eAuctions - getting started

The flow chart below lists the steps you need to go through in determining whether you should be using eAuctions and then how to use them.

1. Identify Requirement

Decide whether payback from an eAuction is likely?

2. Suitable for Auction

• Assess the suitability of an eAuction for the procurement?
• Initial assessment = eAuction Decision Tool.
• Detailed assessment is available through the OGCbuying.solutions website.

3. Secure Services of an e-Auction Services Provider

Access the OGCbuying.solutions Reverse Auctions Framework.

4. Develop Procurement / e-Auction Strategy

• Establish what elements of the contract you want to auction.
• Consider which auction 'model' to use (see eAuctions processes).
• Include the eAuction phase in the procurement process.

5. OJEU

Include notification of intent to use eAuctions in the contract notice

6. Issue invitation to tender

• Ensure tender documentation provides all the relevant information about the eAuction phase.
• Obtain proposals that include price.

7. Advise Bidders Of The Details Of Auction

• Ensure capability of all bidders to participate - possibly with 'proxy' bidding or training.
• Deal with supplier's queries - make sure they fully understand the process.
• Decide on your starting price/price converted criteria equivalents.
• Decide what the bid decrement is i.e. the figure that bidders must reduce their bids by.
• Establish duration for the auction based upon the number of bidders and procurement complexity.
• Define extensions to be made if a bid is received close to the end of the auction.
• Make sure suppliers know what to do if they have a problem during the eAuction event.
• Make sure suppliers know when the auction has finished.

8. Dummy Auction Event

Option to run a dummy auction event to ensure bidder understanding.

9. Run Auction Event

The eAuction decision tool will help you evaluate whether an eAuction is suitable for your intended procurement.