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Spa e procurement_system_giti_2010 Spa e procurement_system_giti_2010 Document Transcript

  • ELECTRONIC PROCUREMENT SYSTEM OFSTATE PROCUREMENT AGENCY OF GEORGIA TBILISI, NOVEMBER, 2010
  • Georgian ICT Development and Cyber Security Event GITI 2010Organizers: ICT Business Council of Georgia LEPL Data Exchange Agency of Ministry of Justice of GeorgiaWith the support of: NATO-Georgia Professional Development Program, Trustcorp (Estonia), US Embassy in Tbilisi Chapter: Table of Contents 2
  • TABLE OF CONTENTSTable of Contents ............................................................................................................................ 3Introduction ..................................................................................................................................... 4Goals of the System ........................................................................................................................ 6Vocabulary ...................................................................................................................................... 7System Solution .............................................................................................................................. 8 Users and Their Roles ................................................................................................................. 8 Components and Processes ......................................................................................................... 9 Tender ..................................................................................................................................... 9 Registration ........................................................................................................................... 12 Contracting Authority (CA) ...................................................Error! Bookmark not defined. Bidder .....................................................................................Error! Bookmark not defined. ‘‘Tender Proposal’ (Warranty) ............................................................................................. 20 Price of a ‘Tender Proposal’ (Placing a bid) ........................................................................ 20Conclusion .................................................................................................................................... 22Appendix ....................................................................................................................................... 23 Chapter: Table of Contents 3
  • INTRODUCTION Developing and making operational modern Information Technologies (IT systems) made necessary the transformation of an old style state procurement system to a more efficient, more transparent and better managed centralized electronic environment in Georgia. The traditional procurement system had many disadvantages, including but not limited to the following:  It could not provide potential bidders with complete information regarding the requirements of the state sector  It could not provide a purchaser with needed information about the potential bidder  It could not allow the public to monitor the process of the state procurement  It was no longer effective in comparison with best practices All of these resulted:  In restricted communications with state sectors  In lending itself to the status quo, creation and maintenance of privileged bidders It became obvious that the traditional system needed to be changed. Georgia was ready for such change. The best way to manage procurement procedures, purchaser-bidder communications, and state tenders was via an online, web based system. This would require new policies and regulations The State Procurement Agency (SPA) SPA as the responsible agency for the procurement policies was the initiator of the new electronic system. To build the system, which would cover all requirements of the SPA, teams from the SPA Chapter: Introduction and from NAPR‟s IT department worked together. It was decided to design the system step by step, since it consisted of different parts. The first step would have been - Electronic Tenders. 4
  • The purpose of this document is to describe the first step – Electronic Tenders – in moredetails. This step is completed now and the system is ready for exploitation. Chapter: Introduction 5
  • GOALS OF THE SYSTEM The traditional tender process was time and money consuming. It had other disadvantages, some of which were: 1. A bidder physically had to go to the CA‟s office 2. A bidder had to present „Tender Proposal‟, information regarding its qualification and a document showing that the service charges were paid 3. To obtain the needed tender documents, a bidder was obliged to debit GEL 150 to the state budget 4. A procurement process was not anonymous and bidders knew who was participating in a tender The goal of the Electronic Tenders (first step for Electronic Procurement System) was to:  conduct tenders electronically  reduce and simplify procurement procedures and processes  increase transparency  reduce remote problems for the CA and bidder and save time  make tender information easily accessible to any domestic and foreign interested person  cut unnecessary costs for obtaining the needed tender documents Chapter: Goals of the System 6
  • VOCABULARY N Expression Definition 1 CA Contracting Authority (buyer/purchaser) 2 Bidder Company/person submitting a bid 3 User In the document it is used to describe a bidder who participates in a bidding process; also a CA during the registration process 4 Tender Proposal Tender proposal from a bidder 5 Tender Notice Announcement of the tender by the CA Chapter: Vocabulary 7
  • SYSTEM SOLUTION The current chapter describes the Electronic Tenders system in general - users, components, processes of the system The chapter also provides some screenshots showing how the system works and simplifies procurement processes in a real time environment. The official web portal can be found at www.procurement.gov.geUSERS AND THEIR ROLES The users of the system are:  CA - CA could be a State Organization such as a ministry, Self-government, or a private company (if the state government owns more than 50% of shares), and/or private sector NGOs, organizations from Autonomous Republics etc.,- i.e., any entity that spends public finances  Bidders A bidder could be: - Any resident or non-resident legal or physical person, as well as partnerships, .  Guest - Any person interested in the procurement process can be a guest and access the system - Guests can easily search and read specific information (documents) regarding a tender - Guests can observe the procurement process  State Procurement Agency The Agency has different access rights: - Has profile, where it can add, activate or deactivate its own users. - It can also see other users from other organizations, which information is Chapter: System Solution hidden from bidders, CAs and guests. - It can activate/deactivate Purchasers after checking information regarding them. - It can enter any dishonest bidders on a „Black List‟ (where such bidders stay for one year) 8
  • COMPONENTS AND PROCESSES The system consists of several components: Tender, CA, Bidder, Bid and Warranty. Each component has its own characteristics (see table in Appendix). There are also some processes connected to each of them. This section will describe these components and the processes.Tender There are two types of tender: Simplified Electronic Tender - The state procurement for this kind of a tender lasts at least for 3 days - Bidding may continue for at least 3 days - This type of tender is limited to 200,000 Lari maximum - A price reduction step is from 0.5% to 2% Electronic Tender - The state procurement for this kind of tender lasts at least for 20 days - Biding continues 5 days - The price for this tender can be more than 200,000 Lari - A price reduction step is from 0.5% to 2% Editing of a Tender: - It is possible to make changes to a tender while the status in the system is – „Tender is Announced‟ - It is not allowed to edit a tender after the status changes to – „Receiving Proposals Started‟ (in the case of a Simplified E-Tender, this is after the first day; for E- Tenders, this is after 15 days) - After registration, a CA can cancel a previous tender in the system and upload a new one. In this case the tender status will go back to - „Tender is Announced‟ Tender Time: Chapter: System Solution Tender has two times: „Main Time‟ and „Additional Time‟ („Round Time‟). „Main Time‟ - A tender has to state an end of the „Main Time‟. This is the time when receiving of the „Tender Proposals will be stopped. It can be any time of day from 9 a.m. to 6 p.m. 9
  • Picture below shows how a tender is handled in the system during the main time:„Additional Time‟- „Additional Time‟ is given to a tender for the „Rounds‟ after the „Main Time‟ expires- There are three rounds- There is 2 minute break between the „Main Time‟ and „Rounds‟ („Additional Time‟)- After the „Main Time‟s 2 minute break, the first round starts- In each round bidders are listed in descending order, in other words, a bidder with the highest bid is on the top of the list- A bidder places a new bid according to an order. An order depends on bidder‟s last offer Chapter: System Solution- In each round a bidder has 2 minutes for placing a new bid- Duration of a round depends on the number of bidders, which is multiplied by 2 (minutes). If a bidder refuses a „Tender Proposal‟ and leaves the process after the first or second round, than the duration of the next round will be equal to the remaining bidders multiplied by 2- A break between rounds is also 2 minutes 10
  • - Duration of an „Additional Time‟ (round + break) is recalculated each time after the previous round ends. Picture below shows how rounds are handled in the system:Status: Tender has different statuses. Each status is connected to a particular process. After a Chapter: System Solution process step is finished the status progresses to the next one. Tender statuses can be viewed on the screenshot below: 11
  • Registration  To participate in the procurement process, all intended users (CAs or bidders) are required to be registered in the system  A guest does not register in the system  For registration, all users need to fill out a form after which - Bidders are registered immediately - CAs are given a status - „CA Applicant‟. This status does not give an applicant any rights in the system yet. The State Procurement Agency Chapter: System Solution performs a clearance check to see if an applicant is on the „Black List‟ and has no unfulfilled obligations, then the agency changes the status to „Purchaser‟. Picture below shows CA‟s status - „CA Applicant‟: 12
  • CA - CA formulates Project of Tender Notice - CA is obliged to upload Tender Documentation before Tender Notice registration - CA is obliged to declare category and sub-category of its interest by the „Tender Notice‟ - CA can delete the Project of Tender Notice before its registration This „Simple Electronic Tender‟ screenshot shows registered Tender Notice in real-time: Chapter: System Solution 13
  • CA‟s right and responsibilities: - CA can stop a tender at any time until the contract become valid (stopping a tender could be forced by unpredictable reasons, or state interests) - After the tender is closed, the tender changes status to – „Receiving the Proposal Ended‟ - CA uploads an appropriate document (statement of case) - The status changes to –„ Selection/Evaluation‟. At this stage, a winner has to be Chapter: System Solution selected (Bidding is over and documents of all bidders are accessible) Picture below shows how the names, bid prices and the documents of all bidders are exposed after the tender is over. 14
  • - If a winner is selected then the status changes to „Winner is Selected‟; if not, then the status changes to „Finished with Negative Results‟- When a winner is selected, the CA uploads a document (statement of case) on the web-portal and changes the status to either „Contract in Progress‟, or „Finished with Negative Results‟ (in case a bidder refuses or cancels contract preparation)- When the status is - „Contract in Progress‟, a CA names the winner and uploads a Chapter: System Solution contract. A CA can check the contract once more and finalize it. The status will then change to „Contract is Completed‟. The contract then can be printed out from the following window: 15
  • .The graphical representation below shows the whole processes described above. Chapter: System Solution 16
  • PROCURER Procurer starts Registered Need to Registration Is an ID code in Formulate N (status changed to Announce New Y(status is ‘Procurer ‘Black List’? Application Project ‘Procurer’) Tender Applicant’ Y N Sending Announcement Delete Existing Need to Delete Y Message to a Tender a Project Procurer N Tender Registration Upload Tender (status ‘Tender is Documents Announced’) Tender Main Time Started (status is Tender Main Time Need to Cancel N ‘Receiving N Needs editing? Y Edit Documents is in progress Tender Propositions Started’)N Y Is Main Time Finished? Are any bids N placed? Y Y Tender is Closed Upload document (status is Additional Time (status is ‘Receiving Started ‘Selection/ Is Winner Status Changes to Propositions ‘Finished with Evaluation’) N Ended’) Selected? negative results’ Y Y Additional Time in Is additional progress Time Finished? Status changes to ‘Winner is Chapter: System Solution Selected’ N Upload Contract Upload Document on the Web (status Is contract Y (status is ‘Contract is ‘Contract is ready? in Progress;’) Completed’) N 17
  • Bidder - A bidder has to agree with affidavit before submitting a „Tender Proposal‟ - A bidder has to present a warranty * (see warranty) - A bidder pays GEL 50 for submitting a „Tender Proposal‟ - A bidder presents technical documents. Only bidders have access to these documents until the tender ends. - A bidder can delete or add additional documents via the web-portal before placing a bid - After going through the steps above, bidders becomes contenders and are enumerated, e.g. contender 1, contender 2, etc. The contenders‟ real names are undisclosed. - If a bidder refuses a „Tender Proposal‟, the warranty amount will be removed from the bidder‟s account. If this occurs before the bidding ends, the bidder won‟t be entered on the „Black List‟ - If this occurs after the bidding ends, the bidder will be added to the „Black List‟ The graphical representation below shows the whole process described above. Chapter: System Solution 18
  • VENDOR Agrees with Is WarrantyVendor Registers N Present Warranty Affidavit Presented? Y Make Payment to Is 50 Lary Procurement N paid? Agency Y Present Technical Vendor Becomes Documents. Contender 1 (or 2, Announce ‘Tender 3…) Proposition’ Needs Editing/ Place a Bid N Y Edit Documents Deleteing? N Want to Refuse Warranty Amount N ‘Tender Y is cut off Proposition’? Bidding Time ended? Y Vendor Refuses Vendor is added to Y after Tender ends ‘Black List’ Want to Refuse ‘Tender Proposition’? N Is Vendor a Y Sign a Contract Winner Chapter: System Solution N 19
  • ‘‘Tender Proposal’ (Warranty) Assurance methods of a „Tender Proposal‟ are two kinds: 1. When a warranty amount is placed on „hold‟, i.e., is “blocked” from the bidder‟s bank account; 2. When an electronic warranty* (registered at the NAPR) is presented from a bank. *Warranty: Some features of an electronic warranty are included in the Electronic Tender System. Although, they will be activated after some procedures are clarified. Meanwhile, warranties are paper based. This screenshot will allow a bidder to manage warranty electronically. An amount of the warranty is 1% of the procurement price.Price of a ‘Tender Proposal’ (Placing a bid) There are some rules regarding placing a bid - It is not allowed to make any changes in technical documentation after placing a Chapter: System Solution bid - The placing of bids is not limited during the „Main Time‟ - The price of a bid has to be either unchanged or one step less** than the previous bid **One Step Less: 20
  • One step represents from 0% to 2%.- In the „Additional Time‟ only those bidders who placed a bid in the „Main Time‟ can participate- After a tender‟s „Main Time‟ is expired, all bidders and their technical documentation are disclosed on the web-portal.The screenshot below represents the bidding window. Chapter: System Solution 21
  • CONCLUSION The Electronic Procurement System has many advantages for the management of the state procurement, as well as benefits for the economy. It indicates coordination, accessibility, transparency and simplifies the procurement processes. The first module of the Electronic Procurement System - The Electronic Tender provides:  A simplified tender process for all – state, bidders, public  Potential bidders with complete information regarding the requirements of the state sector  CAs with the ability to obtain needed information about potential bidders  Unrestricted communication between the state sectors  All bidders with the same chance to participate, to expect fair results and eliminate privileged bidders  The public with the ability to monitor the process of a tender  Cost reduction for the tender process It is planned to develop the Electronic Procurement System farther. The next step will be to develop „Electronic Planning Management and Reporting Module‟. Here, CA will be able to publicize already intended and approved plans. The system won‟t let a CA: 1. Announce a tender which is not planned, or 2. State a price for an object which exceeds the intended priceAnother step towards the development of the Electronic Procurement System will be theManagement Information System. The goal of this module will be to obtain some statisticalinformation and graphical representation for further analysis regarding numbers ofannounced tenders, their individual and total prices etc. Chapter: Conclusion 22
  • AppendixEach component has its own characteristics, shown in the below table.Table: Components Component Characteristic Details Notes Name Code General Information Address Status Telephone Contact Person Email CA www Annual Procurement PDF files Plan Total price Quarterly Plan of PDF files Execution XLS files Total expenditure price Bidder Personal Information Name Status Code Address Telephone Email Desirable Topic Classificatory topics Tender Purchaser Information Generated automatically Application Content Not structured; Old versions are kept. Classificatory topics Ex. Constriction Procurement Form Simplified electronic tender Electronic tender Procurement dates Attachments PDF files Intended amount Currency Chapter: Conclusion Contact person Bid Bidder Bid amount Bid count 23