acting as administrator of the grant funds provided by the European Commission on behalf of the European Union (“Donor”) under the EC - World Bank Partnership Program Part III for Europe and Central Asia Programmatic Single-Donor Trust Fund (TF073423) in an amount of three million eight hundred nine thousand Euro (EUR 3,809,000) (“Grant”) toward the cost of Public Finance Management Support Programme for Ukraine Project. The Letter Agreement regarding the Grant TF0B6630 was signed between the Ukraine and the World Bank on 09.02.2022 (“Letter Agreement”) and the First Amendment to the Letter Agreement on 25.09.2023. The project closing date is June 11, 2025.
The Project is aimed to better manage public resources and consists of four parts: Part A “Country-wide launch of the HRMIS” (Project`s Part A), Part B” Enhancing Public Investment Management” (Project’s Part B), Part C “Better Governance and Oversight of State-Owned Enterprises” (SOEs) (Project’s Part C), and Part D “Project Management and Implementation Support”.
The Ministry of Economy of Ukraine (MoE) is responsible for the implementation of Project`s Parts B, C, and partly D, the total amount of which is nine hundred forty-two thousand Euro (EUR 942,000).
The MoE (Client), is the lead institution responsible for the management of public investments in Ukraine.  Since 2015, the government has progressed towards improving country’s Public Investment Management (PIM) system. Few to mention include: transparent appraisal and selection procedures for public investment projects have been established; MoE developed basic procedures for monitoring of public investment projects; cost-benefit analysis methodology adopted for Ukraine through a specific value of the social-discount rate and the MoE has applied the methodology to selected projects; state PIM Committee comprising the key Ministers and members of the Parliament’s Budget Committee has been established. However, substantial deficiencies still remain. These relate to lack of strategic prioritization, non-efficient investment portfolio management with manual-based PIM procedures; capacity constraints within PIM stakeholders and MoE etc. Strengthening the PIM system is one of the main objectives of the Government’s Strategy for reforming the Public Finance Management System for 2022-2025 adopted on 29 December 2021.The Public Investment Management Roadmap adopted in December 2023 shall be considered as the core guiding document to implement PIM reforms. 
The MoE, within its Project’s activities aimed at strengthening and improving the efficiency of the PIM system in public administration institutions (Part B) is going, inter alia, to i) establish of a comprehensive database of the public investment portfolio and automation of the public investment decision making and management process; ii) deliver capacity building of participating stakeholders for better management of public investment projects, including their coordination and monitoring, and iii)  strengthening of capacities of key stakeholders, including the MoE, Ministry of Finance (MoF), and Ministry for Communities, Territories and Infrastructure Development (MinInfra), to coordinate implementation and monitoring of public investments and support the change management process; and (iv) improving PIM transparency and citizen engagement.
The automation of PIM processes is critical and will help to increase the public transparency of PIM procedures, to save costs due to reducing of paperwork, lowering the risk of corruption by reducing face-to-face contacts during documents submission. The PIM automation task will be implemented through: (a) carrying out analysis of automation options for PIM to cover needs for the MoE and MoF; (b) developing functional requirements and technical specifications for the PIM automation of selected function(s).   
The anticipated benefits of the PIM solution will enable by meeting business requirements: i) improved strategic planning of public investments; ii) harmonization of procedures and approaches to appraisal and selection of proposals to finance investment projects; iii) improvement of oversight organizational aspects and increase of transparency of projects implementation including data analytics on performance; iv) effective centralized system for coordination of public investment management and agile and objective projects appraisal; and vi) projects management institutionalization.

To get support in identifying the most beneficial PIM automated solution option to cover needs for the MoE and the MoF and preparing functional and technical requirements for it, the MoE is going to contract through a competitive selection an experienced consulting company (“the Consulant”)to provide relevant services (“Services”) as it set out in this Terms of Reference (ToR).

II.	OBJECTIVE OF THE ASSIGEMENT
The objectives of this assignment are: i) to carry out analysis of automation options for PIM to cover needs for the MoE and the MoF and provide recommendations on options to choose; (ii) to develop functional requirements and technical specifications for the PIM automation of selected function(s) to be further procured. 

III.	SCOPE OF SERVICES, TASKS, AND EXPECTED OUTCOMES

The Consultant shall provide the following services on PIM automation during the assignment:
•	Develop a description of business processes with user function descriptions, use cases, and data flows (BPM, business process model) of procedures and requirements of PIM in Ukraine. The description shall be based on an analysis to identify existing (as-is) business processes and necessary (to-be) PIM functions and business processes. This analysis shall cover the entire PIM functions and business processes for the whole cycle of PIM with special emphasis PIM function and business processes at MoE and MoF for PIM coordination, monitoring and interaction to other stakeholders. The results shall be presented in the Option Paper on analysis of PIM automated solutions and recommendation for Ukraine as a chapter. 

Analyze automation options for PIM in relation to the public investment projects and recommend options for the PIM automation taking into account good international practices and the country specifics
The analysis shall cover PIM automation solutions and options widely and effectively usable world-wide that could be procured or adopted to build user friendly and responsive digital PIM in Ukraine. 
The recommendation on options for PIM automated solution shall be based on the results of next analysis: (a) an analysis to identify existing (as-is) business processes and necessary (to-be) PIM functions and business processes at MoE and MoF for PIM coordination, monitoring and interaction to other stakeholders for the whole cycle of PIM, (b) comparison analysis of functional specifications (incl. modular functions and data-interoperability, user functions, data requirements), technical, secure features and constrains of options especially to cover needs of the MoE and the MoF (analytical modules, appraisal, selecting, statistical etc.), (c) an analysis of automation options of the PIM functions, based on benchmarking against good international practices,  including  possible using DREAM system for reconstruction investment management (available and/or are developing modules and functions). The results of the analysis with relevant recommendations shall be presented in the Option Paper on analysis of PIM automated solutions and recommendation for Ukraine, as detailed here and in Section IV below. 

•	Develop functional requirements and technical specifications for the IT solution to be used for PIM in Ukraine. The requirements shall meet the business needs of the MoE and the MoF under the stages of the project cycle. These stages cover initiation, project proposal development, submission through appraisal and feasibility study, project review and evaluation, project selection and budgeting by the Government of Ukraine (GoU) or selected finance resources, implementation, monitoring and adjustment including process transparency and citizen engagement. 
This task shall result in the report, summarizing the business process analysis used by MoE and by MoF and providing recommendations on change management: the staffing level, types of required competences, legal, institutional and procedural changes and others, as needed, to ensure high quality and timely services.
The BPM (business process model including user function descriptions, use cases, and data flows) of analytical modules for PIM and functional requirements for PIM automated solution shall ensure a clear specification of digital PIM solution business owner needs and options. 

Requirements for the PIM automated solution:

•	automated solution should manage near 100 projects from around 60 implementation agencies. The current PIM pipeline, which is being maintained by MoE in Excel, covers about 47 projects (end-2023) among which 30 projects were in progress in 2021, 17 – stand-by (selected by MoE and expected to be selected by the Intergovernmental Commission).
•	shall be based on the description of business processes of PIM at national level.
•	saved costs on manual paperwork and improved transparency, reduced face-to-face contacts during document submission.
•	carefully assess where financial or project management systems are already in place for the public investment project management. This will clarify what modules will need to be developed from scratch, where data is pulled from (or integration is required with) existing systems (e.g., budget, treasury, procurement), or where parallel systems are developed, and what needs of the MoF and the MoE should be covered by modules. 
•	to ensure that key functions and data-interoperability are implemented based on business owner and end-user needs.
•	to frame functional specifications in terms of modular functions and data-interoperability.
•	automation option shall prioritize and sequence relevant business process and data-driven decision supporting requirements to deliver value. 
•	should be a digital decision support tools and present an opportunity to improve digital PIM to respond on future challenges as climate change, etc.

The consultant shall  advice regarding potential commercial solutions and solution providers for the implementation phase of PIM.  These could be PIM solutions or PIM type commercial solutions that would meet the “to be” requirements (through configuration and some customization).  It should also include advice regarding indicative cost estimates. 

A PIM automation solution design strategy requires (i) a clear roadmap of expected user functions, (ii) underlying data requirements, and (iii) existing IT functionalities, and (iv) technical specifications that will either need to be integrated or upgraded for the PIM.

IV.	TEAM COMPOSITION AND CONSULTANT PERSONNEL QUALIFICATION REQUIREMENTS
The Consultant’s personnel must be properly qualified to perform their duties and act in line with their responsibilities.
The Consultant shall engage the experts and other properly qualified professionals sufficiently competent to perform their duties in accordance with the duties and/or responsibilities specified in these ToR.
If necessary, the Consultant must, at its own expense, provide translators for the Consultant’s personnel who do not have a working level of the English and the Ukrainian languages.
The Consultant must comply with all the necessary occupational safety requirements according to applicable legislation of Ukraine and requirements of the World Bank.
Required qualifications of the project team are provided below. However, the Consultant shall independently determine and offer in its technical proposal the time expenditures for each of the key employees.
In the Customer’s opinion, the Consultant’s Team must consist of (but not necessarily be limited to) the following key personnel:
Position	Qualification requirements	
1.	Project manager	Qualification requirements
- higher education not lower than a master’s degree in the area of information technologies or engineering and technical industry, or business management or other relevant education.
- experience in project management pertinent to development of software products and implementation of software on the customer’s/developer’s side in at least 5 assignments (projects) similar in specificity and complexity to the assignment that is subject matter of this ToR during the period of the previous 5 years, namely since 01.01.2019.
- Knowledge and practical experience of applying ITIL, PMBok or similar standards during the previous 3 years, namely since 01.01.2021.
-  Knowledge of the software development life cycle and availability of specialized training (a copy of certificates/diplomas must be provided);
- Knowledge of Ukrainian PIM policies and procedures, investment project cycle standards, PIM processes;
- Experience with Scrum, Kanban or similar products during the previous 3 years, namely since 01.01.2021;
- fluency in the Ukrainian language, knowledge of the English language at the level sufficient for reading documentation.	
2.	Architect	Qualification requirements
-	higher education not lower than a bachelor’s degree in the area of “information technologies”, “automated management systems”, “telecommunications”, “communications” or similar;
-	at least 5 years, namely since 01.01.2019 of overall industry experience, including experience of doing similar work at an organization comparable in scale and complexity should be emphasized;
-	experience in performing similar assignments in terms of scope and complexity in at least one project for a government agency;
-	fluency in the Ukrainian language, knowledge of the English language at the level sufficient for reading documentation.	
3.	Business process analyst	Qualification requirements:
- higher education not lower than a bachelor’s degree in the area of information technologies or engineering and technical industry, or business management or other relevant education.
- minimum 5 years of relevant professional experience in the area of information technology as a business analyst and/or system analyst including relevant work experience in at least 2 projects similar to the assignment during the previous 7 years, namely since 01.01.2017; 
- practical experience with business analysis methods (document analysis, writing user stories, functional decomposition, creation and use of BPMN and standard UML tools (draw.io, Microsoft Visio or similar tools);
- fluency in the Ukrainian language, knowledge of the English language at the level sufficient for reading documentation.	

V. REPORTING REQUIREMENTS AND TIME SCHEDULE FOR DELIVERABLES
During the Assignment, the Consultant shall prepare and submit the following deliverables
	Deliverables/ Content	Deadline
(in weeks from the contract signing date)	
1	Inception Report
The Report could include details of Consultant’s approach to fulfil the assignment, detailed work plan, clarification of resources to be provided by both sides of the contract, any other assignment related issues.	within 2 weeks
	
2	Option Paper on analysis of PIM automated solutions and recommendation for Ukraine
The Paper shall include description of i) BPM and business requirements for  PIM  automation solution and, inter alia, ii) key findings and design specifications for a PIM automation solution; iii) details of analysis of existing IT solutions for PIM with reflection of their strengths, weaknesses, alignment to GoU business needs, their pros and cons and tentative cost of using DREAM or commercial solutions, and iv) recommendation on approach for the PIM automated solution to be used at national level in Ukraine. 	within 10 weeks	
3	Paper on Functional requirements and Technical specifications for recommended solution of PIM automation. 
	within 20 weeks	

All deliverables shall be in a form and substance acceptable to the MoE. The deliverables shall be submitted electronically in Ukrainian and English (in doc/docx formats) and in hard copy in Ukrainian (in 2 copies) to the Project Manager/Coordinator, appointed by the Client. The Inception report shall be submitted only in Ukrainian.
The Client shall consider documents and reports submitted by the Consultant not later than within 15 business days from the day of the submission of a given report and either to provide its approval to the report or comments to be addressed by the Consultant. In case of any feedback, including rejection (with respective justification) from the Client after the specified period the report shall be deemed accepted. 
Acceptance of each deliverable shall be confirmed by the Acceptance Act signed between the Client and the Consultant. The signed Acceptance Act will be the basis for payments for services provided.

VI. DURATION, PLACE AND WORKING ARRANGEMENTS
The Consultant is expected to provide services under this assignment during the period from April 2024 through September 2024. 
The Services shall be provided in Ukraine both remotely and directly in the Client’s office in Kyiv taking into account security aspects. In case of remote support, the Consultant shall visit the Client’s office as often as will be required by the Client and Project needs and as will be agreed between the Client and the Consultant.
Subject to MoE’s need, availability of financing, and satisfactory performance of the Consultant, the assignment could be extended or expanded upon the mutual written agreement between the MoE and the Consultant. 
The Consultant shall work under supervision of the Project Coordinator, appointed by the Client, and be accountable to him/her. 
The Consultant shall closely collaborate with the MoE Investment Department, as well as other departments of MoE, the MoF, MinInfra, the Ministry for Digitalization of Ukraine and other government bodies, as might be needed. 
The Consultant shall be responsible for all logistics and accommodations that will be required to carry out the assignment, as well as for interpretation and translation services. 

The working language under the assignment shall be Ukrainian. The Consultant shall use qualified interpreters, if needed, for interacting with MoE’s counterparts. 

VII.	CLIENT’S INPUTS AND COUNTERPART PERSONNEL
The MoE will provide the Consultant with the following services, documents, and facilities to ensure Consultant`s ability to perform its obligations under the assignment:
-  access to premises and relevant systems as might be needed for the assessment;
-  all relevant documentation that might be required during the assignment;
- support the Consultant in arranging/holding needed meetings with relevant Government and others stakeholders;
The MoE will assign professional and support personnel to work with the Consultant’s team at the launch of the assignment implementation.

IX.	QUALIFICATIONS REQUIREMENTS
The Consultant should be a firm with a wide consulting experience in developing, using, and implementing IT solutions. The Consultant could be either a local or an international company.
The Consultant, as a firm, shall meet the following qualifications and experience requirements:
Mandatory requirements:
•	At least 8 years, namely since 01.01.2016 of relevant professional consulting experience in developing or implementing IT solutions;  
•	Successful implementation of at least three (3) similar contracts (projects) for the development  business process models, functional requirements for automated solutions over the last 5 years, namely since 01.01.2019;
•	Successful implementation of at least three (3) contracts in investment project-management-related activities;
•	Availability of relevant staff and resources to carry out the required work, including access to international knowledge base.

Desirable requirements:
•	Experience of cooperation with the Ministry of Economy and / or other central executive bodies on the implementation of reforms in Ukraine.
•	Experience in implementing IT solutions under the World Bank and / or IFI-funded projects.
The selection of the consultant will be performed in accordance with the CQS method described in details in the World Bank’s Procurement Regulations for IPF Borrowers (5th edition, dated September 2023) .