Romtelecom optimizes costs through e-auctions

Romtelecom, one of Romania's largest telecom operators and leader of the local fixed communications market, organized in March this year 53 electronic auctions for the procurement of civil works around Romania.

According to Romtelecom procurement process for civil works, 32 companies that fulfilled the business and technical criteria were invited to participate for the award of 53 civil work projects. The auctions were grouped in lots, representing six different location areas around Romania.

After evaluating specific criteria, the participating companies were invited into the lots and auctions to bid for the highest discount calculated on every civil works project budget. The series of e-auction events lasted 7 working days and they were completed with remarkable success, recording savings of more than 20% for an overall value of several million Euros.

"Organizing the auctions confirmed our choice to use new technologies like electronic procurement, not only for purchasing materials but also services, and the results of these auctions justifies it. Romtelecom uses cosmoONE’s electronic procurement services since more than two years ago with an increasing rate, not only in usage, but also in the benefits," stated Mihaela Rancea, Procurement and Planning Director of Romtelecom.

Apart from an important savings’ percentage, the e-auctions brought the advantage of a transparent, fair and impartial process for the participants.

The implementation of the e-auction solution is part of Romtelecom strategy to increase the efficiency of its internal processes and optimize its operational costs.
 
The e-auctions were conducted on the auction platform of cosmoONE, a company of the OTE group that provides e-procurement services to Greece and Balkans.