Government Purchases

The Government Administration is challenged in the search for efficiency in carrying out Government Policies, that need resources for costs and also for investments. The rationalisation of the use of public funds passes through the integrated management, involving the whole supply chain.


This is not a case of cutting costs through taking the lowest price, but rather, in the light of a Purchasing and Hiring Policies that articulates, make the best possible purchase, based on a dynamics decision from the Government agenda!
An effective and strategic course of action for Public Hirings is key for efficiency of Government Administration, Government policies, and also the provision of services to citizens. None of these can be carried out if there are no cost expenses, and this goes both for the end-activities such as Health, Education, Public Safety, as also for means-activities, which are the ones that are most likely to be transformed by deep changes.
In Government Administration in general, there are opportunities to reduce cost expenses without loss of quality of services rendered. It is along these lines that we present the study of new Purchasing Practices, stressing the improvement of quality of Government Spending. Government purchases in Brazil account for some 10% of GDP, and are distributed throughout the Federal Government, States and Municipalities. This is the second largest expense of the states and represents an average of 25% of the budgets.
There are major opportunities for improvement throughout the supply chain cycle, from the sizing of demand, rationalisation of consumption, hiring of third-party services, as also purchases aimed at the maintenance of share assets, and the management of the usable life of the permanent assets.

BENEFITS:

  • Strategic Planning;
  • Incentives to the Local Economy;
  • Development of Micro and Small Companies;
  • Standardisation of Public Hirings;
  • Reduction of Waste;
  • Greater allocation of Government Resources.