pitfalls of electronic biddingctt.mtu.edu/sites/default/files/resources/cew2017/... · transition...
TRANSCRIPT
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The Benefits and Pitfalls of Electronic
Bidding
County Engineers’ Workshop
Sault Ste. Marie, MI
February 1, 2017
Jeff O’Brien, PEDesign Engineer
Road Commission for Oakland County
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What is in this for you?
Reasons for the change from paper to E-bid
How the RCOC transitioned
Hurdles to watch out for if you choose to move to E-bid
Overall benefits of E-bid
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The RCOC Story…..
Two main bidding entities at the RCOC –Projects (Eng,T/S,Maint,TOC)and COD
100% paper bidding
Plan/proposal distribution
Issuance of addendums
Receipt of bids/bid bonds
Data entry to complete bid tabulations
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Issues with Paper Bidding…
Production and distribution of plans/proposal - Plan production issues
Addenda issuance – insure all bidders have received addenda
Sub-contractors would need to purchase package to prepare bids to Prime
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Issues with paper…
Data entry of bids – addition errors/legibility of bids
Incomplete bid submissions and bid disqualification
Travel to/from office twice for each bid
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Transition Committee….
Formed a small internal committee to;
Review various off the shelf solutions
Review internal processes
Review legal issues with E-bid
Provide internal training
Recommendation of a solution provider
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Transition Scope….
Security/Integrity of bid process
Easy to use/minimal training
Cost
Can be used for projects as well as services/materials/RFPs/RFQs etc
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Transition Scope (con’t)….
As little IT involvement as possible
Economical and easy to use for vendors
One solution for the entire process
E-notifications to vendors
Customer support – Agency and Vendor
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Committee Recommendations
Vendor – Infotech, Inc. (BidExpress.com)
Some vendors familiar with operation
Secure bidding - electronic keys/lock boxes
Ability to solicit bids for projects, materials, RFQs, RFPs etc
No on-going IT involvement
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Recommendations (con’t)…
Allows for posting of proposals, Addenda, vendor questions, e-notifications, bid submittal, e-bid bonds
Nominal cost for vendors
No cost to RCOC to implement or operate
Zero cost customer support
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The Transition….
First committee mtg held in July 2015
Conducted a survey of vendors regarding preferred types of bid bonds
Developed bid ‘templates’ for use in Bid Express
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Transition (con’t)…
Completed in house staff web-training (Infotech)
Created internal step by step instructions
Vendor Notification (RCOC/Infotech)
Go live was Feb 1, 2016 with only E-bids accepted after Sept 1, 2016
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Pitfalls….
Transition from Paper to Electronic
Vendor Awareness
Small Businesses
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Transition from Paper to E-bid
Phased in deployment…
Strongly recommended
Allowed vendors a slow transition or to ‘test’ the e-bid
Allows time to work out any bugs in the solicitation process
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Vendor Awareness
Some reluctance to change
Cost to place bids
Update website and other forms of communication to vendors
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Small Businesses
Need more support during transition
Training
Other Solutions
Allow for paper bid submission by request
Setup a kiosk for vendors to submit bids
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Benefits
Ensure best response pricing and value
Increase efficiency
Save vendors time and money
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Ensure Best Responses
Minimize response errors and omissions
Receive last minute price cuts
Increased participation
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Increase Efficiency
Automated communication
Streamlined bid/proposal openings
Reduce paper management
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Save Vendors Time and Money
Minimize bidder mistakes
Eliminate paper bidding costs
Eliminate missed deadlines
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How does it work?
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RCOC Experience
Value
Significant internal time/cost savings
Allows for wider dissemination of proposals local/state/nationwide
Exceptional customer support from Bid Express staff
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Questions?
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Contact InfoRoad Commission for Oakland County
Jeff O’Brien, PE
248-645-2000
Infotech, Inc.Joey Myer
www.bidexpress.com