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e-Procurement in Korea
Experiences and the Way Forward
                       Nov. 2012




                   Director General, e-Procurement Bureau
Myeong-ki Baek |   Public Procurement Service (PPS), the Republic of Korea
e-Procurement in Korea

 KONEPS (Korea On-line E-Procurement System)
  Single public e-Procurement Portal
  KONEPS processes the entire procurement cycle
  - Interconnected with 140 database systems for minimal paperwork



                        e-Bidding      e-Contracting
  “KONEPS”
  Korea                                                     e-Payment
  ON-line
  E-Procurement          Online
  System                Shopping        e-Ordering
                          Mall



                                                                        1
Facts and Figures

 Over 64% of Korea’s total public procurement($100 billion)
 was conducted through KONEPS

     User        • 43,000 government agencies
  Registration   • 223,000 registered businesses
                 • 93% of all bids are conducted online
   e-Bidding     • 22M bidders participated in 288T e-bidding
                 • Total transaction value : $44 billion
 e-Contracting   • 657T contracts are electronic(99% of all contracts)
 & e-Payment     • 100% of all payments are electronic

     Online      • 500T Purchase Orders issued online(99% of all POs)
  Sopping mall   • Total e-Mall transaction value : $11 billion

                                                                         2
Overcoming Challenges in e-Transition

                 Leadership
• Presidential Committee for e-Govt.(2001)           10 ministries in the Support
• Central procurement agency (PPS) as the lead       Committee and 60 public
                                                     entities in the Review Group
  agency




      Incentives and User Support
• Discount of procurement service fees for e-PRs     In the early onset of e-Bidding,
• Web Call-Center                                    PPS held 130 training sessions
                                                     in 2001 and operated training
 - 60 staff offering 4,585 consultations daily via   courses at 23 locations
   phone and video-conferencing


                                                                                        3
Way Forward




       Business
           e-                  Consolidated             Mobile
                                e-Ordering
       Platform
        Bidding                  GP Data             Procurement


   Platform shared            Consolidated public   Mobile platform
   with private sector        sector procurement    - Mobile e-Bidding (in
                              data                    place)
   Open API
   - private sector creates   - value-added data    - Mobile App for all
    value-added data for       for policy makers      services
    businesses

                                                                             4
Way Forward




  UN/CEFACT e-Procurement Standard

  Local Business Registration / e-Certificates

  PEPPOL




                                                 5
THANK YOU

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4 ppt myeongki baek

  • 1. e-Procurement in Korea Experiences and the Way Forward Nov. 2012 Director General, e-Procurement Bureau Myeong-ki Baek | Public Procurement Service (PPS), the Republic of Korea
  • 2. e-Procurement in Korea KONEPS (Korea On-line E-Procurement System) Single public e-Procurement Portal KONEPS processes the entire procurement cycle - Interconnected with 140 database systems for minimal paperwork e-Bidding e-Contracting “KONEPS” Korea e-Payment ON-line E-Procurement Online System Shopping e-Ordering Mall 1
  • 3. Facts and Figures Over 64% of Korea’s total public procurement($100 billion) was conducted through KONEPS User • 43,000 government agencies Registration • 223,000 registered businesses • 93% of all bids are conducted online e-Bidding • 22M bidders participated in 288T e-bidding • Total transaction value : $44 billion e-Contracting • 657T contracts are electronic(99% of all contracts) & e-Payment • 100% of all payments are electronic Online • 500T Purchase Orders issued online(99% of all POs) Sopping mall • Total e-Mall transaction value : $11 billion 2
  • 4. Overcoming Challenges in e-Transition Leadership • Presidential Committee for e-Govt.(2001) 10 ministries in the Support • Central procurement agency (PPS) as the lead Committee and 60 public entities in the Review Group agency Incentives and User Support • Discount of procurement service fees for e-PRs In the early onset of e-Bidding, • Web Call-Center PPS held 130 training sessions in 2001 and operated training - 60 staff offering 4,585 consultations daily via courses at 23 locations phone and video-conferencing 3
  • 5. Way Forward Business e- Consolidated Mobile e-Ordering Platform Bidding GP Data Procurement Platform shared Consolidated public Mobile platform with private sector sector procurement - Mobile e-Bidding (in data place) Open API - private sector creates - value-added data - Mobile App for all value-added data for for policy makers services businesses 4
  • 6. Way Forward UN/CEFACT e-Procurement Standard Local Business Registration / e-Certificates PEPPOL 5