Download Empowering Citizens to become Entrepreneurs through a One

June - 2007
GOBIERNO DE CHILE
MINISTERIO DE HACIENDA
Empowering Citizens to become Entrepreneurs
through a One-Stop e-Procurement Portal
The Chilean Experience
2
Entrepreneurs in the Chilean Public Procurement System
"ChileCompra enable us to compete
with big dealers”
“Today business are in a short time and
very attractive in term of revenues”
“We compete by
quality and fastness"
”Here we are providers at
the same conditions “
3
Public Procurement Market Reform – Year 2003
Problems / Challenges

Asymmetric information and high transactions cost.
Strategic aims

To consolidate transparency and wide access to the Public
Procurement System.

To contribute to the saving and efficiency of the Public Spending and
improve the quality of the supply management of the Public Institutions.

To benefit the commerce and the Electronic Government.
Training and Support
Training and Support
Public Procurement Market Reform – New System
Electronic Procurement Platform - ChileCompra
Bids System
ChileCompra Express Catalogue
6
Indicators (2006)
Market Share per company size (2006)
Synthesis 2006:

Aims: Transparency + Efficiency + Electronic
Commerce.

900 Public Services: Agencies, Municipalities, Schools,
Universities, Hospitals, Armed Forces.

250.000 Companies / 98% SMEs.

1.200.000 visitors per month / 400.000 different

1.250.000 of Purchase Orders per year

USD 3,500 millions (~3% chilean GDP).
Big
Medium
Small
Micro

Saving - 5% in prices / USD 60 millions per year.

35% SME participation.
Chilean Economy
Public Procurement
Market - ChileCompra
How can we achieve these SME market share?
Access
+
Access to information
and tools
Access to business
Opportunities / Rules
8
Advantages high SME market share
SME provide sustainability, since small
enterprises assure great competition
and social control.
Better procurement solutions. SME
have the flexibility and adaptability to
attend properly complex requirements.
GOBIERNO DE CHILE
MINISTERIO DE HACIENDA
DIRECCIÓN DE COMPRAS Y CONTRATACIÓN PÚBLICA
Jacqueline Sandoval: ChileCompra’s Provider
Evolution:

2003: USD 1000 of Sales per Month / bankruptcy

2006: USD 30.000 of Sales per Month / 10 workers
10
Conclusion

Is possible to combine efficiency and transparency. Technology is a
great ally to make advances toward both goals at the same time.

Technology helps but it is not an end by itself. Transformations occur
with a good diagnosis, good plans and policies. ChileCompra is not a
technological project, is a public policy supported by technology.

Innovate is to put into work ideas which produced added value. A good
plan is void if it isn’t properly implemented. Marketing and training were
fundamentals in ChileCompra implementation.