Theresa Ryan Department of Finance Ireland Procurement Management Reform in Ireland EU Learning Lab 4 July 2005

Irish Procurement Context Current estimate of public procurement expenditure is €15 billion per year – 10% of GDP and – 35% of total Government spending 53% supplies and services – 47% works Decentralised approach to procurement

Total Market Breakdown - Estimate Roughly !! €m Central Government1,350 Local Authorities4,000 Health Sector2,650 Education Sector1,300 Non-commerical State Bodies 700 Commerical SBs / Utilities5,000 Total 15,000

Procurement Management Reform Background General Approach to Implementation Four Strands – Capacity Building – Aggregation – Training & Education – eProcurement

Background eProcurement Strategy Establishment of NPPPU National Public Procurement Policy Framework – Strategic approach to procurement – Underpinned by a concept of VFM – Requirement for corporate procurement plans

General Approach to Implementation A sound procurement foundation is essential for implementing an eProcurement strategy NPPPU is laying that foundation …. Procurement management reform being addressed via four strands

Capacity Building Capacity building projects Each focuses on better approach to purchasing: – Spend analysis – Identify where savings can be made – Procedures and policies – Systems and skills Next step: each Ministry to produce corporate procurement plan

Capacity Building: eProcurement Initiatives Fund (EIF) Funding provided in 2003 and 2004 to kick- start eProcurement in some sectors – Health – Local Government

Aggregation Draft strategy on approach to aggregation Pilot project on electricity Looking at: – photocopiers – paper – travel Market impact being considered

Training & Education Framework for procurement training being developed Best practice guidelines being prepared

eProcurement Approach Etenders Signpost portal/website Electronic catalogue Others

eProcurement Approach Incremental approach Building on what we have Researching best practices Liaising with other EU (and non-EU) jurisdictions

etenders Developments to date: – Launched March 2001 – Site review conducted early 2003 – Conversion to Oracle platform – OJEU wizard and eSender status since April 2004

etenders (contd.) Recent enhancements: – Supplier alerts – Improved search facilities – Reminder facility for Contract Award Notices – Facility to view guidance material online – Accessibility statement and audit – Irish version of website – Postbox facility for supplies and services (works being addressed)

etenders contd. Next – Online clarifications – Online tender evaluation (pilot) – Community forums – Postbox stage 2 (restricted tenders) Development into tender management facility

etenders Registration Statistics General Statistics as of 23 June 2005 – Authorities registered: 1,393 – Authorities Users registered: 2,132 – Suppliers registered: 25,273 – Active Tenders: 1068

etenders contd. Marketing campaign in progress Have had: – Newspaper and journal advertising – Radio advertising – Online advertising Electronic etenders magazine Information seminars and events

Signpost Portal Launched January 2005 Provides links to all public procurement websites, current and future including: – etenders website – PPP website – Procurement news – Guidance – eCatalogue (for public sector buyers) – Training

Electronic catalogue(in test) Irish Public Sector Buyers Catalogue Working title Current arrangements for information Shopping cart functionality Future – Framework agreements – Aggregated agreements – Punch-out

Electronic Auctions Very little real experience in Ireland eAuctions SIG Looking at eAuctions with a view to providing guidance on their usage in public sector Looking at UK and NI experience, also other EU pilots, EU Learning Lab etc.

Other Purchasing Cards Pilot Pilot Framework Agreements Savings to be measured!

Theresa Ryan Department of Finance Ireland Procurement Management Reform in Ireland EU Learning Lab 4 July 2005