GeM VENDOR ASSESSMENT FOR OEM, DEEMED OEM’S and CONTRACT MANUFACTURERS

Government e Marketplace (GeM) has undergone significant changes, transitioning its vendor assessment responsibilities from the Quality Council of India (QCI) to Rail India Technical and Economic Service (RITES). This strategic shift aims to enhance the effectiveness of the vendor assessment process, leveraging RITES’ specialized expertise.

 

Table of Contents

  1. Understanding Vendor Assessment on GeM (#understanding-vendor-assessment-on-gem)
  2. What is RITES? (#what-is-rites)
  3. Why the Shift from QCI to RITES? (#why-the-shift-from-qci-to-rites)
  4. The Current Two-Stage Assessment Process with RITES (#the-current-two-stage-assessment-process-with-rites)
  5. Fee Payment Process(#fee-payment-process)
  6. Simplified Vendor Login and Registration(#simplified-vendor-login-and-registration)
  7. Beyond Assessments: The Broad Impact of RITES on GeM (#beyond-assessments-the-broad-impact-of-rites-on-gem)
  8. Future Outlook: A Synergistic Approach to Government Procurement(#future-outlook-a-synergistic-approach-to-government-procurement)
  9. Conclusion(#conclusion)

Understanding Vendor Assessment on GeM

Vendor Assessment on GeM acts as a quality check for products and services offered by sellers. Pre-assessed vendors, identified by a “VA” tag, instill confidence in buyers, as their credentials are verified and authenticated. It also helps OEM claim exemption during tendering process as per the MSE policy.

What is RITES?

RITES, a powerhouse in India’s transportation infrastructure since 1974, brings its impressive track record to the GeM platform. Their journey extends beyond construction, encompassing a full range of engineering services – from conceptualizing projects to finalization.

But RITES’ influence goes beyond building. They’ve earned a reputation for rigorous verification and validation processes. Their involvement in ensuring the quality of vendors and service providers for India’s reliable train networks exemplifies their commitment to excellence.

Why the Shift from QCI to RITES?

A Natural Choice for GeM

This legacy of impeccable quality control made RITES a natural fit for a critical role on GeM: Vendor Assessment. Following a competitive tender process in 2024, RITES now holds the responsibility of ensuring a new level of trust and transparency in government procurement across India.

The Current Two-Stage Assessment Process with RITES

The assessment process with RITES consists of two stages which make the process very easy and bring an opportunity to start the process immediately and obtain an OEM panel.

1.Desktop Assessment:

Vendors submit documents and information for RITES to validate their data, processes, and policies. This stage focuses on four integral parts:

– Territory of Operation

– Financial capacity & Shareholding

– Production capability & process

– Quality Implementation Standards

2.Video Assessment: After successfully completing the desktop assessment, GeM sellers undergo a video verification process conducted by RITES auditors. This meticulous step ensures the information provided matches the seller’s actual operations.

Here’s a breakdown of what to expect:

Pre-Call Preparations:

  • Testing, Testing, 1, 2, 3 (Demo call): To avoid technical glitches during the actual call, a demo network testing call is scheduled beforehand. This ensures a smooth and efficient video verification experience.

The Video Verification Call:

  • A Deep Dive (2-4 hours): Expect a comprehensive review of your claimed processes during the video call, typically lasting between 2 and 4 hours. This thorough examination leaves no stone unturned.
  • Recording for posterity: The video call is recorded and securely saved on RITES’ portal for future audits. This recording serves as a valuable record, upholding the integrity of the entire system.

Verification Steps:

  1. Location, Location, Location: Right off the bat, the call begins with capturing the coordinates of your manufacturing facility. This confirms that your operations are conducted within a compliant and approved environment.
  2. App Check: To verify the physical setup aligns with your submitted documents, you’ll be asked to download a special application from the Play Store.
  3. Important Note: This app currently functions only on Android devices.

By combining document verification with meticulous video calls, RITES ensures a robust and dependable assessment process for GeM. This commitment to transparency fosters trust for both buyers and sellers within the GeM platform.

GeM has introduced a separate login system for RITES assessment, simplifying the vendor experience. This change ensures a more organized and efficient process.

FEE PAYMENT PROCESS

The fee payment structure has been updated for convenience:

– Vendors now pay assessment fees directly to RITES at the time of documents submission

UPDATED FEE PAYMENT STRUCTURE

The fee structure, to be paid after assessment completion, is as follows:

Category of Seller Turnover Fees
OEM Up to ₹20,00,000 ₹871.61 + GST
₹20,00,001 to ₹1,00,00,000 ₹1,743.22 + GST
Above ₹1,00,00,000 ₹3,486.44 + GST
Re-Sellers Up to ₹20,00,000 ₹217.90 + GST
₹20,00,001 to ₹1,00,00,000 ₹435.81 + GST
Above ₹1,00,00,000 ₹871.61 + GST

 

Beyond Assessments: The Broad Impact of RITES on GeM

RITES offers more than just vendor assessments on the GeM Platform:

RITES: Not Just a Vendor Assessment Partner for GeM

The provided table showcases a list of orders secured by RITES Limited on the Government eMarketplace (GeM) platform. While GeM primarily functions as a platform for government entities to procure goods and services from registered sellers, this data reveals an interesting facet of RITES’ involvement with GeM.

Beyond Vendor Assessment

While RITES is currently responsible for vendor assessment on GeM, the table highlights that they are also a participating seller on the platform. This seemingly contradicts the traditional role of a vendor assessment agency. However, it demonstrates that RITES itself is a multi-faceted organization and leverages GeM to procure goods and services required for its own operations.

Breakdown of Awarded Contracts

The table offers a glimpse into RITES’ activity on GeM, showcasing contracts from various government organizations across India. The order value ranges from ₹5.6 million to ₹143.9 million, and the contracts are geographically spread.

 

ORGANISATION REFERENCE NO TERRITORY  BID AMOUNT REGION FY
BHARAT EARTH MOVERS LIMITED GEM/2023/B/3722873 Karnataka         9,440,000.00 South 23-24
BHARAT EARTH MOVERS LIMITED GEM/2023/B/3574097 Karnataka               83,072.00 South 23-24
BHARAT PETROLEUM CORPORATION LIMITED GEM/2023/B/3719110 Maharashtra      26,550,000.00 West 23-24
BHARAT PETROLEUM CORPORATION LIMITED GEM/2023/B/3672092 Maharashtra         5,782,000.00 West 23-24
BHARTIYA RAIL BIJLEE CORPORATION LIMITED GEM/2024/B/4420188 Bihar      69,289,246.00 East 23-24
BHILAI STEEL PLANT GEM/2023/B/3970431 Chhattisgarh      64,569,600.00 East 23-24
DEPARTMENT OF COMMERCE GEM/2023/B/3456093 New Delhi    143,960,000.00 North 23-24
JAWAHARLAL NEHRU PORT TRUST GEM/2023/B/3955326 Maharashtra      26,284,500.00 West 23-24
JAWAHARLAL NEHRU PORT TRUST GEM/2023/B/3819665 Maharashtra      17,464,000.00 West 23-24
MINISTRY OF POWER GEM/2023/B/4098713 Haryana      91,701,784.86 North 23-24
NATIONAL ALUMINIUM COMPANY LIMITED GEM/2023/B/3936030 Odisha    129,562,771.65 East 23-24
NATIONAL THERMAL POWER CORPORATION GEM/2024/B/4597851 New Delhi         1,150,000.00 North 23-24
NATIONAL THERMAL POWER CORPORATION GEM/2023/B/4332083 Chhattisgarh      15,287,844.00 East 23-24
OIL INDIA LIMITED GEM/2023/B/4051650 Assam      41,300,000.00 East 23-24
STEEL AUTHORITY OF INDIA LIMITED GEM/2023/B/3680326 Odisha         5,600,000.00 East 23-24

Conclusion

The transition to RITES for vendor assessments on GeM marks a significant step toward improving government procurement. This partnership is expected to improve vendor quality and foster a trustworthy, dynamic e-commerce environment in India.

 

*The above information is from secondary sources. GeMTech PARAS is not responsible for its content.

 

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