Public electronic procurement in Germany
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- Alfred Wells
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1 Public electronic procurement in Germany at Federal level Dr. Manfred Schömann Procurement agency of the Federal Ministry of the Interior Abstract Federal starting point Pilot activities in the Federal Ministry of the Interior Current activities at Federal level - etendering platform e-vergabe - egovernment shop Kaufhaus des Bundes
2 Federal starting point General Comments Legal Distinction between Federal Government, States and Municipalities Completely separated procurement processes Differing and heterogenous developments in Germany Focus on developments within the Federal Government
3 History of procurement processes on the federal level No centralised federal procurement Historically based separation of procurement depending on ministries for 50 years Different procurement processes for the individual ministry Partly centralised procurement process in larger ministries Decentralised procurement process in smaller ministries Federal eprocurement first steps Guidelines & regulations by the EU (Lisboa decisions and others) Early activities & pilot projects: Federal Ministry of Defense 1999 Federal Ministry of Interior 2001 Public purchasing online
4 Pilot acitivities in the federal Ministry of the Interior Procurement agency of the Federal Ministry of the Interior Founded in May 1951, located in Bonn second largest federal procurement agency in Germany Customers All authorities within the portfolio of the Federal Ministry of the Interior Balance of Mill. turnover 214 Employees Procurement of Office supplies Vehicles Helicopters Rescue ships Federal pilot authority in the public electronic procurement (initial start 2000, 2001 launch of Public Online)
5 Public Online ( ) egovernment shop Catalogue system for framework contracts Goal: easy, convenient and fast ordering without tendering Workflow system Workflow system for procurement agencies Goal: Support of person in charge with a comfortable expert system Virtual Marketplace Awarding authority etender platform Publication and communication Goal: ensure legally watertight electronic tendering procedures one-stop egovernment shop ( Virtual Marketplace ) federal authorities Virtual Marketplace Framework agreements only E-catalogues Electronic ordering company Procurement agency
6 Procurement Workflow System federal authorities company paperless office document management modelling internal workflow interface to e-vergabe IVBB, IVBV Procurement agency etendering (e-vergabe) federal authorities company Covers Covers all all official official contracting terms terms for for awards awards information on on tenders tenders communication Internet Procurement agency Internet
7 Current activities at federal level German government decision Cabinet decision for optimizing public procurement of 12/10/2003 Notices for all tenders by the federal government must be published on All federal authorities on the etendering platform e-vergabe by the end of 2005 Electronic process chain between suppliers and public authorities Establishment of a egovernment Shop ( Kaufhaus des Bundes ) Cooperation of the central federal procurement agencies (Harmonisation of procurement for standard demands)
8 etendering platform History: e-tendering System 2001 pilot project started first etendering 12/2002 cabinet decision of : requiring all federal authorities to use etendering (e-vergabe) 2003 multi-client solution 2006 no more paper-based publications of tenders 2007 advanced esignatures
9 Key figures: e-tendering Covers all official contracting terms for awards Information on tenders Complete electronic communication Usage of encryption and electronic signatures Opening of electronic offers Interfaces to 3rd party systems Multi-client solution System Design
10 etendering- Platform Intranet Procurement authority Internet Trustcenter Tenderer The Core Business Process Procurement Official Adobe Acrobat Bid form Bid form Template Template Customized Customized bid form bid form 1 Item1 1 Item1 2 Item2 2 Item2 3 Item3 3 Item3 Procurement Assistant 4 pairs/ Tendering procedure Offer Assistant Customized Customized bid form bid form 1 Item1 1 Item1 2 Item2 2 Item2 3 Item3 3 Item3 Filled Filled bid form bid form 1 Item Item Item Item Item Item3 35 Supplier Adobe Acrobat ERP, DMS Filled Filled bid bid form form 1 Item Item Item Item Item Item3 35 Filled Filled bid form bid form 1 Item Item Item Item Item Item3 35 jsign Plug-In for Adobe Acrobat Opening Assistant Offer Assistant
11 evergabe 3.x Information Communication and Transaction Web Interface published notices, starting point for etendering OBA / AnA communication client. Acrobat with jsign digital signature for pdfdocuments Web Interface published notices, starting point for etendering
12 OBA / AnA communication client etendering Digital Signature What You see is what you sign Signature and Certificate Details The Signature is valid
13 Interfaces to workflow systems: Client-client interface (Domea) Server-server interface Webservice Provides tender announcements to other platforms e.g. information platform of the Portal of the Federal Government and the SIMAP service Last developments Certified esender High availibilty by redundant hardware design Advanced esignature for signing offers Multi-lingual platform Efforts to encourage/force suppliers to submit offers only electronically (obligation to tender electronically in special business segments, e.g. IT)
14 General problems Usage and handling problems of tendering tools and signature (company side) Organisational changes (procurement agencies side) A significant percentage of tendering procedures is still limited to electronic information Cross border usage of electronic signatures Next steps Integration of reverse auctions and dynamic purchasing (after legal release in national framework) Comprehensive support for tenders XVergabe unified process for tendering in Germany 1 client connects to several platforms Usage of unified tendering forms Realisation in 2009 / 2010 Road map to 100 % full electronic tenders on national level
15 Current Status Current status in numbers System is shared by about 100 procurement agencies Used by all federal procurement agencies and the agencies of 3 states About 4,000 registered companies
16 Number of new company registrations Gesamt: Quartal 2. Quartal 3. Quartal 4. Quartal Number of new tendering procedures 447 Gesamt: Quartal 2. Quartal 3. Quartal 4. Quartal
17 egovernment Shop Background Kaufhaus des Bundes Started as an internal project of the Federal Ministry of the Interior ( Virtual Marketplace ) Initiated by: the Procurement Agency of the Federal Ministry of the Interior Start 2004 implementation of cabinet resolution points-programme for optimization of federal procurement Task of Kaufhaus des Bundes: Integration of federal framework agreements for information and electronical application Cooperation of major federal tender institutions Establishment of the executive office Kaufhaus des Bundes
18 Executive Office Kaufhaus des Bundes Establishment of inter-agency working group according to cabinet resolution 2003 Coordination of the major federal procurement agencies, respectively (BWB, BeschA, BABZV, BAM) Planning new tenders in cooperation with major procurement agencies Demand assessment, coordination of demand aggregation Central monitoring of agreement compliance Experience input for future tender procedures Central federal procurement agencies BWB Procurement agency of the Federal Ministry of Defense BeschA Procurement agency of the Federal Ministry of Interior BABZV - Procurement agency of the Federal Ministry of Finance BAM Federal Institute for Materials Research and Testing (Ministry of Economics and Technology
19 System Design Technology Web-based System 3-tier server architecture o web-server o Application server with basic procurement technology of Intershop Enfinity o Oracle-database Application of commercial e-commerce-standards (ecl@ss, BMEcat, xcbl, cxml) Safety Concept Access via intranet or internet possible No application of active contents (JavaScript, ActiveX) Integration of electronic signature
20 Kaufhaus des Bundes and its active Players Supplier Supplier Internet Internet Supplier Intranet Intranet/ / Extranet Extranet Federal authorities Central procurement agencies Information and Search, Request and Approval
21 Framework Agreements Information and Insight Framework agreements insight (with legal matrix) Insight in framework agreement data and documents General contract provisions Information on procurement agency Information on suppliers Agreement document Agreement addenda Catalogue based application Navigation and product research Demand and approval Electronic order and electronic processing Documentation of stock receipt and accounting Demand Compilation end-user questions Rules/ questions compliance with framwork agreement frameworkagreement configurator Beschaffungsplattform select configurable product catalogue cart status note
22 Approval Procedures course of procedure approving entity for demand procurement platform approval (authority internal), order confirmation/co-signature use of digital signature (optional) Electronic Order Processing Order placement neutral order form (PDF), with electronic signature (written form) or without electronic signature (text form) supplemental transmission of a XML-document (cxml, xcbl) for automated order registration Transmission by or HTTPS Order confirmation by Kaufhaus des Bundes Cancellation Order monitoring
23 Integration of peripheral Systems Inter-connected systems for procurement Global network processing of innovation Szenario - basic 2 : tiefeinformation Integration flow commitment Mittelbindung stock - control accounting control initiate settlement authority internal system demand cart approval order placement processing order confirmation receipt of goods order capture order confirmation delivery product Supplier 3
24 Role of Kaufhaus des Bundes (in case of integration of peripheral systems) standardized interface for suppliers Provision of catalogue Order processing standardized interface for authorities Catalogue use Use of configurator Catalogue adoption Order processing centralised monitoring Current Status
25 Status Authorities Today about 250 authorities and institutions are registered Research and information on framework agreements Still preferred practice: printed form Electronic application About 90 authorities and institutions use the electronic ordering process Average of about 30% electronic orders Number of registered users Today about 5,000 Medium-term forecast: about 6,000 to 8,000 Status Framework Agreements Information on about 150 framework agreements from (almost) any product groups Standard supply performance and standard services about 25,000 listed products Focus Stationery & printing consumptions IT-products (personal computers, notebooks, printers) Cars Office furnitures Special feature: configurable products possible (e.g. personal computers, notebooks, passenger cars)
26 Call-offs covered by Framework Agreements About 30,000 electronic release orders to date Order volume 25 to 500,000 Presently about call-offs per week Cumulative order value per week currently about Estimated sales 2008: about 30 Mio Conclusion: Increasing acceptance of electronic release order Number of Release Orders 6848 Gesamt: Quartal 2. Quartal 3. Quartal 4. Quartal 2006
27 Cumulative order value Gesamt: Quartal 2. Quartal 3. Quartal 4. Quartal 2006 Thank you for your attention... any questions?
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