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European Union makes move to eProcurement

As the old saying goes, change is a good thing. The European Commission has decided to start pushing through with its plan for governments and other pu...

Freddie Pierce
|Aug 8|magazine8 min read

As the old saying goes, change is a good thing.

The European Commission has decided to start pushing through with its plan for governments and other public sector organizations to take up eProcurement practices.

The Commission has called on eProcurement experts to lead the design and implementation on new e-tendering practices. The expert group will be asked to submit a common blueprint for electronic submission of offers by the end of 2012.

The European governments seem excited for the change in public procurement practices.

“eProcurement implies more than just changing from paper-based procurement systems to ones using electronic communications,” the Commission said in a statement. “It has the potential to streamline and accelerate public purchasing, benefitting both purchasers and suppliers – and the European taxpayer along the way.

“It will lead to more efficient procurement administration, resulting in cost and time savings.”

According to Deutsche Bank research, full conversion to eProcurement could save governments between €50 (US $71.6B) and €70 billion each year, freeing up money to spend elsewhere.

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The benefits go beyond just money saved, however. PCWorld.com reports that the new eProcurement measure could help small companies win government contracts.

“New measures to boost online public procurement in the European Union could make it easier for smaller IT companies to secure government contracts,” the report read.

According to that report, a study will be carried out by the European Union to monitor current eProcurement levels to help determine the best ways to run the new eProcurement services.