Mainstreaming Electronic Mainstreaming Electronic Government Procurement Government Procurement

(E-GP)(E-GP)

Mainstreaming Electronic Mainstreaming Electronic Government Procurement Government Procurement

(E-GP)(E-GP)

Dr Paul SchapperCurtin University of Technology

Paul.schapper@iinet.net.au

Dr Paul SchapperCurtin University of Technology

Paul.schapper@iinet.net.au

An e-GP implementation strategy is a management and reform programme

An e-GP implementation strategy is a management and reform programme

What is e-GP?What is e-GP?What is e-GP?What is e-GP?

E-GP is not a software programme – if it was it would already be an icon on Windows XP

E-GP is not a software programme – if it was it would already be an icon on Windows XP

Does e-GP really improve governance and reduce corruption?

Does e-GP really save money and add value?

Does e-GP really improve governance and reduce corruption?

Does e-GP really save money and add value?

Some QuestionsSome QuestionsSome QuestionsSome Questions

GDPGDP

Cost of transactions – 45% of GDPCost of transactions – 45% of GDP

Value of Government Procurement – 20% of GDPValue of Government Procurement – 20% of GDP

E-GP reduces transaction costs by 25%-50%

E-GP reduces transaction costs by 25%-50%

E-GP reduces costs of goods and services by 5%-25%

E-GP reduces costs of goods and services by 5%-25%

Economic Significance of E-GPEconomic Significance of E-GPEconomic Significance of E-GPEconomic Significance of E-GP

Online Contract ManagementOnline Contract ManagementOnline Contract ManagementOnline Contract Management

Designed to allow users to define, plan, develop, track and manage the contracting process

Designed to allow users to define, plan, develop, track and manage the contracting process

Best Practice Guidelines & ChecklistsBest Practice Guidelines & Checklists

Templates and Case StudiesTemplates and Case Studies

Records LibraryRecords Library

Tendering Information & Process Management

Tendering Information & Process Management

Office systemsOffice systems

E-Tender BoardE-Tender Board

SupplierSpecialDetail

Supplier Detail

Register

Product/Services Register

Participation Event

Account Transaction

Register

Buyer Details Register

Buying Rules

ContractsRegister

(as appropriate)

Supplier Register

Logical Procurement Register ModelLogical Procurement Register Model

High set up & High set up & maintenance maintenance

costcost

Finance Finance management management

centriccentric

Legacy Legacy SystemsSystems

Open standards Open standards basedbased

Market centricMarket centric

Web systemsWeb systems

Existing Existing Banking Banking

InfrastructureInfrastructure

FIN

AN

CIA

L S

YS

TE

MS

FIN

AN

CIA

L S

YS

TE

MS

E-P

RO

CU

RE

ME

NT

E-P

RO

CU

RE

ME

NT

Financial IntegrationFinancial IntegrationFinancial IntegrationFinancial Integration

Purchasing / Purchasing / Commerce Commerce

CardsCards

Process mapping

Online Services - Concepts and Reality

Iden

tificatio

n C

od

es

Cla

ssifi

cati

on

Cod

es Classifies products in

relation to each other

Ordinal / Hierarchical

Management analysis

Market research

Supports e-market catalogues

Supports common language market search

Uniquely identifies products

Nominal / Unique

Tracking information

Audit

Supports in-house book-keeping

Supports common language inventory control

CataloguesCataloguesCataloguesCatalogues

Value Added ServicesValue Added Services

Contract Contract E-ManagementE-Management

Low Value, High VolumeLow Value, High VolumeProcurementProcurement

(E-PURCHASING)(E-PURCHASING)

High Value, Low VolumeHigh Value, Low VolumeProcurementProcurement(E-TENDERS)(E-TENDERS)

Governments Governments BusinessBusiness

Contract DevelopmentContract Development

Web Based Contract Web Based Contract ManagementManagement

Government Electronic Government Electronic MarketMarket

RegistriesRegistries

CataloguesCatalogues

Electronic Tender LodgementElectronic Tender Lodgement

Email AlertsEmail Alerts

Queries & AdviceQueries & Advice

Tender AdvertisingTender Advertising

Policies & LegislationPolicies & Legislation

Departments

Department A

Department B

Department C

Department D

Department E

Department F

Department G

e-Procurement Strategye-Procurement StrategyStandardised PortalStandardised Portal

e-Procurement Strategye-Procurement StrategyStandardised PortalStandardised Portal

Businesses

Business A

Business B

Business C

Business D

Business E

Business F

Business G

Online Services - Concepts and Reality

Departments

Department A

Department B

Department C

Department D

Department E

Department F

Department G

e-Procurement Separate Portalse-Procurement Separate PortalsMultiple StandardsMultiple Standards

e-Procurement Separate Portalse-Procurement Separate PortalsMultiple StandardsMultiple Standards

Businesses

Business A

Business B

Business C

Business D

Business E

Business F

Business G

E-GP Portals

www.Version A

www.Version B

www.Version C

www.Version D

www.Version E

www.Version F

www.Version G

Requirements for B2G e-commerceRequirements for B2G e-commerceRequirements for B2G e-commerceRequirements for B2G e-commerce

Compatible with BPCompatible with BP

User friendlyUser friendly

Cost recovery Cost recovery

TransparentTransparent

Phased implementationPhased implementation

Connectivity - Internet cafes (legislation)Connectivity - Internet cafes (legislation)

Compatible with BPCompatible with BP

User friendlyUser friendly

Cost recovery Cost recovery

TransparentTransparent

Phased implementationPhased implementation

Connectivity - Internet cafes (legislation)Connectivity - Internet cafes (legislation)

E-GPSTRATEGY

Private Sector Activation

Infrastructure & Web Services

Functionality & Standards

Management, Legislation &

Policy

Government & Institutional Leadership

E-GP Implementation is a Reform ProgramE-GP Implementation is a Reform ProgramE-GP Implementation is a Reform ProgramE-GP Implementation is a Reform Program

Typical Implementation ScheduleTypical Implementation ScheduleTypical Implementation ScheduleTypical Implementation ScheduleYear 2 Year 3Year 1

Bulletin Board Bulletin Board

Bid SubmissionsBid Submissions

Results & Plans Results & Plans

Auto Search Auto Search

`Online Payments & SecuritiesOnline Payments & Securities

Analysis & Scoping Analysis & Scoping

`Standard Documentation & TemplatesStandard Documentation & Templates

`Policies, Regs & Guides Policies, Regs & Guides

`Bid Documentation & Plans Bid Documentation & Plans

`E-Contract Management - ConstructionE-Contract Management - Construction

`Goods & Services CataloguesGoods & Services Catalogues

Price Models

`Purchase Orders & Information

Purchase Orders & Information

`E-TransactionsE-Transactions

`Reverse AuctionsReverse Auctions

`Enabling Strategies – Infrastructure Enhancement, Business / Gov Connectivity & Awareness, Legislation, HR.Policy, etcetera

StatusStatus PriorityPriority ResourcesResources ResponsibleResponsible ActionAction

VisionVision EssentialEssential 11 LeadershipLeadership MinisterMinister PublishPublish

Mandate & PolicyMandate & Policy EssentialEssential 11 PolicyPolicy Minister / ICT Minister / ICT TFTF

Document & Document & resourceresource

Lead AgencyLead Agency EssentialEssential 11 Staff & Staff & ExpertiseExpertise

CPUCPU Career paths, Career paths, Support Support

Centre, etcCentre, etc

Planning & ManagementPlanning & Management EssentialEssential 22 ExpertiseExpertise CPUCPU Implement-Implement-ation Planation Plan

Systems & StandardsSystems & Standards EssentialEssential 22 ExpertiseExpertise CPU / ICT TFCPU / ICT TF BusinessBusiness

Education & TrainingEducation & Training EssentialEssential 22 Staff / Staff / ExpertiseExpertise

CPU / CPU / AgenciesAgencies

Develop Develop programmeprogramme

Private SectorPrivate Sector EssentialEssential 22 LiaisonLiaison CPU / CPU / AgenciesAgencies

Road shows / Road shows / Online InfoOnline Info

Infrastructure & WebInfrastructure & Web EssentialEssential 33 Policies / Policies / FundingFunding

ICT Task ICT Task ForceForce

Telco policy Telco policy

Legislation & RegulationLegislation & Regulation RegsRegs 33 PolicyPolicy CPUCPU Formulate E-Formulate E-RegsRegs

Implementation MatrixImplementation MatrixImplementation MatrixImplementation Matrix

The Lessons LearntThe Lessons LearntThe Lessons LearntThe Lessons Learnt

Vision and leadershipVision and leadership

CommitmentCommitment

Small Business friendlySmall Business friendly

Management not technologyManagement not technology

Get right expertiseGet right expertise

International standards basedInternational standards based

Don’t map existing processesDon’t map existing processes

Education and training are essentialEducation and training are essential

Vision and leadershipVision and leadership

CommitmentCommitment

Small Business friendlySmall Business friendly

Management not technologyManagement not technology

Get right expertiseGet right expertise

International standards basedInternational standards based

Don’t map existing processesDon’t map existing processes

Education and training are essentialEducation and training are essential

.

Electronic Government Electronic Government Procurement (E-GP)Procurement (E-GP)

Electronic Government Electronic Government Procurement (E-GP)Procurement (E-GP)

Dr Paul SchapperCurtin University of Technology

Dr Paul SchapperCurtin University of Technology

LessonsLessonsLessonsLessons

Five Challenges Five Challenges Five Challenges Five Challenges

Vision & leadershipVision & leadership

Changing Government organizationChanging Government organization

Activating local businessesActivating local businesses

Connectivity and InfrastructureConnectivity and Infrastructure

Standards, legislation & securityStandards, legislation & security

Vision & leadershipVision & leadership

Changing Government organizationChanging Government organization

Activating local businessesActivating local businesses

Connectivity and InfrastructureConnectivity and Infrastructure

Standards, legislation & securityStandards, legislation & security

Which Path?Which Path?Which Path?Which Path?

How to start? Where to start?How to start? Where to start? E-Tendering?E-Tendering? E-Reverse Auctions?E-Reverse Auctions? E-Contract Management?E-Contract Management? E-Purchasing?E-Purchasing? Parallel Processes?Parallel Processes? Timeframes?Timeframes?

How to start? Where to start?How to start? Where to start? E-Tendering?E-Tendering? E-Reverse Auctions?E-Reverse Auctions? E-Contract Management?E-Contract Management? E-Purchasing?E-Purchasing? Parallel Processes?Parallel Processes? Timeframes?Timeframes?

Basic SystemsBasic SystemsBasic SystemsBasic Systems

E-TenderingE-Tendering

E-PurchasingE-Purchasing

Information & reporting systemInformation & reporting system

Management system also E-RAManagement system also E-RA

Online Contract ManagementOnline Contract ManagementE-Management – Works & Supply ChainE-Management – Works & Supply Chain

Phase 1 Information ServiceTender AdvertisingDocument Down-LoadsResults DisclosureBid QualificationBid Up-LoadsBid Processingetc

Phase 2 Contract ManagementContract Development

Phase 3a Catalogue PurchasingOnline TransactionsOnline Workflow

Phase 3b Online BiddingReverse Auctions

E-Tendering

E-Contract Management

E-Purchasing

Phased ImplementationPhased ImplementationPhased ImplementationPhased Implementation

e-Procurement Frameworke-Procurement Frameworke-Procurement Frameworke-Procurement Framework

Portal to e-Government Procurement

Public PurchasingPublic Purchasing Public TenderingPublic Tendering

Contracted Suppliers

Buyer Profiles

Search & request info

RFQ & Reverse Auctions

Shopping trolley requisition

Order approved / sent / accepted

Receipt of goods / services

Supplier invoice & payment

Supplier performance

Transaction reports

Buyer fees Supplier fees

Summary reports

Con

trac

t D

evel

opm

ent

Con

trac

t D

evel

opm

ent

Con

trac

t M

anag

emen

tC

ontr

act

Man

agem

ent M

anagement

Managem

entForm

atForm

atPlanPlan

Single Supplier Registry

Single Buyer Registry

Drawings Online

Core O

nline Contract

Managem

ent

Goods &

Services

Construction

Core Tender D

evelopment

ETA

Program Development

Project Management

Tender advert, lodge & award

Tender Watch

FMIS

Data Warehouse & Reporting

Inventory

Government Contract Policy & Management

The functionality is complex (but not excessively so) and there is more than one possible starting point