Beruflich Dokumente
Kultur Dokumente
for
It should not be copied, distributed or recorded on any medium, electronic or otherwise, without LIC‘s
written permission. Use of contents given in this document, even by the authorized
personnel/agencies for any purpose other than the purpose specified herein, is strictly prohibited as it
shall amount to copyright violation and thus shall be punishable under the Indian law.
Table of contents
1. RFP-Terminology
1.1. Definitions ……………………………………………………………………………………………. 8
1.2. Abbreviations …………………………………………………………………………………………. 9
2. Request for Proposal
2.1. Invitation to Bid ……………………………………………………………………………………….. 10
2.2. Activity Schedule ……………………………………………………………………………………… 11
2.3. Project Background ………………………………………………………………………………… 12
2.4. Objective for RFP …………………………………………………………………………………… . 12
3. Instructions to Bidders
3.1. Qualification Criteria …………………………………………………………………………………13
3.2. General Instructions ………………………………………………………………………..………..13
3.3. Pre-bid Meeting & Clarifications ……………………………………………… ………….…14
3.4. Partners ……………………………………………………………………………………………………15
3.5. Issue of Corrigendum ………………………………………………………………… ……….….16
3.6. Terms and Conditions ………………………………………………………………………………16
3.7. Information provided in the RFP ………………………………………………………………17
3.8. Right to accept or to reject any proposal ………………………………………….…….17
3.9. Bid Document Price ……………………………………………………………………. ………....19
3.10. Earnest Money Deposit ………………………………………………………………….… ……19
3.11. Bid Submission……………………………………………………………………………… …..…...21
3.12. Documents Required for submission………………………………………………..……..25
3.13. Evaluation Process…………………………………………………………………………..… …..26
3.14. Procedure for Opening Bids ……………………………………………………………..…….26
3.15. Bid Validity Period ………………………………………………………………………………..…27
4. Criteria for Evaluation
4.1. Stage 1 - Eligibility criteria Evaluation ……………………………………………………28
4.2. Stage 2 - Technical Bid Evaluation …………………………………..…………………….29
4.3. Stage 3 - Commercial Evaluation ……………………… …………………………………31
4.4. Online Reverse Auction ………………………………………………………………………..32
4.5. Technical Negotiation ………………………………………………………………………… 33
4.6. Availability of Professional Staff/experts ……………………………………………. 33
4.7. Award Criteria ………………………………………………………………………………………34
4.8. Request to Extend Validity period and EMD by LIC ………………………………34
4.9. Right to accept any bid and to Reject any or All Bid(s) …………………………34
4.10. Notification of Award …………………………………………………………………….34
4.11. Performance Guarantee and Contracting ……………………………………..34
5. Eligibility Criteria ……………………………………………………………………………………….35
6. Terms and Conditions
6.1. Contract Period ……………………………………………………………………………………….37
6.2. Option to extend Contract Period …………………………………………………………..37
6.3. Service Location ………………………………………………………………………………………37
6.4. General Obligation of the parties …………………………………………………………….37
6.4.1 Warranties …………………………………………………………… .……………………..38
6.4.2 Access to LIC‘s premises …………………………………………… ………………. 38
Means without limitation the ―Life Insurance Corporation of India‖ (LIC), a statutory
LIC Corporation established under section 3 of Life Insurance Corporation Act, 1956, (Act XXXI
of 1956) having its Corporate Office at ―Yogakshema‖, Jeevan Bima Marg, Mumbai 400 021
An eligible firm i.e. firm fulfilling eligibility criteria and submitting a proposal in response to
Bidder
this RFP, in its individual right.
This Request for Proposal Ref: LIC/CO/P&GS/RFP/2017-18 Dt:12.03.2018,inclusive of any
RFP
clarifications/corrigenda/addenda that may be issued by LIC.
Bid The Bidder‘s written submissions in response to the RFP signed by his Authorized Signatory.
An Agreement signed between LIC and the Selected vendor and all the attached documents.
Contract The ―Agreement‖ includes the RFP, subsequent modifications to the RFP issued by LIC,
response of the selected vendor to the RFP and the agreement document itself.
Vendor Selected Bidder as an outcome of the RFP with whom LIC signs the Contract.
Authorized
The person authorized through a valid Power of Attorney by the company‘s Board/
Signatory of the
Managing Director/ Director for signing the bid documents on behalf of the company
bidder
Means all services as per this RFP in general
Deliverables &
Section 5. Executive Summary of scope of work
Services
Section 6. Detailed Scope of Work of this RFP
Shall be construed as a day excluding Sundays and public holidays declared under the
Business Day Negotiable Instruments Act, 1881 by concerned State Governments or Central Government
of India
Day Calendar Day
Clarifications Means Addenda, corrigenda and clarifications to the RFP
OpEx Model Systems are owned by the Vendor, LIC pays for the services per transaction basis
CapEx Model Systems are owned by LIC, LIC pays for the procurement as per the terms of RFP
Contract Value The grand total of the L1 prices after conclusion of online reverse auction.
1. If Online Reverse Auction is held as per the conditions of the RFP - Lowest price
discovered through Online Reverse Auction
L1 quote
2. If Online Reverse Auction is not held as per the conditions of the RFP - Lowest price
discovered through Commercial Bid
L1 Bidder Bidder with L1 quote
Successful Bidder L1 bidder after reverse auction. If no reverse auction, L1 bidder as per the commercial bid.
COTS Commercial off the shelf (Product/ Software)
1.2 Abbreviations
Abbreviations Description
# Serial Number
AMC Annual Maintenance Contract
ATS Annual Technical Support
EDLI Employees Deposit Linked Insurance
eFEAP Enterprise Front End Application Package
EMD Earnest Money Deposit
GADLK Group Annuity DA Linked
GGCA Group Gratuity Cash Accumulation
GI Group Term Insurance
GLES Group Leave Encashment Scheme
The formulation of the Evaluation criteria, the conduct of the evaluation of the responses to the RFP and the
subsequent selection of the successful bidder will be entirely at the discretion of LIC and its decision shall be
final and no correspondence about the decision shall be entertained.
Interested entities are advised to study this RFP document carefully before submitting their proposals in
response to the RFP. Submission of a proposal in response to this notice shall be deemed to have been done
after careful study and examination of this document with full understanding of its terms, conditions and
implications.
LIC reserves the right to negotiate, change, modify or alter any/all the terms and provisions of the
RFP/agreement entered pursuant to the RFP and may request for additional information, if required, from the
Bidder. LIC also reserves the right to withdraw this RFP without assigning any reason and without any liability
to the Bidder or any other person or party. All actions taken by the Bidder or any other person or party in
pursuance hereof are deemed to be so taken after taking into account the commercial acumen and LIC does
not guarantee or warrant suitability hereof or success to Bidder/Bidders or any other person or party.
LIC reserves the right to extend the last date for the receipt of RFP Bids. LIC reserves the right to
cancel the RFP at any time without penalty and without incurring any financial obligation to the
Bidder.
The Eligibility & Technical Bids will be opened by the Tender opening committee of LIC in the
presence of the bidders/ representatives who choose to attend.
The Indicative Commercial Bids of the technically qualified bidders will be opened on the
notified date, by the Tender Opening Committee of LIC in the presence of the bidders/
representatives who choose to attend.
LIC‘s insurance business is supported by two home grown Core Insurance Applications, namely eFEAP and
P&GS. eFEAP supports conventional life insurance business which involves the traditional and non-
traditional individual life, micro insurance and health insurance products. P&GS supports LIC‘s Group Life,
Pension and Superannuation business, offered to organizations and professional groups. The application
also supports the Social Security Insurance Schemes like Aam Aaadmi Bima Yojna /PMJJBY etc, mandated
by the Central and State Governments of India. P&GS on an average issues 20,000 new policies and adds
1.50 CR lives every year.
P&GS is the insurance application for LIC‘s Pension and Group Schemes catering to Quote, Issuance,
Servicing, Billing and Financial Management. P&GS solution is based on a distributed architecture built on
legacy technology and the application logic has been written in Power Builder and Oracle and has been
deployed at 76 sites of LIC today. The application has limited capabilities to integrate with other enterprise
wide applications in the corporation and the database is not designed to handle centralization. The
Systems should be able to exchange data from AP online ,MP online and similar Portals.
Looking at the urgent business requirements, we are undertaking restructuring of the present set up of
distributed data base. We are bringing as virtual machines (VMs) 48 units spread across Zones at 8 Zonal
Head Quarters. The remaining 28 units are being provided with independent servers. These locations are
mostly Metro cities and state capitals. We are also in the process of acquiring Oracle licenses for the same
for which RFP has been floated vide Ref: LIC/CO/IT-BPR/ Oracle Licenses 11g/2017-18/07 dated
14/02/2018
LIC intends to custom develop a robust and highly scalable Pension and Group Insurance System with the
required infrastructure (software and hardware) to support all the business, technical and functional
requirements related to LIC‘s group insurance business.
Based on an evaluation of the options and a selection of the ‗best fit‘, LIC aims to replace its current P&GS
Insurance system to meet the present and future business requirements.
The developed application should provide a competitive edge to LIC, especially with respect to offering
innovative insurance products with a quick time to market, increased operational efficiency, better
With this RFP, LIC intends to enter into a turnkey contract with a suitably qualified Bidder/ System
Integrator to provide End-to-End solution comprising of but not limited to the following:
The Bidders desirous to take up the project should have expertise in large scale System Integration and
have the capability to provide the solution. The bidders are requested to give technical and Commercial
Bids in accordance with the Terms and Conditions as per Section. 6. Evaluation criteria, evaluation of the
responses to the RFP and subsequent selection of successful Bidder will be entirely at the discretion of
LIC.
3 Instructions to Bidders
3.1 Qualification Criteria
3.1.1 Pre Contract Integrity Pact –This RFP is issued on the condition that only those bidders who submit
a signed Pre-Contract Integrity Pact with LIC would be eligible to participate in the bidding.
The ―Pre Contract Integrity Pact‖ can be downloaded from our website:
http://www.licindia.in/getattachment/Bottom-Links/Download-Forms/LIC_Integrity_pact.pdf.aspx
As per CVC Circular No 10/5/09 dated 18.05.2009 of Standard Operating Procedure (SOP) under clause No
2.02. "Integrity pact, in respect of a particular contract, would be operative from the stage of invitation of
bids till the final completion of the contract. Any violation of the same would entail disqualification of the
bidders and exclusion from future business dealings." Bidders may refer:
http://cvc.nic.in/iembank25022015.pdf
Only the bidders who meet all the qualifications mentioned i.e. Section 2.2.1 – Pre Contract Integrity Pact
and Section 5. Eligibility Criteria for this RFP are eligible to participate in the RFP.
If Database OEM is submitting the bid in response to this RFP as SI, then the same database technology
of that OEM cannot be proposed by any other SI.
3.4 Partners
No consortium or joint bid or sub-contracting is allowed.
Bidder need to fulfil all the eligibility criteria and technical evaluation criteria in their individual
capacity unless mentioned otherwise. However, this RFP permits the Bidder to deploy one or more
partners with whom its relationship of the bidder pre-exists as on the date of bid submission.
Nevertheless, for all purposes the Bidder will be overall responsible for performance of the Work as
scoped under this RFP.
• Bidder needs to provide the following information in case he chooses partners:
o Name, Address and Contact details of the Partner/s
o Specific Role of the partner and division of work
o Details of Projects where Bidder has partnered with the entity in the past: Name of the
client, Scope of Work, Duration of Project (in man months) Work executed by the Bidder,
Work Executed by the Partner
o Details of past projects executed by the Partner : Client Name, Type of Service Provided,
Duration of Project (in man months)
o Power of Attorney will be submitted with the Eligibility Bid, authorizing the bidder as Prime
Proponent to act on behalf of the partners for all legal and financial matters pertaining to
this Bid and the resulting contract if any.
o The Memorandum of Understanding (MOU) will also be submitted with the Eligibility Bid,
between all the Partners and the prime proponent.
• Other conditions for this clause:
3.8 Right to Accept Any Proposal and To Reject Any or All Proposal(s)
LIC reserves the right to accept or reject any proposal, and to annul the tendering process
and reject all proposals at any time prior to award of contract, without thereby incurring any
liability to the affected bidder or bidders or any obligation to inform the affected bidder or
bidders of the grounds for LIC‘s action
1. Contacting LIC
No Bidder shall contact through any means of communications LIC or its employees on any
matter relating to this bid, from the time of the bid opening to the time the Contract is
awarded. If the bidder wishes to bring additional information to the notice of LIC, it should
do so through the designated email-id as given in the Activity Schedule or in writing till the
evaluation process is over. Any effort by a Bidder to influence LIC in its decisions on bid
evaluation, bid comparison or contract award may result in rejection of the Bidder‘s bid.
2. Right to terminate the Process
a) LIC may terminate the RFP process at any time without assigning any reasons
whatsoever. LIC makes no commitments, express or implied, that this process will result
in a business transaction with anyone.
b) This RFP document does not constitute an offer by LIC. The bidder's response to this RFP
may result into selection of bidder(s) after completion of selection process as detailed in
this RFP document.
c) LIC reserves the right to accept or reject any proposal, and to annul the RFP process and
reject all proposals at any time, without thereby incurring any liability to the affected
bidder or bidders or any obligation to inform the affected bidder or bidders of the
grounds for its action.
d) LIC may cancel any procurement under this RFP at any time without assigning any
reasons whatsoever. The decision of LIC will be final in this matter.
3. Disqualifications
LIC may at its sole discretion and at any time during the evaluation of Proposal, disqualify
any Bidder, if the Bidder has:
a) Made misleading or false representations in the forms, statements or attachments
submitted in proof of the eligibility requirements;
b) Exhibited a record of poor performance such as abandoning works, not properly
completing the contractual obligations, inordinately delaying completion or financial
failures, etc. in any project in the preceding three years;
c) Submitted a proposal that is not accompanied by required documentation or is
nonresponsive;
Without prejudice to the rights of the LIC under Clause above and the rights and remedies
which the LIC may have under the Letter of Notification of Award or the Agreement, if
Bidder, as the case may be, is found by the LIC to have directly or indirectly or through an
agent, engaged or indulged in any corrupt practice, fraudulent practice, coercive practice,
undesirable practice or restrictive practice during the Selection Process, or after the issue
of the Letter of Notification of Award or the execution of the Agreement, such Bidder shall
not be eligible to participate in any tender or RFP issued by LIC during a period of 3 years
from the date such Bidder, as the case may be, is found by LIC to have directly or through
an agent, engaged or indulged in any corrupt practice, fraudulent practice, coercive
practice, undesirable practice or restrictive practice, as the case may be.
For the purposes of this Section, the following terms shall have the meaning hereinafter
respectively assigned to them:
a) ―corrupt practice‖ means (i) the offering, giving, receiving, or soliciting, directly or
indirectly, of anything of value to influence the action of any person connected with the
Selection Process (for avoidance of doubt, offering of employment to or employing or
engaging in any manner whatsoever, directly or indirectly, any official of LIC who is or has
been associated in any manner, directly or indirectly with the Selection Process or the LOI
or has dealt with matters concerning the Agreement or arising there from, before or after
the execution thereof, at any time prior to the expiry of one year from the date such official
resigns or retires from or otherwise ceases to be in the service of LIC, shall be deemed to
constitute influencing the actions of a person connected with the Selection Process); or (ii)
save as provided herein, engaging in any manner whatsoever, whether during the Selection
Process or after the issue of the LOI or after the execution of the Agreement, as the case
may be, any person in respect of any matter relating to the Project or the Award
or the Agreement, who at any time has been or is a legal, financial or technical adviser of
d) ―undesirable practice‖ means (i) establishing contact with any person connected with or
employed or engaged by Life Insurance Corporation of India with the objective of
canvassing, lobbying or in any manner influencing or attempting to influence the Selection
Process; or (ii) having a conflict of Interest; and
5. Consortiums or sub-contractor
No consortium bidding is allowed. LIC will not consider joint or collaborative proposals that
require a contract with more than one prime Vendor. Bidder need to fulfill all the eligibility
criteria and technical evaluation criteria in its individual capacity unless mentioned
otherwise.
Listed below are the other terms & conditions related to EMD:
a. EMD shall be valid for a period of one year from the date of submission of bids/proposal.
b. LIC will not pay any cost or interest on the EMD for any period in any case.
c. EMD will be returned to the issuing Bank under intimation to the Bidder in lieu of the
performance bank guarantee submitted by the selected Bidder.
d. The EMD of those Bidders who do not qualify in the eligibility evaluation or technical
evaluation, will be returned to the issuing Bank without interest within 30 days of publication of
the evaluation results.
f. The EMD of the unsuccessful Bidders as per the commercial evaluation, will be returned to the
Bank of the Bidder without interest:
g. The EMD submitted by the bidder may be forfeited in full or part, as decided by LIC, if:
i. In the case of a successful Bidder, the bidder qualifies and backs out of the L1
-
Disclosure Agreement (NDA) as per LIC‘s format (Annexure – ----).
ii. In case the bidder is found to be indulging in Fraudulent & Corrupt practices as
defined in this RFP; or
iii. The Bidder withdraws or amends its Bid during the period of Bid validity specified by
the Bidder on the Bid Form; or
iv. The Bidder makes any statement or encloses any form which turns out to be
false/incorrect at any time prior to signing of Contract; or
v. Bidder does not respond to requests for clarification of its Bid; or
vi. Bidder fails to provide required information during the evaluation process or is
found to be non-responsive.
h. Bids submitted without EMD or submitted with an EMD not conforming to above criteria, will
be treated as non- responsive and will be summarily rejected by LIC.
i. In exceptional circumstances, LIC may seek the Bidders‘ consent for extension of the period of
validity of bids. The request and the responses thereto shall be made in writing. In such a case,
the EMD provided shall also be suitably extended. A Bidder may refuse the request without
forfeiting its EMD unless it is the successful bidder who has been notified by LIC that its bid has
been accepted. A Bidder granting the request will not be required nor permitted to modify its
bid.
The submissions need to be made at the address, time and date as stated in this RFP. All
envelopes should be securely sealed and stamped. The authorized signatories of the Bidder
should initial on all pages of the proposal.
The Bidder needs to submit one Master Envelope. Master envelope should be super-scribed as
―Bid submission on CIAPS ,Submitted by --------- (bidder’s name) “. This master envelope
should contain 4 sub-envelopes. All envelopes must be prepared and super-scribed with the
following information:
a) Envelope-1 for Pre-Contract Integrity Pact EMD& Bid price– The First sub Envelope
containing the Bank Guarantee for EMD & Bid price , Pre-contract Integrity Pact and
Letter of Intent should be sealed and super-scribed as:
“Pre-Contract Integrity Pact, EMD & Bid price for RFP Ref: LIC/CO/P&GS/RFP/2017-
18 Dt:12.03.2018
For Centralized IT Application for P&GS System (CIAPS) of LIC of India,
b) Envelope-2 for Eligibility Bid –Second sub envelope containing one hard copy and
one soft copy on CD of the Eligibility Bid as elaborated in 3.12.b along with the
supporting documents should be securely sealed, stamped and super-scribed as:
“ELIGIBILITY BID for RFP Ref: :LIC/CO/P&GS/RFP/2017-18 Dt:12.03.2018
For Centralized IT Application for P&GS System (CIAPS) of LIC of India”
c) Envelope-3 for Technical Bid – Third sub envelope containing one hard copy and one
soft copy on CD prepared towards the response of Technical Bid along with the
supporting documents should be securely sealed, stamped and super-scribed as:
“TECHNICAL BID for RFP Ref LIC/CO/P&GS/RFP/2017-18 Dt:12.03.2018
For Centralized IT Application for P&GS System (CIAPS) of LIC of India”
A masked copy of the commercial proposal after masking the prices should accompany
the technical proposal. Technical Offer document should not contain any price
information.
d) Envelope-4 for Commercial Bid – Fourth sub envelope containing one hard copy and
one soft copy on CD of the Commercial Bid should be securely sealed, stamped and
super-scribed as:
f) Please note that if the sub envelope containing technical bid is found to contain
commercial Bid also, then that bid will be rejected outright.
g) Please Note that Prices must not be indicated in the Technical Bid, failing which
the Bid may be rejected.
h) The bidder should not respond to this RFP / quote for this requirement in consortium
with any other partner. All such consortium bids will be summarily rejected.
i) Participation in this tender will mean that the bidder has accepted all terms and
conditions and clauses of this RFP/tender and subsequent modification(s) to this
tender, if any.
j) The Bidder should certify that the contents of the CD‘s are the same as that provided
by way of hard copy. The format of the letter to be submitted is given in Annexure
XIII. In the event of a discrepancy, the hard copy details would prevail.
k) The Bidders should submit their Bid along with required Bank guarantee towards the
EMD, Annexure V, other required documents and Certificates as stated in the Section
―Eligibility Criteria‖ or elsewhere in the RFP.
l) All hardcopies of the bid must be spirally bound and pages serially numbered.
m) The hardcopies of the bid (all documents and Annexure submitted as a part of bid or
called for by LIC) must be duly signed on each page and stamped on each page. Bid
shall be signed by the Bidder or a person duly authorized to bind the Bidder to the
Contract. Authorization by the bidder for the signatory shall be in form of a Power of
Attorney or a duly certified copy of the Board resolution appointing the authorized
signatory. The person signing the bid shall sign all pages of the bid, except for un-
amended printed literature.
n) The bid may be treated as legally void and will be rejected if:
i. Bid is not signed by the duly authorized person or
ii. Bid submitted is unsigned or partially unsigned or
iii. An image of signature found pasted on pages instead of wet signature or
iv. Scanned bid is submitted.
p. Language of Bid
The bid prepared by the Bidder, as well as all correspondence and documents relating
to the bid exchanged by the Bidder and LIC shall be in English language. As far as
numbers are concerned the same should be in Hindu-Arabic Numerals.
q. Bid Currencies
Prices for all the components shall be quoted in Indian Rupee (INR). The Bids in
currencies other than INR will be rejected.
r. Arithmetical errors
The Arithmetical errors will be rectified on the following basis. If there is a discrepancy
between the unit price and the total price that is obtained by multiplying the unit
price and quantity, the unit price shall prevail and the total price shall be corrected. If
there is a discrepancy between words and figures, the amount in words shall prevail. If
the bidder does not accept the correction of errors, its bid will be rejected and its
EMD may be forfeited.
s. The original Bid shall be typed on 8.27‖ by 11.69‖ (A4 size) paper in indelible ink.
u. The contents of the Soft copies submitted in the CD and the contents of the Hard
copies shall be exactly the same. If not, the bid may be rejected.
w. If any compliance or clarification sought by LIC is not submitted within 3 business days
of being called for, the bids are liable to be rejected. The above matter is entirely at
LIC‘s discretion and decision of LIC in this matter will be final.
x. Assumptions / Deviations:
The bidder may provide assumptions / deviations on technical only to the contents of
this RFP document at the time of submission of the Bid in envelope containing the
Technical Bid in the format given in Annexure-XXIV with the caption : Schedule of
Assumptions and Deviations from RFP. It may be noted that once the assumptions /
deviations are provided, the Bidder would not be allowed to withdraw the same. The
Bid Evaluation Committee would evaluate and re-classify them as "material deviation"
or "non-material deviation" . In case of material assumption / deviation, the
committee may decide to monetize their value, which has to be added to the price
bid submitted by the bidder, or reject the bid, prior to announcement of technical
scores. The bidders would be informed in writing on the committee's decision on the
assumptions / deviations, prior to announcement of technical scores. The bidder
would not be allowed to withdraw the assumptions / deviations at this stage. No
correspondence in this matter will be entertained. In case of non-material
assumptions / deviations, the same would form a part of the Bid and the Contract.
The Bidder‘s proposal must effectively communicate their proposed approach and be formatted
in the specified formats in order for LIC to assess the alternatives. The proposal should contain
the details as requested in this RFP. Kindly refer to the below checklist points:
b) Eligibility Bid
c) Technical Bid
The Technical proposal must be made in a structured and neat manner and should cover the
points as mentioned under sections for scope of work and detailed scope of work. Brochures /
leaflets etc. should not be submitted in loose form. The suggested details to be covered as a
part of the technical response are as provided in Annexure XVII.
If LIC is not satisfied with the technical specifications in any RFP response and observes
deviations, the technical proposal of such Bidder/s may not be short-listed and the Commercial
Proposals of such Bidder/s may not be opened. No further discussions shall be entertained with
such Bidders in respect of the subject technical bid. The decision of LIC shall be final and
binding in that regard.
d) Commercial Bid
The Commercial Proposal should give all relevant price information and should not
contradict the Technical Bid in any manner.
The above list of requirement is indicative. The bidder should refer to the complete RFP for all
requirements that are required to be submitted along with Eligibility Bid, Technical Bid and
Commercial Bid(s). The Annexure and its contents should be submitted as stated in the format
only. The Bid may be rejected in case of non-adherence to any of the above instructions.
Any request for the change in the terms and conditions of the RFP document, will not be
accepted.
At the sole discretion and determination of LIC, LIC may add any other relevant criteria for evaluating the
proposals received in response to this RFP and also may make modifications to the marks / weights given
under various categories for evaluation of the technical proposals prior to the last date of submission of
the bids.
The Evaluation of the various options available to LIC to identify the best partner to custom build the
P&GS Insurance Application:
Implementation Capabilities
Total Cost
LIC would use a scoring mechanism elaborated in the sections below to score each of the RFP responses
with appropriate apportionment of scores.
The eligibility and the evaluation criteria are to be fulfilled by the Bidder/System Integrator in their
individual capacity except for those criteria where stated otherwise. Bidders experience will be considered
if the same is from an acquired entity or derived from parent company, bidder in this case being the
demerged entity, the fact must be supported with documentary evidence.
In exceptional circumstances, LIC may solicit the Bidder‘s consent for an extension of the period of validity.
The request and the response thereto shall be made in writing and the validity period of EMD will be
suitably extended. A Bidder may refuse the request without forfeiting its EMD unless it is the successful
bidder who has been notified by LIC that its bid has been accepted. A Bidder granting the request will not
be required nor permitted to modify its bid.
i. Late Bids
Bids received after the date and time specified in the Activity Schedule will not be considered and will be
rejected. LIC may, at its sole discretion change the date/time of submission and LIC‘s decision in this
matter will be final.
The decision of LIC would be final and binding on all the Bidders to this RFP. LIC may accept or reject an
offer without assigning any reason what so ever.
Total 1450
iii. At the sole discretion and determination of LIC, LIC may add any other relevant criteria for evaluating
the proposals received in response to this RFP and also may make modifications to the marks /
weightage given under various categories for evaluation of the technical proposals.
Completeness of the Technical bid in all respects and availability of all information/details asked
for in the RFP.
Point to point conformity to the technical requirements provided in the Technical and
Functional RFP
LIC will schedule the application demonstration and technical presentations and intimate the
bidders of the time and locations. Failure of a bidder to complete a scheduled presentation may
result in the rejection of that Bidder‘s proposal. The agenda for the presentation will be shared
along with the exact time and location for the presentation. The overall scope of the presentation
will have to include implementation and project management approach and plan, team expertise,
relevant case studies and unique value propositions.
The Bidder needs to elaborate on the proposed end to end solution architecture covering:
1. Information
2. Integration
3. Application
The Bidder needs to elaborate on the methodology for project implementation and management.
These should include;
After the Technical Evaluation, the individual technical score of the bidder will be shared with that bidder
only. Bidder will be given 6 days‘ time to submit its acceptance to its technical scores. If a bidder does not
revert within 6 days, it will be taken that bidder has accepted its score.
Based on the sum of the Technical Evaluation scores obtained, the Bidders will be shortlisted for Stage 3 of
the evaluation which would be the Commercial Bid Evaluation.
x. Normalization of Bids
1. LIC may, at its sole discretion, decide to seek more information from the Bidders in order
to normalize the Bids. However, Bidders will be notified separately, if such normalization
exercise is resorted to.
2. Normalization will be done to the extent possible and feasible to ensure that Bidders are
meeting the requirements of the RFP to the extent possible and that the interest of LIC is
protected. LIC reserves the right to normalize any or all of the technical bids. If such
normalization has a bearing on the price, LIC may at its discretion ask the bidders eligible
for technical evaluation to submit the technical and commercial bids once again for
scrutiny.
3. The submissions can be requested by LIC in the following two manners:
a. Incremental technical bid and/or incremental price submissions in part of the
requested clarifications by LIC (or)
b. Revised technical and/or price submissions of the part or whole Bid
4. The process of normalization may be iterative till such time LIC is satisfied with the
response of the Bidders.
5. Post the normalization process in case any Bidder has not quoted for any of the
components, the response would be deemed to conclude that the unquoted components
required for meeting the functional and technical requirements including the service
10. The Bidders, by submitting the response to this RFP, agree to the process and conditions
of the normalization process.
LIC, at its discretion, will go through a process of normalization of the bids to the extent possible and
feasible, to ensure that Bidders are more or less on the same technical ground.How ever, Bidders will be
notified separately, if such normalization exercise is resorted to. After the normalization process, if LIC‘s
technical evaluation team feels that any of the bids needs to be normalized and that such normalization
has a bearing on the price bids, LIC may at its discretion ask all the technically short-listed Bidders to
resubmit:
• Incremental Technical and Commercial bids, or
• Complete Technical and Commercial bids once again.
LIC can repeat this normalization process several times at after each submission and subsequent
evaluation of the technical submission, till LIC is satisfied. By responding to this RFP, the Bidders have
agreed that they have no reservation or objection to the process & conditions of normalization and will
participate in the normalization process and extend their cooperation to LIC during this process.
The total cost to be specified by the Bidder must cover the following as detailed in Annexure XI-(A)
Commercial Bid Details. This would include;
Design and Development Cost
License cost for framework or Data Model
License Cost for Database and Software
Cost of Hardware
Cost of Other Application and Tools
Training Cost
Maintenance and Support Cost for the solution for 5 years
The total Bid Price for this clause will be all inclusive bid prices at Net Present Value (NPV)
inclusive of all applicable taxes except VAT/GST, Services Tax and Octroi/LBT(which will be
reimbursed to the Vendor at actuals subject to production of receipt in the name of LIC).
a) LIC shall provide web based E-tender system for reverse auction.
b) Price quoted by the Bidders at the end of online reverse auction will be taken as the final
commercial quote for evaluation of that bidder.
c) During reverse auction, the participating vendors shall input only the total cost that they have
to offer. This amount shall be arrived at by the bidder themselves off-line by using the formula
mentioned for evaluation to outbid the earlier bid.
d) Only fixed price financial bids indicating total price for all the deliverables and services specified
in this bid document will be considered.
e) The commercial figure quoted will be an all-inclusive figure – inclusive of out of pocket
expenses, traveling, boarding, lodging, all taxes, duties, license fees, road permits and transit
insurance etc., except VAT/GST, Services Tax and Octroi/LBT. No such expenses will be
reimbursed separately.
f) Any conditional bid would be rejected.
g) The bidder shall arrange the Digital certificates (at no cost to LIC) from a Certifying Agency
notified by Comptroller of Certifying Authority (CCA) as per Information Technology Act, 2000
as amended from time to time.
The bidder with the lowest quote at the end of the reverse auction process will become the successful
bidder.
Bidder will furnish no. of their personnel along with their qualification, certification, experience etc.
required for this project.
4.9 Right to Accept Any Bid and To Reject Any or All Bid(s)
LIC reserves the right to accept or reject any bid, and to annul the tendering process and reject all bids at
any time prior to award of contract, without thereby incurring any liability to the affected bidder or
bidders or any obligation to inform the affected bidder or bidders of the grounds for LIC‘s action.
i. Performance Guarantee
The selected bidder will provide a Performance Bank Guarantee, within 15 days from the
Notification of award, for a value equivalent to 10% of the total Contract Value. The Bank
Guarantee should be as per the format given as Annexure V- Bank Guarantee and should be
executed by a Nationalized/ Scheduled bank acceptable to LIC and having Branches in Mumbai.
Performance Guarantee should be valid for the entire contract period and an additional 3 months
from the date of notification. The selected bidder shall be responsible for extending the validity
date and claim period of the Performance Guarantee as and when it is due on account of
extension of contract period. In case the selected bidder fails to submit performance guarantee
within the time stipulated, LIC at its discretion may cancel the notification placed on the selected
bidder without giving any notice.
LIC shall invoke the performance guarantee in case the selected Vendor fails to discharge their
contractual obligations during the period or LIC incurs any loss due to Vendor‘s negligence in
carrying out the project implementation as per the agreed terms & conditions.
5. Eligibility Criteria
The response to the Minimum Eligibility Criteria (MEC) should contain detailed responses to all the
conditions mentioned below.
1. The Bidder must be a Company registered in India, registered under the Companies Act 1956, which
has been operating in India for the last three years. Copy of Certificate of Incorporation, Company
Registration and Sales Tax Registration along with the PAN details of the Prime Bidder should be attached.
2. The bidder should have a minimum turnover of Rs.200 crores per annum during last two financial
4. The bidder should have at least one of the following accreditations / certifications which is valid as on
date of submission of this RFP. ISO 9001:2008, SEI CMMI Level 5, BS 7799. Copy of certifications
should be attached as proof.
5. A vendor blacklisted by any PSUs or Government departments for corrupt or fraudulent practice or
non-delivery, non-performance in last 5 years is debarred from participating in the bid process. Bidder
is required to submit a self declaration signed by Authorized signatory stating the status related to
such blacklisting, past or present, of the Bidder.
6. The bidder‘s proposal should not have any branded application and which is listed in leading Third
Party Analysts Reports. The proposed solution should not be a Commercial Off The Shelf (COTS)
product. COTS – Any pre-built software which is purchased leased or licensed to the customer. The
bidder should submit a self-declaration signed by Authorized Signatory as a proof for it.
7. A. a) Bidder and /or its partner(s) should have experience in end-to-end solution design and
development on a JEE Platform and
b) Bidder and /or its partner(s) should have experience in providing service in BFSI institutions
worldwide on at least one of the following solutions in the last 5 years ;
Core Insurance Solution encompassing minimum;
Underwriting,
Policy Administration,
Claims Management,
Product Configuration
The experience as above across the client is also acceptable provided that a minimum of 2
functionalities as above should have been designed, developed and implemented for a client
and likewise the rest of the functionalities have been covered with other/another clients(s)
OR
The experience as above across the client is also acceptable provided that a minimum of 2
functionalities as above should have been designed, developed and implemented for a client and
likewise the rest of the functionalities have been covered with other/another clients(s)The bidder
must have skilled staff, Organization, Financial resources and an Installed base adequate to ensure
ongoing ability to deliver and support the proposed end-to-end solution, proposed, throughout the
duration of the project, including the ability to provide timely response and service to LIC over the
period of the contract. Bidder should provide documentary evidence of skilled staff on rolls. (as per
annexure—XIV ). Bidder should submit relevant credential letter or Purchase order with
Organizations and confirmation of having executed the PO to satisfaction.
8. Bidder should have experience of implementing a Core Insurance Solution for Group Life for at least
And
The referenced core insurance solution should support at least the following group products
9. Power of Attorney if any duly authorizing the authorized signatory to act on behalf of the Bidder for
all legal and financial matters pertaining to this Bid and the resulting contract if any. Documentary
evidence should be submitted along with power of Attorney proving that the authority delegating the
powers has the necessary powers to do so from the bidders company.
Note: Please submit the responses to eligibility criteria point wise with documentary evidence
against each criterion.
6.4.5 Assignments
The vendor will not be allowed to assign, in whole or in parts, its obligations under the Contract, to any
other entity.
6.5 Documentation
a. LIC will request the Vendor in writing setting out the proposed variations;
b. within 15days after receiving LIC's request or within another period mutually agreed, the
Vendor must respond in writing to LIC specifying what impact those variations will have on:
i. the Service Charges; the Services or Deliverables, including any particular Deliverable;
ii. the Vendor's ability to perform its obligations under current Contract (including its ability
tomeet Milestones) and with respect to the change of scope proposed;
c. Within 15days after receiving the Vendor‘s response, or within another period mutually agreed,
LIC will give the Vendor a written notice accepting or rejecting the response.
It should be understood that payment under this clause will be made only if Change orders are
exercised and approved by LIC and delivered by the Vendor.
Any changes in law, taxes and policies shall be governed through the provision of clause 6.14.
6.8.2 Reporting
The Vendor must provide LIC with reports in accordance with the Scope of Work.
6.10 . Personnel
Delivery of UAT- Successful completion of System Integration testing, Regression testing and User
Acceptance testing by the Bidder and acceptance and sign-off on all executed test
Acceptance of UAT- Successful completion of System Integration testing, Regression Testing and User
Acceptance testing by the Bidder and acceptance and sign-off on all executed test scenarios by LIC
Successful Completion of Pilot- Successful completion of Pilot at the P&GS Unit/Office by the Bidder and
acceptance and sign-off by LIC
GO Live- successful movement into production environment and operation of application as per scope of
the RFP duly verified and signed off by LIC
There shall be a penalty for non-adherence to the time schedule as per section 9 – Project
Timelines. The total penalty will be capped at 10% of the total contract value.
Penalties: All activities as per agreed timelines: 0.5% of the total contract value of the related
Phase per week of delay or part thereof for the first 8 weeks. Thereafter, the rate of penalty will be
1% of the total contract value of the related Phase per week or part thereof.
The Vendor will ensure that all services and systems perform without defect or interruption as per
the SLAs specified in the RFP. The vendor will make all-out effort to ensure that all systems
perform without defect or interruption.
6.13.7 Expenses
The Vendor will not be entitled to charge LIC for any other fees, charges or expenses (including
travel and accommodation, document reproduction, transportation and courier charges, and
telecommunications charges, etc.) in addition to the Charges mentioned in the Payment Schedule.
LIC is under no obligation to pay any amount in excess of the Charges mentioned in the Payment
Schedule.
6.14.1 Prices
Prices payable to the vendor will be fixed as derived from the Final L1 quote after Online Reverse
Auction and will be exclusive of VAT/GST, Services Taxes and Octroi/LBT. Prices once fixed will be
valid throughout the entire contract period.
Escalation of Costs: The vendor will in no circumstance be entitled to any escalation of costs or
price of any material / items supplied or services tendered under the contract. The prices will not
be subject to variation on any account.
VAT/GST and Octroi/LBT, if any, will be reimbursed only at actual on production of appropriate
receipts within 15 days of such tax payment to the respective authorities by the vendor.
6.15 Indemnity
6.15.1 Subject to Clause 6.15.2 below, Vendor will undertake to indemnify LIC from and against all losses on
account of bodily injury, death or damage to tangible personal property arising in favour of any
person, corporation or other entity (including LIC) attributable to the Vendor's negligence or wilful
default in performance or non-performance under the contract. If LIC promptly notifies Vendor in
writing of a third party claim against LIC that any Service provided by the Vendor infringes a copyright,
trade secret or Indian patents of any third party, Vendor will defend such claim at its own expense and
will pay any costs or damages that may be finally awarded against LIC. Vendor will not indemnify LIC,
however, if the claim of infringement is caused by:
i. LIC‘s misuse or modification of the service;
ii. LIC‘s failure to use corrections or enhancements made available by the Vendor;
iii. LIC‘s use of the Service in combination with any product or information not owned or
developed by Vendor;
iv. LIC‘s distribution, marketing or use for the benefit of third parties of the Service; or
v. Information, direction, specification or materials provided by LIC or any third party contracted
to it.
If any Service is or likely to be held to be infringing, Vendor will at its expense and option either
i. Procure the right for LIC to continue using it,
ii. Replace it with a non-infringing equivalent,
iii. Modify it to make it non-infringing.
The foregoing remedies constitute LIC‘s sole and exclusive remedies and Vendor‘s entire liability with
respect to infringement.
6.15.2 The indemnities set out in Clause 6.15.1 shall be subject to the following conditions:
i. LIC as promptly as practicable informs the Vendor in writing of the claim or proceedings
and provides all relevant evidence, documentary or otherwise;
ii. LIC will, at the cost of the Vendor, give the Vendor all reasonable assistance in the Defence
of such claim including reasonable access to all relevant information, documentation and
personnel provided that LIC may, at its sole cost and expense, reasonably participate,
through its attorneys or otherwise, in such Defence;
iii. If the Vendor does not assume full control over the Defence of a claim as provided in this
Article, the Vendor may participate in such Defence at its sole cost and expense, and LIC will
have the right to defend the claim in such manner as it may deem appropriate, and the
cost and expense of LIC will be included in losses to be indemnified by the vendor;
iv. LIC shall not prejudice, pay or accept any proceedings or claim, or compromise any
proceedings or claim, without the written consent of the Vendor;
v. All settlements of claims subject to indemnification under this Clause will:
a. Be entered into only with the consent of LIC, which consent will not be unreasonably
withheld and include an unconditional release to the Indemnified Party from the
claimant or plaintiff for all liability in respect of such claim; and
b. include any appropriate confidentiality agreement prohibiting disclosure of the terms
of such settlement;
vi. LIC will account to the Vendor for all awards, settlements, damages and costs (if any)
finally awarded in favour of LIC which are to be paid to it in connection with any such claim
or proceedings;
6.16 Liability
Except in cases of criminal negligence or wilful misconduct and in the case of infringement of patent, IPR,
trademark, copy right or industrial design rights arising from use of the Solution or any part thereof in any
of the services supplied by the vendor and used/consumed by LIC, the Supplier/vendor shall not be liable to
LIC, whether in contract tort or otherwise, for any indirect or consequential loss of damage, loss of use, loss
of production, or loss of profits or interest costs, provided that this exclusion shall not apply to any
obligation of the supplier/vendor to pay liquidated damages to LIC and the aggregate liability of the
Supplier/vendor to LIC, whether under the Contract, in tort or otherwise, shall not exceed the total Contract
Price provided that this limitation shall not apply to the cost of repairing or replacing defective equipment.
6.17 Insurance
The Bidder including but not limited to its personnel, its partners, agents and associates is bound
by the conditions of the Non-Disclosure Agreement submitted by the Bidder in response to the
RFP as per Annexure IV - NDA.
During the execution of the project, the successful bidder will have access to confidential
information of LIC such as servers, applications, network design, and architecture etc. The bidder
shall use the same degree of care to maintain the confidentiality of the information as if the
information is their own and shall not disclose at any point of time to any other person/third party
the information so received. The bidder will:
a) Use the information only for serving LIC‘s interest and restrict disclosure of information
solely to their employees on a need to know basis in order to accomplish the purpose
stated in this RFP,
b) Advise each such employee, before he or she receives access to information, of the
obligation of bidder under this agreement and require such employees to honour these
6.19.2 Obligations
The Vendor acknowledges that it will use or disclose personal information obtained during the
course of providing Services under the contract, only for the purposes of the contract.
6.21 Security
6.22.2 Costs
The Vendor will bear its own costs of complying with the clause 6.22.
6.23.3 Termination
If non-performance or diminished performance by the Affected Party due to the circumstances
under the contract continues for a period of more than30 consecutive days, the other party may
terminate the Contract immediately by giving the Affected Party written notice.
6.24.2 Notification
A party claiming a Dispute has arisen must give the other parties to the Dispute notice setting out
details of the Dispute.
6.24.4 Confidentiality
Any information or documents disclosed by a party under this clause 6.24:
a. Must be kept confidential; and
b. May only be used to attempt to resolve the Dispute.
6.24.5 Costs
Each party to a Dispute must pay its own costs of complying with this clause 6.24. The parties to
the Dispute must equally pay the costs of the arbitrator.
In the event of LIC terminating the Contract in whole or in part, LIC may procure, upon such
terms and in such manner as it deems appropriate, Systems or Services similar to those
undelivered, and the Vendor shall be liable to LIC for any excess costs for such similar systems or
Services. However, the Vendor shall continue the performance of the Contract to the extent not
terminated.
In case of termination under this clause LIC is liable to pay for all the services performed by the
Vendor till the effective date of termination.
6.25.6 Survival
The following clauses survive the termination and expiry of the contract:
a) Clause 6.11(IntellectualProperty Rights);
b) Clause 6.15(Indemnity);
c) Clause 6.17(Insurance);
d) Clause 6.18 (Confidentiality and privacy);
e) Clause 6.19 (Protection of personal information);
f) Clause 6.21 (Security);
g) Clause 6.25.9 (Knowledge transfer)
6.25.7 Severability
If for any reason whatever, any provision of this Agreement is or becomes invalid, illegal or
unenforceable or is declared void by any court of competent jurisdiction or any other
instrumentality to be invalid, illegal or unenforceable, the validity, legality or enforceability of the
remaining provisions shall not be affected in any manner, and the Parties shall negotiate in good
faith with a view to agreeing to one or more provisions which may be substituted for such invalid,
unenforceable or illegal provisions, as nearly as is practicable to such invalid, illegal or
unenforceable provision. Failure to agree upon any such provisions shall not be subject to the
dispute resolution procedure set forth under this Agreement or otherwise.
6.27 Miscellaneous
6.27.5 Waiver
Waiver of any provision of or right under the contract:
a. must be in writing signed by the party entitled to the benefit of that provision or right; and
b. is effective only to the extent set out in any written waiver.
6.27.6 Relationship
a. The parties must not represent themselves, and must ensure that their officers, employees,
and agents do not represent themselves, as being an officer, employee, partner or agent of
the other party, or as otherwise able to bind or represent the other party.
b. The contract does not create a relationship of employment, agency or partnership between
the parties.
6.27.7 Announcements
a. The Vendor must, before making a public announcement in connection with the contract or
any transaction contemplated by it, obtain LIC's written agreement to the announcement.
b. If the Vendor is required by law or a regulatory body to make a public announcement in
connection with the contract or any transaction contemplated by the contract the Vendor
must, to the extent practicable, first consult with and take into account the reasonable
The performance guarantee will be discharged by LIC and returned to the issuing Bank with intimation to
the Vendor not later than 60 days following the date of completion of the Vendor‘s performance
obligations including any warranty obligations under the contract.
In the event of any contract amendment the Vendor shall within seven days of receipt of such
amendment furnish the amendment to the Performance guarantee rendering the same valid for the
duration of the Contract as amended for 60 days after the completion of performance obligations
including warranty obligations.
In the event of any replacement of defective software systems during the warranty period, the warranty for
the replaced material shall be extended to a further period of 1 year and the Performance Bank Guarantee
for proportionate value shall be extended by 60 days over and above the extended warranty period.
Entire Solution Acceptance Tests for Go-Live is a must and the Entire system will be tested:
for each and every functionality,
Whether the solution is capable to cater all the requirements mentioned in the RFP.
The acceptance-testing period will be mutually agreed upon between LIC and the Proponent, but
must cover no less than thirty (30) trouble free calendar days. If there are any software failures or
mis-configurations that occur during this period, the Vendor must take all necessary actions to
correct the failure, and then the thirty (30) day trouble free period will restart. More than3 failures
of the same type may be deemed a total failure, and may terminate the acceptance test which may
lead to cancellation of the contract. The acceptance test period will be part of the implementation
plan. The Vendor must agree that failure on the part of the Vendor to correct a functional or
technical deficiency in the Vendor‘s Solution shall be deemed to be a total failure and LIC, at its
The Solution acceptance test will check for SLA‘s mentioned in this RFP, in case if the solution is not
able to meet the SLA‘s, vendor is supposed to provide additional/improved software,
implementation and configuration so as to meet the defined SLA‘s
6.29.3 Warranty
a. Bidder shall provide comprehensive onsite warranty for complete solution,
systems/hardware/software components and deliverables for all the environments
including, but not limited to, Development, SIT, UAT, Test and Training, Staging and
Quality Assurance, primary production set up, near DR and remote DR set-ups. Warranty
will remain available for all production systems/components up to a period of 5 years
from GO LIVE date. The warranty shall begin on date of delivery in respect of licensed
software and hardware components and on date of completion of go-live phase in
respect of development and customization and maintenance of application.During the
warranty period, Bidder will ensure that proper ATS/AMC is taken from the concerning
OEM and kept renewed from time to time. Further, the Bidder should provide AMC/ATS
for the products and services as the case may be, as per Annexure XI(A), post the period
for warranty,
b. All Hardware shall come with five years onsite comprehensive warranty.
c. The Vendor warrants that the systems supplied under the contract, at all times , are new,
unused, of the most recent or current models and they incorporate all recent
improvements in design and materials unless provided otherwise in the contract. The
vendor further warrants that all system supplied under the contracts have no defect
arising from design materials or workmanship or from any act of omission of the vendor
that may develop under normal use of the supplied systems in the conditions prevailing
in the country of final destination.
d. LIC shall promptly notify the Vendor in writing of any claims arising under this warranty.
e. Period or correction of defects/issues during the warranty period shall be as per SLA which
will include holidays.
LIC‘s insurance business is supported by two home grown Core Insurance Applications, namely eFEAP and
P&GS. eFEAP supports conventional life insurance business which involves the traditional and non-
traditional individual life, micro insurance and health insurance products. P&GS supports LIC‘s Group Life,
Pension and Superannuation business, offered to organizations and professional groups. The application
also supports the Social Security Insurance Schemes like AamAaadmiBimaYojna /PMJJBY, mandated by the
Central and State Governments‘ of India. P&GS on an average issues 21,000 new policies and adds
1,35,00,000 lives every year.
LIC intends to custom develop a robust and highly scalable Pension and Group Insurance System with the
required infrastructure (software and hardware) to support all the business, technical and functional
requirements related to LIC‘s group insurance business.
Based on an evaluation of the options and a selection of the ‗best fit‘, LIC aims to replace its current P&GS
Insurance system to meet the present and future business requirements.
The developed application should provide a competitive edge to LIC, especially with respect to offering
innovative insurance products with a quick time to market, increased operational efficiency, better
operational controls, superior service delivery, better risk management, higher client retention, highest
levels of regulatory and internal policy compliance, highest levels of claims management and superior and
timely management of information to support quick decision making at all levels of LIC.
P&GS solution is based on a distributed architecture built on legacy technology and the application
logic has been written in Power Builder and Oracle and has been deployed at 74 sites of LIC today. The
application has limited capabilities to integrate with other enterprise wide applications in the
corporation and the database is not designed to handle centralisation. We are bringing as virtual
machines (VMs) 48 units spread across Zones at 8 Zonal Head Quarters. The remaining 28 units are
being provided with independent servers. These locations are mostly Metro cities and state capitals.
i. All the P&GS units run on in-house developed and maintained software
ii. The current system is based on client server architecture
iii. Front end application is developed in Power Builder 7.0 on Windows
iv. Apart from Oracle procedures, business logic is built in Power Builder.
v. Database is Oracle 10g on RHEL 4 Update 2
vi. The front end calls procedures stored in the Oracle Database
vii. Each P&GS unit/ satellite office maintains a data base at the Unit Level
viii. Total of 74 servers with Individual Databases are being maintained at the 69 P&GS units and 5
satellite offices
ix. Total size of the database for all the 74 units is 1600+ GB
x. The current system has a total of 17 scheme specific and general purpose modules
The current application consists predominantly of product based modules. The new products are
launched through reuse of Power Builder Modules and Oracle Stored Procedures. System related
changes are loaded individually into standalone systems at each of the 74 units which have helped
P&GS customize products at the Unit Level.
xi. The user access is based on Role, Module and Policy Number
xii. All the objects are created on one schema ―PNGS‖
xiii. Programs are stored in around 100 Power Builder libraries
xiv. There are 800+ tables, including temporary tables and 500+ oracle procedures/ packages/functions
xv. The Power Builder Object List consists of 600+ windows, 2500+ data windows, 200+ functions and
100+ menus
xvi. Certain selected tables from the units are brought into the server at the Central Office using Oracle
materialized view. This data is used for the portals provided on P&GS intranet site. This data is also
used for showing policy/customer details on the internet
xvii. Referrals for quotation management are done using QTrak (portal to manage referrals)
xviii. Lead management and Reinsurance are managed through a custom built portal.
xix. The application is integrated with the Enterprises Portal and the LIC data warehouse (CADW)
P&GS solution is based on a distributed architecture built on legacy technology and the application logic
has been written in Power Builder and Oracle and has been deployed at 74 sites of LIC today. The
application has limited capabilities to integrate with other enterprise wide applications in the corporation
and the database is not designed to handle centralisation.
*** Office service/ OS is not included in the present P&GS modules for implementation
Supported Products:
Product details as provided in Annexure VII- Functional Requirements, Product List.
The new application should be a browser based, single integrated business solution, covering all the
mentioned functionality and flexibility with a centralized database, required to carry out the group insurance
and social security business in the current and foreseeable future.
The application architecture should be open, multi-tiered with a modular object oriented component based
design.
It should support multiple organizational entities, locations and adhere to regulatory compliance and
jurisdictions.
The new application should be able to interface with various systems in LIC like eFeap systems (Core
Application for conventional life insurance business of LIC), Biometric Authentication System, Enterprise Data
warehousing, Document Management System, Portal, Intranet, Middleware-Tibco, Customer
Communication Management System, Investment Management System, Mobile Platform, Active Directory,
Email and SMS Server etc.
The Bidder‘s scope is defined in this document which encompasses the Forms/Annexure and subsequent
Addenda & Corrigenda.
h. Data Migration
m. Bespoke Development of P&GS Application for Group Insurance and Social Security business
n. Setup of all required environment such as Production, Disaster Recovery, Test, Development,
Staging/Quality Assurance and Training.
o. Pilot Launch
C. The selected bidder will be required to design, develop size, install, implement, customize, test,
commission, integrate and maintain the end to end turn-key ―Pension & Group Insurance System‖
comprising of, but not limited to, the following key modules/functions listed below (also depicted in
the figure given below):
a. New Business
b. Quotation Management
c. Customer Management
e. Claims Management
f. Accounting and Billing
g. Reinsurance
h. Investments
i. Annuity Servicing
j. Valuation
m. Product Configuration
n. Channel/Agency Management
o. Workflow support
D. The selected bidder will be required to deploy the new P&GS application including interfaces,
adequately sized and scalable Hardware, Software, Applications, Tools, and Utilities, related services as
per specifications, terms and conditions and scope which are defined in the RFP.
E. The selected bidder will be required to design, develop the application on the Web, App, DB servers as
procured by LIC as a part of its standardization initiative.
F. Selected bidder will prepare detailed System Requirement Specification, Functional Requirement
Specification, Gap assessment documents, High and Low Level Design Documents, Test Plan, Test
cases, Training and handover materials etc. as a part of the scope of work.
G. Conduct data migration activities and data cleansing activities. The bidder will have to study the
current application, its data structure and schemas and plan for migration.
H. The selected bidder will be responsible to load and test the data in the new application.
I. The selected bidder will Design, develop, implement and maintain a comprehensive co-existence
strategy.
J. Build interfaces/data transfer mechanisms and integrate the new application with LIC‘s existing and
future solutions as mentioned in Annexure IX.
K. Rollout the new application across LIC and provide handholding support across the implemented
locations.
L. Impart Training and Knowledge Management to LIC‘s management and personnel i.e., End users, Train
the Trainers, Technical Teams and hand hold the users post migration for a defined time period
M. Size, design, procure, implement, maintain and manage the required hardware and related software
components required as per the scope
N. Provide complete hand-over along with detailed documentation at the end/termination of the contract
period.
The selected Bidder shall have the single-point responsibility/liability to ensure the fulfilment of all
obligations of the Bidder under the contract.
After completing all the Requirement Studies at LIC, the selected bidder is expected to carry out the
development activity out of its own premises preferably at Mumbai. The selected bidder will ensure that the
development environment at its premises is secured enough and there are no violations of Data Security
and Non-Disclosure Agreement. The selected bidder will be responsible for all the necessary arrangements
at its development premises including connectivity, cabling, seating, access control, physical security and
computing infrastructure to be specified in the RFP response. The bidder will have to account for all licenses
as may be required for the initial development activities.
The following is an indicative list of activities that bidder is required to undertake as a part of its scope of
work. Bidder must detail, as part of the response to this RFP, any additional area that it deems necessary to
adhere to the scope of work.
The bidder is free to adopt any methodology which is robust and comprehensive in its approach for design
and development of the P&GS application and allows adherence to the timelines as laid down in the RFP.
The approach with due justification for feasibility must be detailed in the Bidders‘ response to this RFP.
Project planning exercise shall commence with the start of the project, however, project management
exercise shall commence at the start of the project and shall continue till the Operation and Maintenance
Phase of the project.
The project planning activity must make provisions to ensure that the project progresses according to the
Project Plan that is approved. The project management activity spans the duration of the project and the
Project Plan is a primary control element of the project.
The bidder is required to specify and describe the different phases and activities of the project. The bidder
should provide a quality implementation plan covering all aspects of the project. The plan shall clearly
specify the start and end dates of each of the project phases specifying key milestones allowing visibility of
project progress.
The bidder is required to describe the proposed project structure identifying all project individuals including
project director, project manager, business analysts, software developers, QA engineers, hardware / network
engineers, administrators, Change Management experts, and others.
The bidder is required to have an effective project management system in place and it is necessary for the
bidder to use a Project Management Information System (PMIS) to monitor the Project Progress. The bidder
shall address a minimum of the following using PMIS:
The bidder shall update and maintain the Project Plan throughout the duration of the engagement. All
changes are to be reviewed and approved by LIC.
The Bidder‘s plans for the execution of the project must contain, but not limited to, the following;
1. Project Management Plan: Plan that describes how project objectives shall be met and
provides a road map for executing the project to meet the requirements of LIC. This plan will
encompass the entire project contract lifecycle from start up through acceptance and
maintenance and operations
2. Project Work Plan: This plan documents the project vision and goals, items that are in-scope
and out-of-scope and their prioritization, dependencies between the scope items, and risks
associated with the inclusion and removal of items from scope. The plan also defines the
process used to modify project scope
3. Project Organisation and Staffing Plan: The Bidder is responsible for proposing the potential
roles and responsibilities for staffing for the different project activities
4. Communication Matrix: The plan must detail the varying levels and needs of the project‘s
stakeholders for information regarding the project, status, accomplishments, impact on
stakeholders, etc. Issues must be logged and reported bi-weekly and the plan must detail the
escalation mechanisms for issue resolution
5. Performance Measurement: Performance Measurement considerations must reflect the
overall control of the project in reaching its intermediate objectives and its ultimate goal.
Measures must be established that adequately provide one of the three essential elements of
any control process:
a) Objectives
b) measurement against these objectives and;
c) an effective correction capability when the measurements indicate that there is deviation
from the timely accomplishment of the objectives
10. Training Plan: Training Plan is required to augment the Staff Management Plan and to provide
essential information on the training of application users. Training that is needed to be done to
close any skill gap and to bring personnel to an appropriate competency level to perform their
duties on a day to day basis.
11. Release Plan: Release Plan details the events that need to take place for various system
releases including launch phase and releases during the operations and maintenance phase
12. Closure: Upon completion of the Implementation, Warranty and Maintenance and Operations
phase, the Vendor will perform all activities necessary to close out the Project. This includes:
An initial Project Plan must be submitted with the Proposal. At a minimum, on a weekly basis, the Bidder
must submit updates to the Project Plan. Updates to the Project Plan will be made as needed with a formal
review on a quarterly basis and duly approved by LIC. Updates to the Project Plan and/or Schedule must be
made on and posted to a centralized location to be defined by LIC. When updates are made the Bidder
must post a summary or explanation of changes for historical purposes.
The Bidder will have to do a detailed requirement gathering and build on the baseline functional
requirements as provided in Annexure VII. LIC will have a team of business users, subject matter experts
formed to provide the details on the current and the expected functionality of the P&GS application. Bidder
will have to interact by way of interviews, requirement workshops, questionnaires etc. with the team to
gather business and technical requirements. The detailed System Requirement Document will have to be
The Bidder must evaluate the software requirements according to the criteria listed below:
• Bi-directional traceability (to and from) of system requirements to/from design and to/from test
scripts
• Testability, including testing of both user-based scenarios and standards-based transaction
testing with other software systems
• Feasibility of software design
• Feasibility of operation and maintenance
The system requirement document will be reviewed by LIC and any feedback as received should be
immediately incorporated in the document and should be resubmitted for review by the Bidder. Upon
satisfaction of the completeness of the document, the document shall be signed off by LIC.
1) Requirement Documentation
The Bidder will conduct a detailed systems requirements study and provide a Functional Requirements
Specification (―FRS‖) document relating to the functionalities as required supporting the various
products and services to be offered by LIC. As part of the preparation of FRS the selected bidder shall be
responsible for preparing and submitting detailed requirement specification documents as per IEEE or
equivalent standards which meets all the Business, Functional and Technical requirements of LIC.
• The Bidder shall develop and provide LIC the FRS document, including at a minimum:
i. A comprehensive list of functional specifications to implement the functionality detailed
in Annexure VII – Functional Requirements
ii. Recommendations on how to close specific gaps that require changes to LIC‘s business
processes
iii. Standard operating procedure proposed for aligning the application to meet the
Business requirements
• The Bidder shall perform the detailed assessment of the functional requirements and MIS
requirements and prepare the FRS document, incorporating list of additional features that shall
result in further improvement in the overall application performance for consideration of LIC.
• The Bidder shall provide the FRS to LIC for review and comment and any comments or
suggestions of LIC should be incorporated therein
• LIC will identify the functional heads for each process who would be responsible for the review,
comments and sign – off of the FRS.
• The bidder is required to update the FRS as and when any enhancements / modifications are
made to the application till the duration of the Contract
• The FRS will deem to be completed when signed – off by LIC.
• As and when required LIC will share information on process and other relevant documentation
to assist the Bidder in understanding LIC‘s existing business and operations
• As part of the requirements gathering the bidder is expected to segregate each functional
requirement into the three following categories:
a. Requirements that are unique to LIC
b. Requirements that will address the existing pain points of LIC
c. Requirements that are leading practices in the industry that are being incorporated in
this project by the bidder
The insurance application and its supporting applications should have a complete end to end centralized
architecture covering the following architectural domains in detail;
The Bidder shall develop a System Architecture, which details the SOA model-driven framework being used
across all the domains (e.g., services, trust and security, infrastructure) that enables the development of
service-oriented models to facilitate the interaction and communication of technologies within and outside
the enterprise.
The System Architecture Design shall define and document:
A conceptual architecture that will produce a design to fulfill LIC‘s functional expectations
Allocation of all requirements for the application to its software components and further refined
to facilitate detailed design
A logical architecture that identifies the SOA layers
Physical architecture that defines the various services of the system and how they shall be
implemented. This shall include details around the integration layers, using Web Services, and
various other integration technologies
Details of security management
The High Availability and Disaster Recovery approach and plan describing how the system will
enable LIC to provide information to its customers in the event of a disaster
How the architecture design features ensure that the system can scale as needed for future
transaction volumes, storage requirements
How the System will ensure performance based on expected data and user loading, target
source systems and target platforms and how the system would address expected performance
during peak transaction volumes and key critical business activities
How the System will meet capacity requirements
The developed application should be able to interface/integrate with the Support applications which
would be proposed by the Bidder in order to fulfil the requirements of this tender. It is the expectation of
LIC that the integration architecture is based around the Service Oriented Architecture best practices and
is not a point to point technology specific integration solution.
• The Bidder will be responsible for identifying the detailed interface requirements for integrating
the application to the systems as mentioned in Annexure IX – List of Interfaces, and for all
other functionalities as mentioned in this RFP.
• The interface architecture should be clearly defined. The integration architecture should include
the types of interfaces supported; the standards used and should comply with LIC‘s architecture
principles.
• The Bidder will present the interface requirements for review.
• Any suggestions from LIC will have to be included by the Bidder.
• When developing the interfaces, the Bidder should ensure the requirements of data format,
frequency of data transfer, quality checks and validations before data transfer and priorities for
data transfer are identified and addressed.
• The Bidder must ensure that all interfaces are automated with no manual intervention.
• All 3rd party and Support applications proposed by the Bidders to meet the functional
requirements should provide an on-line interface with the application as developed
• The Bidder will ensure and incorporate all necessary security and control features within the
application, operating system, database, etc. so as to maintain integrity and confidentiality of
data at all times.
• The Bidder will be responsible for setting up the test environment for interface testing.
• The Bidder will help / assist LIC in preparing the test cases for the testing. Bidder shall ensure
that the test cases meet all the testing requirements of LIC.
• The Bidder must ensure that a sound methodology is implemented (e.g SOA governance
framework, integration competency centre) to manage the interfaces.
Any external integration with third party systems should be based on standards such as ACORD XML for Life
and Annuity Standards. This means the outgoing data from LIC‘s new P&GS application should be
represented in ACORD format.
The application should be able to integrate with third party applications over LAN, WAN and internet. e.g.
Integration with the PAN database of the Income-tax Department, the State Government Database for
Social Security Schemes, database of Bancassurance partners, database of Third Party Administrators and
any other third party service providers.
Below is the proposed data architecture for P&GS and the integration requirements with other applications
within and outside LIC;
Premium
Collection
P2 ODS Information Transactional Batch
Agent Commission
Details
LIC Pensioners
HRMS from Authentication logs Master Batch
P4a Data
eFeap Transactional Real-time
Employee Data
The development activity is to produce executable software components that properly reflect the software
design. The Bidder will create the Software Development Plan, which must describe the Bidder‘s methods
and processes for a systematic, documented approach for all software development activities and the
environment in which this work will be accomplished.
Quality Assurance - Activities that ensure adherence to design and development requirements
a) Library Management
The Bidder will create the Development Library, which should consists of the program source code,
code documentation, executable software, and associated artefacts to build and operate the P&GS
application. At a minimum, the outcomes of this task must include detailed descriptions of the
following:
Tools and business processes to control software development, including check-in/check-out
procedures and a responsibility audit trail
Business processes and procedures for controlling migration of code from design through
coding , testing as well as promotion into production
b) Version Control
The maintenance, tracking, and auditing of modifications to an application‘s components over time,
facilitating the restoration of an application to prior development stages.
c) Turnover Management
The automated promotion of software changes across different phases of the lifecycle (e.g.
development, testing and production), including management of the approval process, production
turnover, and software migration control.
The Vendor shall propose a centralized solution to automate and control the software change and
release management process.
8.7 Implementation Management
Implementation shall include identification of all hardware, software, and licensing necessary for all
environments for design, development, testing, training, implementation, operation, and maintenance of the
application.
The Bidder must implement all application functionality and must satisfy functional and technical
requirements specified in this document. All functions must work correctly and efficiently according to the
approved Implementation Plan.
The Bidder should create the Implementation Plan, which describes the plan for implementation and how
the objectives of the plan will be achieved. At a minimum, the plan must include:
Description of the activities needed immediately prior to implementation such as identification
of the number, type, skill level, and roles of the personnel needed, and a definition of the issue
management process
Description of the implementation activities, including a description of each task and inclusion
of the schedule, including timelines and dependencies such as completion of knowledge
transfer
Inventory of all hardware and software necessary for the application to support the design,
development, testing, training, staging and production environment
Inventory of all hardware and software necessary for efficient ongoing operation and
maintenance of the application
Disaster recovery provisions to include hardware and software necessary to assume all of the
functions of the production environment
Checklist of all items that must be verified prior to onset of production operations
Checklists of work to be performed and/or outputs to be produced on the first day and at the
end of the first week, month, quarter, and year of operation
Outstanding issues and mitigation plan for the same
Roll back plan to include in detail what will be done if the implementation does not succeed.
This plan must include risks (decision points and triggers), identification of individual decision
makers and recovery actions to be taken
Performance monitoring
Risks and contingencies
Implementation verification and validation
Definitions of the criteria for both success and failure of the system implementation
2. DC/Production environment- this is the live production environment where all master and
transaction data would reside. The production environment should also have provision for a
simulation environment for a new product set-up or to make changes to an existing product
set-up to gauge its implications on the underlying policies and premium, after which it should
be possible to migrate the set-up/changes to the live area. This requirement becomes more
pronounced, since the UAT environment may be running on a higher version of the software for
Development and test environment should include configuration management capabilities and tools
for system configuration, versioning scheme, change control processes and procedures to manage
deployment of application.
The test, development, and staging environment should include required workstations, desktops, and
tools appropriate to support development, testing, and staging, and deployment tasks.
The complete solution must be capable of being deployed in a Private cloud and must support
virtualization.
In the event of an Onsite-Offsite model, the bidder will have to provision for use of its own systems
(desktops/laptops etc.) for carrying out development, unit testing activity out of LIC premise as would
be identified by LIC.
On completion of supply of the hardware at LIC, the bidder will have to configure all the above
mentioned environments on LIC's infrastructure for use by LIC, or the bidder, as may be the case.
There should be complete visibility and traceability on application life cycle activities of software
development including requirement management, software configuration management and change
management.
Monitoring and Life Cycle Management should allow LIC to perform the following (indicative activities are
listed below);
***Fig. as on 30.11.2017
• LIC expects the selected Bidder to migrate the master and transactional data into the new
application
• All the current and historical data residing at the respective units should be migrated to the
new centralized P&GS application
The sizing details as provided in Annexure XVI will be evaluated as part of the Technical
Evaluation and Customer Reference.
If the sizing provided by the Bidder does not support the desired performance levels and
SLAs as mentioned in the RFP, cost for any additional hardware/bandwidth procured by LIC
The above environments are to be configured with all necessary hardware and software
licenses. UAT environment will be required for the complete solution components. Kindly
note that the Bidder has to provide all necessary software and hardware required in this
Solution. The vendor can propose to combine certain environments, where appropriate.
Equipment, hardware, software proposed by the Bidder should not have been announced
by the OEM towards End of Sale/End of Life/End of Support. Hardware provided should be
scalable to handle the projected business volume. If the data size exceeds the projected
rd
volume by 3 year due to any unforeseen situation, LIC may consider upgrade on
chargeable basis.
The provision for network, network equipment and bandwidth will be made by LIC on the
basis of the details as provided by the Bidder.
There shall be no dependency or any assumption on part of the Bidder that he can share or
make use of existing hardware, except for the following:
All required cables & connectors and any other accessory need to be provided by the
vendor. All server and hardware need to be provided with IP-KVM for remote management.
Bidder should propose form factors to ensure optimised data centre space, power and
cooling requirements.
Following is the Indicative list of Software which may be supplied by the bidder (This is just
an indicative list, the bidder is required to study the RFP and arrive at the proposal of the
solution with due diligence):
Database (Enterprise Edition), Real Application Clusters, Partitioning, Tuning Pack,
Diagnostic Pack, Active Data Guard
Web Server
Portal Server
Application Server
ESB component, etc.
The Bidder should provide perpetual use software package licenses with updates and
maintenance support for a period of 5 years for all proposed components to fulfil the scope
of the RFP. Software Products proposed by the bidder should be in the Gartner‘s Magic
quadrant or any one of the listed reports like Forrester wave, G2 crowd etc. This aspect will
be technically evaluated.
There shall be no dependency or any assumption on part of the Bidder that he can share or
make use of existing software, except for the software licenses/tools listed in Annexure XX
The Bidder may add more components as deemed fit to ensure complete coverage of the
RFP requirements.
Proposed components must fulfil the mandatory technical eligibility requirements.
The components proposed as part of the solution stack should be commercially available
products and should not require any ground level development. The components should be
backed by Product Road Map for at least 3 years from the date of release of the RFP
document. LIC currently uses Apache HTTP Server and the same is acceptable if proposed
by bidder for the web tier with commercially supported plug-ins. Also, the solution
components must come with technical support guarantee for at least 5 years from the date
of the release of the RFP document. LIC agrees for upgrades for the software, when required
to align with the product roadmap of the OEM.
The solution offered should be based upon a database platform which is being used at
least in five of public sector banks or public sector insurance companies in India as a core
banking/insurance solution. The necessary evidence of database being successfully in use in
these entities like OEM certificate or client certificate should be submitted at the time of
proposal/bid submission. Further, the solution offered should be JEE compliant. The bidder
The vendor will carry out preventive and breakdown maintenance activities to ensure that all
Systems (Hardware, Software and any other component/services provided by the bidder for
this P&GS Solution) performs without defect or interruption with at least 99% up time for 24
hours a day, and on all 7 days of the week of operation, worked out on a monthly basis. This
uptime requirement will be the basis for calculating all penalties related to the system
downtime. Uptime means the entire hardware, software and up-to-date database systems
functioning at full capacity.
If any critical component of the entire configuration is out of service for more than two
calendar days, the vendor shall either immediately replace the defective unit or replace the
system at its own cost. The vendor will respond to any complaints through a site visit by a
qualified technician and repair the equipment within 24 hours of being notified of
equipment failure. However system not being available beyond 24 hours will attract penalty.
2 Engineers are required for the maintenance of the hardware system during the service
window. For details refer clause 8.16.1.
LIC will provide the space, power, rack, air conditioning inside the Data Centre.
The Disaster Recovery Site will be a replication enabled active site catering to the reporting
requirements. Vendor has to put in place a plan for non-disruption of reporting activities
during a DR drill or when the Primary site is down.
8.11 Security
The selected Bidder must ensure the security of the P&GS application and the data throughout the project
lifecycle.The System should be compliant with the latest IT Security Guidelines issued by IRDA and Govt
AgenciesThe outcome of this task must include, but not limited to, the following information on:
Approach to establishing and maintaining security responsibility and accountability
Granting or restricting access to all the application and data, auditing security events, auditing
security configurations and changes, generating security reports, and monitoring the
application for vulnerabilities and intrusions
Managing user creation, assignment of new User ID (User Identification)/password/personal
identification numbers (PINs), role assignments, and activity monitoring
Compliance, including the approach to maintaining compliance with law, standards, best
practices and LIC‘s enterprise security requirements
Technical security must include, at a minimum, the approach to each of the following:
i. Network segmentation
ii. Application security and data sensitivity classification
iii. Intrusion management
Types of events that require logging and monitoring in response to specific situations;
Successful and unsuccessful logons and logoffs
Successful and unsuccessful attempts to access security relevant files and utilities,
including user authentication information
Log information on read, modify operations
Configuration changes made during auditing operations
Unsuccessful usage of user identification or authentication mechanisms
Changes to the time or any other sensitive field value
Activities that modify, bypass, or negate system security controls
Use of privileged accounts
Administrator logons, changes to the administrator group, and account lockouts
Actions following log storage failure or exceeding threshold levels
Modifications to user groups within a role
Key recovery requests and associated responses
Access denials resulting from excessive numbers of logon attempts
Blocking or blacklisting of user ID, terminal, or access port
Detected attacks
Rejections of new sessions based on limits to number of concurrent sessions
System software installations
The Bidder will be responsible for the below as a part of the Testing Phase;
a. The bidder will be responsible for Unit Testing and SIT and will support UAT.
b. Bidder will be responsible for providing Unit Test cases and provide all details associated
with the testing
c. Support ―User Acceptance Test‖ (―UAT‖) testing
LIC, at its discretion, shall have the right to alter the delivery schedule and quantities based on the
implementation plan. This will be communicated formally to the Bidder during the implementation,
if a need arises. Thus LIC, at its discretion, may decide to accelerate the Unit/Office implementation
and the Bidder would need to meet the requirements.
All product upgrades, modifications, enhancements that have to be provided to LIC free of
charge
Upgrades would include product releases made by the Bidder to incorporate technological
changes, consolidating all bug fixes, consolidating all enhancement requests made by LIC
Modifications would include minor changes, bug fixes, error resolutions and minor
enhancements that are incidental to proper and complete working of the application.
Enhancements would include changes in the software due to Statutory and Regulatory
changes and changes required due to changes in industry and other Insurance practices in
India. It will also include all the functionalities mentioned in Annexure VII - Functional
Requirement
All incidents that occur as part of ongoing operations must be addressed and resolved
within a reasonable time frame as per the SLAs described in this RFP.
Changes to the application will go through all phases of testing by the Bidder. The test
results must be documented and provided LIC for approval before a decision is made to put
the new release into Production. All relevant system documentation should be updated and
provided to LIC at the conclusion of any system changes
Overall monitoring and management of all IT and Non-IT infrastructure deployed by the
selected Bidder for the Project, Departmental locations, system software, application and all
other services associated with these facilities to ensure service levels, performance and
availability requirements as prescribed in the RFP
Perform system administration tasks such as managing the user access, creating and
managing users, taking backups etc.
The following documentation, at a minimum, shall be prepared by the Bidder and included in the System
Maintenance and Support Plan provided to LIC:
i. Development of a system support structure and organization, including estimates of
manpower requirements to support operation and maintenance of the system
ii. System Installation and Administration Manual
iii. Completed Code
iv. System troubleshooting and system tuning procedures
v. System administration procedures, such as file management and code management
vi. Operating Procedures Manual: Includes Diagnostic procedures, backup and restore
procedures, batch and online processing procedures, monitoring procedures and disaster
recover procedures
vii. Maintenance Manual: Information to aid in analyzing and debugging the software, apart
from information already available in other delivered documentation
viii. Updated system architecture diagrams and inventory (systems, servers, etc.) that clearly
identify what is in production use
ix. Solution Database Schema
x. Complete Data Dictionary
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helpdesk will be the central collection point for service staff contact and control of the problem,
change, and service management processes. This includes both incident management and service
request management. The support (L1, L2, L3) should be available from the day the new application
goes Live at any of the P&GS Units/Offices. Necessary application life cycle tools will be deployed
by the bidder.
Application support will be active for 12 hours per day from 8:00 am to 8:00 pm with provision for
extended hours ( 2 to 4 hours a day ) at fortnight/month/year end - exact modalities will be
decided with mutual consent at the time of go-live phase. Application support will be required for
all days when data centre and/or near-DR/remote-DR centres will be actively working. These
centres/facilities will be working on all week days from Monday to Saturday. Calendar for holidays
for these centres/facilities will be released by LIC at the beginning of go-live phase for the calendar
year current at that time, and before beginning of every calendar year thereafter. This arrangement
is subject to review depending upon change of working hours/days for LIC in general, or when
necessitated due to statutory provisions in applicable laws.
The Bidder will have to service, track and route requests for service and to assist end users in
answering questions and resolving problems related to the P&GS application and covering basic
functionality, hardware, network, DC, DRC, etc at all the units & offices. This will be the first level of
support (L1).
It is also expected that a second level of centralized support (L2) also be maintained from where
the various zones/units/offices can be serviced in case of problem escalation. If a problem is not
resolved by telephone and the End User declares the problem to be of an emergency nature, the
Bidder shall dispatch a representative/support personnel/Engineer who will provide Desk Side
Support Service according to service levels given.
L3 support will be for critical code level changes or application failure related issues. This support is
required for all components that are expected to be provided by the Bidder as part of this RFP.
The Bidder has to provide the resolution / service as per the defined service levels. The Bidder has
to make sure that the methodology proposed for addressing and resolving problems is aligned to
the required and defined service levels.
The Bidder should staff persons in support who are conversant with the solutions deployed and are
capable of resolving routine problems and queries through the service desk application or over the
phone.
a. Will serve as the front-end for all users and provide services request sorting, information
and non-functional information, ticket routing for support of the Application
b. L1 would typically address queries and all end user issues pertaining to:
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c. The key activities that the Bidder is expected to perform as part of Level 1 Support are:
User Management
Provision for assigning user rights only for certain fixed period
d. The Bidder should have a minimum of 16 full time resources in L1 support. LIC reserves the
right to increase or decrease the number resources in L1 support depending on its
requirements at LIC. The Bidder is expected to quote a per resource for L1 support, which
shall be used in case LIC orders for lesser or more number of resources for L1 support. The
Bidder should also note that the setup for L1 must provide for 1 supervisor and/or 1 support
personnel from LIC. LIC expects the Bidder to provide for L1 support for all activities and
services that are part of scope
b. Performing and troubleshooting End of Day, End of Month, End of Quarter and End of
Year activity
d. Provide on-site trained personnel in each L2 shift, having adequate exposure and
background on the solutions for problem handling and resolution
e. Coordinate with the L3 teams for resolution and provide necessary information as may
be required by the team to resolve the issues
h. Prepare a root cause analysis document with the resolutions provided for major issues
such as:
91
k. Modifications to existing scripts, reports, due to errors / technical faults
l. Present to the LIC management on the critical issues reported, resolved, solution
provided and the suggested recommendations or leading practices as and when asked
by LIC or on a monthly basis whichever is earlier.
p. Ensure patch releases are ported to the production environment with no business
disruption or business losses
q. Perform application replication across the Data Centre, Disaster Recovery site and Near
Site to ensure zero data loss
The Bidder is expected to act upon the tickets routed from Level 1. The Bidder must
ensure proficient and professional personnel are put to handle the L2 support and
resolutions are provided on a proactive basis
s. The Bidder should have a minimum of 8 full time resources in L2 support. LIC reserves
the right to increase or decrease the number resources in L2 support depending on its
requirements at LIC. The Bidder is expected to quote a per resource for L2 support,
which shall be used in case LIC orders for lesser or more number of resources for L2
support. The Bidder should also note that the setup for L2 must provide for 1 supervisor
and/or 1 support personnel from LIC. LIC expects the Bidder to provide for L2 support
for all activities and services that are part of scope
t. All other activities as would be required by the Bidder to manage and maintain the
solutions.
a. Resolve the call within the stipulated timeframe as defined under the service level
agreements
b. Communicate the status of the call to LIC and accordingly update the status, resolution
or workaround and date of resolution in the appropriate tool
c. Prepare a root cause analysis document for issues referred to L3 support and provide to
LIC along with the resolution
d. Liaise with the L2 support personnel for the call information and resolution
f. All other activities as would be required by the Bidder to manage and maintain the
application
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8.17 Continuity of Operations
The selected Bidder must provide a methodology for resumption of applications, data, hardware,
communications (such as networking) and other IT infrastructure related to the P&GS application
in the event of a disaster. The disaster recovery plan will provide for a near DR site on active-active
basis and a remote DR site on active-passive basis. The near DR will be located at Mumbai and the
remote DR site is likely to be located at Bangalore. The methodology must also address activities
for the prevention and detection of an event and the regular testing of these controls and
strategies to ensure the protection of data.
The Bidder must develop a Business Continuity and Disaster Recovery Plan that provides for
adequate backup and recovery for all P&GS operations, both manual and automated, including all
functions required to meet the backup and recovery. In the Disaster Recovery Plan, the Bidder
must identify every resource that requires backup and the extent backup is required. DR drill
should be done once every 6 months. In addition, the Bidder must identify the software and data
backup requirements. The plan must include at a minimum the following:
• Recovery procedures from all events ranging from a minor malfunction to a major disaster
• Checkpoint/restart capabilities
• Retention and storage of backup files and software
• Hardware backup for the main processor
• Application and operating system software libraries, including related documentation
• Identification of the core business processes involved in the P&GS application
• Documentation of contingency plans
Definition of triggers for activating contingency plans
• Plan for replacement of hardware and software
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8.19 Performance Benchmarking
The Bidder may be asked to perform the benchmark for the purpose of this project, incorporating the
proposed technology architecture for the P&GS application. The Bidder will have to do a benchmark on
the hardware proposed for the P&GS application. Benchmark needs to be validated & reported by
reputed independent third party who has the experience of reporting performance benchmark specific to
the Core Insurance application designed by the Bidder with due concurrence of LIC.
The Bidder will have to perform a product benchmark at the benchmarking centre as identified by the
Bidder in the presence of LIC employees and it‘s appointed representatives. The objective of this exercise
is to demonstrate that the proposed hardware meets the sizing requirements and provides the required
service levels in terms of number of the necessary transactions per second (TPS), user concurrency,
Business Volumes and Growth Projections, along with the necessary number of concurrent transactions,
total number of transactions in a 4 hour window, time taken for End of Day, batch processing and meet
the required response time as expected by LIC. This benchmark should be carried out on the proposed
hardware with the proposed version of the operating system, proposed version of the database system
and the proposed version of the application system. The benchmark must include at a minimum the
following:
• Identification of any automated tools that will be used in performance and stress testing
• Performance testing will check for the availability and capability of system resources including
items such as Central Processing Unit (CPU), memory, network, etc.
• Bidder will measure response times, transaction rates, and other time-sensitive requirements
• Volume testing to verify that the application performs correctly and is usable with production
volumes of data
• Stress testing to verify the applications behavior under conditions that overload its resources
• The results of this test must be provided for validation and verification of the tests performed
The Bidder should factor all the necessary costs for the benchmark, including the travel,
lodging, meals for LIC personnel and it‘s appointed Consultant. Thus we suggest the Bidder to
consider 5 to 6 LIC Authorized personnel for this exercise.
Any expenses (performing the benchmark, travel, stay, etc.) incurred for the same would be
borne by Bidder and under no circumstances the same would be reimbursed to the Bidder by
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LIC. The Bidder is expected to factor the all expenses linked to the benchmarking in the Bill of
Materials.
The Bidder shall ensure that the solution provided and sized by the Bidder is capable of meeting LIC‘s
current and terminal year transaction and business volumes. Empirical evidence of the appropriateness of
the server sizing by means of comparison with independently assessed benchmarked data on a similar
environment as proposed to LIC will be mandatory. The Bidder has to provide all necessary supporting to
LIC to prove that the Solution sizing is appropriate
8.20 Training
The selected Bidder shall be responsible for training LIC employees (as identified by LIC) in the areas of
implementation, operations, management, error handling, system administration etc on the application.
The bidder will be responsible for Training of LIC‘s in house technical teams on all the aspects of
solutioning, development, and support functions. This should be a continuous process and should not be
a onetime activity as a part of the knowledge transfer/ handover exercise. Bidder will have to plan activities
around these trainings.
Sl. No. Training Type Audience Min. No. of Days/ Batches No. of
Weeks per Batch Trainees per
batch
1 Executive Awareness LIC Management Team 2 days 2 20
2 Core Team training Core Project Team 3 weeks 3 20
3 End User Training Business Users at P&GS 1 week 100 20
Units/ Zones and
Offices
4 Technical Training LIC‘s software 2 weeks 2 15
including OEM development team and
Training support staff
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a. LIC expects all trainings to be conducted from its premises or as may be mutually agreed.
b. The Bidder will be responsible to install the required applications / systems, training server at
DC and also ensure connectivity to the training server, for the purpose of training at the training
centres and the Learning Management System, if required. The training environment at the data
centre should at a minimum support 30 concurrent users and 5 concurrent for the Support
applications. LIC expects the training environment to be available at all times, for the purpose of
training. The infrastructure for training will be made available by LIC.
c. The Bidder will impart training to 100% of the Unit end users on the application prior to the
Unit / office going live. The Bidder must ensure that proficient personnel conduct the training at
the respective training centres identified for the same. The Bidder should ensure that the end
user training is scheduled and completed at least a week prior to the Unit / office going live.
d. The Bidder will be responsible for providing the users with the requisite training material in
both hard, soft copies, e-learning courseware at least for the core team training, technical
training, end user training and train the trainers. The onus of preparing the training material will
be on the Bidder.
e. The Bidder will also be responsible for creating the training material for the Learning
management application which would be reviewed and signed off by LIC. The content should
be kept up-to-date at all times. The content should be updated for every modification
throughout the tenure of the contract.
f. The Bidder will be responsible for preparing, circulating and collecting training feedback forms
from the participants.
g. The feedback forms will be prepared by the Bidders, reviewed and given to LIC. The changes, if
any, suggested by LIC should be incorporated and implemented by the Bidder.
h. The Bidder will provide a detailed training schedule to LIC for review and sign – off prior to
commencement of the training including the training material.
i. The Bidder needs ensure that the trainers have adequate domain knowledge, a minimum two
year work experience and sufficient experience on the application being developed (or similar
application).
The selected Bidder will have to create a comprehensive Knowledge Management Plan to
document the plan to train all staff, which includes business users, technical teams, other
vendors and system integrators. This plan must include at a minimum:
o Description of the group(s) who will receive knowledge transfer and objectives/expected
results of the knowledge transfer
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o System documentation and other resources required to familiarize LIC P&GS staff with
the System, produce training materials, and provide the actual knowledge transfer
o Provide system documentation, onsite support, and other resources to familiarize trainer
with the System and post-implementation training staffing
The selected Bidder will be required to provide necessary handholding and transition support
to designated staff or any other agency that is selected for maintaining the application post the
Contract with the selected Bidder. The handholding support will include but not be limited to,
conducting detailed walkthrough and demonstrations for the design, development and
architectural details, IT Infrastructure, handing over all relevant documentation, addressing the
queries/clarifications of the LIC staff/ new agency with respect to the working / performance
levels of the infrastructure, conducting training sessions etc.
Knowledge Transfer is an integral part of the scope of work of the selected Bidder. This will
have to be done even in case the Contract with the Bidder ends or is terminated before the
planned timelines.
Any other activity, over and above these, as may be deemed necessary by the selected Bidder
to meet the service levels and requirements specified in this Contract, are also required to be
performed by the selected Bidder at no additional cost.
Reverse Transition Services are the services provided by Bidder to LIC during the reverse transition period
which will start after completion of the notice period to facilitate an orderly transfer of the Services to LIC
or to an alternative third partly service provider nominated by LIC.
The Reverse Transition Services, to be provided by the Bidder to LIC shall include the following:
a) Software
The Bidder shall provide appropriate training to LIC‘s personnel or its designee(s) to enable them to
maintain the Software provided under this RFP and subsequent contract. Bidder shall ensure that if any
data migration is required, the same shall be carried by the Bidder and a handover to be provided for the
smooth transition of the operations.
b) Knowledge Transfer
The Bidder shall provide such necessary information, documentation to LIC or its assignee, for the effective
management and maintenance of the deliverables under this RFP. Bidder shall provide documentation (in
English) in electronic form of all existing procedures, policies and programs required to support the
services. Such documentation will be subject to the limitations imposed by Bidder‘s Intellectual Property
Rights of this RFP and shall include:
• Operational work instructions
• Listing of all events being monitored and the monitoring frequency
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All trainings that LIC feels are necessary to be imparted to LIC or its designees‘ personnel.
c) Warranties
All the warranties held by or in the name of the Bidder shall be assigned or transferred ―As Is‖ in the name
of LIC. The Bidder shall execute any and all such documents as may be necessary in this regard.
The parties shall return confidential information and will sign-off and acknowledge the return of such
confidential information.
Bidder shall provide all other services as may be agreed to by the parties in connection with the reverse
transition services. However, in case any other services, in addition to the above are needed, the same
shall be scoped and priced. Reverse transition services shall be charged based on Bidder‘s then current
time and materials rates.
The Bidder recognizes that considering the enormity of the assignment, the transition services listed
herein are only indicative in nature and the Bidder agrees to provide all assistance and services required
for fully and effectively transitioning the services provided by the Bidder under this tender and subsequent
agreement, upon termination or expiration thereof, for any reason whatsoever.
The cost for reverse transition if any should be part of the Commercial Bid and deemed to have been
included in the total consideration of the Bid.
The bidder shall share a list of deliverables that they shall submit based on the methodology they propose.
The bidder shall prepare the formats/templates for each of the deliverables upfront based upon industry
standards and the same will be approved by LIC prior to its use for deliverables.
All project documents are to be kept up-to-date during the course of the project. The bidder shall
maintain a log of the internal review of all the deliverables submitted. Soft copy of logs shall be submitted
to LIC on regular basis.
Selected bidder is required to use standard project management tools such as precedence diagrams,
critical path charts, etc. to create and manage implementation plan and schedule.
The table below shows the minimum stages, activities and the associated deliverables for each stage:
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Stage Activities Deliverables
Steps to identify risks that develop during the
project are documented
Methods to analyse and determine priority of
risks
Maintenance of Risk Register
Documented perspective of lessons learned
Integrate lessons learned into future project
activities
Updation of Project Plan
Clear Description of what was changed in the
Plan
Create a Quality Assurance Plan
Business and In-depth analysis of existing business, system, Business Requirement
Functional and user requirements Specification
Requirements Resolution of all outstanding issues related to the Requirement Validation
Analysis requirements and Traceability Plan
Document final set of business requirements Software Requirements
Define and document Functional Requirements and
System study for Data Migration Preparation Specifications Document
Data Migration Preparation Data Migration Plan
System Architecture Document a preliminary set of business rules and Conceptual Architectural
Design workflows system Design
Conceptual Architectural system Design
Methodology
Develop a strategy to ensure a final integrated
design
Documentation of a comprehensive design style
guide
Prepare and develop strategy for design session
results and validation of these results
Detailed Design Develop the final version of the Detailed Design Detailed System Design
specifications Document
Detailed Software Solution Documents for Software
Architecture design and Hardware solutions
Detailed Hardware Solution User Interface Design
Data Schema design Specifications
User Interface Design Integration Design
Identify and analyse business rules Specifications
Documentation of the System Integration Data design and migration
Strategy Plan
Documentation of the risks and mitigation
strategies for integration
Prototyping design and Validation
Resolution of all outstanding issues related to the
design
Documentation of a complete, comprehensive
design that is ready for development
Development and Document the software development methods Software Development
Integration Software installation, configuration, and Plan
customization Weekly Development
Verification and validation of system integration Report
Conduct the development tasks Development Library
Documentation of the major products and Updated Design
deliverables developed, delivered, or updated in Document
the Development Activity Installed software and
Prepare a Weekly Development Summary Report hard-ware details
Maintain a change control process to document Issue Report
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Stage Activities Deliverables
discrepancies and their resolution, and to manage
changes to programs and libraries
Creation and management of a Development
Library
Document the System Integration Strategy
Document controls for error handling
Provision of comprehensive reports and
identification of all tests performed
Implementation Conduct ongoing reviews of the hardware and Application
software performance and reliability to determine Implementation Plan
if hardware requires additional capacity Readiness Assessment
Monitor and ensure hardware and software Report
requirements mentioned in the Commercial Bid
meet or exceed the service level agreements
Develop implementation strategy
Create procedures and processes for
implementation and co-existence
Certify that the application , its domains,
functions, data, processes, operational
procedures, staffing and all other associated
support are in operation
Chart contingency plans
Resolution of all issues
Approval from Project Team to move to the
Implementation phase of the project
Testing Develop a strategy for testing the application Master Test Plan
processes and creating test environments for all Use Case
levels of testing System Testing Unit and Integration Test
Create tests scripts based on comprehensive Plan
detail design documentation, functional SIT and UAT Test Cases
specification documentation Problem reporting
Document detailed steps required to conduct the Data Migration Testing
unit test, including expected results reports
Develop the criteria for promotion from unit to Performance Monitoring
integration test Plan
Integration Testing Performance, Volume and
Demonstrate readiness for UAT Stress Testing reports
User Acceptance Test System Test Scripts
Completed Test Cases Weekly Report
Data Migration tests Operational Readiness
Stress Testing Report
Load Testing
Performance Testing
Make recommendations for changes to hardware
or software requirements to improve
performance
Documentation of the knowledge transfer
materials that will be used to provide orientation
and kickoff for testing
Identification of the tools and reports that will be
used to support all testing efforts
Steps to ensure any design changes are reflected
in the system test scripts
Resolution of all issues identified as design issues
Resolution of all defects that prevent completion
of test scripts
System System Incident Resolution System Maintenance and
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Stage Activities Deliverables
Maintenance Adaptive Maintenance Support Plan
Support and Application Enhancements System Incident
Operations Minor changes, bug fixes, error resolutions and Resolution report
minor enhancements Adaptive Maintenance
Application Upgrades and updates report
Apply regular patches to the licensed software(if Application Enhancements
any) report
Training and Documentation of the Knowledge Management Knowledge Transfer and
Knowledge Transfer Strategy training plan
Documentation of the approach for evaluating Training and Instructional
the effectiveness of the knowledge transfer and Material
improvement plan Training courses and Application User Manual
sessions Online user Aids
Documentation of the train-the-trainer strategy
Develop knowledge transfer program and
classroom training materials
Conduct Trainings as per the details provided in
the RFP
Develop a methodology for reporting, reviewing,
and improving knowledge transfer
Collect and monitor Training Feedback
All Bidder deliverables will be subject to review by LIC prior to final approval, acceptance, and payment.
LIC will accept or reject the deliverables in writing. In the event of the rejection of any deliverable, the
Bidder shall be notified in writing giving the specific reason(s) for rejection. The Bidder shall have five (5)
working days to correct the rejected deliverable and return it to LIC. All the deliverables must be tracked
and maintained in the Enterprise Project Management Tool, access to which would be provided to the
selected Bidder at the time of on boarding.
As part of LIC‘s risk mitigation strategy LIC may engage services of an Independent consultant – who can
provide Independent and Expert Reviews on the application as developed, deployed and maintained for
the use of LIC by the bidder.
The independent consultant may perform the following activities throughout the tenure of the Bidder‘s
agreement.
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Activity #1- Periodic Independent Architecture review with a focus on Performance, Availability &
Scalability
Activity #2- Progressive Independent Performance audit and Optimization of application and their
execution environment
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Key Coverage areas
Study the implemented functionality of the solution and to ensure correctness of functionality
of each module and all modules in totality as per the rules and guideline procedure of LIC and
the regulators.
Study the application for adequate input, processing and output controls and conduct various
tests to verify existence and effectiveness of the controls.
System processing logic
Review the system inbuilt and configured logic and ensure that the calculation is
performed as intended by LIC
Review that logics are built in accordance with LIC‘s requirements
Understand the logic and flow of the automated calculation and re-perform the
calculation outside the system to ensure that calculations are performed accurately by
the system as intended by LIC
Conduct various tests to verify existence and effectiveness of the controls for all
functionalities, schemes and products supported by the applications under review
Logical Access –
Review of user management procedures at Application, Operating System and
Database Levels
Review of privileged access rights granted to application and system administrators
Review of account and password policy controls
System Maintenance –
Review of Annual Maintenance Contracts (AMCs) / Warranties, Service Level
Agreements(SLA)
Incident Management –
Review Incident Management related Policies & Procedures and compliance thereof.
Exchange of Information –
Review the interparty communication controls relating to exchange of information.
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Business continuity management –
Review the Business continuity management related Policies & Procedures and
compliance thereof.
Compliance –
Perform compliance review vis-à-vis IT regulatory requirements provided by the AMC.
Interfaces -
Interface of core Software with other applications.
Validation of interface files before upload.
Security considerations in data preparation, transit channels, handling and upload
process.
Review of inter-dependency of application and interfaces, validation procedures
during day-end operations
Reconciliation/ comparison before/after interface upload and handling of interface
rejections
Duplicate checking
Reporting controls
Any observation made by the independent audit team will have to be incorporated/ rectified by the Bidder
at no extra cost to LIC.
8.26.1 Ownership
The Bidder shall provide an exclusive, non-transferable, perpetual ownership for all the software
and the associated documentation to LIC post successful pilot of the application at the first P&GS
unit as a part of this project. LIC shall use the software/application at any of its current units and
office locations or units and offices as may be added in the future without restriction and use of the
software by service providers on behalf of LIC would be considered as use thereof by LIC. The
ownership would pass to LIC from the point the modification is made to the framework as brought
forth by the Bidder. All the code as developed by the Bidder will have to pass into escrow and be
handed over to LIC.
A.To Use. (i) to use the executable code version of the Software and all Enhancements, Updates
and New Versions made available from time to time solely for business operations of LIC in India or
outside India (ii) to use the Program Documentation for purposes of installing or operating the
Programs and supporting the use of the Software by LIC; (iii) to use the technical Training Materials
for purposes of supporting users.
B. To Copy. (i) to copy the Software that operates on server systems to support the maximum
number of Users (ii) to make additional copies of the Program Material for archival, emergency
back-up, testing, or disaster recovery purposes; and (iii) to copy the Program Documentation to
support its Users.
C. To work as interface: (i) to work with other Application Software packages at LIC as interface,
details as provided in annexure VII; (ii) to allow other application software packages at LIC to work
as interfaces to the Software. If such interfacing requires any modification or change to the
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Software, such modification or change has to be carried out by the Bidder free of any additional
charge or fees or expenses.
The ownership of the software will ensure no restriction or limitation on the number of branches,
offices, locations, users, transactions, policies, claims, environments that the application can be
used or deployed at.
8.26.2 Delivery
a) The Bidder, at the time of installation shall deliver to LIC required copies of the source code
and object code version of the Software and the associated Program Documentation
including operation manual and training material
b) The Bidder is required to deliver the detailed technical design documents of the end state
solution deployed at LIC
c) The Bidder, after customization shall deliver to LIC required copies of the object code
version of the customized Software and the associated Program Documentation including
operation manual and training material
d) The Bidder, after modifications, updates or new versions shall deliver to LIC required copies
of the revised object code version of the latest Software and the revised associated Program
Documentation including operation manual and training material
e) The Bidder after developing workaround and customization codes outside the core software
application package shall deliver to LIC required copies of the source code and object code
version of the work around components and the associated Program Documentation
including operational manual and training manual
f) The Program Documentation shall consist of required number of User Manuals per
Unit/office, Data Centre, Disaster Recovery site and Near Line Site. The program
documentation shall be supplied by the Bidder to LIC both in hard copy and soft copy forms
(MS word format and HTML Browser format)
g) The operational manual shall be provided by the Bidder under help menu in the software as
dynamic online documentation/help files, wherever applicable
h) The object code version of the Software, executable and required run-time files shall be on
Compact Disc or on any such media as desired by LIC as may be applicable.
8.26.3 Rights
The Bidder shall ensure that the software/application as developed does not infringe third party
intellectual property rights. If a third party's claim endangers or disrupts LIC‘s use of the
software/application, the Bidder shall be required to, at no further expense, charge, fees or costs to
LIC,
(i) obtain a license so that LIC may continue use of the software/application in accordance with
the terms of this RFP and the Agreement and the license agreement; or
(ii) modify the software without affecting the functionality in any manner so as to avoid the
infringement; or
(iii) replace the software with a compatible, functionally equivalent and non-infringing product;
or
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(iv) refund to LIC the amount paid for the infringing software and bear the incremental costs of
procuring a functionally equivalent software from a third party within a reasonable period
determined by LIC at its sole discretion which would not affect the normal functioning of LIC.
Each stage of the project will be monitored by the Core Project Team and it will be the responsibility of the
Bidder to seek sign offs on all artefacts submitted (details as provided under section 7. 22- Project
Documentation) to LIC at each stage of the project. Project Stage shall be deemed complete on the Core
Team Providing a written approval for the same.
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The following is a representative Governance Model;
Executive Management
(LIC + Consultant)
Program Management
(LIC + Consultant )
Once the project is planned, the Project Governance Office (PGO) shall monitor the progress against the
plan to identify and resolve issues in co-ordination with the Vendor Team/s in a timely manner. For this,
the PMO shall gather the information needed. Corrective actions as identified for all issues will have to be
taken up by the bidder and the same shall be tracked to closure. Corrective actions may include re-
planning and establishing new agreements.
Identified tracking elements will be reviewed in their respective progress review meeting.
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Step Activity / Task Description Responsibility
4. Monitor Project Risks: PGO, Vendor
Monitor & track risks on a continuous basis and at the end of
each phase/sprint.
New risks identified during project execution need to be
included in the Risk Log and subsequently monitored and
controlled.
Share relevant Risks with stakeholders along with Status Report
(s).
5. Monitor Configuration Management and Change Request: LIC, PGO, Vendor
Provide change request and configuration audit related
information/data
6. Monitor and analyze the collected project metrics data as per PGO, Vendor
the Quantitative Goals and Metrics Plan
7. Prepare Status Reports and Conduct Reviews as defined in PGO, Vendor
Communication Plan.
In addition Scrum Meetings within Teams have to be
regularized.
8. Periodically Request for customer feedback PGO, Vendor
9. Provide process and product audit related information/data PGO, Vendor
10. Periodically upload all the Project best practices and other PGO, Vendor
artifacts to Process Database
Verification
Senior Management reviews
Technical Reviews
SQA audits on work product and processes
Configuration audits
Reference Checklist Template
Project Monitoring and Control Checklist Weekly Status Report
Status Tracker/MPP
Issue Tracker
Metrics Sheet
Risk Log
Program Status report
Minutes of Meeting
The communication plan as prepared will capture all project communication needs of different project
stakeholders. All project reports required as part of contract must mentioned in communication plan such
as weekly status report, Monthly progress report etc.
LIC
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Audience / Delivered Developed Distribution
Event Duration Activity Frequency Input
Focus by by Method
LIC
PGO
Discuss the status
Program
along with the
Manager,
functional
Function 2Hrs 45 workstream leads Weekly PGO /
Project Project
al Status min from LIC and (Wednesd Vendor / PGO Meeting
Manager, Plan
Meeting Vendor on the ay) LIC
status of Business
implementation for Analyst,
the functional track
Technical
Leads,
Solution
Architect
LIC Weekly
Status Vendor to distribute Weekly
Status
update E-Mail the status (Wednesd
Vendor Vendor Vendor Report E-Mail
from document to the ay)
from
Vendor identified personnel
PGO Vendor
LIC
Executive
Status EY to distribute the
E-Mail Weekly Summary
update status document to Vendor
(Table (Thursday) PGO PGO -Weekly E-Mail
from the identified
Review) Status
PMO personnel PGO
Report
Status update
meeting to discuss
the overall progress
1.)
of the along with
LIC Project
the key
Plan
stakeholders/leads
Weekly from Vendor, LIC Weekly 2.)
Progress 2 hours and PMO. Vendor PGO PGO Meeting
Weekly
Meeting (Thursday)
Status
Agenda Items
Report
I. Project Status Vendor from
II. Issues Vendor
III. Risks
IV. Change Requests
V. Contingency
planning for
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Audience / Delivered Developed Distribution
Event Duration Activity Frequency Input
Focus by by Method
delayed
activities/deliverable
s
9. Project Timelines
9.1 Project Implementation
LIC expects to Go Live within 16months of signing of the Contract and this would be the Launch Phase.
9.1.1 Products
Indicative list of the products is provided in Annexure VII- Functional Requirement which are to be
made available at the end of 16 Months. Any other product that LIC would want to launch will be
scheduled for delivery post the Launch Phase.
9.1.2 Applications/Modules
The following functions/modules will have to be made available as per the instruction provided below:
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Launch Post Launch
Sr. No Application / Functions
Phase Phase
6.3 Policy Cancellation
7 Annual Renewal Date Processing and Policy Renewal
8 Agency Management
9 Commission Processing
10 Claims Management
11 Reinsurance
12 Investment
13 Enquiry & Search
14 Document Management (Generation/
Imaging/Scanning/Storage etc)
15 Workflow Module with Rules
16 *MIS and Reporting
17 Mass printing
18 Security
19 Performance management
20 Batch Operations (Uploads/Renewal/ Printing/ etc)
21 Accounting and Trial Balance √ √
Support Activities
1 BI & Reporting tools
2 Integration with Enterprise wide applications (As mentioned in
Annexure VI)
3 Data Mining
4 Data Quality
5 Metadata Repository
6 Payment Gateway
*MIS and Reports pertaining to reinsurance and valuation can be considered in the Post Launch Phase
(2) Number of launch locations may vary depending upon addition of new locations from time to
time
(3) LIC may decide to have additional implementation at Units or Zones. Details for the same
would be shared with the bidder and implementation modalities will be arrived at with mutual
consent
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(4) For roll out post pilot phase, two zones will be taken up at a time. The application will be
implemented in all the units in the selected Zones. Once the application is stabilized in all the
units in the selected Zones, next pair of Zones will be selected and taken up for
implementation. Thus in four batches, the application is expected to be implemented at all
locations.
(5) Once a Launch location is taken up for implementation, the Bidder needs to provide hand-
holding support by deploying minimum of 2 full-time qualified personnel at the launch
location. The aforesaid support personnel shall remain available at the launch location for a
minimum of two weeks which period can be extended up to a time till the application is fully
stabilized for the launch location.
(6) Further, the bidder shall also provide an additional layer of resource team of minimum 4 full-
time qualified personnel to remain available at the Zonal Headquarter, or such other location as
may be mutually agreed, for the selected Zones. The Bidder‘s Resource Team at Zonal Level will
ensure trouble shooting during roll out at launch locations within the selected Zones. The
Zonal resource team shall remain available for at least 4 weeks from the commencement of roll
out of any location in the Zone and shall remain available until all location in the Zone are
stabilized and proper sign off is given by all individual launch locations in the Zone.
(7) At the end of the hand-holding period, the Bidder needs to obtain a sign-off from the
Unit/Zonal Office that problems raised have been satisfactorily addressed by the Bidder‘s
team.
(8) The roll out will be complete when roll out is completed for all locations and sign off is given by
all respective locations including Zonal/Central Office(s).
(9) The sign off for go-live phase will be at Central Office level and shall be the basis of warranty
period.
(10) All systems/modules and delivery channels scheduled for Launch Phase must be integrated
using a Service Oriented Architecture best practices through the Enterprise Service Bus
(ESB)/Integration Middleware during the Launch Phase.
This Schedule describes the service levels that have been established for the Services offered by the
Bidder to LIC. The Bidder shall monitor and maintain the stated service levels to provide quality
customer service to LIC‘s customers.
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A. Service Level Classification and definitions:
I. Critical Business Any problem due to which the entire During business hours -
system is inoperable. Within 1 hour
II. Key Business a. Any problem due to which During business hours -
the system is not entirely Within 2 hours
down, but some major
Non-business hours -
functionality is, and no
Within 4 hours or earlier as
workaround for it is available
per business hours, if
or;
business hours begin
b. Any incident which is
classified as ―Critical‖ for
which an acceptable (by LIC)
workaround has been
provided or;
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Level Type of Function / Technology Typical Response & Resolution
Infrastructure
Enhancements
% of
3%
Above 3 hours within 4 hours during non-business
hours
hours
Support for Key
B.
Level
Above 3 hours within 6 hours during business hours
5%
Above 6 hours within 8 hours during non-business
hours
C. Within 8 hours 0%
Support for
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Significant Level Within 12 hours 3%
Above 12 hours 5%
The escalation hierarchy for LIC will be jointly decided by LIC and the Bidder once the Bidder is on
boarded. The indicative escalation hierarchy for the Bidder is illustrated below in the table. The Bidder
will propose the exact escalation hierarchy once it is on board.
D. Escalation Matrix
To be resolved
Support
by (within 1 Support Engineer
Engineer
hours)
Support
LIC SPOC BIDDER - Project
2 hour Engineer
(P&GS) Manager Support
Engineer
Secretary
4 hours
(P&GS)
LIC SPOC (P&GS)
6 hours
Senior Support
10 hours
ED (P&GS) Engineer
Secretary (P&GS)
BIDDER - Project Senior Support
12 hours
Manager Engineer
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LIC SPOC BIDDER - Project
18 hours
(P&GS) Manager
LIC SPOC
24 hours
(P&GS)
ED (P&GS) Secretary
(P&GS)
Secretary
48 hours
(P&GS)
A. System Availability
Where:
1. ―Scheduled operation time‖ means the scheduled operating hours of the System for the year. All
planned downtime on the system would be deducted from the total operation time for the year to
give the scheduled operation time
2. ―System downtime‖ subject to the SLA, means accumulated time during which the System is
totally inoperable due to in-scope system or infrastructure failure, and measured from the time
Company and/or its customers log a call with the Bidder help desk of the failure or the failure is
known to the Bidder from the availability measurement tools to the time when the System is
returned to proper operation
3. The business hours will be as per LIC‘s working hours. The Bidder however recognizes the fact that
the Unit will require to work beyond the business hours on need basis, specifically during month-
ends
4. Response may be telephonic or onsite. In case the issue cannot be resolved telephonically, the
Bidder will need to provide onsite assistance within response resolution window
5. Service Levels should be complied with irrespective of the changes/customizations that the
application would undergo during the tenor of the Contract.
6. Typical Resolution time will be applicable if application is not available to LIC users and customers
and there is a denial of service
Availability Report will be provided on monthly basis and a review shall be conducted based on
this report. A monthly report shall be provided to LIC at the end of every month containing the
summary of all incidents reported and associated Bidder performance measurement for that
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period. All Availability Measurements will be on a monthly basis for the purpose of Service Level
reporting.
Audits will normally be done on monthly/quarterly basis or as required by LIC and will be performed
by LIC or LIC appointed third party agencies.
i. Availability Measurements
The mechanism for monitoring the SLA would need to be proposed by the Bidder and agreed by LIC.
Performance measurements will be done on monthly basis or as required by LIC and will be
performed by LIC or LIC appointed third party agencies. Bidder representative will assist LIC in
performing Performance Measurements.
Day – end, Time window for batch operations for 98% LIC to measure 1% of Total
the Insurance application to be 4 hours this through Project Cost
month – end,
excluding back-up time. periodic audits
Day – end, During the batch operations the 98% LIC to measure
hardware utilization (CPU and this through
month – end,
memory) should not exceed 90% periodic audits 1% of Total
Day – end, However during these periods all 99.5% LIC to measure
offices/units operations should be this through
month – end,
available and there should be no periodic audits 1% of Total
year – end performance degradation at that time based on logs to Project Cost
be provided by
Bidder
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Type of Measurement Minimum Measurement Cost
Infrastructure Service Level Tool Reference
System Response End to end response time should be < 99% LIC to measure
Time 5 seconds (end user to insurance this through
application and back) periodic audits 1% of Total
based on logs to Project Cost
be provided by
Bidder
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Type of Measurement Minimum Measurement Cost
Infrastructure Service Level Tool Reference
Down time for Each planned down-time for 98% LIC to measure
servicing application, database and operating this through
system servicing, delivery channels and periodic audits
interface servicing (upgrades, bug based on logs to
fixing, patch uploads, regular be provided by
maintenance etc.) will not be more Bidder
than 4 hours. This activity will not be
carried out during business hours.
1% of Total
Project Cost
However, such activities which require
more than 4 hours or required to be
carried out during business hours will
be scheduled in consultation with LIC.
In case the downtime exceeds the
planned hours the additional time
taken for servicing will be considered
for infrastructure or system downtime.
Report Preview Response times for all report previews 100% LIC to measure
should be < 60 seconds in most this through
instances. It is understood that periodic audits 1% of Total
complicated / large volume reports based on logs to Project Cost
may require a longer period be provided by
Bidder
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Type of Measurement Minimum Measurement Cost
Infrastructure Service Level Tool Reference
Bidder
The SLA for Application Implementation (timely delivery of each milestone in the project plan,
reporting and resolution of bugs during testing phase) is to be mutually agreed between the Vendor
and LIC, based on the Project Plan.
Gap/Bugs/Defects The Bidder shall ensure that all bugs 100% Manually Customization,
reporting reported by the users / testing team will Tracked
Implementation
be duly logged and assigned a unique ID during the
for reference purposes. testing
Critical The Bidder shall ensure that all bugs 100% Manually Customization,
Gaps/Bugs/Defects reported by the users/ testing team will Tracked
Implementation
/Showstoppers be resolved within 1 hour from reporting. during the
testing
Gap/Bugs/Defects The Bidder shall ensure that all bugs 99% Manually Customization,
resolution reported by the users / testing team will Tracked
Implementation
be duly resolved maximum within 3 during the
calendar days or as per the UAT testing
approach agreed between LIC and
Bidder.
Modification / The Bidder shall ensure that all 99% Manually Customization,
Enhancements modifications, enhancements reported by Tracked
Implementation
resolution LIC will be duly resolved as per the during the
agreed timeframes testing
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Service Level Measurement Minimum Measurement Cost Reference
Description Service Tools
Level
Handholding The Bidder shall provide a minimum full 99% Feedback Customization,
time support staff at the Units as per the from Unit
Implementation
handholding requirements in the RFP.
Handholding
Any technical problems or errors faced
by the user will be resolved by the Bidder
within 4 hours of problem identification /
reporting.
Interface The Bidder will identify and develop 100% Manually Customization,
identification and interfaces to the existing / proposed Tracked
Implementation
development systems so as to meet the functional
requirements as per the RFP.
The Bidder‘s performance to Availability Service Levels will be assessed against Minimum Service Level
requirements for each criteria mentioned in the Availability measurement table.
Availability Service Level Default will occur when: The Bidder fails to meet Minimum Service Levels, as
measured on a monthly basis, for a particular Service Level
In the event of an Availability Service Level Default, the Bidder shall pay LIC an Availability Service
Credit that will be computed in accordance with the following formula:
Monthly Service Level Default = Minimum Service Level – Monthly Actual Service Level
Availability Service Credit = Monthly Service level default X Cost Reference, where cost reference is 1%
of Total Project Cost.
In the event that an Availability Service Level Default has occurred for more than one service level
requirement, the sum of the corresponding Availability Service Credits shall be credited to LIC.
The Bidder shall review with LIC, on a monthly basis from the start of Contract Execution, any
entitlement of LIC to an Availability Service Credit.
The total amount of Availability Service Credit that the Bidder is obligated to pay LIC shall be reflected
on the invoice provided to LIC. LIC shall be entitled to deduct the Availability Service Credit amount
from the amounts payable to the Bidder as per the invoice.
Example 1
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Assume for a particular service level requirement (e.g. Availability of Key Application and Supporting
Functions), the minimum service level is 99% During a Service Assessment period; the service level
achieved is 96.5%.
= Rs 2,25,000
Bidders have to note that the cost for AMC is exclusive of taxes for the purpose of computation of the
service level and service credit.
a) Deployment SLA: Applicable from the date of signing of the contract to the successful
acceptance of the deployment scope by LIC.
c) Operational SLAs: Applicable from the date of acceptance of applications and till the
developed application warranty period.
d) SLA Monitoring Tool: Bidder will provide SLA Monitoring tool. The SLA Monitoring tool
should be capable of providing all the SLA Reports and monitoring, as required in the
RFP. It should be capable of providing SLA measurement for all the components being
delivered by the bidder.
The performance and support of the entire e-Business solution will be as per the Schedule of Service
Level Agreement mentioned below; failure to do so will attract penalties. If, at any time during the
performance of the Contract, the Vendor should encounter conditions impeding timely delivery of the
systems and/or Services, the Vendor shall promptly notify LIC in writing of the fact of the delay, it is
likely duration and its cause(s). As soon as practicable, after receipt of the Vendor‘s notice, LIC shall
evaluate the situation and may, at its discretion, extend the Vendor‘s time for
performance, with or without liquidated damages, in which case the extension shall be ratified by the
parties by amendment of the Contract.
This Schedule describes the service levels that have been established for the services offered by the
Bidder to LIC. The Bidder shall monitor and maintain the stated service levels to provide quality
customer service to LIC‘s customers.
To ensure that all the stakeholders discharge their roles and responsibilities in an agreed manner to
achieve the common goal, a set of Service Level Metric‘s are defined for the solution.
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Deployment SLA is applicable to the following scope:
1. Supply, installation and commissioning of all required hardware for steady functioning of the
new centralized P&GS application.
2. Supply installation and commissioning of all required software for steady functioning of the
proposed new centralized P&GS application.
The Deployment SLA is applicable from the date of signing the contract to the successful acceptance
of the above scope by LIC. The Duration, measurement basis and penalty is defined below.
penalty applied is
10%
This penalty is
capped at 10% cost
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of the total bespoke
application
development
total bespoke
application
development
The solution would be tested during the User acceptance testing phase with reference to the
Technical SLAs mentioned below:
Time to Connect Time elapsed from initial request to when Less than 150 msec
the connection between the visitor's
browser and an origin server is established
Waiting Time (relates to Time elapsed from establishing a Less than 400 msec
Time to First Byte) connection to delivering the first byte of a
webpage
Time to First Byte Time elapsed for the first byte of a website Less than 550 msec
to make it to the visitor's browser
Receiving Time (relates to Time elapsed from downloading the first Less than 200 msec
Time to Last Byte) byte to the last byte of a webpage
Time to Last Byte Time elapsed when every byte of a website Less than 750 msec
has made it to the visitor's browser
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Front-End Performance Metrics
Time to Title Time elapsed since a user's browser downloads first Less than 1,300 msec
byte of your website and the webpage's title displays in
the browser
Time to Start Time elapsed when the first visible element appears on Less than 2,500 msec
Render the blank page
Time to Display Time elapsed when all visual elements of the page are in Less than 5,000 msec
place
Time to Interact Time elapsed when a user has gained control of a Less than 6,300 msec
webpage and can interact with content
Weight Basis
Asset Weight Total weight of assets including Not exceeding 700 – 800 KB
requests, domains, HTML, JavaScript,
CSS, images, media and others
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Application
Basis of Measurement: Simulated the stated loads and testing the system performance using load
testing tools. The response time for the various applications will be valid only for the components
being developed and maintained by the bidder.
Bidder is required to arrange SLA Monitoring tool and should provide measurements for the bidder
provided solution and infrastructure.
Operational SLAs
Severity level: The severity level of a service call is defined by the extent of impact the
problem has on the overall solution performance
o S1- Very high severity: Business can't Work - Issue in which significant portion of
Application is non-operational and for which there is no work around
o S2- High Severity: Application is not down but there is a serious problem
affecting user's productivity. Work around if provided is awkward and inefficient
o S3- Medium Severity: Application is not down but there is an issue affecting
small number of users or customers. Acceptable work around is available
Priority level: The priority level of a service call is defined by the priority in which the calls
would be handled in case of queuing.
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o P3- Low Priority: Total or partial failure of non-critical services or applications,
standard operational Standard operating procedures Routine password changes
Errors in hosted content Updating hosted content Report of initial investigations
within four hours
S1/P1 4 hours
S2/P2 8 hours
S3 / P3 1 day
S4/P4 3 days
( Note: The response time for the applications will be valid only for the components being developed
and maintained by the bidder. The SLA monitoring tool should be able to provide measurements for
the bidder provided solution and infrastructure )
Penalty
Performance
P&GS New Centralized <99.9% >=98% <98% INR 500,000 every hour
P&GS Solution
Response Time
P&GS Applications >4 secs< 8 secs >8 secs INR 500,000 every hour
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Application Issues
Application Issue P1 > 60 min < >120 Mins INR 75000 every 2 hours
Resolution Time 120 mins
P2 > 120 min < > 240 Mins INR 50000 every 4 hours
240 mins
P3 > 240 min < > 480 mins INR 25000 every 8 hours
480 mins
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. Roles and responsibilities
The following presents the roles and responsibilities along with the deliverables of the LIC and Vendor
during the envisaged phases comprising conceptualization, development, implementation/ support
and exit phase.
Role of LIC
Role of Vendor
1. To ensure that the project is completed as per scope of work and time
lines are adhered to.
2. Regular MIS to LIC regarding progress of project.
3. Proper liason with LIC officials for smooth implementation of project.
4. Vendor should have a back to back arrangement with OEMs for hardware
/ software / application development.
Role of OEM
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End of Document
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