Purpose

To provide support in drafting Technical Specification and Tender Documentation for development of the Audit Management System (hereinafter referred to as "the AMS”) and support in reviewing the proposed design for the AMS submitted by the interested bidders.

Objective

To support the State Audit Institution of the Republic of Serbia (SAI) in improving the quality of audit processes.

Background Information

State Audit represents a critical tool for detecting, and by extension deterring, problematic financial management practices. Strengthening of State Audit is one of the most important measures for promoting more efficient use of public funds, and, in Serbia, is still in a capacity building phase, facing financial, organizational and, at times, constraints relayed from a lack of policy coordination and political will.  

During 2018 the “Accelerating Accountability Mechanisms in Public Finance project” financed by SIDA, supported the SAI in preparing a detailed flowchart of the current and desired audit processes, identifying requirements for the Audit Management System (AMS) and preparing the inputs for tender documentation for the development of a customised Audit Management Software, with full functionalities for conducting the entire audit process and integrating into the existing management system.

The current project will support the SAI in the procurement and customisation of the AMS which will further strengthen external scrutiny over public finances, having a significant impact on increasing transparency and reinforcing accountability in the use of public funds and meeting the objectives of the Public Financial Management Reform.

The present ToR is related to a component of the project “Accountable Public Finance Management Platform” related to the SAI and seeks to support the improvement in the quality of the SAI audit processes by supporting the development of a customized IT system which will significantly contribute to improved professional and efficient management of tax payers’ money, financial discipline and accountability in the public sector. This will be done by developing a custom-made Audit Management Software, with full functionalities for conducting the entire audit process and integrating into the existing management system.  With approximately 11.000 public fund beneficiaries that are subject to audits of the SAI, the introduction and practical use of Computer Assisted Audit (CAATs) and especially the AMS are a necessary precondition of expanding audit coverage, the scope and quality of audits. This will further strengthen external scrutiny over public finances that will have a significant impact on increasing transparency and reinforcing accountability in the use of public funds and meeting the objectives of the Public Financial Management Reform.

In addition, the AMS will have an explicit functionality to facilitate gender audits when it comes to performance auditing of budget beneficiaries. The Republic of Serbia has ongoing National Strategy for Gender Equality for 2016-2020 with a gradual implementation of gender responsible budgeting now required by law. According to the amendments to the Budget System Law passed in 2015, all budget users will be implementing it by 2020 at the latest. The SAI has been included in the 2018 plan. In other words, it is mandatory for the SAI to include gender budgeting in its annual plans, starting from this year. This translates to introducing gender equality principles to one or more programs or program/project activities, as well as using a gender sensitive classification of indicators which can be used to keep track of progress in the implementation of gender responsible budgeting.

In 2018, the Feasibility Study for the AMS was produced with the aim to provide sufficient information to top management so it can support the selection process of a software solution on which the AMS should be built. The scope of the Feasibility Study for the AMS was to determine the possible ways for development of AMS, analyse their advantages and disadvantages, as well as their suitability for the intended purpose and alignment with the determined objectives. The Feasibility Study for the AMS includes detailed assessment of the proposed solution regarding its operational, technical and economic feasibility.

The process of AMS design will be supported by the established Working Group in charge for introduction of the AMS in the SAI.

Based on the proposed AMS in the Feasibility Study, Technical Specification and Tender Documentation shall be defined, in order to initiate the procurement process for selection of the most favorable bidder for design and development of the Audit Management System software solution.

In the tendering process, potential bidder would be required to provide proposal for design of the AMS based on Technical Specification and Tender Documentation and submit along with the bid and other documents required. The proposed designs for the AMS software solution submitted by the interested bidders would be carefully reviewed whether they are according specifications and requirements set in the Technical Specification and Tender Documentation for the AMS. 

Based on reviewing of the proposed designs for the AMS software solution, conclusions would be provided as input to the selection process of the most favorable bidder for signing the Contract for development of the AMS (hereinafter referred to as "the Contractor for the AMS”). The Contractor for the AMS would develop the software solution based on the proposed design and according the Contract for the AMS.

In that way will be insured that the expected benefits from the AMS are in line with the vision, mission and strategic goals of the SAI Serbia and will improve the quality and efficiency of the audit process.

Duties and responsibilities

The selected Consultant shall be responsible for providing support in drafting Technical Specification and Tender Documentation for development of the AMS and expert support in reviewing the proposed designs for the AMS submitted by the interested bidders in the process of selection of the most favourable bidder for development of the AMS according to UNDP procurement procedures.

The Consultant shall report back to a UNDP Project Coordinator on the progress made regarding abovementioned duties and responsibilities.

Specific responsibilities shall include:

• Determining structure of the Technical Specification and Tender Documentation for development of the AMS;
• Suggesting parts of the Technical Specification and Tender Documentation for development of the AMS;
• Facilitate discussion on the Draft Technical Specification and Tender Documentation for development of the AMS with the Working Group in charge of introducing the AMS in the SAI Serbia in order to reach agreement on the structure and content of the draft documents;
• Incorporating the agreed structure and content of the draft documents into final version of the Technical Specification and Tender Documentation for development of the AMS;
• Reviewing the proposed designs for the AMS software solution submitted by the interested bidders, whether they are according specifications and requirements set in the Technical Specification and Tender Documentation for the AMS;
• Providing opinion made during the review of the proposed designs for the AMS software solution as input to the selection process of the most favourable bidder.

Reporting, deliverables and deadlines

The Consultant shall comply with standard UNDP rules and regulations and assigned deadlines per deliverables.

Deliverables and Deadlines

The Consultant shall be responsible for the following deliverables:

Deliverable 1: Proposed structure of the Technical Specification and Tender Documentation for development of the AMS produced, deadline: 31 August 2019.

Deliverable 2: Description of Technical Specification and Tender Documentation for development of the Audit Management System submitted to AMS Working Group, deadline: 20 September 2019.

Deliverable 3: At least three meetings with the AMS Working in order to reach agreement on the structure and content of the draft documents; deadline: 25 September 2019.

Deliverable 4: Agreed structure and content of the draft documents incorporated into final version of the Technical Specification and Tender Documentation for development of the AMS and submitted to UNDP Project Coordinator;deadline: 30 September 2019.

Deliverable 5: As a member of UNDP Tender Committee review the proposed designs for the AMS software solution submitted by the interested bidders, whether they are according specifications and requirements set in the Technical Specification and Tender Documentation for the AMS and provide opinion on the AMS software solution as input to the selection process of the most favorable bidder.deadline: 15 December 2019.

All deliverables have to be quality reviewed and approved or accepted by UNDP Project Manager, in consultation with the Working Group in charge of introducing the AMS in the SAI Serbia.

All deliverables produced during this assignment will have sole ownership of UNDP, and UNDP has the right to transfer the ownership to the national partner.

Requirements for experience and qualifications

Education:

• University degree in, organizational science, economics, electrical engineering, IT, public policy, governance and politics, or other field related to the scope of work. Advanced degree would be an asset;
• Certificate of proficiency in audit profession (such as certified state auditor or equivalent) would be an asset.

Work experience:

• At least ten years of relevant experience in working on the issues related to Audit, Internal Audit State Audit and/or IT support, IT support to audit, development and maintenance of IT systems and/or IT support to audit systems;
• Working experience in producing audit methodology;
• Excellent knowledge of the audit process (financial audit, compliance audit, performance audit);
• Involvement in previous project for implementation of the Audit Management System in SAI, as project leader, technical project leader, consultant/expert or member of the project team;
• Involvement in the organization and execution of the process of mapping audit processes in SAI;
• Experience in development of feasibility study and/or technical and tender documentation of relevance to the AMS;
• Participation in the design, testing and implementation of the AMS;
• Experience in implementation of software for audit reports’ data analysis or ERP software;
• Participation in preparation of IT policies and procedures for implementing the AMS;
• At least five years of experience in training and coaching of staff in skills related to Audit, IT or AMS;
• Previous experience in mapping of the relevant state audit processes;
• Previous experience in preparing the Feasibility Study for the state audit AMS.

Competences and values:

• Experience in working with governmental institution and/or international organisation is highly desirable;
• Understanding of institutional communications;
• Knowledge and experience in developing change management strategies, guidelines, work plans;
• Familiarity with the role of the parliament, government and independent institutions in Serbia;
• Experience in governmental institutions events and their external communication will be an asset;
• Excellent training skills;
• Lasting relationships and substantive dialogue with clients;
• Strong oral and written communication skills;
• Ability to think strategically and express ideas clearly;
• Good organization skills;
• Cultural, gender, religion, race, nationality and age sensitivity and adaptability;
• Integrity by modelling ethical standards.

Language and other skills:

• Knowledge of written and spoken Serbian;
• Knowledge of English is an asset;
• Excellent command of Microsoft Office Tools (Word, Excel, PowerPoint, Visio).

Application Procedure

Qualified and interested candidates are asked to submit their applications via UNDP Web site: UNDP in Serbia under section “Jobs” no later than 29 July 2019.

• Application should include:
• CV containing date of birth and contact information;
• Offeror’s Letter (only PDF format will be accepted) confirming Interest and availability for the Individual Contractor (IC) Assignment. Can be downloaded from the following link: http://www.undp.org.rs/download/ic/Confirmation.docx 
• The Offeror’s Letter should include financial proposal specifying a total lump sum amount for the tasks specified in this announcement with a breakdown of costs. Offeror’s Letter must also include the methodology concept containing a preliminary plan of work (no more than two pages).

The above listed documents may be uploaded under consultancy ref. 1970 at following the link: http://www.rs.undp.org/content/serbia/en/home/jobs.html

For more information please refer to the attached Procurement Notice.

Additional Information:

• Individual Contract (IC) will be applicable for individual consultants applying in their own capacity. 
• Reimbursable Loan Agreement (RLA) will be applicable for applicants employed by any  legal entity. Template of RLA with General Terms and Conditions could be found on: http://www.undp.org.rs/download/RLA%20with%20General%20Terms%20and%20Conditions.doc. In the case of engagement of Civil servants under IC contract modality a no-objection letter should be provided by the Government entity. The ‘no-objection’ letter must also state that the employer formally certifies that their employees are allowed to receive short-term consultancy assignment from another entity without being on “leave-without-pay” status (if applicable), and include any conditions and restrictions on granting such permission, if any. If the previous is not applicable ‘leave-without-pay’ confirmation should be submitted.

Engagement of Government Officials and Employees

• Government Officials or Employees are civil servants of UN Member States.  As such, if they will be engaged by UNDP under an IC which they will be signing in their individual capacity (i.e., engagement is not done through RLA signed by their Government employer), the following conditions must be met prior to the award of contract:

(i)       A “No-objection” letter in respect of the individual is received from the Government employing him/her, and;
(ii)     The individual must provide an official documentation from his/her employer formally certifying his or her status as being on “official leave without pay” for the duration of the IC.

• The above requirements are also applicable to Government-owned and controlled enterprises and well as other semi/partially or fully owned Government entities, whether or not the Government ownership is of majority or minority status.  
• UNDP recognizes the possibility that there are situations when the Government entity employing the individual that UNDP wishes to engage is one that allows its employees to receive external short-term consultancy assignments (including but not limited to research institutions, state-owned colleges/universities, etc.), whereby a status of “on-leave-without-pay” is not required.  Under such circumstance, the individual entering into an IC with UNDP must still provide a “No-objection” letter from the Government employing him/her.  The “no objection” letter required under (i) above must also state that the employer formally certifies that their employees are allowed to receive short-term consultancy assignment from another entity without being on “leave-without-pay” status, and include any conditions and restrictions on granting such permission, if any.  The said document may be obtained by, and put on record of, UNDP, in lieu of the document (ii) listed above.