1. Benchmarking and best practices EXPP/2011/07 EN
point 6 of the Agenda
Meeting of the Commission Government
Experts Group on Public Procurement
07 December 2011

2. Best practice benchmarking
Evaluation of processes and performance in relation to best practice organisation’s processes and performance, usually within a peer group defined for the purposes of comparison
allows organizations to
develop plans on how to make improvements
adapt specific best practices, usually with the aim of increasing some aspect of performance
May be a one-off event, but often treated as a continuous process in which organizations continually seek to improve their practices

3. Best practice benchmarking
Dimensions typically measured
time
cost
quality
The participants can
identify the performance metrics and targets
learn from the best performers
and, more importantly, understand why the best performers are successful

4. Benchmarking in the evaluation
Exemplary aspects/dimensions where comparisons across Member States can be made
Level of cross-border procurement*
Duration of procedures*
Costs of procedures (time spent in person-days)**
Quality of data in notices published*
Based on: *OJ/TED data; **survey based on OJ/TED data

5. Duration of procedures
PROPOSED DIMENSION
Duration of procedures

6. Duration of procedures
Fig. 1): Time for the entire procurement process (from the day of dispatching of the CN to the date of award) – median number of days
Source: PwC, Ecorys, London Economics

7. Duration of procedures
Potentially influenced by
Structure of procedures used
e.g. in the UK the restricted procedure is used more frequently (++ duration)
More procurement in sectors where purchasing tends to takes longer
Business services, construction (++ duration)
Commodities and food (-- duration)

8. Duration – country effects
Fig. 2): Number of days relative to the average
Source: PwC, Ecorys, London Economics

9. Costs of procedures (time spent in person-days)
PROPOSED DIMENSION
Costs of procedures (time spent in person-days)

10. Costs of procedures (person-days)
Costs (person-days)
Quickest
Slowest
Difference
Authorities 11 68 57
Firms 10 34 24
Duration of procedure (authorities + firms) 22 93 71
Significant discrepancies in efficiency amongst Member States
 importance of enhancing correct and smart application of the rules

11. Costs of procedures - CAEs
Fig. 3): Cost of procedures in man-days – contracting authorities and entities
Source: PwC, Ecorys, London Economics

12. Costs of procedures - firms
Fig. 4): Cost of procedures in man-days – firms
Source: PwC, Ecorys, London Economics

13. Costs of procedures - combined
Fig. 5): Cost of procedures in man-days – combined
Source: PwC, Ecorys, London Economics

14. Quality of data in notices published
PROPOSED DIMENSION
Quality of data in notices published

15. Quality of notices
Fig. 6): Percentage of CANs with data provided in value field (2010)
Source: DG MARKT

16. Discussion - questions
Are these indicators appropriate?
Proposals for other indicators / dimensions that should be taken into account
Can Member States that rank high share their expertise with the others?
What makes them successful (methods, instruments introduced)?