Tools for Efficient Public Procurement · MINISTÉRIO DO PLANEJAMENTO Tools for Efficient Public Procurement Ana Vieira Neto Brasília, 25/03/2014

MINISTÉRIO DO PLANEJAMENTOMINISTÉRIO DO PLANEJAMENTO

Tools for Efficient Public Procurement

Ana Vieira NetoBrasília, 25/03/2014.

MINISTÉRIO DO PLANEJAMENTO

I – Current Model of Public Procurement


PARADIGMS IN PUBLIC PURCHASES

1st WAVE: EQUALITY + MORALITY

Creation of proceedings to give access to the State's purchasing power and to implement principles of morality and equality

2nd WAVE: EFICIENCY + ECONOMY

Buying faster and better for the lowest possible cost, using the large scale of the State's purchasing power

3rd WAVE: THE USE OF THE STATE'S PURCHASING POWER

Buying from strategic and relevant segments for the economic, social and sustainable development

4th wave: the use of purchasing power to promote sustainabilitiy

MINISTÉRIO DO PLANEJAMENTOMinistério do Planejamento, Orçamento e Gestão – MP Secretaria de Logística e Tecnologia da Informação – SLTI

New Paradigm of Public Procurement

FASTER

QUALITY

COSTSTRATEGIC

SEGMENTS

SUSTAINABLE

DEVELOP.Efficiency

+

Purchasing Power of the State


Purchasing power

Sustainable economic development

Generation of job posts and income

Environmental protection instrument

=To influence

markets

Reduction of social and

regional disparities

Eradication of extreme poverty


The use of the State's purchasing power should be

directed to sustainable economic development:

• The social function of the bidding process;• Generation of employment and income; • Eradication of the extreme poverty; • Optimization of the State's purchasing power.


SMALL BUSSINESS – A CASE OF SUCCESS


An overview of the Micro and Small Business Entreprises (SMEs) in Brazil

•Account for about 67% of the jobs;•Are responsible for about 25% of GDP;•Account for 2.4% of total exports;•Represent 99% of companies formallyestablished in Brazil;•From 1995 to 2000, there were 400,000 newSMEs, responsible for 1.4 million new jobs;•Generate 6x more jobs than medium and largefirms (jobs created/GDP share).


Act 123/2006

Exclusive bidding from SMEs;

Subcontracting in works and services;

Quotas for participation in larger bidding;

Differentiated qualification;

Special tiebreaker


II - Tools


1. Legislation


1988

Set that a

procurement law

should be drawn

up for regulating

public

procurement.

Legal Landmarks


1988

Set that works,

services,

purchases of the

Administration

should be, as a

rule, acquired or

contracted by

public

procurement.1993

Legal Landmarks


1988

Implemented the

reverse auction for

the acquisition of

goods and

common services.

1993 2002

Legal Landmarks


1988

Reverse Auction

for the acquisition

of goods and

common services.

1993 2002Website Comprasnet.gov.br is

launched, making electronic

bidding possible.

Legal Landmarks


1988

Established the

compulsory

electronic

bidding for the

purchase of

common goods

and services.

1993 2002 2005

Legal Landmarks


1988

Established general

rules relating to the

establishment to

domestic preference

to SMEs

1993 2002 2005 2006

Legal Landmarks


1988

Established for

acquisitions and

contracts of the 2016

Olympic Games, the

FIFA Confederations

Cup 2013 and World

Cup 2014; works and

actions for health and

education investments .

1993 2002 2005 2006 2011

Legal Landmarks


1988

Established

criteria, practices

and guidelines for

the promotion of

sustainable

national

development

through public

procurement

1993 2002 2005 2006 2011 2012

Legal Landmarks


Legal Landmarks

1988

The website

Comprasnet

starts to

conduct bids

respecting RDC

rules.

1993 2002 2005 2006 2011 2012 2013


2. Electronic systems


Fonte: www.comprasnet.gov.br

The website comprasnet.gov.br:

• Allows approximately 300 sessions per day, with peaks of 580 (in December);

• Has about 14,500 simultaneous users, with

peaks of 20,000 in December;

• Registers an average of 40,000 hits per day;

• Has over 10,000 registered procurement

officers;

• Contains over 4,500 purchase units.



Regarding technology and information security, the site comprasnet.gov.br:

- Uses digital certification; - Does not allow the identification / communication

among bidders; - Extends the competitiveness (higher coverage),

combining the simplification process; - Provides transparency, allowing real-time

monitoring; - Has low operating cost to the supplier.



Savings from e-procurement (billions of US$)

16%24%

21%

21% 23% 19%


3.Training


1. Beneficiaries :- Markets, public managers and partners that work with organizations linked to the market

2. Modalities:– Face to face: must always be applied to new

trainees that become trainers– On distance: tutorials or non-tutorials courses;

formal or informal

3. Online training via skype or via internal network


4. Communication System


Good working processes need to be replicated;

Exchange of information regarding the improvements, the specifications of products and services and the contract management process;

Communication with the market so that is ready for meeting demands and are aware of the purchasing process.


5. Good practices that improve the processes


5.1 - Easier procurement processes, in which:

a. The qualification phase comes after selectingthe winner;

b. Concentrates the appeals on one phase;

c. Increases participation.


The reverse auction, presential or eletronic, is a form of bidding, established in 2002, adopted for the purchase of common goods and services.

Common goods and services arethose which standards ofperformance and quality can beobjectively defined by thebidding documents by means ofthe usual specificationsconsidered by the market.


5.2 Standardization of product

specifications


Some advantages of the standardization ofthe object:

- Accelerates the process;

- Mitigates appeals risk;

- Increases supplier's understanding of theAdministration's demands;

-- Allows the use of Data Warehouse's tools;

- Makes easier the use of shared purchasing.


Life cycles costs

Life cycle costs are the ones the products causes to

the purchasing unit during its useful life:

Acquisition

Purchase

Delivery

Instalation…

Functioning

Water, energy consumption, etc

Maintenance

Replacement, etc

Final managing

Unsembling, withdrawing

Treatment costs

Sales revenue


Life cycle costs

Different evolution of different offers and demands

cost

time

Purchase costs

Functioning costs

Final management costs


5.3 – Shared purchases lower the costs,reduce time in bidding processes


Example: Shared Purchase, with standardspecifiations of equipments for publicschools, using e-reverse auction

4.195 schools

4.139 schools

4.199 schools

5.559 schools

Territorial extent and

volume of purchases

require the need forstandardization of the

object.


ANA MARIA NETO

DIRECTOR OF LOGISTICS

PRESIDENT OF THE INTERAMERICAN NETWORK OF PUBLIC PURCHASE FOR 2013-2014

More information:

[email protected]

Tel.: 55 (61) 2020-1321

www.comprasnet.gov.br

http://www.comprasnet.gov.br/

Documents

Tools for Efficient Public Procurement · MINISTÉRIO DO PLANEJAMENTO Tools for Efficient Public Procurement Ana Vieira Neto Brasília, 25/03/2014