Procurement Procedures
Outline of Procurement Procedures
Procurement procedures of Telecommunications Products for domestic services are divided as follows, depending on the nature of products.
All products are in principle, procured according to one of these procedures.
- Request for Proposal Process
- Supplier's Proposal Process
- Follow-on Purchase Process
- Purchase Procedure based on Selection by Customers
Structure of Procurement Procedure for Domestic Services
This procedure of the Request for Proposal(RFP) Process, Supplier's proposal process and Follow-on Purchase Process. (There is also a Purchase procedure base on Selection by Customers we refer to later.)
NOTICE: When NTT Communications procures commercial products by using NTT Holding Company's R&D results, the RFP process is carried out by the Holding Company and purchases of the commercial product are carried out by NTT Communications under the Follow-on Purchase process.
RFP | Basic Information (outline of the product, the addresses and deadline for submitting an application, information necessary for obtaining procurement documentation and other documents and contact points from which further information may be requested.) for RFP will be available on our website. |
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Procurement Documentation |
We will provide procurement documentation containing detailed information necessary for submitting an application. It will be available on our website specified in the RFP from the date of issuance of the RFP to the closing date for receipt of the applications. |
Reception of Proposals |
Suppliers wishing to participate in this procurement process may submit their proposals to the contact points specified in the RFP |
Selection/ Contract |
We evaluate the applications in accordance with the selection criteria set forth in the procurement documentation, and select and award the contract(s) to the supplier(s) determined to be the most advantageous.
a.
When we make a final decision for procurement, we will consider functional and performance factors, price and other factors specified in the Procurement Documentation. And the price-cost evaluation may be based on the total life cycle cost of procurement.
b.
Testing of proposed products or prototypes may be required as part of the selection process.
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Introduction of Products |
Product introductions from suppliers wishing to participate in our procurement are welcome. (Contact point is listed in Contact Points.) |
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Technical Discussion |
If necessary, technical information regarding our functional requirements are provided. Technical meetings may be held when appropriate. |
Reception of Proposals |
We will provide suppliers with information necessary (including selection criteria) for their proposals. |
Selection/ Contract |
We will evaluate applications and make a selection in accordance with criteria set forth in the provided information. If we have not yet procured the proposed product or its equivalent, we will award a contract to the selected supplier.
a.
Testing of proposed products or prototypes may be required as part of the selection.
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Additional Purchase |
We purchase the product or additional units of the product from qualified suppliers through the RFP process or the supplier's proposal process. In this case, we may limit the number of suppliers to be awarded the contracts to an appropriate number for the quantity of the product to be supplied. |
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Qualified Suppliers | The supplier(s) successfully selected through the RFP process or the supplier's proposal process will be considered as qualified supplier(s). |
■Procurement of products using Holding Company's R&D results
Products using the Holding Company's R&D results may be procured through follow-on purchase process by NTT Communications. The supplier(s) qualified by the Holding Company may be considered as qualified supplier(s).
Procurement from the supplier(s) selected by customers is as follows:
- Customer's Selection
Products and the supplier(s) will be selected by the customer.
- Contract
We will make contracts with the supplier(s) selected by the customer.
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Basic Requirements of Participation in NTT Communications' (NTT Com) Procurement
Please note that suppliers who fall under any of the following conditions may not be allowed to participate in the procurement.- Suppliers who have been incapacitated and are not able to enter the agreement in question;
- Suppliers who have been subject to the commencement of bankruptcy proceedings, and who have not yet been reinstated;
- Suppliers under civil rehabilitation, corporate reorganization, bankruptcy, or liquidation proceedings, etc.;
- Suppliers who correspond to antisocial groups such as organized crime groups, members of the organized crime groups and companies which are related to crime groups.
- Suppliers who commit a violent act, fraud, threatening statement, or obstruction of business, or who commit or may commit a defamation or impairment of reputation by using third person.
- Suppliers who have committed one or more of the following acts within the period stipulated by NTT Com (in any case, however, not exceeding three years), or suppliers who employ such persons as a proxy, manager, or an employee in another capacity:
- Intentionally, or by a gross mistake, performed poor or faulty work in the manufacturing, supplying and delivery of any product, or in the provision of any services, when performing a contact with NTT Com, or committed any unfair act with respect to the quality and/or quantity of any product supplied there under;
- Conspired to obtain unfair profit in making any application or entering into or performing any contact with NTT Com;
- Interfered with other supplier(s) making an application or entering into or performing a contract with NTT Com;
- Interfered with, or refused or failed to cooperate with NTT Com personnel when they were performing an inspection or supervision duty;
- Failed or refused to enter into or to perform a contract with NTT Com without justifiable reasons;
- Made a false report or misrepresentation in the application procedure, or in entering into or performing a contact with NTT Com;
- Committed any unfair act to interfere in competition; or
- Suppliers who are deemed to have gained unfair competitive advantages as a result of their direct involvement in the preparation of procurement documentation and/or technical specifications for this procurement.
- No proprietary information provided by a supplier to us or vice versa is divulged to any other party, or is used for purposes other than those for which it is provided, without the express consent of the party providing such information. We will only require proprietary information to the extent that such information is necessary to evaluate the merits of the product, to jointly develop the product, and/or to utilize the product if selected.
- The procurement information will not be disclosed to any third party or used for any purpose other than for that of participating in the procurement.
- We may limit the number of suppliers as well as that of qualified suppliers permitted to participate in its procurement. This limitation is allowed only from the viewpoint of efficient operation of its procurement system.
- Suppliers requesting to participate in procurement opportunities will be permitted to submit proposals and will be considered, provided there is sufficient time to complete the procurement process for a particular procurement opportunity.
- Technical specifications prescribed by us will be, when appropriate, specified in terms of performance rather than design or descriptive characteristics, and based on international standards, when they exist, and otherwise based on national compulsory standards or recognized national standards, and we will give full consideration to using de facto international standards.
- We may change the procedures to improve them. In case of minor changes, we will issue an announcement and post such changes on the website before we make amendments or modifications to the procedures. With respect to major changes, we will issue an announcement and post these proposed changes on the website. We will enact these changes 30 days after the announcement.
- Procurement & Billing,
NTT Communications Corporation