After 10 years of implementation, eP project has been a catalyst for nation building in Malaysia.1. Government Pioneering eCommerceeP project has pioneered the introduction of eCommerce in the country. With eP, the public procurement has set the foundation and benchmark for the private sector to follow. eP develops SMEs eP enables the government to provide a convenient and low entry cost for SMEs to do business. With supplier registration module, the number of Suppliers registration has increased from 30,000 to 170,000 suppliers in 2009. With the electronic catalogue system, SMEs can promote their products and service at minimal cost to a wider market. 3. eP promotes Human Capital Development We have increased the pool of our home-grown system developers and ICT experts as well as the overall ICT literacy level. More than 50,000 users have been trained both from the Government and Supplier communities.4. eP expedite ICT Adoption When we started in 1999, eP accelerated all 2500 Government procurement offices to have the necessary ICT infrastructure to be e-commerce-ready. eP Drive Technology Advancements which include;i) the development of Intellectual Property (IP) for the Government of Malaysia ii) Pioneering the use of Open Source Technology at an enterprise level iii) Acquiring the transfer of technology from the best in the world, which will promote the country’s drive towards hi-technology, hi-income economy.eP promotes growth of Related Supporting Businesses These would include software development industry, hardware and related ICT infrastructure, PKI and digital certificates, trainings and other value-added services.
Based on our Malaysian experience, we have identified 5 key success factors for the eP Project 1. Government Leadership 2. Policy & LegalChange ManagementAwareness & Capacity Building5. System Solutions
Moving forward, we are now focusing our effort to meet the growing demand by the users. We envisioned to develop a wholly new ePerolehan system that able to withstand the improvement initiatives will be focus on the area of technology, management of change and business process reengineering.
1. A Malaysian ICT Success Story1
2. A complete electronic procurement system which enables theGovernment to buy goods and services from suppliers through theInternet.The first end-to-end electronic procurement system in the worldimplemented by a government on a nationwide scale.Project started in year 2000, cumulative total of RM47.5 billion(USD15.5 billion) worth of procurement value transacted.2
3. ePerolehan FrameworkePerolehan caters for a secured end-to-end transaction from Buyer to Seller and finallylinking to the Accountant General Office for EFTGovernmentAgenciesSuppliersConsultantsAccountant’sGeneral Office Banking InstitutionsInterneteG*NetDigital Certificate Authority3
4. JBoss, an Open Source J2EE application server at Enterprise level Open Source IDE, Eclipse Oracle Database Multi-Tier J2EE platform Sun and IBM platform Public Key Infrastructure (PKI) technology and64Kbit Crypto smart cardsTechnology EmployedEnterprise environment technology with high portability, scalability and securityanchored by Open Source platform:4
5. ePerolehan FunctionalitiesePerolehan provides a comprehensive functions of procurement that fulfill all theprocurement modes in the Government including Supplier RegistrationCentralContractGo live October 2000SupplierRegistrationGo Live October 2000DirectPurchaseGo Live May 2002QuotationGo Live May 2003 Go-Live February 2009ElectronicReverseAuctionTenderGo Live May 20035
6. eP BenefitsThe nationwide implementation of eP has transformed public sectorprocurement in MalaysiaCost SavingEfficiency &EffectivenessTransparency &AccountabilityEst. RM4.7B savingsSecurityComprehensivethroughout SR &procurement cycle• Transactional• Archival• Controlled Access• Data Integrity• System Security6
7. ePerolehan UsageA total of over 4.8 million government procurements amounting toRM47.5 billion (USD15.5b) have been transacted via ePValue (RM) Number of Transactions (TXN)2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010Billions [RM]Thousands[TXN]010020030040050060080070048K 72K 2.6M 77M0.38B1.0B2.0B3.9B6.0B9.16BTXN 13 TXN 36 TXN 295 TXN 11K TXN 44KTXN 107KTXN 170KTXN 327KTXN 514KTXN 805K11BTXN 994K201114BTXN 1.8M7
8. Government SupplierePerolehan CommunityePerolehan Community with 30,000 Government users and 180,000 supplierspositions ePerolehan to become the largest G2B electronic procurement in theASEAN.Total Procurement Officese-Commerce ReadyProcurement OfficesUsersE-Commerce ReadyValid RegistrationMOF RegisteredNumber of Catalogues8
9. ePerolehan for Nation BuildingDrivingTechnologyAdvancementsGrowth ofRelatedSupportingBusinessesPioneeringeCommerceDevelopingSMEsHuman CapitalDevelopmentThe nationwide implementation of ePerolehan has been a catalyst for nationbuilding in MalaysiaExpeditingICT Adoption
10. Awareness &CapacityBuildingSystemSolutionsChangeManagementPolicy &LegalGovernmentLeadershipProject Success Factorsmajor factors that contribute to the success of eP project10
11. Managementof ChangeTechnology Business ProcessInnovation Identify & integrations withvarious Agencies andapplications Process optimisation throughbest practices Advanced business intelligencefeatures Next generation mobile applications &channels Service-oriented system architecture(common front & back office serviceoriented layer) Enhance infrastructure capacity &performance User Access technology Strengthening public-privatepartnerships Strengthening ownership atProcurement Offices Linking performance withbudgets Develop procurementprofessionals acrossgovernment officersMoving ForwardThe enhancement initiatives will be focused on the area of technology, changemanagement and business process reengineering11