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

The Government e Marketplace (GeM) has experienced substantial changes, with the Quality Council of India (QCI) handing over vendor assessment responsibilities to the Rail India Technical and Economic Service (RITES). This strategic adjustment is intended to improve the effectiveness of the vendor assessment process by leveraging RITES’ specific expertise. These changes and their implications are crucial for those involved in GeM Portal activities, as they highlight the evolving landscape of vendor assessments on the GeM Portal. Stay informed on these developments by following GeM Portal blogs 2024.

“The Government e Marketplace (GeM) changed the way India’s government buys things when it opened in 2016. It does this by connecting private sellers with government buyers in an open, efficient, and digital environment. People can buy and sell goods on GeM without having to meet each other. More than 38 lakh people have registered as buyers. E-bidding and reverse e-auction help the government save a lot of money and it has a lot of things for sale.”


Understanding Vendor Assessment on GeM

Vendor Assessment on GeM serves as a quality check for the items and services given by merchants. Buyers have confidence in pre-assessed vendors, who are designated by a “VA” tag, because their credentials have been validated and authenticated. It also enables OEMs to claim exemption during the tendering process in accordance with 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?

This tradition of outstanding quality control made RITES an obvious choice for a vital function on GeM: Vendor Assessment. Following a competitive tender procedure in 2024, RITES is now responsible for delivering a new level of confidence 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.

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.
  1. 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.
  1. 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.

Conclusion

The Quality Council of India (QCI) is no longer in charge of evaluating vendors. Instead, the Government e-Marketplace (GeM) has given that job to the Rail India Technical and Economic Service (RITES), which has a lot of experience with quality control. The goal of this strategy move is to improve the process of evaluating vendors so that buyers can trust GeM vendors who have already been evaluated.

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