Public Procurement & Contract Management
A Presentation to
ICPAU CPD
Patrick Odida (MCIPS, MBA, BPLM, DCCF, DCBA) email: [email protected]
Head of Procurement and Disposal DepartmentUganda Retirement Benefits Regulatory Authority
Hotel Africana, Kampala, 31st March 20171
• Introduction to Public Procurement
• Public Procurement Principles and Methods
• Public Procurement Stakeholders & Processes
• Introduction to Contract Management
• Types of Contract and success factors 2
Tour de Presentation
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Introduction to Public Procurement
According to the Public Procurement and Disposal ofPublic Assets Act 1 of 2003, ‘Procurement’ meansacquisition by purchase, rental, lease, hire purchase,license, tenancy, franchise, or any type of works,services or supplies or any combination of the three.
Public procurement is therefore procurement usingpublic funds or procurement by public bodies3
Public Procurement PrinciplesSection 43 of PPDA Act 1 of 2003
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• Transparency, Accountability and Fairness• Non Discriminatory• Competition• Confidentiality• Ethics• Economy and Efficiency• Preference and Reservation
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Principles of Public Procurement Cont’d.
• Best Evaluated Bids• Public Accessibility• Open Competitive Bidding
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Public Procurement Methods
• Direct Procurement • Community Procurement • Micro Procurement • Request for Proposal/Quotation• Restricted Domestic Bidding• Open Domestic Bidding• Restricted International Bidding• Open International Bidding
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Public Procurement Stakeholders & Processes
• User Department• Procurement & Disposal Unit• Accounting Officer• Contracts Committee• Evaluation Committee (Adhoc) • PPDA and other Govt Machineries • PPDA Tribunal
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Public Procurement Stakeholders
• Donor Community• Media• The Public• Civil Society Organizations • The Business Community
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Public Procurement Processes
• Budgeting and Planning• Initiation/Requisition• Market Survey• Review of SoRs, nominate EC, prepare bids
documents and bid notices • Seek CC approval of three above• Solicit for bids (source the market)• Bidding process9
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Public Procurement Processes Cont’d
• Evaluation • CC approval of evaluation report• Market survey• Contract placement (BEB, SG and signing)• Contract Management• Commissioning and handover• Vender ratings
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PUBLIC PROCUREMENT CHALLENGES
11Interference Political
Interference
(Contractors/Civil Servants)Unprofessional Practices
(Contractors/Civil Servants) Procurement Challenges
Procurement Challenges
11 Procurement Challenges
ContradictoryContradictorylawsLengthy ProcessLengthy Process
(Perceived & Real)
Recommendations
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Professionalism
Political willTo fight graft
Define KPIsProcurement
RecommendationsProcurement
Recommendations
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Strategic Relationship
MngtProcurement Recommendations
Public Forum
Contract Management
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Contract management is the process by whichparties to a contract meet their obligations inorder to deliver the objectives required from thecontract. It also involves building a good workingrelationship between the buying organizationand the service provider
Types of Contracts
Section 88 B of the PPDA Act 1 of 2003
• Lump sum contract• Time based contracts• Ad measurement • Framework Contracts• Percentage Contracts• Petty Contracts• Target price Contracts• Cost Reimbursable contracts.
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Types of contracts (Continued)
• Retainer Contracts• Contingency or Success fee• Or a combination of the aboveOther Contracting Arrangements• Build own operate (BOO)• Build own transfer (BOT)• Build own operate transfer (BOOT)• Public private Partnerships (PPP)
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Success factors for managing public procurement
• Position procurement at a strategic level and deploy professionals
• Aggregate demands for the entire PE
• Ignite and guide UDs (be on top of the game)
• Automate the entire procurement processes (cycle)
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Success Factors/Innovations Cont’d
•Strategic relationship management•Periodic reporting to relevant authorities•Team WorkCompliance, ethics and professionalism •Standardize processes •Annual vender ratings•Learn from past mistakes •Intervention Mechanism•Keep an eye to economic environment
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Conclusion
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• Contracts management is arguably the mostcritical procurement process and as such MUST begiven due attention if continuous improvement is tobe evident in Public sector procurement and valuefor money evidently achieved• It is a high time, Government (PPDA) startedthinking outside the box of Compliance andembrace Innovations that have proven cost savinginterventions.18
Questions and Discussions
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Thank YouAsante sanaApwoyo matekWebale nyo
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End of Presentation
