Periodic Competence Report in Public Procurement

The promotion of competition has been identified as one of the major challenges of the Public Procurement System in Colombia. Despite its importance, it was only in 2019 that a tool  allowing to effectively monitor the participation of the interested parties on the bidding processes was developed and implemented by the Colombian Procurement Agency. Thanks to this tool, participants are able to diagnose flaws, and make suggestions or requests for improvements.

Innovation Summary

Innovation Overview

The Project is a result of an OECD recommendation (as part of a public procurement review in 2016) regarding competitive methods, since it was suggested that the Colombian Public Procurement needed to “create an open and level playing field for suppliers, increase efficiency and drive savings”. In Colombia, direct contracting is not necessarily an exception, which bypasses the benefits that could come from effective competition. Having a report that ranks Public Entities is a useful and practical tool that fights bid rigging, promotes transparency and assures quality of work, supply and service contracts. It also engages the participants of the purchase processes to establish and maintain competitive markets.

Before 2019 such a tool did not exist, and despite the uncertainty of the project, it has been well received and accepted by the buyers and providers. Since its implementation and after the first ranking announcement (January 2019), Public Entities have requested individual reports for 66 offices entrusted to advance procurement, to which, besides sending the requested information, it has been suggested to consult the "Guide to implement Competition in Public Purchases", structured to improve the generation of competition in all the processes of public supply.

This is evidence of the positive results that arose in a short period of time, as the ranking report not only generated a way of monitoring public procurement but has stimulated Entities to compete between them to achieve a major participation in their selection processes, and consequently to be ranked by the Colombian Procurement Agency. In this context, it is an institutionalized practice that will help the Agency to analyze, evaluate and monitor the behavior of the Public Procurement System in search of its innovation and continuous improvement.

 

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