RFX 7000002112 UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION TERMS OF REFERENCE (TOR) FOR CONTRACTS FOR SERVICES AND WORK 21 December 2016 Scope of work: Support the creation and growth of innovative start-ups, the development of micro and small enterprises (MSEs) and the establishment / upgrading of business linkages within clusters / value chains, as well as promote large-scale business and investment opportunities in pre-selected sectors in Luxor governorate. 1. Background Information UNIDO, together with the Ministry of Trade and Industry and with funding from the Government of Japan, is currently implementing a project entitled Youth employment for socio-economic stability in Upper Egypt. The project aims at improving socio-economic stability in Upper Egypt, with focus on Luxor Governorate. This will be achieved by diversifying the local economy, increasing the resilience of communities and individuals, and integrating young women and men productively into the economy also to avoid phenomena of alienation, radicalization or illegal migration. The proposed approach aims at stimulating private sector growth in priority sectors / clusters / value chains and thereby improving the productivity and competitiveness of new and existing start-ups and MSEs. Simultaneously the proposed approach aims at promoting technical, vocational and entrepreneurial skills development for underemployed and unemployed youth and women as well as students for enhanced employability and self-employment opportunities. As a result, the project is expected to contribute to revitalize the local economy and to provide the youths in targeted communities with more and better employment and entrepreneurial opportunities, hence improving their livelihoods. Based on the analysis of the local economic texture and engagement with the Egyptian industry, the project will focus on the following priority sectors where opportunities for economic empowerment, employment generation and private sector growth exist and can be stimulated further: sustainable agriculture and food production, waste management, renewable energy. During the project inception phase, UNIDO has already assessed main economic activities in the priority sectors based on which demand and supply for business opportunities may be generated and to which business opportunities may be linked in a forward and/or backward manne r. Related business
opportunities with high success chance and high socio-economic impact that have been identified are as follows: 1 Alternative fuel for energy intensive industries Traps for pheromones pest control Small scale household branded products Animal feed from mixed agriwaste High quality compost from animal/agriwaste (large-scale) Low cost solar water heaters General machinery for agricultural applications (e.g. shredder) Dried vegetables and fruits (e.g. garlic, onion) Dried aromatic plants for traders for local market and export Agriwaste to decorative paper Biogas/Compost from animal waste Powdering and packing of dried herbs and spices (e.g. powdered onion or garlic) Biomass pellets and heaters for poultry farms Packed dried aromatic plants for herbal drinks Solar pumping With a view to support the development of clusters and entrepreneurship ecosystem in Luxor, the following categories of support mechanisms have been identified to be addressed during the upcoming implementation phase of the project: Awareness raising on business opportunities, as well as existing support mechanisms and services Constant entry of new ideas into the market Growth of existing MSEs Development of linkages among companies and with institutions Access to knowledge Access to large firms Access to service providers Access to finance 2. Objective of the present service agreement The key objective of the proposed contracted services is to support the creation and growth of innovative start-ups for products and services and the development of MSEs in the priority sectors, foster their integration within clusters / value chains through the establishment / upgrading of backward and forward business linkages as well as linkages with supporting institutions. The service provider is required to exert considerable efforts to engage various stakeholders in order to raise their awareness on technoeconomically and commercially viable businesses and investment opportunities, leverage and strengthen their capacities in in terms of activity implementation, and increase success chances of startups and MSEs. In addition, sustainability with outcomes of implemented activities should be addressed. With the ultimate aim of enhancing the business support environment for start-ups and MSEs in Luxor governorate, the service provider is also required to build on the analysis of administrative regulations 1 The successful service provider will be provided with the previously conducted assessment and will be required to build on it.
and procedures developed during the inception phase of the project in order to formulate, through a consultative process, policy recommendations to address priority areas of improvement in the administrative procedures and regulations for start-up and operation of manufacturing businesses. Furthermore, the service provider is required to assess the feasibility of and promote capital intensive and high value added business opportunities and related industrial investment projects in order to attract large-scale investment in Luxor governorate in manufacturing activities related to the sustainable agriculture and food production as well as waste management. 3. Deliverables and general time schedule The activities in this contract shall be finalized no later than 7 months after the contract is awarded. The service provider is required to start work within a week from the signing of the contract. The activities to be undertaken by the service provider and related deliverables are as follows: Activities 1.1 Ensure wide dissemination (both off- and on-line) of the identified business opportunities (e.g. through bi-lingual information kits) to young women and men in Luxor governorate and relevant institutions in Luxor governorate and nation-wide. 1.2 Raise awareness of young women and men and public and private supporting institutions on the identified business opportunities in Luxor Governorate. 2.1 Reach out to and select jointly with UNIDO project team 30 ideastage entrepreneurs (each representing a potential company) to receive sector-specific support to kick-off their businesses in the priority sectors and generate revenues. 2.2 Design and implement a comprehensive training programme (to be held in Cairo) to build the capacities of the selected idea-stage entrepreneurs that covers various areas of creating a business in the sectors selected and is tuned to the specific needs and features of the priority sectors. 2.3 Design and implement a comprehensive 6 month support programme, including group and/or one-on-one support, targeting 20-25 among the trained idea-stage entrepreneurs that allows them to take their idea to the market and establish their companies. The programme should provide prototyping grants to very few selected entrepreneurs as a push towards the development of the minimum viable product, as well as leverage needed finance from various financing entities. The programme should also ensure the sustainability of the supported businesses after the project s life. Deliverables BO disseminated to at least 5,000 young women and men and at least 20 supporting institutions Awareness of 200 youth and 15 supporting institutions (of which at least 8 are operating in Luxor) raised Capacities of 30 idea-stage entrepreneurs enhanced 20-25 entrepreneurs supported to take their idea to the market and establish their companies Needed finance leveraged
3. Reach out to, select jointly with UNIDO project team, and build the capacity (over 6 months) of existing MSEs (more than 1 year old) to grow their businesses in the priority sectors, through the provision of a comprehensive business development support package with a strong focus on technical and strategic markets aspects. The programme should leverage needed finance from various financing entities. The programme should also ensure the sustainability and continuous growth of the supported businesses after the project s life. 4. Select jointly with UNIDO project team and build the capacity of new and existing local financial, legal, and marketing consultants for enhanced BDS provision for new and existing start-ups and MSEs in the priority sectors in Luxor governorate. 5. Design and implement tools(s) for establishing / upgrading business linkages between start-ups / MSEs and large principle firms in the priority sectors. 6. Design and implement tool(s) for promoting networking among startups / MSEs, large principle firms, input / equipment suppliers, clients, traders, exporters, and financing entities. 7. Organize an entrepreneurship conference that catalyzes entrepreneurship support in Luxor governorate and triggers further support to start-ups and MSEs in Luxor governorate. 8.1 Based on UNIDO s mapping of business opportunities, prepare preliminary industrial feasibility studies for the top 5 large-scale industrial production businesses and related industrial investment projects in Luxor governorate in manufacturing activities related to sustainable agriculture and food production and waste management sectors. Industries promoted will be highly innovative and with significant potential of value addition. Analysis of marketing, engineering and technology, economic and financial aspects, and any other aspect deemed necessary to promote the identified industrial investment projects and develop an investment inducing pre-feasibility should be thoroughly conducted. The 5 opportunities are to be decided upon contract award. 8.2 Identify suitable partners interested in investing in the identified ventures (at least 5 individual / institutional financiers per opportunity). Define the project s strategy in engaging selected high impact high interest financiers among the ones identified. Consult and engage them, jointly with the project team, and define their role in realizing the identified industrial investment projects. 8.3 Support the implementation of a focused investment forum to facilitate B2B matchmaking between the identified potential financiers and local players. 2 7 existing startups / MSEs supported to grow their businesses Needed finance leveraged Capacity of 9 new and existing BDS providers enhanced At least 2 business transactions negotiated and finalized Collaborations and business linkages initiated Collaborations among attendees initiated Industrial prefeasibility studies of top 5 large-scale business opportunities and related industrial investment projects prepared Suitable partners identified and engaged and their role in realizing investment projects is defined Investment forum and B2B matchmaking conducted and business linkages initiated 2 The investment forum is expected to be held in the last week of March.
9.1 Based on UNIDO s analysis of the administrative regulations and procedures for start-up and operation of manufacturing and industrial businesses, develop, through a consultation mechanism involving relevant public and private stakeholders (both at central and local levels), priority proposals for improvements in the short term. 9.2 Formulate policy recommendation addressing the identified priority areas of improvement to support start-ups and MSEs in manufacturing. Priority proposals developed in a consultative manner Policy recommendations formulated 4. Supervision and reporting The service provider will work under the supervision of the UNIDO Project Manager and the Youth employment project specialist, in coordination with UNIDO project team. A project team member, i.e. the entrepreneurship field activities associate, will provide support to the field activities undertaken by the service provider. The project team will share all relevant information with the selected service provider. The project team will monitor the progress and evaluate the results of the activities undertaken by the service provider. Regular meetings (at least every 2 weeks and as required by the project team) will be organized between the selected service provider and UNIDO to discuss progress and outstanding issues. A kick-off meeting will be organized upon the signing of the contract between UNIDO project team and the selected service provider. The service provider is expected to submit the following reports: (i) Progress report documenting activities carried out, results, lessons learned and recommendations as per activities 1.1, 1.2, 2.1, 2.2, 3, 4, 5, 6 and 7. (ii) Pre-feasibility studies as per activity 8.1, matrix of identified partners and their role as per activity 8.2, report documenting activities carried out, results, lessons learned and recommendations as per activity 8.3. (iii) Report documenting consultative process and policy recommendations as per activities 9.1 and 9.2. (iv) Final report documenting all activities carried out, results, lessons learned and recommendations. The above-mentioned reports should include the following sections: Overview and background of the mapping/activities conducted Methodological approach and process Findings and main results Conclusions and recommendations Annexes (Methodology tools, schedule, list of persons/institutes interviewed and sites visited, documents reviewed, interview reports, etc.) All documents will be provided to UNIDO with 1 electronic copy, consisting of the following electronic files: PDF file Original work files (WORD, POWER POINT, EXCEL, etc.) Photographs
The electronic copy can be provided via e-mail, if the nature and size of the files make it possible. Otherwise, the electronic copy will be provided in a CD or DVD copy. Reports and documents submitted to UNIDO should be in English, unless otherwise specified. 5. Contents and submission of the proposal In response to the present solicitation, interested institutions should bid for all the required scope of work, as detailed in the present Terms of reference. The submission should include the following: Methodology (methodological approach and tools) and work plan, including steps to carry out the proposed assignment, with sufficient detail to show the understanding, competencies and compliance with the scope of work and activities outlined in the present Terms of reference. Timeline (proposed timeline with clear milestones). A short account of work undertaken by the bidding institution in the area of startup creation and MSE development in manufacturing activities related to the priority sectors, with client references. The names, qualifications and specific tasks of the key staff/experts to be assigned to this work. A detailed breakdown of the costs to perform the different activities and main category (e.g. personnel, travel and local costs, materials, printing and other related costs broken down by item). Please note that your quotation should be inclusive of all costs foreseen to perform the work. Please note that the cost to perform communication activities and logistical arrangements and out of pocket expenses related to the investment forum (activity 8.3) and the entrepreneurship conference (activity 7) will be borne by UNIDO separately and hence should not be included in the financial proposal for the present service agreement. The amount of prototyping grants should be covered in the financial offer and indicated separately in the proposal. A minimum of 3 reference persons who might be contacted (Name and contact details phone and email - of reference persons). Through the above detailed submission, the bidding institution must demonstrate that the respective staff/experts assigned to this service possess the following skills and qualifications: Relevant technical and hands-on experience and academic qualifications for this assignment (as measured by CVs of key staff/experts) and confirmation of time commitment and fast mobilization capacity. The vendor should have inherent technical capabilities (onboard long term staff) to be able to technically backstop staff/experts. Expertise: Proven track record of projects in startup creation, MSE development in manufacturing activities related the priority sectors, particularly in Upper Egypt, with particular expertise in the technologies and economics relevant to the priority sectors, as well as in the engagement of national and local supporting institutions, (as measured by the short account of previous work undertaken by the bidding organization); Very good analytical, conceptual and writing skills.
6. Evaluation criteria The technical proposal submitted in response to the present solicitation shall be evaluated according to the following criteria: Criteria Proposal: Understanding of the required scope of work Comprehensiveness of methodological approach and tools proposed Adequacy of workplan proposed and feasibility of execution Compliance with the scope of work and activities outlined in the present Terms of reference Bidder: Expertise of the bidding institution in startup creation, MSE development in manufacturing activities related to the priority sectors, particularly in Upper Egypt, with particular expertise in the technologies and economics relevant to the priority sectors Expertise of the bidding institution in engaging national and local supporting institutions Relevance of staff/experts' technical and hands-on experience and academic qualifications Capacity of operations Score ( /60) ( /40) Total score ( /100) 7. Language Requirements The experts will be required to be fluent in Arabic and English. Reports and documents submitted to UNIDO should be in English, unless otherwise specified. All written material submitted to UNIDO should be of such quality that no additional technical editing is required.