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© OECD
Eighth IPA Regional Public
Procurement Conference
Introducing e-procurement in Ukraine
challenges and outcomes
Yarema Dul, Ministry of Economy and Trade, Ukraine
13
March 2014
Volunteers’
team setup
April-May 2014
First search & first
concept
August, 2014
Georgians &
concept
review
February, 2015
MVP
development
& launch
September,
2014
ePlatforms &
final concept;
first “seeding”
April, 2015
Volunteers
move into
gov’t
June, 2015
First donor
support
May, 2015
MinDefence &
small
procurements’
pilot
December,
2015
New Law on
eProcurement
approval
April, 2016
Law comes
into force,
system’s
scale up
ProZorro timeline
Web-portal with “Google”-like search
https:www.prozorro.gov.ua
Hybrid system
• Cross-access
• One reduction
module
• Small fee per
bid
• Open-source
Private electronic platforms
bi.prozorro.org
Public BI module of Ukraine’s national e-procurement portal
Everybody sees everything
bi.prozorro.org
Public BI module of Ukraine’s national e-procurement portal
How PP data might look like
ProZorro covers key procedures and functionalities
eProcurement
Functionalities
Web portal
ePlanning
eRegistration
eAuthentification
eNotification
eNotices
eAccess
eSubmission/eTendering
eEvaluation
eAuction
eAwarding
ePurchasing/eOrdering
eInvoicing
eContract Management
ePayments
Procurement Procedures
Open Procedure (price & MEAT)
Competitive Dialogue
Negotiation Procedure
Framework Agreements
Dynamic purchasing system
Electronic Catalogues
available
being developed now
to be developed later
Increasing competition
1. Free trainings for business held by
ProZorro team
2. Dealing with businesses using various
instruments: professional call centres,
field workshops, individual support
3. Advertising campaigns in 5 regions
01 July: Zaporizhia, Mariupol, Mykolaiv,
4. Odesa, Kharkiv
– 100 boards
– campaign banner — up to 10 million
displays on popular websites
– distribution of leaflets near the
municipal, tax and other
administrative buildings
Professionalization
1. Education
Prozorro launched trainings for trainers
(ToT)
• 3 ToT for more than 50 trainers
• 100 free seminars for ≈ 2,500 trainees
Online knowledge base infobox.prozorro.org
• all legislative and regulatory acts available on one website
• library of typical specifications
• catalogue of self-study courses
Online courses on Coursera-type online platforms
• 3 free full interactive course for CA, business and civil activists
Launch of the professional program with KSE
• MBA-type program for professional procureres with one of leading Ukrainian
business-schools
2. Aggregation (centralization) of procurement
The first pilot CPB created, equipped with the staff and the
expertize.
• The first cumulative procedure for paper was announced
Key objectives
✓ Make professional and efficient procurements
✓ Create a catalogue and standard specifications and
conditions favourable for both contracting
authorities and tenderers
✓ Conduct marketing research
✓ Manage contracts in an effective manner
CPB
GOAL: introduce an efficient market-based and
professional instrument for making public procurements in
Ukraine to enable their rational aggregation.
CPO’s targets
100% cross-functional highly professional procurer
90% share of successful (with contract awarding)
procurement procedures
50 % saving of human resources and time
50% reduction of public expenditures for the
procurement of supplies, works and services
15% average saving under the awarded contracts
Professional Procurements State Institution is a legal entity that, within the framework of the pilot
project, organizes and holds procurement procedures and makes procurements under framework agreements
for the benefit of central executive bodies under the Law of Ukraine “On Public Procurement” and the
ordinance of the Cabinet of Ministers of Ukraine.
FOR THE PUBLICFOR TENDERERS
FOR CONTRACTING
AUTHORITIES
- Reduced public
expenditures
- Reduced corruption
- Better control (all
consolidated)
- Advanced centre for
introducing new
instruments and
technologies, in particular
e-procurements
- Professionalization
within the system
ADVANTAGES OF INTRODUCING A CPO
- Fewer procurement
procedures
- More attractive
volumes of
procurements
- More professional
purchaser that knows
the market well
- Long-term strategic
relations
- Simpler
procedures
- Time and money
saving
- Lower risks of
complaining, audits
and accusations of
corruption
- Delegating non-
relevant functions to
a specialized
institution
Specifications Libraries
Our aim
e-GPA is a modern and progressive e-tool in
international trade
Risk management tool
So, what is next?
Development of the system in 2018
• Framework agreements
• Electronic tender documentation
• Integration with Treasury
• Integration with State Fiscal Service
• E-Catalogues
• Call for tender from an annual plan
GoGlobal
• Further harmonization
with EU Directives
• Active participation in
Contracting5 initiative
(with support of OECD)
• Launch of the pilot project
on the unified notification
portal within WTO GPA
• Help the OCP to promote
OCDS around the globe
• Cross-border Public
procurement facilitation
The fragmentation and disunity of
information about procurement within
the GPA is one of the biggest obstacles for
business to take part in public
procurement tenders
More than
47 web
portals?!?
GPA opportunities
• provide additional opportunities
for business and increase fair
competition
• enhance internal statistics and
reporting systems
• ensure accessibility for analysis
and public oversight
Future vision
Unified global e-platform with information on public procurement
eProcurement is not a goal…
… it’s a tool.
The goals could be:
- transparency
- competition
- professionalization
- global ambition
…
eProcurement is a good first step, because you can manage the
whole ecosystem with measuring the impact.
THANK YOU!
Contacts
11
http://www.me.gov.ua
https://prozorro.gov.ua
https://www.facebook.com/mineconomdev
https://www.facebook.com/prozorro
ydul@me.gov.ua - Yarema Dul
feedback@prozorro.gov.ua

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Presentation by Y. Dul, Ukraine, (ENG) Eighth SIGMA Regional IPA Conference on Public Procurement, Montenegro, June 2018.

  • 1. © OECD Eighth IPA Regional Public Procurement Conference Introducing e-procurement in Ukraine challenges and outcomes Yarema Dul, Ministry of Economy and Trade, Ukraine
  • 2. 13 March 2014 Volunteers’ team setup April-May 2014 First search & first concept August, 2014 Georgians & concept review February, 2015 MVP development & launch September, 2014 ePlatforms & final concept; first “seeding” April, 2015 Volunteers move into gov’t June, 2015 First donor support May, 2015 MinDefence & small procurements’ pilot December, 2015 New Law on eProcurement approval April, 2016 Law comes into force, system’s scale up ProZorro timeline
  • 3. Web-portal with “Google”-like search https:www.prozorro.gov.ua
  • 4. Hybrid system • Cross-access • One reduction module • Small fee per bid • Open-source
  • 6. bi.prozorro.org Public BI module of Ukraine’s national e-procurement portal Everybody sees everything
  • 7. bi.prozorro.org Public BI module of Ukraine’s national e-procurement portal How PP data might look like
  • 8. ProZorro covers key procedures and functionalities eProcurement Functionalities Web portal ePlanning eRegistration eAuthentification eNotification eNotices eAccess eSubmission/eTendering eEvaluation eAuction eAwarding ePurchasing/eOrdering eInvoicing eContract Management ePayments Procurement Procedures Open Procedure (price & MEAT) Competitive Dialogue Negotiation Procedure Framework Agreements Dynamic purchasing system Electronic Catalogues available being developed now to be developed later
  • 9. Increasing competition 1. Free trainings for business held by ProZorro team 2. Dealing with businesses using various instruments: professional call centres, field workshops, individual support 3. Advertising campaigns in 5 regions 01 July: Zaporizhia, Mariupol, Mykolaiv, 4. Odesa, Kharkiv – 100 boards – campaign banner — up to 10 million displays on popular websites – distribution of leaflets near the municipal, tax and other administrative buildings
  • 10. Professionalization 1. Education Prozorro launched trainings for trainers (ToT) • 3 ToT for more than 50 trainers • 100 free seminars for ≈ 2,500 trainees Online knowledge base infobox.prozorro.org • all legislative and regulatory acts available on one website • library of typical specifications • catalogue of self-study courses Online courses on Coursera-type online platforms • 3 free full interactive course for CA, business and civil activists Launch of the professional program with KSE • MBA-type program for professional procureres with one of leading Ukrainian business-schools 2. Aggregation (centralization) of procurement The first pilot CPB created, equipped with the staff and the expertize. • The first cumulative procedure for paper was announced
  • 11. Key objectives ✓ Make professional and efficient procurements ✓ Create a catalogue and standard specifications and conditions favourable for both contracting authorities and tenderers ✓ Conduct marketing research ✓ Manage contracts in an effective manner CPB GOAL: introduce an efficient market-based and professional instrument for making public procurements in Ukraine to enable their rational aggregation. CPO’s targets 100% cross-functional highly professional procurer 90% share of successful (with contract awarding) procurement procedures 50 % saving of human resources and time 50% reduction of public expenditures for the procurement of supplies, works and services 15% average saving under the awarded contracts Professional Procurements State Institution is a legal entity that, within the framework of the pilot project, organizes and holds procurement procedures and makes procurements under framework agreements for the benefit of central executive bodies under the Law of Ukraine “On Public Procurement” and the ordinance of the Cabinet of Ministers of Ukraine. FOR THE PUBLICFOR TENDERERS FOR CONTRACTING AUTHORITIES - Reduced public expenditures - Reduced corruption - Better control (all consolidated) - Advanced centre for introducing new instruments and technologies, in particular e-procurements - Professionalization within the system ADVANTAGES OF INTRODUCING A CPO - Fewer procurement procedures - More attractive volumes of procurements - More professional purchaser that knows the market well - Long-term strategic relations - Simpler procedures - Time and money saving - Lower risks of complaining, audits and accusations of corruption - Delegating non- relevant functions to a specialized institution
  • 13. Our aim e-GPA is a modern and progressive e-tool in international trade Risk management tool
  • 14. So, what is next?
  • 15. Development of the system in 2018 • Framework agreements • Electronic tender documentation • Integration with Treasury • Integration with State Fiscal Service • E-Catalogues • Call for tender from an annual plan
  • 16. GoGlobal • Further harmonization with EU Directives • Active participation in Contracting5 initiative (with support of OECD) • Launch of the pilot project on the unified notification portal within WTO GPA • Help the OCP to promote OCDS around the globe • Cross-border Public procurement facilitation
  • 17. The fragmentation and disunity of information about procurement within the GPA is one of the biggest obstacles for business to take part in public procurement tenders More than 47 web portals?!? GPA opportunities
  • 18. • provide additional opportunities for business and increase fair competition • enhance internal statistics and reporting systems • ensure accessibility for analysis and public oversight Future vision Unified global e-platform with information on public procurement
  • 19. eProcurement is not a goal… … it’s a tool. The goals could be: - transparency - competition - professionalization - global ambition … eProcurement is a good first step, because you can manage the whole ecosystem with measuring the impact.