URGENT REQUEST TO SUBMIT QUOTATION FOR THE IMPLEMENTATION OF A FINANCIAL MANAGEMENT INFORMATION SYSTEM TO KNCV NIGERIA. (Accounting Software)
KNCV Nigeria seeks to engage the services of a licensed Accounting software partner to deploy a new on premise or cloud-based financial management system (FMIS) to replace its current accounting system. The project implementation services will cover a range of activities starting from project initiation, system development and deployment, training within 90 days of contract signing, and 3 years service level agreement for on-site and off-site support subject to yearly evaluation of support service.
The main objective of this Project is to deploy a robust financial management information system (FMIS) solution that would enable KNCV to efficiently manage multiple donor-funded grants and government funding, as well as to provide a holistic view of the financial situation of the organization.
The system should be compliant with the applicable government accounting standards, meet the donor accounting and reporting requirements, and enable KNCV to produce compliant reports in accordance with applicable donor and government accounting and reporting requirements. The system should in addition be robust and provide a solid platform for future development.
The FMIS should enable KNCV to manage its whole Procure-to-Pay process starting from Purchase Orders up to payment for goods and services and should include modules such as budget management, general ledger, accounts payable & receivable, voucher management, inventory, fixed assets, and HR/Payroll.
The system should provide interfaces with the bank as well as with Nigeria Health Logistics Management Information System (NHLMIS) and integrate donor reporting templates.
The system setup is to be based on the modified accruals accounting principle with capabilities to produce IFRS-compliant financial reports.
General Ledger, Accounts Payable, and Accounts Receivable
The FMIS should enable KNCV to centrally manage the master data that are used across its different modules, such as Chart of Accounts, Debtors and Creditors, Names, Addresses, and Bank Details. Accounts Payable and Accounts Receivable should be integrated with the General Ledger and either post in real-time or be automatically reconciled.
The system must have blocking controls to ensure that payments for a good or service do not exceed the approved invoice amount, the invoice amount does not exceed the approved purchase order (PO) or contract amount, and that contract or PO amount does not exceed the approved budget amount or available budget funds.
Cash and Bank
The FMIS should enable KNCV to:
- a) Effectively manage their bank accounts, report on cash balances, and make cash forecasts
- b) Facilitate a periodic automated bank reconciliation
- c) Exchange data (bank statements, outgoing payments) with the Remita.net platform.
The FMIS should have the capabilities for creating a payment or receipt voucher with the under-listed features:
- Role-based authorizations, permissions, and discretionary limits per user.
- Process Accounts Payable payment advice.
- Process General Ledger receipts and/or payments.
- Support for multi-currency accounts.
- Customisable receipts and payment voucher layouts.
- Capture and save payments and receipts vouchers for future processing.
- Maintain and print audit trials.
The FMIS should enable KNCV to analyse all transactions through the following minimum key dimensions and sub-dimensions as described, below:
- Costing Dimension
- Activity Dimension
- Funding Source Dimension
- Implementing Entity Dimension
- The FMIS should also have a provision to incorporate additional analysis dimensions at a later stage if needed.
The FMIS shall be multi-currency. It should support unlimited currencies during the transaction entry, and at the same time, it should have at least two reporting currencies – Nigerian Naira (NGN) and US Dollar (the grant currency), with the possibility to incorporate additional reporting currencies in the future.
The FMIS should allow KNCV to maintain daily, monthly, or periodic exchange rates as well as different exchange rate types such as budget rate, rate to convert expenditures, or rate for revaluation, and be able to automatically calculate FX gains and losses (both realized and unrealized).
The FMIS should facilitate the following periodic or ad-hoc revaluations:
- Revaluation of balances in foreign currency (Bank balances, Accounts payable, Accounts receivable)
- Revaluation of unliquidated commitments
The FMIS should have the capability to record and track applicable taxes such as PAYE, VAT, and WHT.
While KNCV donor-funded grants are VAT exempt, it is essential that in cases where VAT has been paid, it can record and report any such payments so that these can be claimed back.
Calendar and Financial Closing
The FMIS shall allow for:
- Flexibly defining the calendar periods (e.g. to allow for different financial treatment)
- Closing of the accounting periods
- Effectively controlling access to already closed periods.
The FMIS needs to facilitate the following:
- Maintenance of budgets in multiple currencies (USD/grant currency and NGN/functional currency) on a monthly or quarterly and annual basis.
- Maintenance of several budget sets for one grant budget, i.e. the original budget and any subsequent revisions
- Real-time provision of available budget funds for each budget line/activity, module and intervention
- Provision for budgetary controls such as notification and blocking of entry when budget is overspent with the possibility to override the decision based on the approval level, or the budget hierarchy. For example, the grant rules allow certain flexibility on the lowest activity level (cost category), but less flexibility on higher levels (intervention).
The FMIS should facilitate the Procure-to-Pay process starting from Purchase Order, Goods Received
Note, Purchase Invoice up to the payment. In addition, it should also:
- Manage approval hierarchy for the purchase orders
- Provide a possibility to maintain and monitor contracts
- Integrate with the inventory module as well as with the fixed assets module
- Be in a position to report on unliquidated commitments and integrate them in the budget variance report.
Fixed Assets Management
The FMIS should enable KNCV to manage the list of fixed assets and maintain the typical static data on each asset as well as selected analytical information such as the source of funding or implementer (see Analysis Dimensions). It should also keep track of the asset’s location and user assignment.
The fixed assets module should facilitate different depreciation treatments of assets based on government or donor requirements and generate a fixed asset register. The module should be integrated with other modules such as purchasing or general ledger.
The FMIS should enable KNCV to maintain inventory and keep track of inventory movements across different locations. The module shall be integrated with other modules such as purchasing or general ledger. It should also facilitate maintaining price books for the items and reporting the financial value of inventory using different methods and prices (e.g. standard, average, latest) in line with respective donor or statutory requirements.
The FMIS must have the capability to produce reports in both NGN and the grant currency. The list below contains the main reports that shall be produced from the system without the need for manual modifications:
- Statutory financial statements such as Trial balance, Statement of Financial Position/Balance sheet, Profit & Loss/Income Statement, Cash Flow Statement
- Monthly, Quarterly, and Annual Expenditure reports by module, intervention, activity, cost input, cost grouping, and implementer
- Budget variance analysis report (the report shall calculate available funds as Budget – unliquidated commitments – paid expenditures and be capable of showing its constituent parts which are contracts pending against approved budget amount, invoices pending against approved purchase orders, and unpaid invoices against approved invoices).
- VAT report (VAT receivable)
- Tax Payable Reports (PAYEE and WHT)
- Open advances
- Unpaid Invoices
- Open commitments (unliquidated purchase orders or contracts)
The system should also offer dashboards displaying Key Performance Indicators to effectively support management decision-making and management of the grants.
The system shall provide features to facilitate entries of transactions in bulk (i.e.batch entry and posting), e.g.:
- Import of invoices with many transactions’ lines
- Budget maintenance
- Import of inventory movements
Test Run and Data Migration
KNCV plans to test-run the system between 1st September 2023 – 31st September 2023.
Given the new grant starts from October 2023, only balance sheet items (audited closing balances) as of 31st September 2023 shall be migrated into the new system from Exact Globe.
The FMIS should be cloud-based with the following features:
- Cloud services to be hosted in Nigeria
- The Service Level Agreement shall guarantee 99.9% availability of the service.
- The vendor shall put in place a Disaster Recovery Plan that would ensure that KNCV is able to continue their work within 24 hours after a disaster
- The vendor shall ensure that KNCV is able to make their own local backups and store them within their premises.
The vendor shall describe their preferred implementation methodology outlining the activities broken down in at least the following phases:
- Project initiation/scoping workshop
- System Design
- Business Pilots
- (Design of test system with iterative resolutions of identified issues until the final business pilot is signed off by KNCV)
- Post-implementation Review
- (KNCV expects that the methodology includes a post-implementation review, e.g., a 3 to 5- day workshop 3 months after the GO LIVE date to evaluate the use of the system and to further optimize its configuration)
- Support after GO LIVE (Remote as well as on-site)
- Hyper-care support provision
The following deliverables are expected:
- Fully configured and deployed accounting software
- multi user licenses
- GO LIVE date of the system on 1st October 2023
- Users have been satisfactorily trained and are proficient in using the FMIS, as well as in its administration.
- Activity budgets uploaded into the FMIS.
- Closing balances as of 31st September 2023 migrated into the system.
- Post-implementation review has been doneand all identified issues and desired improvements have been resolve
- System Documentation
- Based on the finalized configuration, the vendors shall provide KNCV a detailed system documentation such as a System Design Document describing the rationale of its setu The vendor shall prepare a Manual of operating procedures based on the finalized configuration.
- Hyper-care support provided for three months post-go-live to address any issues arising from the installation of the new system
- SLA agreement for 3 years for on-site and off-site support subject to yearly evaluation of support service starting from the successful completion of the post-implementation review.
- The Project implementation period up to go live shall be 90-days, followed up by a post-implementation review.
To be eligible to participate in this process, vendors must provide the following documents:
- Fill and complete the attached KNCV RFQ form with all required information such as:
- Cost (Unit and total)
- Clearly specify Payment and Delivery Terms
- Clearly indicate name, address, and contact details of organization, name, designation and signature of authorized person, and date.
- Submit same information from (1) on your company letterheaded paper.
- 1 and 2 above to be submitted alongside company profile.
- Fill and submit KNCV Vendor information form (form attached)
- All bids must be written in English and signed by an authorized person.
- Bids submitted after the closing date/time will neither be opened nor considered.
- Company’s registration documents/certificate of incorporation with Corporate Affairs Commission (CAC)
- Form CAC 07
- Form CAC 02
- Tax Clearance Certificate (For the Last 3 years)
- Evidence of Operating license or Authorization letter from operating partners
- Evidence/proofs of similar services provided to NGO’s, including letters of award, contract agreement.
As many as possible.
Submissions in default of ANY requirement listed above will be excluded from the procedure.
Please note that a 5 – 10% WHT will be deducted per invoice as required by FIRS.
Open Date/Time: 8:00am Friday July 28, 2023
Close Date/Time: 8:00am Friday August 4, 2023
Procedure for Submitting:
Vendors are to submit relevant documentation BY E-MAIL to email@example.com
OR BY HAND TO:
KNCV Nigeria, Block B, AUJ Complex plot 564/565 Independence Avenue Central Business District, Abuja.
The selected vendor will be contacted via e-mail, immediately after phase 1 of the selection process is concluded.
– KNCV shall only accept from the selected vendor – “company banking details” not individual/private banking details
– KNCV shall not pay VAT (exemption certificate may be provided to selected vendor on request)