Para 5.1.7 — NONCONSULT_MANUAL

5.1.8. Performance Standards and Quality Assurance – Method Statement; Work Plan; Critical Material Schedule 1. Performance Standards and Quality Assurance stipulates the quantitative/ qualitative parameters/ limits/ thresholds for Performance standards/ Service Levels and functional/ technical specifications to which the service must be performed. It shall stipulate procedures for the measurement, reporting and monitoring of performance parameters, including institutional or third-party arrangements for this purpose. It shall also stipulate the procedure for resolution and escalation in case of deficiency in performance/ quality/ service levels. In the case of long-term and complex services, it may stipulate a ServiceLevel Agreement (SLA) agreement which must be complied with during delivery of Services. Performance Standards shall also include statutory compliance required for Occupational Safety, Health and Working Conditions requirements during delivery of Services. 2. Procuring Entity may, if considered necessary, specify sub-schedules: Method Statement, Work Plan, and Critical Material Schedules required for the performance of services to desired quality and standards. Otherwise, these may be left to be quoted by the Bidder. 3. Bidders must fill up the relevant forms regarding this Schedule.

Qualification Criteria - Personnel Schedule; Critical Equipment Schedule 1. Qualification criteria are needed to determine whether a bidder has the required capacity/ capability and credentials to successfully perform the contract. These Sections lay down the Qualifying Criteria for a bid/ Bidder to be considered a responsive bid/ bidder for further evaluation. Bids/ bidders not meeting these Qualification criteria shall be rejected as nonresponsive. Unless otherwise stipulated, the Qualification Criteria shall include:

a) Criteria 1: Experience and Past Performance i) Experience of providing similar services ii) Volume of similar services 1) 3 services > each 40% of the estimated cost; or

5.1.7. Schedule of Requirements and Services and Activities Schedule Schedule of Requirements and its sub-schedule - Service and Activities Schedule describes the background, purpose/ objectives, description/ scope, deliverables/ outcomes, quantum, timelines of Services required, etc. The requirements may consist of more than one schedule. Each schedule may contain more than one Service. In case of multiple schedules of requirement in a tender of Services, it should be clarified how bids for multiple schedules would be evaluated for award of contract – either schedule by schedule or in total. Bidders must fill up Compliance regarding these Schedules.

Manual for Procurement of Non-Consultancy Services, 2025 2) 2 services > each 50% of the estimated cost; or 3) 1 service > 80% of the estimated cost b) Criteria 2: Performance Capability – managerial and Equipment i) Contract Manager 5 years’ experience (3 as a manager) ii) Ownership/ proposals for acquisition/ hiring the essential equipment c) Criteria 3: Financial Capability i) Avg annual turnover at least 3-7 times the estimated cost ii) Financial Liquidity

2. The type of service, scope, delivery and value of the procurement shall be kept in view while fixing the Qualification criteria. However, a sample example is given below for illustration:

a) Past Experience: i) The bidder must have at least three years’ experience (ending month of March prior to the bid opening) of providing similar types of services to Central/State Government/ PSUs/ Nationalised Banks/ Reputed Organisations. Services rendered with a list of such Central/State/ PSUs/ Nationalized Banks with duration of service shall be furnished. ii) The bidder must have successfully executed/completed similar Services (definition of “similar services” should be clearly defined) over the last seven financial years previous to the current financial year: - 1) Three similar completed services with annualised value not less than the amount equal to 40% (forty percent) of the estimated annualised cost; or 2) Two similar completed services with annualised value not less than the amount equal to 50% (fifty percent) of the estimated annualised cost; or 3) One similar completed service with annualised value not less than the amount equal to 80% (eighty percent) of the estimated annualised cost.

b) Performance Capability: i) Managerial Capability: a Contract Manager with five years’ experience in Services of an equivalent nature and volume, including no less than three years as Manager; ii) Equipment Capability: Ownership/ proposals for the timely acquisition (own, lease, hire, etc.) of the essential equipment listed in the Tender Information Summary (TIS);

c) Financial Capability: i) Average Annual gross billing during the last three years, ending 31st March of the previous financial year, should be at least 3 times (for 1-3 years contracts) to 7 times (for contracts longer than 3 years) the estimated annual cost - as far as feasible based on the nature of service and market condition. Generally, the financial capability required in Non-consultancy services as a multiple of annual Tender value should be higher than the multiple in works because the service provider has to sustain the services over a long period of time. That is why a multiple of 3 to 7 is mentioned above. ii) Liquid assets and/or credit facilities, net of other contractual commitments and exclusive of any advance payments which may be made under the Contract, of no less than the amount specified in the Tender Document.

3. In higher value procurements, the minimum annual turnover should not be blindly a multiplier of the assignment value, but there may be an upper cap on demanded turnover, so as not to restrict competition only to the big or foreign firms. 4. The bidder must ensure that he fills up all forms and formats relevant for the compliance to the Qualification Criteria and provides convincing proof of having fulfilled these criteria. 5. Relaxation for Start-ups: The condition of prior turnover and prior experience may be relaxed50 for startups (only to startups recognised by the Department of Industry & Internal Trade (DPIIT)) subject to meeting quality & technical specifications and making suitable provisions in the tender document (Rule 173

(i) of GFR 2017). Startups may be MSEs or otherwise. It is further clarified that such relaxation is not optional but has to be ensured, except in case of procurement of items related to public safety, health, critical security operations and equipment, etc) where adequate justification exists for the Procuring Entity to not relax such criteria. Please also refer to para 1.10.1-4-b), 1.10.4-2-b) and 7.3.4-2-c). 6. Qualification Criteria shall be based entirely upon the capability and resources required to perform the particular contract satisfactorily, considering bidders’ experience and past performance, capabilities with respect to personnel, equipment and manufacturing facilities, financial standing and relevant compliance with environmental protection regulations/ Environment Management System. There should be no qualification criteria that would be advantageous to foreign manufactured goods at the cost of domestically manufactured goods. 7. Qualification of demerged entities51 (by virtue of a corporate restructuring exercise etc.): Tender documents must clearly mention if (and under what conditions) the demerged entity will be permitted to use credentials of original/parent entity (for initial five years from the incorporation of the demerged entities) to satisfy the qualification criteria or not.