November 9-11, IDB Conference Center

Washington D.C. U.S.A

A presentation to the 3rd Global Conference on ElectronicGovernment Procurement

Implementing the Philippine Government Electronic Procurement

System(PhilGEPS)

I. Procurement in the PhilippinesII. Overview of the PhilGEPSIII. Benefits of the PhilGEPSIV. Status/Performance IndicatorsV. Key success factors and lessons

learnedVI. Future Plans

Territory : 7,107 islandsLand Area : 299,764 square km.Main island group : Luzon, Visayas, MindanaoPopulation : 88 millionForm of Government : DemocraticGovernment : Executive , Legislative, Judicial

Political Subdivisions :

Cities – 117, Provincial – 79, Municipal – 1,501, Barangays – 41,995

R.A. 9184:

January 10, 2003

Goods, Infrastructure,

Consulting Services and G-EPS

Coverage: National Gov’t and

Local Gov’ts

EO 40 and IRR

(April 4, 2002):

Goods/Infra/

Consulting/EPS

14

Executive

Orders

3

Memorandum

Circulars

17 Administrative

Issuances

over 100 procurement rules &

regulations7 Implementing

Rules and

Regulations

Centralized Procurement which

procuring entities are required to

procure through the Department of

Budget and Management’s

Procurement Service (“DBM-PS”)

Decentralized Procurement. Each

procuring entity has a single Bids

and Awards Committee to perform

its procurement function

COMMON USE GOODS

NON-COMMON USE (GOODS,

SERVICES, CONSULTING, CIVIL

WORKS)

Government entities are required to post all procurement opportunities, bid results and other related information on the procurement of:

Goods and general support services

Civil Works; and

Consulting Services

The PhilGEPS (Philippine Government Electronic Procurement

System http://www.philgeps.net) is the single, centralized

electronic portal that shall serve as the primary and definitive

source of information on government procurement.

(Section 8 R.A. 9184)

Procurement Organization

GPPB-TSO

PS

PhilGEPS

GPPB

November 22, 2000Official launch of the Pilot EPS with technical assistance from CIDA-PTTAF;Signing and release of Executive Order No.322, s.2000, officially establishing the Pilot EPS and mandating its use by NGAs

January 10, 2003

Reiteration of GEPS mandates by RA 9184. The PhilGEPS is manage by the PS under the supervision of the GPPB

August 28, 2006

The new Philippine Government Electronic Procurement System (PhilGEPS) was launched

November, 2007

Launching the pilot program for use of PhilGEPS in MDB requirements

Establish an open, transparent, efficient and

competitive marketplace for government procurement

Get better prices

Build the framework to continually improve the

procurement processes

Maintain sustainability over the long-term

Posting of procurement opportunities, notices of

awards, electronic distribution of bid documents and

automatic notification of amendments.

Electronic Bulletin Board

Registry

Registry of all manufacturers, suppliers, distributors,

contractors and consultants including government

agencies.

Electronic Catalogue

A centralized price list of common use goods,

supplies, materials and equipment.

Improve transparency in government procurement

Help implement government procurement policies

Increase competition resulting in more competitive

pricing

Provide audit trails (report on government purchases

and winning bidders)

Reduce procurement costs, including newspaper

advertising costs

Provide Suppliers automatic notification of bid notices

and supplements

Provide Suppliers easy access to government tenders

24/7

Provide electronic documents for download

Saving on transportation cost and time

Able to do market research on government

procurement

Transaction as of October 30, 2009

2006 2007 2008

No. of bid notices posted 126,501 167,360 222,149

No. of award notices posted 19,282 30,401 34,580

Improve transparency in government procurement

2006 2007 2008

Savings on Procurement 21.55% for 2,763 bid notices posted

49.83% for 18,926 bid notices posted

48.28% for 25,115 bid notices posted

Estimated Savings Generated by Procuring Entities using

PhilGEPS

Total Number

TotalRegistered

Level of compliance

Active (posting bid

notices)

Actual Utilization

Active (bid notices and

awards)

Actual Utilization

NGAs, GOCCs, SUCS

3,078 2,621 85.15% 2,003 65.07% 643 20.89%

LGUs – Cities, Provinces, Municipalities

1,697 1,149 67.71% 689 40.60% 226 13.32%

LGUs -Barangays

41,995 3,340 7.95% 1,933 4.60% 271 .65%

Compliance of the Procurement Entities in PhilGEPS

Total Number of Registered Suppliers

Active(Downloading attachments)

Actual utilization

Suppliers 42,142 4,411 10%

Compliance of the Suppliers in PhilGEPS

Virtual Store

Supports online procurement of both common and

non-common use item

Electronic Payment

Electronic Transfer of Funds

Charges and Fees

Introduction of User Fees

Electronic Bid Submission

Implementation of E-Bid submission process

Development and implementation of e-

learning materials

Establishment of the Trainers Training

Program

Development of PhilGEPS communication plan

Development of specific modules for government

auditors and Civil Society Organization

Setting up of PhilGEPS kiosks

Government Leadership

Policy and Legal

Framework

Institutional Change

Awareness and Capacity

BuildingTechnology

IT should follow and enable changes in administrative

functions and process re-engineering- there has to be very

close interaction between IT and the reform of governance

itself. The driver for any administrative reform needs to be the

desire for clearly identified process improvements, for which

IT serves as an enabler.

E- Governance is about governance, not about “e”