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LOGO
Prof. Harsha Kestur
Director, Rangnekar Institute of Management Studies & Research
director@rimsr.in 9845030683 www.r...
Company Logo
Discussion Flow
• Public Procurement- Definition
• Public Procurement- Objectives
• Methods
• Regulating bodi...
Definition
Purchase of goods and services with requisite parameters and conditions
includes concession agreements
Public P...
Objectives
Value for money- fair and transparent.
Promoting domestic capacity of supplier
Equality of opportunity- level p...
Methods
Calling for quotations -limited quantity & financial sanctions
Direct purchase –Regd. Vendors
Limited tender
Open ...
Regulating Bodies
3Cs
• Central Vigilance Commission (CVC)
• Comptroller and Auditor General (CAG)
• Competition Commissio...
Impact of pubic procurement on project
management
Company Logo
Impact of pubic procurement on project
management
93% of the respondents agree and strongly agree that ineffective
procure...
Company Logo
Impact of pubic procurement on project
management
There are also successful stories in our country. These pro...
Success Rate of Projects In India
The following statistics highlight the success rate of project execution in
the Indian c...
Project Management and SCM -The Interconnect
Large projects involve significant amount of activity and use of materials &
...
• In many industries, materials & Services costs vary from 50 - 80% of
total costs
• Logistics costs vary between 10-30% i...
Project Management and SCM -The Interconnect
• Project management techniques for SCM planning
• SCM techniques for project...
Learning opportunities
• Non-profit organization, National Headquarters at Navi
Mumbai, about 50 branches & 20 Chapters ac...
• Rangnekar Institute of Management Studies and Research (RIMSR),
is a dedicated center for quality management education. ...
Company Logo
Diploma in Project Management
Learning opportunities
Post Graduate Diploma in Project Management
Learning opportunities
Workshop on Project Management
Prof. Harsha Kestur, CMM.
Director, RIMSR
director@rimsr.in or harsha.kestur@gmail.com
www.rimsr.in
Preparing Managers for...
Thank You
Let us Continue Our Knowledge
Journey Together.
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Impact of public procurement on project management

This presentation was done on 17th May 2014 in National Seminar on Public Procurement conducted by IIMM.

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Impact of public procurement on project management

  1. 1. LOGO Prof. Harsha Kestur Director, Rangnekar Institute of Management Studies & Research director@rimsr.in 9845030683 www.rimsr.in Preparing Managers for Success in A Changing World
  2. 2. Company Logo Discussion Flow • Public Procurement- Definition • Public Procurement- Objectives • Methods • Regulating bodies • Impact of public procurement on project management • Success Rate of projects in India • Interconnect of Supply chain and project management • Learning opportunities Company Logo
  3. 3. Definition Purchase of goods and services with requisite parameters and conditions includes concession agreements Public Procurement- Definition Procurement means acquisition by purchase, rental, lease, hire purchase, license, tenancy, franchise, or any type of works, services or supplies or any combination’ up to the time a user consumes or utilizes a service as per his requirement and in line with the procurement Act and regulations of the country Elaborated Company Logo
  4. 4. Objectives Value for money- fair and transparent. Promoting domestic capacity of supplier Equality of opportunity- level playing Widen supplier base Higher quality and technology Company Logo
  5. 5. Methods Calling for quotations -limited quantity & financial sanctions Direct purchase –Regd. Vendors Limited tender Open tender on nomination Competitive bidding or tendering process e-auction e-reverse auction – Company Logo
  6. 6. Regulating Bodies 3Cs • Central Vigilance Commission (CVC) • Comptroller and Auditor General (CAG) • Competition Commission of India (CCI) CVC Issues guidelines and instructions to curb corruption in PPS SOP issued by all Govt. Departments and PSUs Monitors the deficiency and violations in the procedures and mechanism of PPS Regulates competition in PPS - prevents and punishes anti competitive conduct or practices by Govt. Departments and enterprises CVC CAG CCI Company Logo
  7. 7. Impact of pubic procurement on project management Company Logo
  8. 8. Impact of pubic procurement on project management 93% of the respondents agree and strongly agree that ineffective procurement affects the project Company Logo
  9. 9. Company Logo Impact of pubic procurement on project management There are also successful stories in our country. These projects were successful as all the factors including Procurement was efficient. • Terminal 2 at the International Airport, Mumbai, Delhi • Dehli Metro Service • Yamuna Express way • Solar Project at Gujarat • As so on….
  10. 10. Success Rate of Projects In India The following statistics highlight the success rate of project execution in the Indian context • India has targeted to invest US Dollar 500 billion+ in infrastructure by the end of the 12th plan period • However, the country has consistently fallen short of meeting such targets • It is estimated that the average rate of awarding projects has been around 70% of the planned rate • Further, as per the data it is estimated that a majority of projects, close to 60%, suffer from time and cost overruns Company Logo
  11. 11. Project Management and SCM -The Interconnect Large projects involve significant amount of activity and use of materials & Services • Construction • Infrastructure • Ship-building • Aerospace and Defense • Engineering & Telecom • Research & Development Several of these project are of long duration and involve large investment Company Logo
  12. 12. • In many industries, materials & Services costs vary from 50 - 80% of total costs • Logistics costs vary between 10-30% in projects • SCM costs are therefore a significant part of project cost • Price Estimation of A & B class items services for complete period of the project is major challenge • Strategic sourcing • Supplier Relationships & long term contracts • Category and Spend Management • 3PL and 4 PL • E-procurement & Reverse Auctions • Green Purchasing • JIT, Asset & Inventory Management tools Project Management and SCM -The Interconnect Cost SCM Techniques Company Logo
  13. 13. Project Management and SCM -The Interconnect • Project management techniques for SCM planning • SCM techniques for project cost management • Regular Reviews and Dashboards • Deployment of Trained & Certified Project and Procurement Managers. • Deployment of IT tool to give end to end visibility for stakeholders Company Logo
  14. 14. Learning opportunities • Non-profit organization, National Headquarters at Navi Mumbai, about 50 branches & 20 Chapters across India • The only professional organization in the Country in the field of Materials Management / Supply Management Core area of operation Education Professional Development Technical and Industry Events Training & Member Certification E-Learning Courses Industrial Consultancy Visit www.iimm.org IIMM - Indian Institute of Materials Management
  15. 15. • Rangnekar Institute of Management Studies and Research (RIMSR), is a dedicated center for quality management education. Visit www.rimsr.in • It is an affiliate of Brenau University, Gainesville, Georgia, USA. Visit www.brenau.edu Rangnekar Institute of Management Studies and Research BRENAU UNIVERSITY USA • Founded in 1878 • Approved by UGC, ACBSP,SARC • Ranked in TOP 5 University in Project Management Program • 5 international Locations • Ranked in TOP 10 in Online Education Learning opportunities Company Logo
  16. 16. Company Logo Diploma in Project Management Learning opportunities Post Graduate Diploma in Project Management
  17. 17. Learning opportunities Workshop on Project Management
  18. 18. Prof. Harsha Kestur, CMM. Director, RIMSR director@rimsr.in or harsha.kestur@gmail.com www.rimsr.in Preparing Managers for Success in A Changing World For more information Company Logo
  19. 19. Thank You Let us Continue Our Knowledge Journey Together.

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