Government e-Marketplace (GeM): Transforming Procurement Dynamics
- January 1, 2024
- Posted by: OptimizeIAS Team
- Category: DPN Topics
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Government e-Marketplace (GeM): Transforming Procurement Dynamics
Subject :Polity
Section: National body
- Evolution of GeM:
- GeM, initially focused on general store items has expanded its scope. Now, it brings together defense PSUs Bharat Dynamics Ltd (BDL) and Bharat Electrical Ltd (BEL) for procurement.
- Specific Procurement Details:
- BDL, specializing in Akash missiles, procured radars and ground support systems from BEL.
- The procurement for Akash missiles is valued at ₹4,415 crore.
- Involvement of Defense PSUs:
- Defense PSUs are not only buying through GeM but also selling items.
- Goods traded include simulators, drones, bulletproof jackets, and ballistic helmets.
- Significant Benefits of GeM:
- Beyond transaction savings, GeM reports substantial benefits due to end-to-end digital journeys.
- Savings in advertising costs, printing costs, travel costs, and maintenance of in-house portals.
- Initiatives for Customer Satisfaction:
- Use of custom bids encouraged for goods not available on GeM.
- Pre and post-dispatch inspection of goods by Quality Assurance and NABL-accredited labs.
- Timely online payment ensures 99% satisfaction rate.
- GeM ensures that 25% of orders go to MSMEs.
Government e-Marketplace (GeM): Revolutionizing Procurement in India
GeM is an online platform launched by the Indian government to facilitate e-commerce for procurement of goods and services.
It serves as a one-stop solution for various government departments and organizations for their procurement needs.
Initially focused on procuring general store items, GeM has expanded its scope to include a wide range of products and services.
It has become a central hub for government purchases, bringing together buyers and sellers.
- Key Objectives:
- Enhance transparency, efficiency, and speed in government procurement
- Provide a fair and open platform for vendors, including small and medium-sized enterprises (MSMEs).
- Demand Aggregation Module:
- GeM encourages demand aggregation, wherein ministries pool requirements for similar products.
- This promotes large-volume procurement benefits and efficiency in the procurement process.