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Government & Procuring Agency

TDA Role in Nation Building

This is a strategic intent is to ensure national procurements in the category of supply, works and services which the value is above the threshold are effectively leveraged to support local industry and technology development through TDA's two main programs within Asset Life Cycle
Phase
Activities

CONCEPT

Value Management Lab
Feasibility Studies

ACQUISITION

Procurement Installation & Commissioning Acceptance

IN-SERVICE

Operation
Maintenance - Outsource

DISPOSAL

Replacement
Asset Life Cycle
Start of project
End of Project
CONCEPT ACQUISITION IN-SERVICE DISPOSAL Value Management Lab Feasibility Studies Procurement Installation & Commissioning Acceptance Operation Maintenance - Outsource Replacement Start of project End of project Industrial Collaboration Programme (ICP) Performance Based Contract (PBC)

Industrial Collaboration Programme (ICP)

A government policy owned and published by the Ministry of Finance (MOF), involving activities that provide value-add to any procurement with criteria made by the Government of Malaysia using most effective cost.

1. ICP Objective

Market Driven & Sustainable
The aim is to provide a platform for the country to generate a positive net revenue from investments made
Encourage Technology Development & Know-how Enhance collaboration in Research, Development and Commercialisation (R&D&C) Facilitate investments and Human Capital development Sustain Malaysian industry and technology for economic growth Maximize the usage of local contents Foster strategic international partnership

2. ICP Benefits to Nation

Knowledge Based Economy

Trough commercializing technology acquisition as well as resources development;

Competitive Economy

Created by positioning local product into global supply chain leveraging the foreign suppliers platform which is faster than the commercialization method

Socio Economic Development

Contribute to the socio economic development aligns with the national economic development agenda.

Knowledge Based Economy

Contribute to increase of jobs opportunities and create competitive platform for contract manufacturing.

3. ICP Framework

VALUE-ADDDELIVERS CONTRACTVARIOUS ICPPROJECTSVARIOUS ICPRECIPIENTSFULFILL ICPOBJECTIVESICPCONTRACTORPROCUREMENTPROCURINGAGENCYPUBLISHAWARDDELIVERManaged by the Procuring AgencyManaged by TDA

Performance Based Contract (PBC)

PBC is an outcome–oriented contracting method that ties a range of monetary and non-monetary consequences to the contractor based on their accomplishment of measurable and achievable performance requirements.

1. PBC Objective

To achieve a win-win situation (balance or fairness) between the Buyer & the Seller.
Assured consistent performance of the Contractor as measured by KPIs & others in a Value for Money manner Assure consistent and appropriate monetary & non-monetary rewards commensurate with commercial risk BUYER(Asset Owner) SELLER(Contractor)
In a layman term:
“The idea behind (Performance Based Contracting) one buys the result of product use (e.g. value creation), not the part or repair services required to restore or maintain a product”

2. PBC Benefits

Improved contractor delivery/ performance.
Consistent operational
capability and readiness
Improved asset/equipment
system reliability
Better decision making
on contract extension
Monetary savings on
non-performance
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