Eureka Case 25 min Operations

Oxygen Before Winter

You are Renata Bittencourt, procurement officer of the Municipal Health Secretariat of Vale Verde, in the interior of São Paulo state. The vendor that delivers oxygen to 1,900 patients at home has just defaulted mid-contract, and the winter respiratory surge arrives in 63 days. Today you choose the legal route by which you will re-let the service.

The situation

It is 9 March 2026. The lapsed contract covered oxygen, respiratory-equipment rental and home delivery for chronic and recently discharged patients: R$22 million over twelve months. Two years ago it went to the lowest bid, with no service-level agreements and thin monitoring. On-time delivery slid to 84% before the default, while clinical guidance requires at least 98% for oxygen-dependent patients. Each point below that line means roughly 19 patients at risk.

The calendar is the tightest constraint. The new vendor must be awarded and mobilised by day 49 to be up to speed for the surge on day 63, and every week of delay adds about R$140,000 in avoidable emergency admissions. Brazil's Lei 14.133/2021 offers you several routes with very different timelines and audit trails: the traditional lowest-price pregão, for example, usually takes 75 to 90 days.

You spent nine years at the state audit court reviewing contracts like this one, and for three years you have run a 22-person unit that handles about 1,100 contracts a year. The secretariat has spent two years on that court's watch list over slow, lowest-price awards. The mayor has been blunt: he wants proof that the city can buy fast without losing the ability to answer for itself. Every criterion you write will be public.

Your job in this case: look at the clock, the service gap and the money at stake, work out what each week of calendar costs, and choose the legal route for re-letting the service. The decision fixes your calendar from now to the surge.

The decision

Which legal route do you use to re-let the oxygen contract?

  • A · Técnica e preço: compete on quality and price
  • B · Pregão: the lowest-price route auditors know
  • C · Diálogo competitivo: shape the service with bidders

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The data, the calculations, the decision itself and what happens next open with your institution's access code.

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