Report on e procurement
- 1. Government of Chhattisgarh eProcurement Project by CHiPS
- 2. Government of Chhattisgarh eProcurement in Chhattisgarh - A Report Prepared by Chhattisgarh i nfotech & biotech Promotion Society 2
- 3. CONTENTS 1. Introduction 2. Vision 3. Objectives 4. Functional Features 5. Technical Architecture 6. Deployment Features 7. Security Infrastructure 8. Operational Features 9. Implementation Methodology 10.Business Model 11.Institutional Structure 12.Service Level Metrics 13.Current Status of Project 3
- 4. 1. Introduction The Government of Chhattisgarh’s annual public procurement expenditure is about Rs. 4000 Crores. The volume of expenditure is expected to increase in the forthcoming years since the state is undergoing a rapid development. Acknowledging the importance of public procurement, the Government has undertaken efforts to reform procurement practices in the last three years. The notable of the efforts are reform of public works manual and issuance of a Government Order (G.O.) by the Chief Secretary – 196/CS/2004 – directing departments to implement e-Tendering. Through e-Tendering the Government expects to increase transparency and efficiency in public procurement. The Public Works Department (PWD) was the first department to implement e-Tendering system. At this juncture, the Government has taken efforts to consolidate the existing e- Tendering solutions and implement an end-to-end e-Procurement solution across all agencies in the State. The Government has selected M/s Wipro Ltd. (in consortium with M/s NexTenders India Pvt. Ltd.) as the Implementation Partner to implement e- Procurement on Public Private Partnership (PPP) model and deploy the solution on Build-Own-Operate (BOO) basis for a period of 5 years. 2. Vision The Vision of the e-Procurement Project is to enhance the efficiency and transparency in public procurement through the implementation of a comprehensive e- Procurement solution to be used by all Government organizations in the State, including the Public Sector Undertakings (PSUs). 3. Objectives GoC aims to achieve the following objectives with the implementation of e-Procurement: i. Transparency: Introduce the maximum extent of transparency in the public procurement by making the required information available on the Internet. ii. Cost Savings through higher competition: A result of wider publicity to Government procurement opportunities 4
- 5. iii. Cost Savings through demand aggregation: The ability to aggregate Government departments’ demand to leverage buying power with the supply market. iv. Reduced inventory costs: Improved planning and management of inventory leading to lower levels of inventory v. Internal arbitrage: Ensuring consistency in goods and services costs at the best price across all Departments at item level. vi. Consistent and sustainable contractor development: Enabling pre-qualified vendors the opportunity to access of other government departments. vii. Transactional effectiveness: Eliminating or automating non-value adding steps within the procurement to enable efficient and effective processes. viii. Reduced Total cost of ownership: Understanding the supply chain and life cycle costs in procurement to establish value adding supply relationships leading to reduced cost of doing business for both government and industry ix. Effective tender processing: Use of different types of e-Auctions to get better prices for GoC. x. Open platform: Level playing field and “fair” competitive platform for the suppliers. xi. Disposals: Accessing a wider customer base when disposing of redundant assets xii. Smart governance: Increased transparency, monitoring and control of procurement process 4. Functional Features The development of e-Procurement in the State of Chhattisgarh has been categorised into various functional modules which would automate the complete procurement cycle from crade-to-grave. The following are the functional modules as implemented in the State of Chhattisgarh. i. Centralized Registration of Suppliers/ Contractors ii. Indent management iii. e-Tendering iv. e-Auction 5
- 6. v. Contract management vi. Catalogue management vii. e-Payments viii. Accounting ix. Management Information Systems (MIS) Centralised Supplier Registration The Centralised Supplier Registation module provides a single window wherein all suppliers / contractors can submit their applications online for registration in various departments. The request for registration is made online through the eProcurement portal and the same gets subsequently routed to the concerned officials of the various departments. The workflow of the Centralised Supplier Registration Module is as follows. Step-1: Suppliers / Contractors apply online for registration through the eProcurement Portal. Step-2: The Application is routed online to the concerned official of the department(s). Step-3: The Supplier / Contractor is verified on various registration criteria either online or physically Step-4: The concerned official approves the registration of the Supplier / Contractor online using Digital Signature The Centralised Supplier Registration Module also provide a view of the Bid Capacity of each Contractor / Supplier to facilitate departments in estimating the strength of the Contractor / Supplier. Indent Management The Indent Management Module involves in framing purchase / work proposal, review of proposal, internal approvals, technical approvals, administrative approvals, preparation of tender document and preparation of Notice Inviting Tender. The Module 6
- 7. automates the workflow of the department wherein the approvals are given using Digital Signature Certificates. e-Tendering The e-Tendering Module involves in advertisement of tender, downloading of tender documents, online submission of bids, online bid evaluation and award of contract. The bids are submitted by bidders using their Digital Signature Certificate and the bids are opened using the Digital Signature Certificates of the Bid Evaluation Committee. The system generates an automated bid evaluation chart which serves as a basis to finalise the award of contract. e-Auction The auction module is a facility that allows suppliers to dynamically out-bid their competitors within a time-frame specified by a buying agency. The auction module has facilities for both buying (reverse auction) and selling (forward auction) of goods, works and services. In reverse auction, suppliers quote a price lower than their competitors to undertake a task, implying in a two-dimensional graph, the arc representing price goes on the reverse as quoted price gets lower. Forward auction is used to sell off excess items held by government. The suppliers keen on purchasing the items quote higher than their competitors, which results in the price curve moving in upwards/forward direction. Both the auction types allow suppliers to participate in the bidding activity as anonymous actors. Contract Management The Contract Management Module involves in the processes between issuance of work order and completion of the work which are electronically handled. The Contract Management module enables the Government to maintain an overview of the works in progress. Once a part of a work is completed, then payment to the supplier is quickly 7
- 8. arranged as bills associated with the work are processed in an automated system. Once the bills are approved, arrangements can be made to have the payment transferred automatically from government’s bank account to that of the suppliers’ account. When in place for a period of time, the system collects a repository of knowledge that can be used to measure the performance of a contractor. Catalogue Management In the catalogue management module, the information about rate contracts negotiated by the government is hosted in an online environment enabling the departments to use the negotiated rate contracts and directly place orders for goods and services with the supplier community. The module automatically checks for authorization, handles accounting formalities, generates usage reports and forwards delivery information. Since access to rate contract information is made easier with the module, the utilization of rate contracts by the end users will increase. The MIS reports generated by the module help purchasing officers in estimating the demand for a product or a service. e-Payment The e-Payments module facilitates online transfer of funds – both inflows and outflows – happening during the course of public procurement activity. The online transfer facility has been featured in multiple ways such as through Credit Cards, Purchasing Cards and Internet Banking applications. In the public procurement context, the e-payment module involves during sale of tender documents, online transfer of EMD and payment to suppliers/contractors for purchase of goods and completion of works. The implementation partner integrates the e-Procurement application with the Banks as decided by the Government. 8
- 9. Accounting The accounting module calculates payments made to contractors for completion of works and for purchase of goods. For works procurement, the system automatically calculates the payment due to a contractor based on information available in the measurement book and rates quoted by the contractor for undertaking the Work. For goods procurement, the system maintains data on the extent to which negotiated rate contracts have been used. The system also generates reports on the time taken to process tenders, number of bids received in response to a tender, time taken to complete a work and purchase goods. In summary, the system intelligently accounts key aspects of the public procurement activity. Management Information System (MIS) The MIS module is a critical component, which collects, records, stores and processes data collected from all the departments in an integrated manner. The module is tightly integrated with the rest of the modules and provides functional support, decision support and performance monitoring. 5. Technical Architecture The core eProcurement solution of GoC comprises of the modules such as Tender management, auction management etc addressing the functional requirements along with the Registration and Authentication module, which facilitates user registration, authentication and personalization services. The system topology for eProcurement solution implemented in the State of Chhattisgarh is illustrated in Figure 1. This architecture enables both suppliers and buyers (department users) to use the same platform for submission of purchase requisitions, processing of purchase orders, creation of tender notifications, submission of tender responses, evaluation of tender responses and award of contract etc. The solution components depicted in the diagram below are deployed on separate servers. However, the solution offered by the vendors does not 9
- 10. compromise the performance or security of the overall solution through such aggregation of the solution components on to a single server. The onus of the security and performance of the solution completely rests with the implementation partner with critical administrator rights being controlled by the Government. Figure 1: e-Procurement System Topology Application Serverfarm Tender Auctions Catalogue Intrusion Detection Web server farm System management management management system system system Netwok Attached Storage DMZ Secured Network Internet FW 1 FW 2 LDAP/ User DB Database Serverfarm 6. Deployment Features e-Procurement solution is deployed on n-tiered architecture with web, application and database server farms. Each tier is scaled independently, both vertically and horizontally, to address the performance and scalability requirements. Figure 2 illustrates the infrastructure components of the eProcurement solution implemented in the State of Chhattisgarh. 10
- 11. Fig 2: Deployment Features of eProcurement Solution Client Tier Web Server Tier Application Server Tier Database Server Tier - HTTP, HTTPS, - Servelt/ASP for round - Load balancing robin load balancing - LAN - LAN, WAN - HTTP over LAN - JDBC/ODBC - Buyer Management - Supplier Management - Tender Management - Auctions Management - Catalogue Management Client Tier The client tier runs on a browser and uses html for presentation. The client communicates with the web server tier using http. Web Server Tier The web server manages static images and pages and passes client requests from the browsers to the application server tier using http. Application Server Tier The application servers (buyer management, supplier management etc) are multi-threaded applications with two main areas of logical functionality: a. Handling client requests and generating html as a response, and b. Managing and supplying object data, including database interaction. Database Tier The eProcurement solution uses standard relational database platform for object persistence and all business object data is stored in a database. 11
- 12. 7. Security Infrastructure Public Key Infrastructure e-Procurement solution has become an interface between suppliers / contractors and department through the open internet channel, which is susceptible to hacking and other unauthorized activities. To enable secured and reliable communication, the eProcurement system implemented in the State of Chhattisgarh has deployed the use of Digital Signature Certificates for user identification, authorization and encryption functionality. The Public Key Infrastructure (PKI) using digital certificates establishes a reliable and secured e-transaction platform between buyers and suppliers. While all the pre-tendering and post tendering activities internal to the department are approved using the Digital Signature Certificates of the concerned officials, the e-tendering activity is operated through the private key and public key of the bidders and the government officials. The bidders use their public key for data encryption while submitting the hash of the bid. The authorised government officials use their public key to generate the super hash of the bids followed by the bidder authorising the government officials in using the public key of the bidders to decrypt the bids. At every stage, the hashes and the super hashes are matched in order to maintain the integrity and transparency. The bids are subsequently opened using the Digital Signature Certificates of the committee members. The submitted tenders cannot be seen or read by any person as they would be encrypted form and can only be decrypted using the private keys of the bidders, which are in strict possession of the bidders. Firewall The Firewall Solution for eProcurement solution provides robust security features to secure the solution Infrastructure from unauthorized access and use. Following outlines the broad specifications of the firewall solution deployed for the eProcurement solution. 12
- 13. No. Feature Requirement Concurrent Supports at least 1000 concurrent connections with at least 1.5 1 Connections Gbps throughput Gigabit The firewall solution supports the gigabit Ethernet ports 2 Ethernet ports Supports destination URL policy management Denial-of-service (DoS) detection and prevention Dynamic port mapping; Java applet blocking VPN QoS support; real-time alerts Supports the basic network protocols services such as VLAN’s, DHCP, BOOTP, OSPF, RIP, TFTP, etc. Audit trails Other Policy-based multi-interface support 3 Features Network Address Translation (NAT); bidirectional NAT; dual NAT Time-based access lists Authentication, authorization, and accounting (AAA) Dynamic, per-user authentication and authorization Supports ‘stateful inspection fire-walling’ as well as ‘application and protocol inspection’ Provides VPN services including site to site VPN connectivity Network Intrusion Detection System No. Feature Requirement Facilitates to detect, report, and terminate any unauthorized activity in the eProcurement solution network. Minimum inspection rate of 500 Mbps; Transparent to legitimate traffic/network usage Responds to unauthorized activity to block offenders from 1 Features accessing the network or terminate offending sessions Maintains a comprehensive attack signature list to detect content-based and context-based attacks Supports Alarms to include attacker and destination IP addresses, destination port, and attack description - CGI Scripts - Web Server Attacks, Web Browser Attacks - IP Spoofing Secured - SMURF, TCP Sequence Number prediction 2 Environment - Buffer over flows - DNS Attacks, PING Sweeps, TCP Scans, UDP Scans, OS Identification, Account Scans, DOS Attacks etc 13
- 14. 8. Operational Features In order to kick-start the implementation of e-Procurement project in the State of Chhattisgarh and subsequently sustain it, the Government has made the implementation partner mandatory to provide training to government users & vendor community, provide help desk operating for 12 hours every day and deploy 200 desktops at locations decided by the departments. Training Since the e-Procurement system brings about a new way of working for departmental end users and the supplier community, a high priority has been given to training component. Training facilitates two-way interactions between the user community and the implementation partner, based on which the implementation partner can customize the system to better suit the requirements of the government. The training programme comprises of 1 day workshop at district level to provide awareness to government officials and vendor community followed by detailed and in-depth training on various modules. The departments would identify the concerned officials on module level and accordingly ensure that the officials are trained. The training manual, prepared in Hindi and English, is being given to the participants in order to provide ready reference. Helpdesk Services In order to facilitate the smooth functioning of the e-Procurement system, a well- functioning help desk service has been set up by the implementation partner. The help desk is accessible on a 12 x 7 basis ( 9 AM to 9 PM ) and those help desk operators are capable of communicating fluently in Hindi and English. The help desk operators are well-acquainted with the e-Procurement system both function-wise and technical-wise in order to resolve the queries in an expeditious manner. 14
- 15. Deployment and Maintenance of Desktops To ensure the successful uptake of e-Procurement, the implementation partner is deploying 200 desktop computers as part of the Agreement. The desktops are being deployed as per the requirement of the departments and is maintained by the partner for the full contract period. 9. Implementation Methodology The implementation of e-Procurement is done in two phases: pilot and roll-out. The pilot phase lasted for a six-month period, during which time, the implementation partner is asked to deploy all the required modules on a test basis. The State of Chhattisgarh had identified five departments viz., Public Works Department, Water Resources Department, Public Health & Engineering Department, Health Department and Chhattisgarh State Industrial Development Corporation where the e-Procurement solution was implemented on pilot basis. Initially, all tenders worth Rs. 50 lakh and above was to be processed through the e-procurement system. Subsequently, the slab has been reduced to include all tenders worth Rs.10 lakh and above. As on date, 24 departments have successfully adopted the eProcurement system The performance of the implementation partner is evaluated at the end of the pilot phase. If the system performs to the expectations, then the Government permits the implementation partner to roll-out the system across departments in the State. During the roll-out phase, the implementation partner deploys all the modules across departments in the State as per the Service Level Agreement (SLA). The roll-out phase will last for five years in addition to the six months allocated for the pilot phase. At the end of the five years, the Government will review the situation and decide on the out-right purchase of the system – (i.e.) perpetual license for the e-Procurement application and systems software and transfer of hardware assets on which the application is deployed - as against a renewal of the partnership and exiting the partnership. 15
- 16. 10. Business Model The Government of Chhattisgarh (GoC) is implementing the e-Procurement solution on a Private-Public-Partnership (PPP) mode wherein the private partner is required to provide e-Procurement as a service and engage on a Build-Own-Operate (BOO) basis with Transfer – BOO (T) – as an option. The private partner customizes, deploys and maintains the e-Procurement infrastructure setup during the course of implementation. The partnership is for a five-year period in addition to the six months allocated for the pilot phase provided the Service Level Metrics as mentioned in the Agreement are adhered to. The private partner is remunerated for the services rendered on a “transaction fee” model. The transaction fees paid to the Vendor is calculated at the module level. Some of the nine modules have been clubbed together and termed as a unit for transaction fee calculation purposes. A payment mechanism is not specifically devised for modules on e- Payments, Accounting and MIS, since they are an integral part of the rest of the modules. The clubbing of the modules has resulted in six units, for each of which a method is prescribed for calculating the transaction fee. An example of the method is “fixed fee per bid received”. In the fixed fee model, a sum of money – say Rs. 500 – is paid for each bid submitted in response to a tender. Other examples of the methods used for transaction fee calculation are “Percentage of Estimated Contract Value (ECV) of a tender” and “Percentage of order value”. Looking at the business model holistically, a combination of methods (hybrid business model) has been adopted to calculate the pay-outs made to the private partner for provision of the different services of e- Procurement system. Since e-Procurement is a commercial activity, the transaction fee shall be paid by the supplier/contractor organizations responding to the government procurement requirements. In a few instances, the Government has defined a cap or ceiling on the fee the private partner can charge for provision of the services of a module. Such a cap/ ceiling has been defined as a measure to protect the interests of the suppliers/ contractors and to ensure that unduly high rates charged for such services would not adversely affect the growth of the 16
- 17. usage of the e-Procurement system. The Government has imposed such a cap as a de-risking measure to ensure that the uptake of certain e-Procurement modules is not adversely affected due to high rates the Vendors may quote. For the purpose of calculation of transaction fee, government procurement is conceptually divided into two types: i. Procurements with Estimated Contract Value (ECV) - designed for Works ii. Procurements without ECV - designed for Goods The e-Procurement system comprises of the following five units, for each of which a method for calculation of Service Charge is defined: i. Indent management, e-Tendering and e-Auction modules for ECV procurement ii. Contract management module iii. Indent management, e-Tendering and e-Auction modules for non-ECV procurement iv. Catalogue-based purchase management module v. Centralized supplier registration module Indent Management, e-Tendering and e-Auctions modules for ECV procurement Contract Value (Rs.) Fixed Transactional fee per bid (Rs.) Upto 10 lakhs 120 10 – 50 lakhs 360 50 – 100 lakhs 1040 1 – 10 cr. 1440 More than 10 cr. 4000 17
- 18. Contract Management module Percentage of Contract Value: 0.02 % Contract Value (Rs.) Cap Value (Rs.) Upto 10 lakhs --- 10 – 50 lakhs 360 50 – 100 lakhs 1040 1 – 10 cr. 1440 More than 10 cr. 4000 Indent management, e-Tendering and e-Auction modules for non-ECV procurement Fixed Transactional Fee per bid (all slabs): Rs. 240 Catalogue Management Module Percentage of Contract Value: 0.25 % Minimum Transactional Fee per Order: Rs. 50 Order Value (Rs.) Cap Value (Rs.) 5,000 – 25,000 50 25,000 – 50,000 75 50,000 – 1lakh 90 1 – 10 lakhs 700 More than 10 lakhs 15,000 Centralized Supplier Registration module One-time Registration Fee per Supplier: Rs. 500 Yearly Maintenance Fee per Supplier: Rs. 100 11. Institutional Structure The State of Chhattisgarh has institutionalised the implementation of e- Procurement by constituting Empowered Committee and Task Force, nominating the Secretary, PWD as the State Nodal Officer and engaging Chhattisgarh infotech & biotech Promotion Society (CHiPS) as the nodal agency to assist the State in successfully implementing the e-Procurement project. Each department has been directed to appoint 18
- 19. their nodal officers who would be involved during the implementation of the project and would also serve as a one point contact to CHiPS and the implementation partner in providing the necessary information. The Institutional Structure set up by the State of Chhattisgarh for the implementation of e-Procurement project is illustrated in Figure 3 below. Figure 3: Institutional Structure •Chief Secretary, Chairman • Secretary, IT • Secretary, WRD Empowered •Secretary, PWD Committee •Secretary, Health PHED •Secretary, Finance •Secretary, Public Relations •Secretary, Energy •Secretary, P&RD CHiPS •Secretary, School Education •MD,CSIDC •CEO, CHiPS Member Secretary State TASK Nodal Officer FORCE Nodal Officer Role of GovernmentNodal Officer Nodal Officer Nodal Officer Nodal Officer The PWD and responsibilities of the Government in implementing the project are as roles WRD CSIDC Health follows: i. Constituted an eProcurement Cell which governs the implementation effort. The e-Procurement Cell is a part of CHiPS, which is the State Nodal Agency for the implemenation of e-Procurement. ii. Evaluate the bids received in response to this RFP and select the implementation partner 19
- 20. iii. Finalization of the Agreement and the SLA with the implementation partner iv. Provide office space for placing the hardware where the application is hosted and data is stored v. Develop IT and networking infrastructure at the departmental level as required vi. Prepare the list of personnel (government users and contractors) who shall be trained and issue communication to the trainees regarding the time and venue where the training activity is held vii. Provide office space required for conducting training programs viii. Framing of suitable procedures to ensure that the payment that is due for the services rendered is paid on-time in terms of the SLA/Agreement conditions ix. Act pro-actively to reform procurement processes x. Acquiring total ownership of the data generated through eProcurement system xi. Tie-up with one or more Banking or Financial institutions to facilitate e-Payment. xii. Create a mechanism for resolution of disputes that may arise between the Implementation Partner and the Government xiii. Implement policy reforms and amendments as required for implementation of the project. Role of CHiPS The roles and responsibilities of CHiPS in implementing the project are as follows: i. Co-ordinate with the departments and agencies implementing the project to ensure their participation in the e-Procurement initiative. ii. Facilitate setting-up of a project management team which would meet once every two weeks to take stock of the progress of the project, resolve issues and suggest relevant policies and guidelines with respect to change in existing procurement process, template of the tender document, etc 20
- 21. iii. Finalization of project implementation plan along with the timelines and deliverables in consultation with the implementation partner iv. Monitor the performance of implementation partner using SLA criteria specified in the RFP v. Select a reputed Third Party Testing Agency to test the e-Procurement solution on various pilot and rollout service level metrics. vi. Select a reputed Third Party as the agency for conducting security audit of the e- Procurement system vii. Issuance of Digital Signature Certificates to Government officials. Role of Implementation Partner Since the e-Procurement initiative is implemented on a Private-Public-Partnership (PPP) basis, the implementation partner is expected to enthusiastically partake in the implementation effort. The roles and responsibilities of the implementation partner are as follows. Project Planning i. Appoint a full-time project manager to overlook the implementation of the e- procurement solution and the subsequent operations. ii. Install a project implementation team of programmers and system analysts to aid in the process iii. Prepare a detailed project plan based on the approved rollout plan of departments and functionality to be implemented. The plan should indicate: a. Availability of resources b. Sequence of activities, timelines and dependencies iv. Ensure coordination with the nodal agency in terms of reporting, decisions to be taken, and other Government formalities to be completed. v. Identify and highlight risks and issues in a timely manner. Communicate the same to the Project Management Team and the Task Force vi. Assess and plan for training requirements 21
- 22. Solution Design i. Meet the functional and technical specifications as mentioned in the RFP ii. Ensure complete understanding of the same by the Development and Implementation teams iii. Design electronic forms as applicable to Government work iv. Suggest to the State any improvements in the process required for better service delivery v. Install a mechanism for the continuous improvement of the e-procurement functionality in view of the international best practices. Solution Development i. Build and manage catalogues ii. Configure and customize the e-Procurement application to fit the requirements iii. Make the system inter-operable with the banking/financial institutions with which Government has tied-up for e-Payment iv. Conduct requirements analysis and prepare To-Be scenarios v. Provide Government with the latest updates on the application vi. Appoint a full-time Quality Assurance (QA) manager to overlook the development/customization effort. Project Implementation i. Install, test and manage a secure and scalable e-Procurement application adopting open and inter-operable standards ii. Develop and maintain IT and networking infrastructure required for the provision of training iii. Provide timely training to the government officials and the vendor community with supporting literature / documentation. 22
- 23. iv. Partner with Government in effecting overall co-ordination with all the participating departments/agencies to achieve successful launch within the prescribed time v. Install, test and manage the hardware required for hosting the application vi. Set-up the Disaster Recovery Center (DRC) operations O&M i. Adhere to the SLAs stated in the RFP ii. Provide helpdesk services iii. Periodically (as agreed upon with the State) furnish data about the functioning of the system, especially in relation to the security aspects iv. Conduct periodic meetings with the State Project Implementation Team to discuss progress and any issues encountered during the operations. v. Set-up the digital signature / PKI related process and issuance of Digital Certificates in conformance with guidelines as in IT Act 2000, either directly or in collaboration with partners; and also establish the issuance process in such a manner as to enable government employees and contractors to procure such digital certificates from any vendor confirming to the stipulations vi. Design Security Policy and Operational Documents 12. Service Level Metrics Pilot Project SLA's Service Metrics Parameters Basis of Measurement Remarks Equivalent of capacity to Capacity of the Application Simulating the stated handle 5000 transactions per and Database Server loads and testing the hour Concurrent connects to system performance 1000 using load-testing Application Server tools Concurrent number of users 2000 connected to the system 23
- 24. Deployment SLA's Low Parameter Target Deductions Deductions Breach Deduction Performance Deployment Rs. 30000 > 10 Rs. 50000 of e- 8 weeks None 8-10 weeks each week weeks each week Tendering Deployment 10 Rs. 15000 >12 Rs. 30000 of Contract None 10-12 weeks weeks each week weeks each week Mgmt Deployment Rs. 10000 > 10 Rs. 15000 of Indent 8 weeks None 8-10 weeks each week weeks each week Mgmt Deployment 10 Rs. 15000 >12 Rs. 30000 of Catalogue None 10-12 weeks weeks each week weeks each week Mgmt. Operational SLA's Low Parameter Target Credits Credits Breach Credits Performance Availability of agreed services 99.00% 11 99.0-97% 6 <97.0% -5 over Internet Average e- Procurement Portal < 7sec 6 8-15 Sec 3 >15 sec -2 page loading Resolution of >7 Critical faults in <5 working 5-7 working 7 4 working -2 the e-Procurement hours hours hours system 24
- 25. Resolution of non- critical faults in the >72 <48 hours 4 48-72 hours 2 -1 e-Procurement hours system Growth rate of 10% over 6% over registration of Below previous 2 previous 1 0 suppliers measured 6% quarter quarter quarterly Growth rate of 10% over 6% over transactions Below previous 2 previous 1 0 measured quarterly 6% quarter quarter Below >70% 60-70% 60% Training 8 4 0 satisfaction satisfaction satisfacti on TOTAL 40 21 -10 13. Current Status of the Project The e-Procurement project has been formally inaugurated by the Hon'ble Chief Minister of Chhattisgarh on 14th August 2007 with the Water Resources Department successfully processing a tender. 20 departments have successfully adopted the eProcurement system which is evident from the fact that 13578 tenders worth Rs.31821.37 crores have been processed and 4275 vendors have been registered till date from 2007. Details are: Department Tenders processed Total value (in Crore) PWD 6375 17927.93 WRD 2290 7281.95 PHED 444 529.96 Health 148 1850.85 CSIDC 267 RC** P&RD 1530 2386.78 Urban Dev. 2134 1536.03 Animal Hus & Diary 16 45.55 Social Welfare 2 2.91 CG RES 285 141.55 CG Minor Forest 2 24.1 CG Civil Supplies 1 RC** CG Handicraft 1 1.88 CG Warehouse 72 78.03 CG Power Gen. 2 NA Food and Drug 2 6 25
- 26. Mandi Board 7 7.86 Total 13578 31821.37 This has been possible due to constant follow-up and periodic reviews. Software testing has been done through STQC. System has been integrated with NSDL payment gateway. The State is saving around 10 – 15 % on its procurement expenditure by implementing eProcurement apart from having a transparent and effective system of working. The project has bagged CSI Nihilent Best eGovernance Project Award 2008 and Information Week EDGE Award 2011 26