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Time to move ahead with e-procurement
Talk to purchasing analysts and many say the same thing: the federal government is still waiting in the wings to implement electronic purchasing. But it’s not what you think. The problem isn’t reams of red tape bureaucracy slowing things down (though that certainly plays a part).
The real issue is the possibility of smaller, less technical suppliers getting left behind. It’s a laudable stance, surely, and a very Canadian one. We won’t move forward unless everyone is on board. Like public versus private healthcare debates, the camp that wants to give everyone equal access comes out with the upper hand every time. But Houston, we have a problem.
Squads of vendors are urging the government to make its procurement process more efficient and faster, according to Bernard Courtois, CEO of the Information Technology Association of Canada (ITAC). In a column he wrote for the Ottawa Citizen in February (Don’t stall procurement reform, February 9), Courtois says the private sector has already “come to grips” with the complexities of modern procurement. They’ve reduced the price of goods and services they buy. They’ve also cut cost and time out of the buying process.
How? I think the obvious answer lies in technology. Take paper out of the equation and you lose the delays of snail mail. You also cut your data storage costs, speed up the purchasing process, and make bidding more transparent to everyone involved. Final prices are driven down through tools such as online reverse auctions, where suppliers bid against each other.
Operating in an electronic forum would also allow the government to more effectively dispose of unwanted assets—and again, get the best price. Examples already abound. In our cover story (page 20), mention is made of a school board already reaping the immense benefits of online exchanges.
Meanwhile, the ITAC is trying to reassure everyone that e-procurement will not leave smaller vendors behind, and the suggestion this will happen is a “dangerous and unnecessary impediment” to procurement reform. In my view, it’s a matter of giving small vendors some credit. They’ve created web sites, met edicts for barcoding, and are already exploring advanced technologies such as radio frequency identification (RFID).
Software for e-procurement has proliferated to the point where perfectly useful programs are available to download for free. If the federal government waits until even the smallest vendor is up and wired, we might never see these time and cost-saving programs in place.
According to Courtois, we’re at a “critical juncture” here. Taypayers and vendors alike are tired of the old, plodding ways. The stage is set. Let’s hope the government doesn’t miss its cue.
Lisa Wichmann
Editor
We welcome your letters. Contact the editor at lisa.wichmann@pb2b.rogers.com.
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