All levels of government devote a significant amount of resources to the acquisition of goods and services, and the construction of public works. In practice, they don’t systematically obtain the most favorable conditions: it’s all too common for the public sector to overpay or acquire goods and services of subpar quality because of deficient market studies, not choosing the appropriate mechanisms for selecting suppliers, or ineffectively designing and executing procurement procedures.
A fundamental problem in acquiring goods and services or contracting public works is that the procedures are rarely designed with the objective of maximizing competition between suppliers. For decades, suppliers have been prone to collusive behavior that imposes excess costs on government, because purchasing protocols have not dissuaded, and much less detected, such practices.
Over the last decade Agon’s partners have advised various public bodies, both at the federal and state levels, in the design of procurement policies that have resulted in billions of dollars of savings for the public.
We have experience in the delivery of focused market studies that allow for the design of the most effective procurement strategies.
We have advised government bodies on the design of specific purchasing processes, including dozens of auctions.
We have firsthand experience in the detection of collusive agreements between suppliers and in the design of strategies to avert them.
At Agon, we help governments buy smarter and make the most efficient use of the taxpayer’s money, and we help the companies that participate in bidding processes to eliminate artificial barriers to entry and generate a level playing field.
Our procurement solutions start with detailed knowledge of the markets for goods and services that governments need to acquire, and lead to maximizing rivalry between suppliers and spending efficiency.
- Design of procurement and normative modernization strategies.
- Market studies.
- Design and implementation of optimal procurement mechanisms, with emphasis on public bidding and auctions.
- Design and implementation of mechanisms to prevent and detect collusive behavior between suppliers.
- Training for procurement personnel in the design of efficient and procompetitive procedures.