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Three Government departments have begun an e-Procurement Pilot Programme to enable electronic transactions between them and the suppliers for purchases of goods and non-construction related services not exceeding $1.43 million each, the purchase authority delegated to bureaus/departments (B/Ds).
The departments are the Office of the Government Chief Information Officer (OGCIO), the Immigration Department and the Environmental Protection Department. The pilot programme has put in place by phases four e-Procurement initiatives:
(1) Procurement Portal: a government procurement website acting as a gateway for B/Ds to share procurement-related information internally and externally with suppliers;
(2) E-Catalogue: a web-based facility for B/Ds to identify potential suppliers for a required product or service and to prepare the shopping list;
(3) E-Sourcing: a web-based solution to support B/Ds to prepare and issue the invitation of quotation/proposals and for suppliers to submit their response online; and
(4) Internal Workflow System: a software application to streamline and automate the procurement process of B/Ds from initiating a requisition, confirming availability of funds, placing a purchase order, confirming delivery and acceptance, and providing updated payment information to the Treasury.
"Enabling the next generation of public services is one of the key areas under our Digital 21 Strategy. The Government is committed to leading by example in the use of e-business, for both internal and public services," a spokesman for the OGCIO said today (December 29). The OGCIO runs a management office to oversee the implementation of the pilot programme.
"We believe that the adoption of e-procurement in the Government will not only improve the Government's internal efficiency, but more importantly encourage private sector suppliers, including the SMEs, to embrace electronic commerce, thereby generating fundamental changes to their internal processes and competitiveness. The launching of the programme is also beneficial to the overall development of the local information and communications technology industry," the spokesman said.
The e-procurement programme provides an electronic medium for the entire procurement process, from supplier database, sourcing, order placement, to goods and services receipt and payment. It will enable departments to transact with suppliers online to improve efficiency, shorten the procurement cycle, and reduce transaction costs of the business sector, thus facilitating opportunities for businesses and promoting e-commerce in the wider community, especially among the small and medium sized enterprises. Before proposing this initiative, the OGCIO studied local and overseas practices in similar situations and the benchmarks for improvements. If the pilot programme is successful, OGCIO will determine the optimal approach to more widespread adoption of e-procurement in Government in the context of the overall e-government strategies.
The spokesman said, "Our suppliers are generally supportive of the pilot programme. They consider that the e-procurement could enhance their effectiveness and efficiency in transacting with the Government. The scheme could also facilitate them to reach out the pilot departments for businesses more conveniently."
The spokesman said that when the e-procurement system was fully launched by the three departments in March next year, about 24,000 purchases would be made through the system each year.
For more details of the pilot programme, please visit the website www.eprocurement.gov.hk.
Ends/Tuesday, December 29, 2009
Issued at HKT 11:34
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