1. 12nd European Conference on e-public procurement - May 27th - IST Lisbon
May 27th, 2014 IST Lisbon
Vaue that Information Technology (IT)
can deliver to public procurement

2. 22nd European Conference on e-public procurement - May 27th - IST Lisbon
AGENDA
Value that IT can deliver to public procurement

3. 32nd European Conference on e-public procurement - May 27th - IST Lisbon
Agenda
• Main messages.
• Context: Digital Economy.
• Concept of value
• Potential uses and information technology value in public procurement
• Stages and problems to get the IT value in public procurement
• The pyramide of transformation
• Final thoughts

4. 42nd European Conference on e-public procurement - May 27th - IST Lisbon
MAIN MESSAGES
Value that IT can deliver to public procurement

5. 52nd European Conference on e-public procurement - May 27th - IST Lisbon
Main Messages
• Digital economy requires information technology
• Public procurement is a very important element of the modern economy
• Technology don`t introduce value in a automatic way, people are always needed
• Public procurement is not using nowadays all the potential value from IT.
• We can design the pyramide of transformation to help deciders understand the
context and to decide where they want to be.
• We have to give to the whole process a sense of urgency that boost the
organizational change: the digital transformation.

6. 62nd European Conference on e-public procurement - May 27th - IST Lisbon
CONTEXT: DIGITAL ECONOMY
Value that IT can deliver to public procurement

7. 72nd European Conference on e-public procurement - May 27th - IST Lisbon
Context: Digital economy
• All sectors are nowadays in a digitization process
• Public procurement is a very important part of the value chain in public
administrations.
• Public administrations are a very important part of the economy
• Public procurement is suffering a big pressure to digitize: transition from
a administrative law environment to a productive lever.
• The digital economy is an economy other than industrial economy:
weighs less (software is eating the world, the petrol of data)

8. 82nd European Conference on e-public procurement - May 27th - IST Lisbon
VALUE OF INFORMATION
TECHNOLOGY
Value that IT can deliver to public procurement

9. 92nd European Conference on e-public procurement - May 27th - IST Lisbon
Value of the information
technology (IT)
• Information Technology cannot be an isolated tool neither e neutral tool.
• The value of IT in organizations is achieved leading organizational
change that transforms the organization.
• There are many mistakes to let the IT department to lead organizational
change.
• The top leaders must assume their role of leadership in organizational
change that represents the digitization of all economic sectors. In public
procurement also

10. 102nd European Conference on e-public procurement - May 27th - IST Lisbon
IT USES IN PUBLIC PROCUREMENT
Value that IT can deliver to public procurement

11. 112nd European Conference on e-public procurement - May 27th - IST Lisbon
IT uses in public procurement:
platforms

12. 122nd European Conference on e-public procurement - May 27th - IST Lisbon
How IT is being used in public
procurement
HOW IS IT USED TODAY
• IT is nowadays used to produce paper, and information systems
based on data.
• With inefficient procedures in paper, completely opaque
• Processing by dossier, not as a whole.
• It is difficult to design public policies, implement and adapt them
HOW YOU MAY USE IT TODAY
• With automated systems that incorporate a useful degree of
automation in administrative law. Electronic dossiers, documents
and communications. E-Procurement end to end.
• Using the contract information when needed.

13. 132nd European Conference on e-public procurement - May 27th - IST Lisbon
Como se usa la TI en la
contratación pública
HOW IT COULD BE USED IN FUTURE.
• Incorporating the elements of the third plataform
• Cloud: private with products delivered as services.
• Mobile: Communicaton between agents through the mobile
screen
• Social Network: interaction and transparency of the entire
process with the ongoing professionalization of the process with
the people involved.
• BigData: Ability to use information in the right form and at the
right time: Transparency, efficiency, competitiveness and
productivity.

14. 142nd European Conference on e-public procurement - May 27th - IST Lisbon
STAGES AND PROBLEMS IN THE
TRANSFORMATION
Value that IT can deliver to public procurement

15. 152nd European Conference on e-public procurement - May 27th - IST Lisbon
Stages and problems in the
transformation
STAGES
• Transposition: alignment with the digital economy?
• Learning and communication of the principles of the electronic format
transition.
• Efficient market for products and services related to e-procurement
(interoperability)
• Projects that materialize the transition to electronic format.
• Monitoring and supervision of the process (Pan-European
leadership).

16. 162nd European Conference on e-public procurement - May 27th - IST Lisbon
Stages and Problemas of the
transformation
PROBLEMS
Analysis:
• “Billions in the Balance: Removing Barriers to competition and
Driving Innovation in the Public-Sector IT Market”. Paper from the
USA public sector (link to document)

17. 172nd European Conference on e-public procurement - May 27th - IST Lisbon
Etapas y Problemas de la
trasformación
WHAT IS WRONG IN IT PROJECTS IN PUBLIC SECTOR
• No alignment on problem or desired outcomes.
• Weak leadership and governance.
• “Check the box” culture.
• Requirements too prescriptive
• Slow procurement process and closed markets.

18. 182nd European Conference on e-public procurement - May 27th - IST Lisbon
Etapas y Problemas de la
trasformación
WHAT CAN BE DONE TO FIX IT PROJECTS IN PUBLIC
ADMINISTRATIONS
• Establish clear lines of authority and accountability
• Develop a simple needs and outcomes statement instead of voluminous
RFPs.
• Engaging the market early.
• Develop a cost/outcome (ROI)-focused program IT strategy.
• Encourage smart risk taking
• Reduce very burdensome requirements and speed up the procurement
process faster.

19. 192nd European Conference on e-public procurement - May 27th - IST Lisbon
THE PYRAMIDE OF
TRANSFORMATION
Value that IT can deliver to public procurement

20. 202nd European Conference on e-public procurement - May 27th - IST Lisbon
The pyramide of Transformation
Few
IT use
Paper + DATA
Electrónic format Mandatory
Cloud, BigData,
Social networks, Mobile
Profesionalization
Intensive
in IT use
1st Plataform
2nd Plataform
3rd Plataform
Paper + DATA
Electronic format Mandatory
Cloud, BigData,
Social networks, Mobile
Profesionalization
Intensive
in IT use
Few
IT use
1st Plataform
2nd Plataform
3rd Plataform

21. 212nd European Conference on e-public procurement - May 27th - IST Lisbon
FINAL THOUGHTS
Value that IT can deliver to public procurement

22. 222nd European Conference on e-public procurement - May 27th - IST Lisbon
Final Thoughts
• In the digital economy the value is not extracted is created.
• The second platforms requires people to do. The third platform requires
people to think.
• We have to continuously create value.
• The digital economy is grouped into clusters.
• Public procurement can help to articulate more competitive territories to
attract investment and talent. (Smart Cities and competitive territories?)
• Public procurement is an essential part of the value chain to be used to
generate value steadily.
• We must impose a sense of urgency in the process of transformation
and use the pyramid of transformation to provide a clear vision for the
people involved in decisions about where they want to lead their
territory.

23. 232nd European Conference on e-public procurement - May 27th - IST Lisbon
May 27th, 2014 IST Lisbon
Value that Information Technology (IT)
can deliver in public procurement
Thank you very much for your attention !!!!
Manuel Canno
manuelj.canno@gmail.com
www.contratacion-publica-electronica.es
@econtratacion