More government suppliers use G-EPS due to savings

More suppliers are using the Internet to sell products and services to the government via the new government electronic procurement service (G-EPS).

The Department of Budget and Management’s Procurement Service (DBM-PS) reported that the number of suppliers trained to use the G-EPS rose by 117 percent to 1,499 as of end-June this year from 692 last year.

In a recent forum by non-government organization Procurement Watch Inc., the DBM-PS unveiled a survey that showed 98 percent of supplier-respondents believed it had been easier for them to know about government bid opportunities after registering on the G-EPS. Majority (78 percent) said they were able to minimize expenses due to the G-EPS.

In terms of transportation costs alone, the suppliers reported an average savings of 24 percent or nearly a fourth of total expenses.

Jose Luis Syquia, DBM-PS deputy project manager, said both the suppliers and the government benefit from lower costs of operation and higher profits with the new G-EPS.

"Other than savings realized from transparency, we see the same sources of savings for both the government and the suppliers: low cost of delivery and acquisition of information, instantaneous delivery of information, and almost no-cost for maintaining a list and for adding another product to the online catalogue," Syquia said.

The present G-EPS has four features: a public tender board that advertises and distributes government tenders electronically; supplier registration that provides a database for suppliers, posting and review of bid notices and awards, and an orderly catalogue of product lines available.

The government is hoping to enhance the online procurement service with the selection of an electronic system provider that will implement additional features to the current system.

Among the additional features which were recommended by suppliers were the adoption of online bidding, procurement and payment; downloadable bid forms and documents, and single online accreditation for all government agencies.

"What is also very important and what suppliers are totally happy about, is the savings generated on time and effort more than the monetary savings," Syquia said.

The G-EPS is part of reforms being implemented by the government in the procurement process where leakages have been estimated at P21 billion a year.