Open Procurement

http://quintagroup.com

http://openprocurement.org

https://github.com/openprocurement

AUCTION MODULE

Toolkit

Open Procurement - is an open source software toolkit developed for procurement automation and optimization.

The toolkit can be used for:● public procurements● commercial solutions

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Open Procurement consists of:

● Central database (CDB)● API - REST-ful interface that provides programmatic access

to the CDB.

● Auction module

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System’s architecture

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is divided into

1. PROCUREMENT INITIATION

2. BID REGISTRATION

3. REVERSE AUCTION

4. QUALIFICATION

5. COMPLETION

stages:

Procurement process

The electronic reverse auctionA reverse auction is a type of auction in which the roles of buyer and seller are reversed.

06In an ordinary (forward) auction, buyers compete to obtain a good or service by offering increasingly higher prices.

In a reverse auction, the sellers compete to obtain business from the buyer and prices will typically decrease as the sellers undercut each other.

The main benefits of reverse auction:

● The buyer is the primary beneficiary

● Reduction of purchasing costs

● Increased efficiency in the market

● Enhancement of the procurement process

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Why the reverse auction?

Suppliers compete to sell goods to the procuring entity at the lowest price. This mechanism significantly reduces the cost of product/service and allows buyer to compare prices, qualifications, and other factors at a glance.

08When Auction module is initiated, auction page where users can monitor the auction progress is created.

The auction page displays:● ID (identifier) of the auction

● Name of procuring entity

● Procurement subject

● Step reduction of bid

● Start value

● Time count

● Language options

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The auction page 10

● Upon the auction start there is a pause for 5 minutes to let the bidders learn the bid values of their competitors.

The auction START● Once the period for procurement initiation and bid proposals registration

ends, auction starts automatically on the pre-announced date and time.

11● The system discloses initial bid values of participants

(anonymously displayed).

● Once the 5-minute pause ends the system automatically announces the first round.

5-minute pause before the auction 12

Individual Auction page

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eMalls give bidders access to their individual web pages of the auction.

Apart from the information available for all users, there is a field where they can make their bids.

The first round. Bidder’s individual auction page14

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1 In each round bidders take turns in descending order of their previous bid values (starting from initial).

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Auction consists of three rounds:

Each bidder has 2 minutes to enter bid and can change it if the allotted time hasn't run out. If the participant was inactive for 2 minutes, system will accept his bid and pass the turn to the next participant.

When all participants have made their bids, system pauses for 2 minutes and announces the next round.

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The first round 16

The second round results 17

The third round. Bidder’s individual auction page 18

Ranking

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System ranks all submitted bids automatically by price, forming rating of bidders positions.

After the third round system discloses complete information about bid proposals and participants who submitted them.

20The results announcement and participants disclosure

● Free and open source toolkit

● Reliable technology

● Based on Open Contracting standards

● Easy-to-use transparent procedures

● For both free and proprietary solutions

Advantages of Open Procurement System

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Find more information at:

Project website: http://openprocurement.org

API Documentation: http://api-docs.openprocurement.org

Code repository: https://github.com/openprocurement

Open Procurement case:

http://quintagroup.com/cms/cases/openprocurement