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Making E-procurement work: Therole of the acquisition workforce

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0

5

10

15

20

25

30

35

40

    E   n   e   r   o

    F   e    b   r   e   r   o

    M   a   r   z   o

    A    b   r    i    l

    M   a   y   o

    J   u   n    i   o

    J   u    l    i   o

    A   g   o   s    t   o

    S   e   p    t    i   e   m    b   r   e

    O   c    t   u    b   r   e

    N   o   v    i   e   m    b   r   e

    D    i   c    i   e   m    b   r   e

    E   n   e   r   o

    F   e    b   r   e   r   o

    M   a   r   z   o

    A    b   r    i    l

    M   a   y   o

    J   u   n    i   o

    J   u    l    i   o

    A   g   o   s    t   o

    S   e   p    t    i   e   m    b   r   e

    O   c    t   u    b   r   e

    N   o   v    i   e   m    b   r   e

    D    i   c    i   e   m    b   r   e

2009 2010

   M   i   l   l  o  n  e  s   d  e   D   ó   l  a  r  e  s

Savings 2010

USD 232Millions

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Public Market Competitiveness

Bids per tender (average)

4,3

5,4

5,94

6,4

2008 2009 2010 2011

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Key FactorsSavings and bids

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

62% 64% 66% 68% 70% 72% 74%

   %    S

   a   v   i   n   g   s

% of Tenders with 3 or more Bid offers

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Supplier’s net satisfaction 

Diagnosis

22%

37%

50%

.2008 .2009 .2010

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24%

17%

14%

13%

8%

7%

4%

13%

BE CLEARER / TRANSPARENCY

BETTER INFORMATION

A FASTER SYSTEM

A MORE SIMPLE SYSTEM

BUYERS MONITORING

EASIER BIDDING

MORE RESPECT FOR SUPPLIERS

OTHERS

Causes of Supplier Churn

Suppliers in Risk of Churn demand from tenders to:

54%involves theacquisition

workforce

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Increasing Net Satisfaction from suppliers in

order to boost competition and raise savingsrequires well designed processes from a trainedand capable workforce. Regardless the system,

we must invest in the acquisition workforce

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Contracting officers’ basicdemographics

Gobierno de Chile | Ministerio de Hacienda | Dirección ChileCompra

15,9%

29,0%

48,3%

6,8%

High School Technical University Postgraduate

13.000Contracting

Officers

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Training system structure

Advanced training

Basic training

Mandatoryinduction

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Resources

Online trainingplatform

E learningsystem

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LECTURES ALONG THE COUNTRY

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PerformanceMonitoring

Written test

CERTIFICATION

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Certification test results

% FAILS

% APPROVES

HighSchool

Technical University PostGraduate

% FAILS

% APPROVES

0 - 2years 3 - 5years More than 5years

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Despite the certification process and

available training, many mistakes arecommitted. We must move forward in

order to strengthen capabilities.

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The approach includes

• Refining the match between contractingofficers’ knowledge, skills and experience andtheir function within the procurement system.

• Developing a larger network of private traininginstitutions willing to provide short publicprocurement courses.

• Defining a minimum profile for new contractingofficers.

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Making E-procurement work: Therole of the acquisition workforce