OECD Recommendation
Improve the public procurement system by harnessing the use of digital technologies to support appropriate e-procurement innovation throughout the procurement cycle.
- Employ recent digital technology developments that allow integrated e-procurement solutions covering the public procurement cycle.
- Pursue state-of-the-art procurement tools (such as e-auctions or e-catalogues for example) that are modular, flexible, scalable and secure in order to assure business continuity, privacy and integrity, provide fair treatment and protect sensitive data, while supplying the core capacities and functions that allow business innovation.
Related Principles
Challenges to public procurement related to e-procurement include:
- High administrative costs of individual procurements as well as inefficient and slow procurement procedures (including duplications, lack of harmonisation of tender documentation, etc.)
- Lack of information and transparency on procurement opportunities, hindering (cross-border) competition
E-procurement systems can address those challenges by automating specific tasks and reducing red tape costs. They can also provide information which could guide future procurement decisions. Challenges also arise in relation to the implementation of e-procurement implementation for procurement entities as well as potential bidders, in particular SMEs (low knowledge skills, low innovative organisational culture, etc.). Insufficient integration of e-procurement systems with other e-government systems, including financial and management information systems (FMIS), is also a potential challenge with regard to e-procurement.
Related Tools
Country Cases
Recent digital technology developments that allow integrated e-procurement solutions covering the public procurement cycle
- Argentina Compra – Public procurement website of the Argentinian National Public Administration
- Australian Government’s procurement information system
- Disclosure of information through the central procurement system Compranet in Mexico
- Federal Procurement Data Systems in the United States
- Integrated e-procurement system KONEPS in Korea
- Korea’s public procurement data system
- The Transparency Portal of the Federal Public Administration in Brazil
- The use of e-procurement solutions – The Case of Portugal
- Towards e-procurement in the Russian Federation
- Use of Professional Procurement Agency and e-Procurement in Korea
State-of-the-art e-procurement tools that are modular, flexible, scalable and secure
Reviews
- E-procurement: Implementing a strong IT environment to support IMSS' procurement activities (extract of Public Procurement Review – IMSS, Mexico)
- E-procurement: Implementing a strong IT environment to support ISSSTE’s procurement activities (extract of Public Procurement Review – ISSSTE, Mexico)
- Driving efficiency though e-procurement: KONEPS (extract of Public Procurement Review - Korea)
- Harnessing public procurement data in Colombia (extract of Public Procurement Review - Colombia)
Other institutions’ work on e-procurement
- European Association of public e-tendering providers
- Guide to eProcurement reform: Are you ready for eProcurement?, European Bank for Reconstruction and Development (2016)
- Strategic electronic government procurement : strategic overview - an introduction for executives, Asian Development Bank, Inter-American Development Bank and World Bank (2004)