Section 3

Terms of Reference

CONTRACT NAME: Implementation of customized ERP in leather firms/ MSMEs in Kolkata
CONTRACT NO: 2419-11123-.23


Agencies that show interest for taking up more than one assignment have to submit separate bids
(technical and commercial) for each assignment.
Objective: Implementation of customized ERP in leather firms/ MSMEs in Kolkata

Scope of Work: The scope of work can be summarized as the following:

i) Convincing the Management about the implementation of ERP and their benefit
ii) Implementation of customized ERP in small/ medium enterprises, manufacture and
exporting leather goods located in Kolkata
iii) Training of employees for operating the ERP system with ease

Areas of Resource Planning are as the following (as applicable to the specific units):

Manufacturing: Work order, scheduling capacity, workflow management, job working,
quality control, cost management, manufacturing process, and manufacturing flow.
Supply Chain Management: Order to cash, inventory, order entry, purchasing, product
configuration, supply chain planning, supplier scheduling, and inspection of goods, claim
processing, commission calculating and outsourcing
Financials: General Ledger, cash management, accounts payable, accounts receivable and
fixed assets
Project Management: Costing, billing, time and expense, performance units, activity
benefits
Human Resources: Human resources, payroll, training, time and attendance, rostering
benefits
Customer Relationship Management: Sales and Marketing, commissions, service,
customer contact, call centre support, export co-ordination
Data Services: Various self-service interfaces for customers, suppliers and/ or employees
Access Control: Management of user privileges for various processes

Methodology

The bidder has to prepare and submit his/her/their own methodology of handling/managing the
assignment.

Major Deliverables
Satisfactory implementation of ERP in selected units

Competency and Previous Experience

The bidder should reflect his/her/their competency and previous experience including resource
persons experience, expertise and skill set.

6. Evaluation Criteria

Sr
.
N
o
Criteria

Weighta
ge
1 Technical Bid
Sr.
No.
Criteria
Max
Marks
a.
Experience and expertise of agency in similar assignments
(XXXXXXX, XXXXXX))
40
b.
Experience of Team Leader and team in similar
assignments (XXXXXX, XXXXXX).
25
c.
Understanding of TORs 10
d.
Proposed Methodology 25
Total 100

75%
2 Commercial Bid 25%
Total 100

7.1. Technical bid scoring

For selecting the winning Technical bid, Relative Technical Score (RTS) method will be used for
evaluation of ITT as detailed below:

Relative Technical Score for each Implementing Agency: - (A)
RTS = T / Thigh * 100
Where,
RTS = Relative score for Technical Proposal of each Implementing Agency
T = Technical score of the current proposal
Thigh = Highest technical score obtained

7.2. Commercial bid scoring

The Commercial bids Relative Commercial Score (RCS) for each Implementing Agency will be
calculated as given below:

Relative Commercial Score for each Implementing Agency:
RCS = L1 / L * 100 - (B)
Where,
RCS = Relative score for Commercial Proposal of each Implementing Agency
L = Amount quoted by the current proposal
L1 = Lowest Amount quoted by L1 proposal


7.3.

Calculation of Combined Score for the Final Selection:
For the final selection, a combined score based on techno-commercial evaluation will be arrived at
as follows:


Combined score = RTS * 0.75 + RCS * 0.25
The proposal having highest combined score will be declared as the preferred bidder and
eligible for award.

8. Payment terms

The payment terms would be mutually discussed and agreed and subsequently an MoU will be
signed mentioning the payment terms.

S No Stage Payment
terms
Inception/Pre Implementation
1.
Upon submission of methodology for implementing
customized ERP

10%
Implementation stage
2.



3.

Taking Documentation Blueprint, System Upgradation and
installation


Upon successful completion of the assignment and
achievement of the expected outcome and training

50%



40%


9. Timeframe: The bidder should submit their envisaged time frame. They are also supposed to
refer to EDII, Kolkata before preparing the time frame; the study is to be completed within 4
months.


10. About the Project: The Business Development Service Project seeks to address the demand of
the MSMEs to catapult their competitive advantage with the help of the BDS Market, which
provides highly professional and tailor made services. The project also seeks to bridge the gap
between the supply and demand in the BDS Market.
The project is supported by SIDBI and implemented by EDII, Kolkata, for Kolkata Leather Cluster.
11. Glossary

BDS Business Development Services
EoI Expression of Interest
ITT Invitation to Tender
MoU Memorandum of Understanding
MSME Micro Small & Medium Enterprises
SME Small & Medium Enterprises
SPV Special Purpose Vehicle