10.4 Transport

Procurement of Transport
Performer:	Logistics Team
Role:	Logistics Officer; Logistics Assistants
Transaction :	ME21N; ME22N; ME29N

Delegation of Authority of UNHRD Network

UNHRD provides its Partners with some additional services defined Specific Services, upon request and on the basis of full cost recovery, i.e. the cost of the service plus a Management Cost Recovery (MCR) fee. Transport is considered a Specific Service and it includes, further to standard transport of goods from HRD warehouses or from Partners/Suppliers location, to final destinations, as well as procurement of other related Logistics Services that falls under WFP Transport & Logistics Service Manual , e.g. inspections of NFIs, disposal of items stored under stock inventory, etc. and any other transport and logistics related services requiring financial commitment by WFP.

Procurement of transport service is offered by the UNHRD to all Partners in line with the delegation of authority established in general by WFP for procurement of food & related packaging, transport & associated services and other goods & services. The latest Delegation of Authority (DoA) for procurement and contracting in Supply Chain has been published under Circular n. OED 2018/006. This version amends the previous Circular n. EDD2011/008.

When funds availability is in place the procurement of transport service is started by the launch of bid thru In-tend or by issuing the Work Order in case LTA with freight forwarders area available.

Customize user settings when creating Purchase Orders

To default the specifications listed in the Purchase Order header, go to Chapter 10.2 NFI Order - Paragraph 2. Customized user setting when creating Purchase Orders

Possible Purchase Order types to be selected for UNHRD are POTS, POAT, POOL, POLT, POOT, depending on the type of transport services to be procured.

NOTE User's specifications defaulted in the Personal Settings can be overwritten when creating POs of less used types or POs for other procurement units.

Creation of Transport Purchase Order or Internal Purchase Order (ZINT PO)

After following the instructions required to contract the transport services as per Chapter 3.2 "Contracting Landside Transport and Associated Logistics Services" of the WFP Transport and Logistics Manual, the creation of Transport PO in WINGS can be started by applying below specific data required to be compliant with UNHRD Special Logistics Business. When transport provider is a Commercial Freight Forwarder (external vendor), a Transport Order has to be created while in case it is a WFP entity (internal vendor), a Internal Purchase Order (ZINT PO) has to be created.

Use of proper material groups

When creating Transport PO of any type, ensure to use the proper Material Group amongst the range that goes from U003002 to U003009 which are related to transport service. Specifically when the transport service provider is an external freight forwarder (not a specific WFP vendor provider), below selection of material code applies:

Use of other material group under the Service range (i.e. those starting with S) is not allowed for any reasons. Indeed, WINGS returns an error message to TPO creator in case any other other material group than the selection above is applied.

When the transport service provider is an internal WFP entity (not a commercial freight forwarder), and an Internal Purchase Order (ZINT PO) has to be created. below selection of material code applies:

Specifically, for full charter flights of any transport service provided by WFP Aviation, (i.e. vendor 60000006 associated to the so called "ASA"), the own dedicated Material Group U002006 for transport services has to be applied to the Internal Purchase Order (ZINT PO). Below picture shows the material group to be applied for Aviation's MCR:

Use of operational fund details

Ensure to apply WBS element S.0001.4.05.001 which is for "Transport" and must be applied wihen transport service is procured by UNHRD ot its partners:

It is mandatory the use of Fund Reservation in the TPOs (provided by Finance to Customer Service along with the Down Payment creation).

To complete the Account Assignment View ensure the proper entry of Funds Reservation:

Enter Sales Order references

Since Transport Orders (TPO) do not require the creation of Purchase Requisitions, the TPO creators have to enter the SO number and line item in the appropriate fields of the WFP DATA tab:

NOTE In case of Long Term Agreement (LTA) with transport companies or couriers, and when the Logistics team agrees with UNHRD Finance unit to create one unplanned Transport PO and to account the cost for service provided by the transporters against work orders, it is not required to enter the SO details in the TPO, while all posted Service Entry Sheets must reflect on the Service Confirmation Form.