Value for Money in Singapore’s. In an Instruction Manual, available to all public sector officers on an electronic. Under the Singapore Government’s Budget.
PROCUREMENT PROCESS The procurement process requires approvals to be sought at key junctures. There must also be a segregation of key procurement roles and responsibilities to ensure there are checks and balances in the system.
The procurement process can be broadly broken down into the following stages: A) Sourcing The need for any intended procurement has to be approved by the relevant approving authority before the procurement process can commence. Depending on the estimated value of the GP, the procurement procedure adopted could be by way of a Small Value Purchase (up to $70,000). For tenders, there are 3 types of procedures: a) Open Tenders ( +) + Tender notices are posted openly on the GeBIZ website to invite any supplier who may be interested to bid based on the requirements specified. B) Selective Tenders ( +) + Selective tenders are used for more complicated purchases with sophisticated or requirements. This procedure has two stages. Short-listing of applicants – 1) Applicants are shortlist based on their capabilities via an open pre-qualification exercise. 2) The shortlisted applicants are then invited to submit their tenders.
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C) Limited Tenders ( +) + Such tenders are by invitation only, and may be open to one or a few suppliers. Limited tenders are used when the project concerns national security, or when it is not feasible or practical to call for open tenders, for example, because of intellectual property rights or for works of art. Public Private Partnership (PPP) is a long-term partnering relationship between the public and private sectors to deliver services. Through PPP, the public sector seeks to bring together the expertise and resources of the public and private sectors to provide services to the public at the best value for money. Traditionally, the public sector has tended to engage the private sector merely to construct facilities or supply equipment.
The public agencies will then own and operate the facilities or equipment or engage separate maintenance and operations companies to operate the facilities and equipment to deliver the services to the public. With PPP as an alternative form of procurement, the public sector will focus on acquiring services at the most cost-effective basis, rather than directly owning and operating assets. There are many possible PPP models, including joint-ventures, strategic partnerships to make better uses of government assets, Design-Build-Operate and Design-Build-Finance-Operate. B) Evaluation Suppliers’ bids are evaluated holistically, according to the principle of value for money. This means that the suppliers’ offers are evaluated not only in terms of price, but also whether they have complied with all the requirements in the tender specifications and other factors such as quality of the goods and services, timeliness in delivery, reliability and after-sales service support, etc. Depending whether it is a quotation or a tender, one or more officers will evaluate suppliers’ bids before making their recommendation to the appropriate approving authority for consideration. C) Approval of Award To ensure checks and balances in the procurement process, the officer(s) evaluating the bids must be different from the officer(s) approving the award of the bid.
This applies for both quotations and tenders. Quotations are approved by at least one officer while tenders are approved by a tender board of at least three officers. The approving authority considers the recommendation and justifications, and may seek clarifications from the evaluating officer(s) before accepting the recommendation. An award notice with the name of the supplier awarded the contract, as well as the contract sum awarded, will be published on GeBIZ. D) Contract Management Contract management is an important stage and includes all administrative duties associated with a contract after it is entered into. Government agencies are provided guidelines and training on managing contracts to: (i) ensure that services or goods are supplied in accordance with the contractual requirements (ii) monitor costs and keep proper documentation; (iii) identify and deal with potential issues early.
For frequently asked questions on government procurement, please click.
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