Procurement Process Procurement Law 2026

Definition: The procurement process in the public sector comprises all organisational, legal and operational steps that a public contracting authority goes through from internal needs assessment, through the conduct of the procurement procedure, to contract conclusion and contract performance.

Last updated: January 2026 · Legal status: Directive 2014/24/EU, BVergG 2018, GWB/VgV/VOB/A

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What is the procurement process?

The procurement process in the public sector is more than the procurement procedure itself – it begins long before the publication of the contract notice and only ends once the contract has been fully performed and accounted for.

In contrast to private-sector procurement, the public procurement process is subject to a wide range of statutory requirements and internal controlling obligations. Every step must be documented and traceable. The fundamental procurement-law principles of transparency, competition, equal treatment and economic efficiency must be observed at every stage.

Phases of the procurement process

The public procurement process can be divided into five main phases.

Phase 1: Needs assessment and planning

In the planning phase, the contracting authority determines what is to be procured, why and when.

Key activities:

• Identification of the specific procurement need
• Budget planning and reservation of budgetary funds
• Definition of the subject matter of the procurement (supply, works or service contract)
• Estimation of the contract value to determine the applicable type of procedure
• Examination of alternative procurement routes (in-house performance, central purchasing body)
• Conduct of market exploration (optional, but recommended)

Phase 2: Preparation of the procurement procedure

In the preparation phase, all documents required for the procurement procedure are produced.

Key activities:

• Drafting the specifications
• Determination of the type of procedure (open procedure, negotiated procedure etc.)
• Definition of the suitability criteria and the award criteria
• Drafting the contract terms (BVB, ZVB)
• Establishing the schedule and deadlines
• Internal approvals (procurement record, budget approval)

Phase 3: Conduct of the procurement procedure

The procurement procedure itself begins with the publication of the contract notice and ends with the award of contract.

Key activities:

• Publication of the contract notice
• Provision of the procurement documents
• Answering bidder questions
• Receipt and opening of tenders
• Suitability assessment of bidders
• Examination and evaluation of tenders
• Award decision and notification
• Observance of the standstill period
• Contract conclusion

Phase 4: Contract management and performance

After the award, the phase of contract performance begins, during which the contracting authority supervises and accepts the service.

Key activities:

• Commissioning and project start
• Performance monitoring and quality assurance
• Contract amendments (only under strict procurement-law conditions)
• Acceptance of the service
• Invoice verification and authorisation

Phase 5: Documentation and follow-up

Conclusion and documentation of the procurement transaction are mandatory under procurement law and budgetary law.

Key activities:

• Procurement documentation (procurement record) for at least five years
• Final evaluation (lessons learned)
• Statistical reports (procurement statistics)
• Publication of the contract award notice

Procurement documentation

Complete documentation of the entire procurement process is a core obligation of the public contracting authority.

§ 8 VgV and Art. 84 of Directive 2014/24/EU oblige the contracting authority to document the course of each procurement procedure in a procurement record. This must be retained for at least five years and is intended to enable review bodies, courts of auditors and, where applicable, law enforcement authorities to carry out checks.

FAQ

What is the difference between procurement process and procurement transaction? "Procurement process" denotes the typical, abstract workflow (phase model), whereas "procurement transaction" refers to the specific individual case – a particular procurement by a particular contracting authority.

From when must a procurement process be documented? The documentation obligation starts with the decision to initiate a procurement procedure and covers all essential steps up to contract conclusion.

Can the procurement process be digitalised? Yes, e-procurement has been mandatory in the above-threshold area since 2018. Digital procurement platforms support the entire process, from the notice through electronic tender submission to digital communication.

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Last updated: January 2026 All information without guarantee. For legally binding advice, please consult a law firm specialised in procurement law.