Government agencies, including local government units (LGUs), can now procure IT solutions without going through the usual bidding process as the Department of Budget and Management (DBM) is harnessing a consignment agreement model to make technology-based procurement more convenient.
With the new procurement system, government agencies and LGUs can now simply go through the Procurement Service-PhilGEPS to purchase software and hardware without going through the tedious competitive bidding process.
The first vendors the DBM has inked a consignment agreement with are Microsoft and its partners, Wordtext Systems, Inc. and First Datacorp.
Under the consignment model, Microsoft products and services have been pre-negotiated by DBM so government agencies and LGUs are assured that they are getting the lowest standard price whether they are a small or big organization.
Governed by the principles of transparency and competitiveness, the consignment agreement involves licenses and latest versions of Microsoft Windows and Office 365. Aside from these software, it is also applicable to other products such as PCs, smartphones, 2-in-1s, and even tablets, and services.
Ferdie Saputil, Public Sector Director at Microsoft Philippines (left) and Jose Tomas Syquia, Executive Director IV at PS-PhilGEPS discuss the consignment agreement model.
The agreement is a step towards improving the procurement process of government agencies and LGUs. According to Jose Tomas Syquia, Executive Director IV at PS-PhilGEPS, procurement of IT solutions will now be easier as they are dealing directly with Microsoft partners. And from the usual 60-day procurement process, the new system has considerably shortened the entire process to seven days.
“The bidding process in the government takes about a minimum of six months to complete. Today, they can simply check www.procurementservice.gov.ph to view the list of Microsoft products and services and procure through us. We also help the agencies scope their requirements and discuss the options available so they are properly guided,” said Syquia.
For purposes of transparency, the PS Web site also contains prices of products and services.
The solutions and services have been pre-negotiated by DBM with Microsoft partners to assure of getting the lowest standard price, licenses and latest versions of products. In case a government agency or an LGU needs to buy Microsoft software or any IT solutions and avail of any services, it can now acquire these from PS-PhilGEPS without undergoing bidding process.
“The consignment agreement is an equalizer as it creates an opportunity for the government to access modern-day devices and services that top corporations in the Philippines are using. By using Microsoft technologies, government employees can increase their productivity which can lead to an improved quality of pubic service,” said Ferdie Saputil, Public Sector Director at Microsoft Philippines.
Saputil also said that government agencies and LGUs which procure solutions will be provided with maintenance and support services as well as training.
Savings
These agencies and LGUs which acquired solutions from PS-PhilGEPS could save up to 10% to 15% in their purchases, according to Syquia.
Aside from cost benefit, the services, which allow these agencies to access support teams that are on-call to provide assistance if problems arise, is convertible. In case an agency is not able to consume all the hours it paid for, it can convert it to any other service of its choice.
According to Syquia, Php522-million worth of licenses were obtained by government agencies and LGUs from them this year. The bulk of these licenses are for Microsoft Windows. In 2014, the total reached Php249-million.
Syquia says DBM will also enter into consignment agreements with other IT vendors.
