Previously, procurement in the private sector often followed a traditional scheme: managers would find suppliers, request commercial offers via email and messengers, and then manually compile the received prices into spreadsheets for subsequent management approval. However, there is now a trend toward moving this process into a digital format, where all applications, supplier proposals, and selection results are aggregated on a single platform.
This shift from manual management to electronic procurement transforms the business's approach to finding partners. Companies aim not only to reduce time and financial costs but also to ensure greater transparency and clarity of the process for all involved parties. Although the electronic format has already become standard for public procurement, the private sector, including industrial, construction, and trade enterprises, is now actively adopting it.
Why is the outdated method becoming ineffective?
Even in large organizations, procurement processes can heavily depend on the actions of individual employees. Commercial offers might remain in email, and requests might come through messengers like Telegram, which hinders other employees' access to the history of negotiations and agreements. Consequently, it becomes difficult for managers to fully reconstruct the entire supplier selection cycle and assess whether the proposed cost aligns with market indicators.
A serious problem also lies in the risks of abuse and conflicts of interest. When the pool of suppliers is limited and selection criteria are not established in advance, controlling the justification of decisions and identifying potential violations becomes significantly more complicated.
What advantages does e-procurement bring to the buyer?
The E-procurement system integrates key stages of the process into a single digital environment. International organizations note the potential economic effect of this digitalization. For instance, in its 2012 strategy, the European Commission predicted savings of 5–20% for buyers who switched to electronic procurement, although the final result depends on the specific system and its usage conditions.
The World Bank, in a 2026 publication, also points to a range of procurement cost savings between 5–20%. In Tanzania, the digitalization of public procurement led to savings of $12.5 million over two years by reducing printing and transportation costs. It is important to understand that these figures primarily relate to government systems, and similar savings are not guaranteed for every private company; they are determined by the volume of purchases, the number of suppliers, the organization of the process, and the degree of utilization of the electronic system's capabilities.
How does this affect suppliers?
For suppliers, the business transition online means entering an entirely new market. Previously, access to large clients was mainly possible through personal connections. Now, requirements are published openly, and the advantage goes to those who offer the most favorable terms.
Companies that previously worked mainly with government contracts find this opens up opportunities to expand their client base. The private sector constantly needs various goods and services—from materials and equipment to logistics, IT solutions, and construction work—and these procurements become an additional source of contracts.
How does the TenderGPT platform function?
One of the services operating in the corporate e-procurement market in Uzbekistan is TenderGPT.uz. According to the company, the project is implemented by a team of specialists with over ten years of experience in the state procurement sector. This experience is used in organizing corporate tenders, sourcing suppliers, and automating procurement procedures.
According to TenderGPT.uz data, approximately 100 tenders totaling about $20 million have already been conducted through this platform. The process works as follows: the buyer posts the required lot and sets the tender conditions. Suppliers submit their proposals through the system, after which the buyer can compare the terms and finalize the procurement results in a unified digital space.
The platform supports various formats depending on the company's needs. For suppliers, it serves as an additional channel for finding corporate orders and submitting bids for goods, works, and services, participation being possible without providing a deposit. Furthermore, the same company can use the system in two roles: participating in others' procurements as a supplier and simultaneously conducting its own tenders, for example, to find contractors or acquire necessary services.
What are the future prospects?
The TenderGPT team is also developing artificial intelligence for buyers and suppliers. This solution is designed to automate routine tasks such as processing procurement documentation, preparing for deals, and searching for relevant offers. The release of this solution is scheduled for 2027.
The corporate e-procurement market in Uzbekistan is in its formative stage. As it develops, companies will be able to move an increasing number of procurement operations online, expand the pool of potential suppliers, and use collected data for better planning and cost control. TenderGPT invites cooperation from both companies wishing to digitize their procurement and suppliers interested in new contracts. Work can begin with a specific task: posting the first lot, searching for a specific tender, or discussing the implementation of a corporate system.
