How do eProcurement systems work?

With more than 35 years’ experience in procurement, we know a thing or two about how eProcurement systems work.

Public services are funded by the taxpayer and therefore, public sector organisations have a duty to guarantee that the money it spends is spent well.

Aside from cost savings, public sector organisations have regulations to follow. On 18 October 2018, the law changed around communication surrounding public contracts when Regulation 22 of the Public Contracts Regulations came into force. All public sector organisations had to move to an electronic procurement solution for every aspect of the procurement process. This included communication and information exchanged in the tender process (for contracts above the EU threshold), as well as the submission of tenders. This new requirement has actively encouraged tender management systems to become more interwoven with commercial eProcurement solutions by giving more transparency to each stage of the procurement process.

If you want to gain a better understanding of what we mean by an eProcurement system and how your organisation can implement one, read on to find out more.

 

What is an eProcurement System?

An eProcurement system is an internet/cloud-based solution designed to support public sector organisations procure more effectively and efficiently.

The term “eProcurement system” is broad as public sector organisations typically use a variation of solutions to procure and manage contracts online?.

 

Why do public sector organisations use eProcurement systems?

Buyers across the world use eProcurement systems to purchase goods, works, services and utilities.

Public sector organisations that are financed by public money raised from taxes and use eProcurement systems to grant and manage tenders, represent a variety of sectors that includecentral government , local government, councils, the NHS, the police, and other emergency services.

Everything the public sector needs, from pencils to buildings, must be purchased via the public procurement process. Thismeans they need to work with a variety of suppliers across the UK and further afield..

eProcurement software can help buyers to  procure in a way which is more user-friendly, automated and streamlined; allowing users to access tender documentation no matter where they are in the world, with varying user-privileges based on their job title and dependent on the role they play in the tender process.

 

Breaking down eProcurement

As the term eProcurement covers stages throughout the procurement process – from notice creation to contract management – it is important that you know which eProcurement solution to use and when.

Electronic procurement systems can be used to purchase goods and service, publish notices, and manage tender exercises.

By using eProcurement  tools your organisation can reap more benefits over traditional methods, including reduced costs and complete auditability. An eTendering system removes unnecessary manual processes, speeds up response times and sets clearer lines of communication between buyers and suppliers.

 

E-Procurement System Categories

As we have mentioned above, there are no ‘onesizefits all’ solutions when it comes to choosing/purchasing eProcurement systems.

Whether you are looking for support around  commissioning or managing a contract; the following eProcurement tools can support your business to transform its eProcurement strategy.

 

Tender Manager

A tender management tool can help a buyer to deliver more for less as it ensures  the procurement process is effective and allows for the sourcing of products or services from a range of suppliers. This kind of module can transform a potential resource-draining issue and turn it into a huge advantage for your organisation.

Supplier Manager

This tool can support public sector buyers to identify, invite  to tender and manage suppliers more efficiently. At a time when transparency in public spending is so important within procurement, this module offers buying organisations an ‘all-in-one’ method through which it can manage and engage with local suppliers and the wider community.

Contract Manager

Contract management software will support buyers through every aspect of contract management post-award. You can easily monitor a large volume of contracts in one place with Delta’s Contract Manager module.

Workspace Manager

This eProcurement module plays an important role at the very early stages of the commissioning process. Manage and commission tenders using unique project folders while promoting collaboration throughout the procurement process, using Workspace Manager.

Quick Call

The trouble of having to email or request a quote via letter has become a thing of the past with Quick Call. This Delta module helps buyers to secure quotes and manage framework agreements faster than ever before.

eAuctions

Using eAuctions, your organisation can secure transparent and compliant negotiations that will drive the best value.

Dynamic Purchasing System (DPS)

Buyers can use a Dynamic Purchasing System to run call-off competitions using an electronic system of pre-qualified suppliers and through managing a range of competitive exercises.

The public sector is increasingly choosing this method to release contracts over more traditional methods such as framework agreements.

The main difference between a framework agreement and a DPS is that rather than all potential suppliers having to join the framework agreement at its inception, new suppliers can instead join the DPS at any time, making the latter a more flexible way to procure for both buyers and suppliers.

Branded Portal

Some buying organisations prefer to use bespoke platforms to highlight and increase the visibility of tender opportunities that are available to suppliers, so our Branded Portal module can support this.

 

Build your eProcurement solution with Delta

Delta eSourcing is a simple tool that centralises purchasing and procurement.

Delta eSourcing is an official G-Cloud supplier and our team has a proven track record of providing Software as a Service (SaaS) solutions to public sector organisations since November 2015.

If your organisation is looking for an end-to-end web-based service that allows buying organisations to manage tenders, suppliers, and contracts in a single solution in accordance with EU regulatory requirements – we can help.

Together with unrivalled training and support, we are the right partner to deliver value for money.

Book a demo with a member of our expert procurement team today.