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Issues on ICT procurement

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Issues on ICT procurement

Post by juris sigma on Tue May 04, 2010 12:18 pm

Mga pare, bidding practitioners, bidders, atbp.

Nais ko pong mabatid kung may iba pa dito na nakakaranas ng mga katulad na issues o iba pang issues patungkol sa procurement ng ICT (Information and Communications Technology). Paki-basa ang mga sumusunod.


There are many issues in ICT procurement. Among them are the following:

• GPRA law does not provide for a clear classification of ICT procurement. Under RA 9184, the nature of procurement may only be of: (a) Goods/Services; (b) Consulting Services; or (c) Infrastructure Projects. For each of these classifications there is a set of applicable methodologies, rules and procedures. It has often been the case that ICT projects do not fall neatly into any of these classifications; hence, the difficulty in applying the prescribed set of methods and procedures. Issues on licensing and proprietary status of the products, as well as their after-sales support and maintenance, may require an altogether different treatment in the procurement of ICT projects.

• Discrepancy between the principle of “advantageous term to the government” and the lowest bid in ICT procurement. It has been observed that the lowest prices in ICT projects do not translate to the most advantageous terms to government. Unlike in the procurement of regular goods (i.e. office supplies and equipment) where the lowest bid is often the most advantageous to the procuring entity, the lowest bid for ICT products (i.e. computer software and IT infrastructures) is often not advantageous to the procuring entity. Government will suffer in the long run when it goes for the lowest bid for ICT projects.

Evaluation of bids for ICT projects should take into account not only the initial acquisition cost but the total investment cost (i.e. including installation, technical support, maintenance operations, software upgrades and all other cost associated to ICT projects during and after project implementation. Normally, the cost increases during and after the implementation period with sophisticated IT projects, taking cognizance of the fast-paced upgrade of technology.
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juris sigma
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