UN collaboration offers opportunities for Finnish businesses and organizations

The UN wants to be transparent and equal towards all suppliers. This means that it puts almost all the tenders on UNGM, which serves as the primary portal for more than 30 UN entities to publish open bids. Before suppliers can engage with the United Nations, they must register on the portal. Once registered, the supplier’s profile becomes visible to UN staff members when sourcing potential suppliers. Suppliers are encouraged to proactively visit the UNGM to explore publicly accessible and free-of-charge procurement opportunities, and contract awards.  

Exploring and investigating awarded contracts is worthwhile, as they contain valuable information such as price details and contact information. Additionally, these contracts may reveal subcontracting opportunities for suppliers, who have not previously sold to the UN or who face challenges in selling to organizations. 

Suppliers should also be aware of UN organizations’ internal procurement portals, such as eProcurement portals. Several UN organizations utilize various e-procurement systems, which they may employ either as stand-alone solutions or integrate with UNGM. These e-procurement systems streamline the procurement process by digitally managing steps such as sourcing, solicitation, bid opening, evaluation, and award.  

UNGM is also a huge source of information platform, which features two independent key resources: 

• Knowledge Centre (ungm.org) provides insights into the UN market, procurement tools and e-learning courses. 
• UNGM Help Center gives practical guidance with registration and participation in procurement opportunities. 

The United Nations operates in highly demanding and challenging environments worldwide, while also providing suppliers global market access. However, it is just one market among many, where suppliers need to familiarize themselves the internal collaboration practices with the UN. Below are some key points. 

1. Solicitation methods 

In the UN context, a solicitation refers to the method used by UN organizations to communicate their procurement requirements. Typically, the value of the procurement, its importance, and the delivery time will be critical factors in choosing the method. Solicitation involves requesting bids, quotations, or proposals from potential suppliers. Even if a supplier cannot attend, it’s crucial to respond to the solicitation, indicating whether they will attend or not. This demonstrates professionalism and ensures that the UN organization can proceed with its procurement process efficiently. Here are the main types of UN solicitations: 

1. Request for EOI (Expression of Interest)

• Suppliers share information about their products and qualifications. 
• Helps the UN identify potential partners. 

2. Request for Quotation (RFQ)

• Informal process for lower-value items. 
• Used when products are readily available in the market. 

3. Invitation to Bid (ITB)

• Formal process for higher-value contracts.
• Focuses on the lowest price and technical compliance.

4. Request for Proposal (RFP)

• Formal process considering various solutions. 
• Not solely based on price—looks at quality and innovation too. 

5. Long-Term Agreement (LTA) 

• Based on ITB and RFP, it is valid for defined period (approximately 2-5 years). Usually, during the term of the contract, no new tender for the product or service in question is published. 

6. Direct Contracting 

• Can be used in very urgent situations such as humanitarian crisis. 

2. Collaborating procurement and Piggybacking 

Collaborative procurement is a procurement arrangement in which multiple UN organizations work together to pool their efforts in procurement. The goal is to secure cost savings or improved services by using economies of scale and minimizing redundancy across UN entities. With this type of collaboration, the UN promotes the harmonization of business practices and contributes to improving the efficiency of UN procurement activities. 

An example of collaborating procurement is between UNFPA (United Nations Population Fund), UNICEF (The United Nations Children's Fund) and UNHCR (UN Refugee Agency). In response of the lack of globally standardized quality specifications these UN entities jointly prepared standard technical specifications for menstrual products.

More information
 
When a company has a Long-Term Agreement with one UN entity, other UN entities can use the same contract. This practice, known as Piggybacking or UN-to-UN procurement, allows multiple UN agencies to benefit from an existing agreement without starting a new bidding process. This gives suppliers more visibility among various UN entities, making it easier to sell to them. 
 
While both Collaborative procurement and Piggybacking aim to improve UN procurement processes, collaborative procurement has a broader scope, whereas piggybacking is more specific. 

Diverse ways to collaborate with the UN 

• The supplier can make a Traditional Contract (one-off), which is a Legal Agreement for provision of specific goods and services for defined cost within defined time limit.  
• The supplier can have a Long-Term Agreement, which is a Framework Contract for provision of an unspecified volume of goods and services to one of the UN organizations over a defined period (usually 2-5 years). 
• There is also the possibility to have a Non-Commercial Relationship with some of UN entities. This kind of partnership is not based on commercial grounds.  

The UN evaluation process

The UN evaluates offers based on the following criteria:  

• Acceptance of UN payment terms and other conditions
• Technical requirements
• Delivery terms and time
• Compliance with international standards
• Supporting documents such as references
• Proven production capacity and financial stability
• Price 

For suppliers starting the pathway in the United Nations procurement can be both rewarding and complex. Understanding the detailed procedures of the UN’s procurement system is essential for success. This checklist is designed to provide guidance through the critical steps and best practices needed to become a trusted UN supplier. 

One-Pager: Sales pitch to the UN

It is beneficial to understand that selling to the UN is not just about selling a product or service. The selling process involves building relationships and finding a win-win situation for both parties. The concept of “Sharing is caring” encapsulates its essence. The supplier needs to gain a better understanding of the challenges the UN is facing, while UN entities will recognize that the supplier genuinely wants to help them with their solutions. The message can be tailored with the following tips: 

• Clearly describe your solution.
• Highlight the benefits your solution brings to the UN.
• Emphasize your competitive advantage.
• Include at least one reference from a developing country or the UN.
• Provide a brief company description along with contact details.
• Explain how your solution contributes to sustainable development and local impact.
• Focus on selling the benefits rather than listing features and keep the information concise. 

Sustainability as a champion in UN procurement 

The United Nations Sustainable Development Goals (UN SDGs) are a collection of 17 interlinked global goals designed to be a “blueprint to achieve a better and more sustainable future for all” by the year 2030. These goals were set in 2015 by the United Nations General Assembly and are intended to be achieved by the year 2030, ensuring that no one is left behind. They cover a broad range of social, economic, and environmental development issues such as ending poverty and hunger, ensuring health and well-being, promoting gender equality, providing clean water and sanitation, advancing renewable energy, fostering sustainable economic growth, combating climate change, and promoting peace and justice. 

Learning to speak the language of SDGs is crucial when engaging with UN entities. It is essential to explain how the solutions offered by a company or organization contribute to sustainable development and have a positive local impact. Rather than spreading efforts across multiple SDGs, focusing on a select few allows for more effective implementation. Less can be more when integrating SDGs into a company strategy. Additionally, it is important to understand that sudden changes are not necessary. 
More information is offered from:

• The Sustainable Development Goals Report 2023
• United Nations SDG Learncast | UN SDG:Learn (unsdglearn.org)
• Global Compact Network Finland  

Click here to see which are the most important UN entities in procurement according to the Annual Statistical Report:

UN System Chart is a visual representation of the structure of the United Nations and its related entities, including agencies, funds, and programs. It illustrates how different parts of the UN are organized and how they interact with each other.  

The Nordic approach to UN procurement 

The Nordic UN Procurement Seminar  

The Nordic countries—comprising Business Finland, Business Sweden, Innovation Norway, the Ministry of Foreign Affairs of Denmark, and Business Iceland have formed a Consortium towards UN procurement activities.  Since 2018 our countries have collaboratively organized the largest Nordic UN Procurement Seminar every two years. Hundreds of companies and organizations, along with more than a dozen UN entities, have met at one of the world’s procurement hubs, UN City in Copenhagen. 

Mutual procurement initiatives: The Nordic Consortium with WFP and UNOPS 

Since 2023, WFP (the World Food Programme) has partnered with the Nordic Consortium to execute online the WFP Procurement Dialogue.

The Nordic Consortium has also previously collaborated with UNOPS (United Nations Office for Project Services) to execute procurement events known as Nordic Private Sector Market Dialogues.

The aim of these events have been to facilitate direct dialogue between private sector companies and the UN addressing challenges and introducing innovative solutions from the Nordics.

Mutual procurement initiatives: Business Finland and Ministry for Foreign Affairs

Business Finland, in collaboration with the Finnish Ministry for Foreign Affairs, has organized several procurement events with the UN. These include seminars with FAO (the Food and Agriculture Organization) and UN DOS (The United Nations Department of Operational Support). The purpose has been to enhance the UN’s awareness of Finland’s solutions, meanwhile participants also have learned how these organizations conduct their procurement. 

The purpose of the events has been to increase the UN’s awareness of sustainable solutions offered by Finland, related to areas such as ICT, energy, water, cybersecurity, and transport and logistics. At the same time, companies have learned how these UN organizations conduct their procurement, and they have also had the opportunity to continue bilateral discussions independently from there on.

Although Finland is not a UN procurement hub, several UN agencies have established a presence here. Additional details about these entities can be found below: 

• UN Migration IOM Finland
• UNU-WIDER (United Nations University World Institute for Development Economics Research)
• UNDP Finland (United Nations Development Program) 
  UNICEF office of Innovation Helsinki:
  • UNICEF Global Learning Innovation Hub 
  • The UNICEF Global Innovative Finance Hub 
• UN Global Pulse Finland 

Further information is available on the Ministry for Foreign Affairs of Finland’s website.

Ukraine Pilot case

Developing Markets Platform (DevPlat) helps Finnish companies, and their partners develop sustainable businesses and access global funding in developing markets. While DevPlat assists Finnish companies in establishing their own pathways to UN procurement, it also offers a platform for experimentation and alternative collaboration approaches. One example is the Ukraine Pilot case, which focuses on Humanitarian Demining to understand this issue from the UN perspective, raising awareness among companies and complementing the work and activities of  Business Finland Ukraine desk. 

DevelopmentAid 

DevelopmentAid is a tool that helps identify opportunities in developing markets. It enhances market intelligence, increases visibility of opportunities, fosters stronger partnerships, and supports informed decision-making. This service is offered free of charge to Finnish organizations by Team Finland. To obtain your credentials and receive training for using the tool, please contact to: meshack.wasiar (at) businessfinland.fi 

Finnpartnership grants

One example of how a company can start collaborating with the UN to get involved in procurement is through a grant provided by Finnpartnership, where the company pilots with an international organization eligible for development aid.