Business, Management and Accounting Strategy and Management

Public Procurement and Policy

Description

This cluster of papers explores the role of public procurement in driving innovation, sustainability, and social outcomes. It discusses the use of demand-side policies, green procurement practices, and policy instruments to promote innovation and sustainable development. The cluster also emphasizes the impact on small businesses, supply chain management, and the success of market-driven innovations.

Keywords

Public Procurement; Innovation; Sustainable Procurement; Demand-side Policies; Green Procurement; Small Businesses; Supply Chain Management; Social Procurement; Policy Instruments; Market Success

Part 1 Major concepts and ideas. Part 2 The organization and strategy. Part 3 Use of Strategic management in the three sectors. Part 4 Private sector. Part 5 Public sector. … Part 1 Major concepts and ideas. Part 2 The organization and strategy. Part 3 Use of Strategic management in the three sectors. Part 4 Private sector. Part 5 Public sector. Part 6 The nonprofit sector.
SECTION ONE: UNDERSTANDING THE PROCUREMENT AND SOURCING PROCESS. Introduction to Purchasing. The Purchasing Process. Purchasing Organization. Purchasing Policy and Procedures. Purchasing as a Boundary Spanning Function. SECTION TWO: STRATEGIC SUPPLY … SECTION ONE: UNDERSTANDING THE PROCUREMENT AND SOURCING PROCESS. Introduction to Purchasing. The Purchasing Process. Purchasing Organization. Purchasing Policy and Procedures. Purchasing as a Boundary Spanning Function. SECTION TWO: STRATEGIC SUPPLY MANAGEMENT. Procurement and Sourcing Strategy Development. Insourcing/Outsourcing. Supplier Evaluation and Selection. Supplier Quality Management. Supplier Management and Development. Global Sourcing. SECTION THREE: APPROACHES FOR MANAGING THE PROCUREMENT AND SOURCING PROCESS. Purchasing Tools and Techniques. Cost/Price Analysis. Negotiation. Managing Contracts. SECTION FOUR: ACTIVITIES THAT SUPPORT THE PROCUREMENT AND SOURCING PROCESS. Legal Issues and Purchasing Contracts. Inventory Management for Purchasers. Purchasing and Transportation. Purchasing Information Systems. Performance Measurement and Evaluation. SECTION FIVE: FUTURE DIRECTIONS. Future Trends: Purchasing and Sourcing Strategy.
This article claims that there is a need for a new form of innovation in the public sector because bureaucratic (closed) ways of innovating do not yield the quantity and … This article claims that there is a need for a new form of innovation in the public sector because bureaucratic (closed) ways of innovating do not yield the quantity and quality of innovations necessary to solve emergent and persistent policy challenges. Based on these shortcomings the article defines a set of criteria, which a suitable form of public sector innovation needs to fulfill. The article shows that collaborative innovation meets these criteria because it opens the innovation cycle to a variety of actors and taps into innovation resources across borders, overcomes cultural restrictions and creates broad socio-political support for public sector innovation. The article highlights risks and issues associated with collaborative innovation and that the concept should not be discarded on these grounds since there is no suitable alternative to tackle emergent and persistent challenges. Finally, the article suggests capacities, which government needs to develop to successfully implement collaborative innovation. However as research on innovation in the public sector is rather thin the article suggests a map for further research to substantiate the role of collaborative innovation in the public sector.
Innovation is essential to the improvement of public services; it is not an optional luxury but needs to be institutionalized as a deep value. This article presents a framework for … Innovation is essential to the improvement of public services; it is not an optional luxury but needs to be institutionalized as a deep value. This article presents a framework for thinking and action to foster higher levels of successful innovation in the public sector. The major barriers to innovation in the public sector are identified. Finally, some immediate and practical steps which government departments and public service organizations could take to foster innovation are described.
Purpose This study aims to investigate sustainable procurement in the UK public sector. Design/methodology/approach Sustainable procurement is investigated using a questionnaire that draws on established scales for “purchasing social responsibility”. … Purpose This study aims to investigate sustainable procurement in the UK public sector. Design/methodology/approach Sustainable procurement is investigated using a questionnaire that draws on established scales for “purchasing social responsibility”. The survey was administered across the UK public sector, and 106 responses were received from procurement officers. Findings Analysis of quantitative and qualitative survey data reveal there is significant variation across public sector agencies in the nature of sustainable procurement practice. Local authorities have a particularly strong emphasis on buying from local and small suppliers relative to other sectors, health looks generally lower in many categories, and education appears to have something of an emphasis on environmental aspects of sustainable procurement. Cost has been found to be the leading barrier to sustainable procurement, and top management support the leading facilitator. Research limitations/implications There is likely to be selection bias in the sample, with those practitioners engaging in the sustainability agenda being more likely to have responded to the questionnaire. The United Kingdom government has an objective amongst the leaders in Europe on sustainable procurement by 2009, and early signs are encouraging that progress towards this goal is underway. Originality/value This paper provides the first survey of sustainable procurement practices across the UK public sector. It also provides a conceptual framework of influences upon the propensity to engage in sustainable procurement practice.
Purpose While the contribution of supply chain management to sustainability is receiving increasing attention in the private sector, there is still a scarcity of parallel studies of public procurement. Hence … Purpose While the contribution of supply chain management to sustainability is receiving increasing attention in the private sector, there is still a scarcity of parallel studies of public procurement. Hence the purpose of this paper is to explore the ways in which local government authorities in England use their procurement function to foster sustainable development. Design/methodology/approach The paper uses an exploratory approach. Based on a review of the existing literature, qualitative research into leading local government authorities is undertaken to draw out the multiple ways in which public procurement can support sustainable development. Findings At an aggregate level, local government procurers have adopted a wide range of initiatives to address all three aspects of sustainability. These are condensed into a typology of sustainable supply chain management for the public sector. Research limitations/implications The study highlights the importance of supporting factors, like transparency, organisational culture and strategy as well as leeway in public policy, for sustainable supply chain management in the public sector. Practical implications The experience of the best practice local authorities deserves wider recognition among practitioners, policy makers and academic researchers, not least given the objective of the UK government to be among the leaders in the European Union on sustainable procurement by 2009. Originality/value The proposed typology of sustainable supply chain management for the public sector can serve as a basis for future research in this area.
Purpose Public bodies are being encouraged to procure sustainably, to reduce their social and environmental footprint and in order to stimulate sustainability in the private sector. However, little is known … Purpose Public bodies are being encouraged to procure sustainably, to reduce their social and environmental footprint and in order to stimulate sustainability in the private sector. However, little is known about how public sector organisations internationally are responding to this encouragement or of the conditions that are most conducive to sustainable procurement (SP). The purpose of this paper is to address these gaps in our knowledge so as to inform policy development at the government and organisational levels. Design/methodology/approach The authors report the findings of a survey of SP practices within a sample of over 280 public procurement practitioners from 20 countries and with collective responsibility for expenditure totalling $45bn p.a. Findings The authors' analysis shows that some SP practices are evident in public sector procurement practice and that the extent and nature of SP practices varies significantly across regions. In addition, the authors highlight the main facilitators of, and barriers to, engagement with SP and investigate their importance for engagement with particular dimensions of SP. Research limitations/implications Survey respondents are volunteers and may to some degree be more interested in, or engaged with, SP than other public sector organisations. The analysis is cross‐sectional and therefore provides only a snapshot of SP practice in the public sector organisations studied. Practical implications The paper identifies how policy and practice in SP vary across regions, providing practical insights into whether and how government policies are being implemented around the world. Originality/value The paper provides the first systematic and comprehensive insight into how public bodies are implementing SP internationally and of the major situational factors that are shaping engagement with SP. The authors evaluate the current effectiveness of policy initiatives regarding SP and highlight the organisational catalysts and inhibitors of greater involvement in SP.
The public sector has traditionally been considered inhospitable to innovation, particularly innovations initiated by middle managers and front‐line staff. Unlike the private sector, the public sector is characterized by asymmetric … The public sector has traditionally been considered inhospitable to innovation, particularly innovations initiated by middle managers and front‐line staff. Unlike the private sector, the public sector is characterized by asymmetric incentives that punish unsuccessful innovations much more severely than they reward successful ones, by the absence of venture capital to seed creative problem solving, and by adverse selection by innovative individuals against public service careers. A growing body of evidence based on applications to innovation awards reveals that, despite this inhospitable environment, frontline public servants and middle managers are responsible for many innovations. In addition, some public sector organizations have consistently produced a large number of innovations. Draws on this evidence to suggest ways of enhancing public sector organizations’ capacity for innovation.
Abstract Public procurement accounts for a significant proportion of overall demand for goods and services and is increasingly seen as an attractive and feasible instrument for furthering the goals of … Abstract Public procurement accounts for a significant proportion of overall demand for goods and services and is increasingly seen as an attractive and feasible instrument for furthering the goals of innovation policy. However, public procurement is already expected to address a wide range of social goals. Much of the current debate about harnessing procurement to promote innovation draws upon a limited set of examples which are not representative of the bulk of public purchasing and tend to downplay diversity in procurement practices and in the types of goods and services procured. They also downplay diversity in the nature of innovations and in the range of ways that procurement can impact upon innovation. A one-size-fits-all model is unlikely to work across all procurement contexts yet all types of public procurement are likely to have impacts upon innovation by shaping the demand environment in which suppliers innovate and compete. We propose a framework and typology based on the nature of the goods and services procured in order to explore the potential impacts upon markets and innovation of each. We conclude that public purchasing should first and foremost remain concerned with proximate public policy goals and that, rather than trying to co-opt public procurement into the innovation policy toolbox, policy-makers should focus on promoting innovation-friendly practices across all types of procurement at all levels of governance. Acknowledgement The authors would like to acknowledge the financial support of the National Endowment for Science, Technology and the Arts (NESTA). Notes Howells Citation(1997) reiterates the idea that the conceptualization around the market-pull vs. technology-push dilemma is flawed and differentiates between the concepts of "use", "need" and "intended use" to better understand the technology-market matching process. Debates within the public procurement world are often focused on innovation in procurement, that is change or innovation in the procurement process itself. Indeed, innovation in procurement processes may be an essential precursor to the active use of public procurement to stimulate innovation in suppliers and the wider economy. However, there exists the potential for terminological confusion between "innovative procurement" and "innovation in procurement" between the innovation policy and the public procurement discourses. A point also noted by Edquist et al. Citation(2000) who acknowledge that for effective technology procurement to take place a high concentration of buying power and a comprehensive "articulation of demand" may be necessary. Levinson Citation(2006) argues that the early adoption of containerized shipping by the US military to solve logistics problems associated with the war in Vietnam created both a powerful demonstrator effect and provided an opportunity for entrepreneurs to kick-start the importing of Japanese consumer products into the American market by filling up the empty containers returning across the Pacific to the USA. Insofar as there is a trend here, it is towards increased variety as the various manifestations of decentralization and the "New Public Management" continue to make themselves felt. The purchasing portfolio approach is allegedly widely used by major companies. Despite its popularity, there are few studies providing evidence on their actual use (for a review and critique of purchasing portfolio approaches, see Gelderman and Weele Citation(2005)). There is also little evidence on the use of this technique by public procurers, despite such supply portfolio or positioning matrices being a frequent component of public procurement strategies at national and local authority level in the UK). For items where the company plays a dominant market role vis-a-vis the supplier, the company should "exploit" this advantage. If the supplier's strength outweights the company's, the company should look for material substitutes or new suppliers ("diversify"). For items with neither major visible risks nor benefits, the company should pursue a "balance" intermediary strategy (Kraljic, Citation1983). Article 29 of the EC 2004 Public Sector Procurement Directive introduced the concept of competitive dialogue, which allows better information flow in designing complex public contracts, and an opportunity for bidders to develop alternative proposals in response to a client's outline requirements. Storper's (Citation1997, p. 112) use of the term world of production is meant to "convey the interlinkage of people, organizations, objects, and ideas" associated with each product. Abernathy and Clark provide the example of the Ford model T, which was a creative synthesis of diverse design concepts with the integration of new electrical technology and engine design. The success of the car was assisted by its durable design together with its sufficiently low cost to permit the development of a mass market. This would also be the case if incentives related to intellectual property are mismanaged.
Public procurement is increasingly viewed as having important potential to drive innovation. Despite this interest, numerous barriers prevent the public sector from acting as an intelligent and informed customer. This … Public procurement is increasingly viewed as having important potential to drive innovation. Despite this interest, numerous barriers prevent the public sector from acting as an intelligent and informed customer. This paper seeks to understand how barriers related to processes, competences, procedures and relationships in public procurement influence suppliers׳ ability to innovate and to reap the benefits of innovation. We address this by exploiting a dedicated survey of public sector suppliers in the UK, using a probit model to investigate the influence of structural, market and innovation determinants on suppliers׳ perception of these barriers. The main barriers reported by suppliers refer to the lack of interaction with procuring organisations, the use of over-specified tenders as opposed to outcome based specifications, low competences of procurers and a poor management of risk during the procurement process. Such barriers are perceived most strongly by R&D intensive organisations. Our results also indicate that certain organisations, particularly smaller firms and not-forprofit organisations, encounter greater difficulties with innovation arising from the procurement process, for instance in relation to contract size, lack of useful feedback and communication of opportunities. Government procurement policies are queried in light of the findings.
Abstract Managing contracts is a complex process, often exacerbated by high transaction costs inherent in negotiating, implementing, and monitoring contract relationships with vendors. Through analyses of data from a 1997 … Abstract Managing contracts is a complex process, often exacerbated by high transaction costs inherent in negotiating, implementing, and monitoring contract relationships with vendors. Through analyses of data from a 1997 International City/County Management Association survey of municipal and county governments, the way in which municipal and county governments respond to transaction cost factors inherent in contract service delivery is examined. The results of the analyses demonstrate that when governments contract for services in contexts that risk contract failure, they engage in a variety of monitoring techniques to improve their ability to monitor and correct vendor performance. © 2003 by the Association for Public Policy Analysis and Management.
The purchasing function in many United States‐based firms traditionally has maintained adversarial relationships with suppliers. As world markets become increasingly competitive, firms have discovered that close partnership relationships with important … The purchasing function in many United States‐based firms traditionally has maintained adversarial relationships with suppliers. As world markets become increasingly competitive, firms have discovered that close partnership relationships with important suppliers can produce managerial, technological, and financial benefits. This article presents a guide for firms interested in developing purchasing partnerships to follow in pursuit of those relationships. While this guide has not been empirically tested, it was developed on the basis of a thorough literature review coupled with the consistent findings of the author while conducting case studies of six firms involved in successful purchasing partnerships. The article concludes by suggesting the contribution that purchasing partnerships can make to the firm as a whole, as well as to the purchasing function of the firm.
Journal Article Contracting out by the public sector: theory, evidence, prospects Get access S Domberger, S Domberger Graduate School of Business, University of Sydney, Australia Search for other works by … Journal Article Contracting out by the public sector: theory, evidence, prospects Get access S Domberger, S Domberger Graduate School of Business, University of Sydney, Australia Search for other works by this author on: Oxford Academic Google Scholar P Jensen P Jensen Graduate School of Business, University of Sydney, Australia Search for other works by this author on: Oxford Academic Google Scholar Oxford Review of Economic Policy, Volume 13, Issue 4, December 1997, Pages 67–78, https://doi.org/10.1093/oxrep/13.4.67 Published: 01 December 1997
Public procurement is increasingly seen as an important potential instrument of innovation policy. However, policy design has been underpinned largely by anecdotal evidence and without a clear theoretical or empirical … Public procurement is increasingly seen as an important potential instrument of innovation policy. However, policy design has been underpinned largely by anecdotal evidence and without a clear theoretical or empirical basis for understanding how supplying to the public sector actually influences a firm's innovation capabilities and performance and in what ways desirable behaviour and outcomes can be promoted. This paper seeks to address the basis of innovation procurement policy. It establishes a broad taxonomy of procurement policies and instruments that have emerged in OECD countries in response to perceived deficiencies and then compares these with the perceptions of firms using an analysis of a dedicated survey of 800 public sector suppliers in the UK. It is observed that policy measures include the creation of framework conditions, establishing organisational frameworks and developing capabilities, identifying, specifying and signalling needs, and incentivising innovative solutions. The survey findings confirm that the barriers encountered by firms correspond to the deficiencies addressed by policies but do not address them sufficiently. This arises from lack of coverage, lack of ownership by purchasers, failure to address the whole cycle of acquisition and to address risk aversion. The scope of policy measures needs to be extended in time, breadth of reach and depth.
Over the past few years purchasing and supply management has been increasingly accepted as a key area for the improvement of a company's competitive advantage. Purchasing and Supply Chain Management … Over the past few years purchasing and supply management has been increasingly accepted as a key area for the improvement of a company's competitive advantage. Purchasing and Supply Chain Management introduces the reader to the key principles underlying purchasing and supply management. It provides them with an in-depth discussion of purchasing and supply issues both from a strategic and managerial perspective. Views on purchasing issues are, when possible, illustrated with research results from national and international specialist literature. This new edition includes new material on the value of Internet for purchasing market research, developing new leveraged purchasing strategies and portfolio management, how to get better results from suppliers, developing cost models and procurement and the EC-Directives.
Abstract The use of public procurement to achieve social outcomes is widespread, but detailed information about how it operates is often sketchy and difficult to find. This article is essentially … Abstract The use of public procurement to achieve social outcomes is widespread, but detailed information about how it operates is often sketchy and difficult to find. This article is essentially a mapping exercise, describing the history and current use of government contracting as a tool of social regulation, what the author calls the issue of ‘linkage’. The article considers the popularity of linkage in the 19 th century in Europe and North America, particularly in dealing with issues of labour standards and unemployment. The use of linkage expanded during the 20 th century, initially to include the provision of employment opportunities to disabled workers. During and after World War II, the use of linkage became particularly important in the United States in addressing racial equality, in the requirements for non‐discrimination in contracts, and in affirmative action and set‐asides for minority businesses. Subsequently, the role of procurement spread both in its geographical coverage and in the subject areas of social policy that it was used to promote. The article considers examples of the use of procurement to promote equality on the basis of ethnicity and gender drawn from Malaysia, South Africa, Canada, and the European Community. More recently, procurement has been used as an instrument to promote human rights transnationally, also by international organizations such as the International Labour Organisation. The article includes some reflections on the relationship between ‘green’ procurement, ‘social’ procurement, and sustainable development, and recent attempts to develop the concept of ‘sustainable procurement.’
Understanding the changes and trends affecting purchasing requires replacing anecdotal evidence with research‐based observations. Using data collected annually from leading firms worldwide, this article details the real and projected changes … Understanding the changes and trends affecting purchasing requires replacing anecdotal evidence with research‐based observations. Using data collected annually from leading firms worldwide, this article details the real and projected changes and trends that have affected and will continue to affect purchasing and sourcing professionals. These changes and trends appear within seven areas: (1) performance improvement requirements, (2) supplier and purchasing/sourcing importance, (3) organization, (4) systems development, (5) performance measurement, (6) supply base management, and (7) purchasing responsibilities and activities. A lack of awareness concerning these trends by purchasing professionals limits their ability to anticipate change and respond in a way that will create competitive advantage for their organization.
Abstract This research provides an overview of CSR practices in Asia, evaluates the usefulness of codes of conduct, reviews the benefits of CSR in supply chains and reviews obstacles for … Abstract This research provides an overview of CSR practices in Asia, evaluates the usefulness of codes of conduct, reviews the benefits of CSR in supply chains and reviews obstacles for companies wishing to adopt good CSR practices. In order to achieve this, interviews were undertaken with CSR managers, factory managers and other experts, conducted in confidence and anonymously. Codes of conduct and associated inspections and audits are common practice but in most cases flawed. Labour issues and the rights of workers are generally seen as the most important aspect of CSR in the region. Benefits of CSR include risk reduction, staff recruitment and retention, cost savings and building good relationships with stakeholders. Obstacles include a lack of resources and skills, a lack of awareness of stakeholders' demands and inefficient production techniques. It is noted that larger firms are more able to overcome such obstacles, with clear adverse implications for smaller companies. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.
Empirical evidence shows local government contracting is a dynamic process that includes movements from public delivery to markets and from market contracts back to in-house delivery. This “reverse contracting” reflects … Empirical evidence shows local government contracting is a dynamic process that includes movements from public delivery to markets and from market contracts back to in-house delivery. This “reverse contracting” reflects the complexity of public service provision in a world where market alternatives are used along with public delivery. We develop a methodology to link responses to national surveys and create a longitudinal data set that captures the dynamics of the contracting process. We present a framework that incorporates principal agent problems, government management, monitoring and citizen concerns, and market structure. Our statistical analysis finds government management, monitoring, and principal agent problems to be most important in explaining both new contracting out and contracting back-in. Professional managers recognize the importance of monitoring and the need for public engagement in the service delivery process. The results support the new public service that argues public managers do more than steer a market process; they balance technical and political concerns to secure public value.
The article reports on technological innovations that have the capability of transforming industries. The author focuses on examining the aforementioned technology from the viewpoints of professionals working in the industries … The article reports on technological innovations that have the capability of transforming industries. The author focuses on examining the aforementioned technology from the viewpoints of professionals working in the industries that the innovations are capable of transforming. The results of a study examining the effects technological innovations have had on industries including the steam locomotive industry, the fountain pen industry, and the safety razor industry are examined. In each of these cases, existing technology was forced to compete with newer technology. Sales statistics from each industry are examined to determine the effect of innovation adoption.
Academically, public procurement has been a neglected area of study even though governmental entities and public procurement practitioners have diligently worked to improve public procurement practices. This article will identify … Academically, public procurement has been a neglected area of study even though governmental entities and public procurement practitioners have diligently worked to improve public procurement practices. This article will identify common elements of public procurement knowledge through a brief analysis of the literature and will provide a summary of government efforts to improve public procurement practices. In addition, this article will comprehensively re-examine public procurement by using a systems approach as a method of inquiry. Finally, implications of the proposed public procurement system regarding future research and study will be discussed.
Abstract In September 2015, world leaders gathered in New York to endorse the Sustainable Development Goals (SDGs): Ban Ki‐moon asserts that the SDGs signal a ‘paradigm shift for people and … Abstract In September 2015, world leaders gathered in New York to endorse the Sustainable Development Goals (SDGs): Ban Ki‐moon asserts that the SDGs signal a ‘paradigm shift for people and the planet’ (UN : para. 24). Significantly, under this new agenda there are expectations that businesses, government and civil society actors will be equally responsible for progressing a more sustainable path forward. Many assert that the private sector has particular strengths to bring to bear in delivering on the SDGs, including innovation, responsiveness, efficiency and provision of specific skills and resources. Interestingly, the business sector had a strong role in influencing development of the SDGs. In this paper we discuss the challenge being put forth to business actors by the SDGs, reflecting on both the potential for more sustainable and responsible practices and on the limits to change. Copyright © 2016 John Wiley & Sons, Ltd and ERP Environment
Three approaches to innovation in the public sector in the post war period are identified and analysed for their implications for policy-makers, managers and citizens. Various relationships are identified between … Three approaches to innovation in the public sector in the post war period are identified and analysed for their implications for policy-makers, managers and citizens. Various relationships are identified between innovation and improvement in public services. The traditional bias of the literature that innovation is necessarily functional is undermined. Important lessons for policy, practice and research include the need to develop an understanding of innovation which is not over-reliant on the private sector manufacturing literature but reflects the distinctive contexts and purposes of the public sector.
Contracting out has become a popular method of simultaneously reducing government expenditures and improving the efficiency of government services.(1) Proponents of privatization can point to the apparent satisfaction of most … Contracting out has become a popular method of simultaneously reducing government expenditures and improving the efficiency of government services.(1) Proponents of privatization can point to the apparent satisfaction of most government decision makers in achieving the dual aims of economy and efficiency, which in turn has spurred on new contracting-out initiatives.(2) Such Structural Changes in government operations can be highly beneficial and deserve to be emulated, provided that these initiatives have been properly evaluated and their limits thoroughly understood. Unfortunately, in the case of contracting out, the benefits have been trumpeted loudly while its weaknesses have been muted. To some extent, this imbalance reflects the absence of a systematic treatment of the advantages and hence the limits of outsourcing. In this article, which supports outsourcing as a vital financial tool in the hands of government authorities, I examine contracting out in a private sector context to determine the sources of its alleged cost-savings. This will facilitate abstracting the essential lessons that can be transferred from the private sector to the public sector. One conclusion will emerge quite dearly: Contracting out is not a panacea. Indeed, at times, instead of stemming the flow of budgetary red ink, it will intensify the hemorrhage. Contracting Out in the Private Sector A business firm can acquire the resources it needs for producing its output by producing them itself, acquiring them from the marketplace on an ad hoc basis, or turning to designated suppliers. The firm will typically buy an input on the market when that resource is not unique and is readily available at acceptable prices. However, the options narrow to contracting out versus self-production when the firm anticipates supply constraints, unacceptable pricing, or unique specifications. It is this constrained choice--produce in-house or out--that needs to be understood. In fact, no private business firm is so integrated that it produces all the resources it uses. Companies typically out for physical inputs, intermediate or component products, and services used in producing the few goods or services in which the firm specializes. Furthermore, because the typical business firm is geared up for undertaking a limited number of primary activities, secondary functions are relegated to outside contractors. Finally, firms rely on contractors rather than permanent staff and facilities to meet temporary needs. These generalized statements can be easily illustrated with a simple service provider such as an automobile repair facility. The master mechanic who owns a typical small shop repairs vehicles with the assistance of a few mechanics. Parts supplies are normally obtained on an as-needed basis from a few distributors, relying on the competitive local parts market. Outsourcing is routine as well and might be resorted to when demand overwhelms the facility's capacity. The shop might out activities that require special skills and equipment such as wheel alignments or transmission repairs. (Although such contracts may be informal, an implicit that builds on a long-lasting relationship based on mutual trust may be treated for all practical purposes as a formal contract.) Other relationships, such as a service with a photocopier or computer repair service, stem from secondary functions, in this case running the business side of the operation in an office equipped with machinery that is prone to malfunction. So, too, will the shop have a with a health maintenance organization to cover the medical outlays of the owner and staff. Finally, outside architects and construction crews will manage plant modernization plans and their execution. Similarly, a retained attorney will handle the occasional legal brief and an accountant will file the periodic tax forms. This illustration, however, begs the contract out versus in-house production question. …
Research Summary: This study examines whether corporate social responsibility (CSR) improves firms’ competitiveness in the market for government procurement contracts. To obtain exogenous variation in firms’ social engagement, I exploit … Research Summary: This study examines whether corporate social responsibility (CSR) improves firms’ competitiveness in the market for government procurement contracts. To obtain exogenous variation in firms’ social engagement, I exploit a quasi‐natural experiment provided by the enactment of state‐level constituency statutes, which allow directors to consider stakeholders’ interests when making business decisions. Using constituency statutes as instrumental variable (IV) for CSR, I find that companies with higher CSR receive more procurement contracts. The effect is stronger for more complex contracts and in the early years of the government‐company relationship, suggesting that CSR helps mitigate information asymmetries by signaling trustworthiness. Moreover, the effect is stronger in competitive industries, indicating that CSR can serve as a differentiation strategy to compete against other bidders. Managerial Summary: This study examines how companies can strategically improve their competitiveness in the market for government procurement contracts—a market of economic importance (15–20% of GDP). It shows that companies with higher social and environmental performance (CSR) receive more procurement contracts. This effect is stronger for more complex contracts, in the early years of the government–company relationship, and in more competitive industries. These findings indicate that firms’ CSR can serve as a signaling and differentiation strategy that influences the purchasing decision of government agencies. Accordingly, managers operating in the business‐to‐government (B2G) sector could benefit from integrating social and environmental considerations into their strategic decision making.
This is the ground-breaking new book for aspiring purchasing and supply chain leaders and anyone with a keen interest in this rapidly evolving field. For too long business has focused … This is the ground-breaking new book for aspiring purchasing and supply chain leaders and anyone with a keen interest in this rapidly evolving field. For too long business has focused on short-term cost advantages through low-cost country sourcing with little regard for the longer-term implications of global sustainability. As the first book to fully address the environmental, social and economic challenges of how companies manage purchasing and supply chains, it aims to inspire the development of current and future purchasing and supply chain leaders. In addition to explaining the basic principles and processes of both purchasing and supply chain management, the book evaluates how to develop strategic and sustainable purchasing and supply chain management. A key message is that purchasing and supply chain management needs to focus on value creation rather than cost cutting. This requires the development of completely new purchasing and supply chain models that involve closed-loop supply structures, supply chain transparency and collaboration with new stakeholders in traditional sourcing and supply chain processes. Aimed at students, educators and practitioners the book integrates sustainability into each chapter as a core element of purchasing and supply chain management. Incorporating case studies from industry into each chapter, the book strikes a balance between theoretical frameworks and guidelines for implementation in practice.
The purchasing function of U.S. manufacturing firms has long relied on price‐driven tactics to acquire an uninterrupted flow of intermediate‐products from suppliers. These tactics help reduce direct material costs for … The purchasing function of U.S. manufacturing firms has long relied on price‐driven tactics to acquire an uninterrupted flow of intermediate‐products from suppliers. These tactics help reduce direct material costs for the buying firm, and allow the purchasing function to support the firm's strategic posture of overall cost leadership. Some purchasing managers, however, have begun to use “cooperative buyer/seller relationships” with a few preferred‐suppliers; this approach enhances the purchasing function's ability to support several strategic postures available to a manufacturing firm. Cooperative buyer/seller relationships allow purchasing managers to better manage the interdependent tasks of the buying and selling firms, and to become conduits of information between the manufacturing firm and its preferred‐suppliers. This article presents a general description of cooperative buyer/seller relationships, contrasts the attributes of such a relationship with traditional acquisition options (i.e., open market bargaining and vertical integration), and suggests the contributions to a firm's strategic posture available from cooperative buyer/seller relationships. While the findings presented in this article have not been tested empirically for their descriptive or predictive ability, they are based on data gathered from field interviews completed with 50 purchasing managers representing a cross‐section of organizational responsibilities and standard industrial codes.
Labour clauses in public procurement, which require contractors to provide their employees with a certain minimum level of wages and working conditions, have garnered increased political and scholarly attention in … Labour clauses in public procurement, which require contractors to provide their employees with a certain minimum level of wages and working conditions, have garnered increased political and scholarly attention in recent years. However, much of the discussion has centred on legal provisions, with less consideration given to the intricacy of how these clauses are implemented and integrated within existing wage-setting systems. This article focuses on the implementation and enforcement of labour clauses and their interaction with collective bargaining systems in two countries, Denmark and Germany, which continue to rely relatively strongly on collective agreements. Drawing on four case studies, we explore the challenges that arise from the implementation of labour clauses, such as tensions between economic and social policy objectives and between state regulation and collective agreements. These cases underscore the importance of learning processes among public authorities and social partners in trying to address these tensions and ensuring decent working conditions in publicly procured work.
Konstrukcja prawna oferty przetargowej w sferze zamówień publicznych ciągle budzi jeszcze wątpliwości i niepewności interpretacyjne w bieżącej praktyce i orzecznictwie, na tle niezbyt jasnych rozwiązań ustawowych. Trudności dotyczą nawet granic … Konstrukcja prawna oferty przetargowej w sferze zamówień publicznych ciągle budzi jeszcze wątpliwości i niepewności interpretacyjne w bieżącej praktyce i orzecznictwie, na tle niezbyt jasnych rozwiązań ustawowych. Trudności dotyczą nawet granic subsydiarnego stosowania przepisów Kodeksu cywilnego względem regulacji odrębnej zawartej w Pzp. Dlatego przy ich usuwaniu priorytetowe znaczenie mają reguły wykładni systemowej oraz funkcjonalnej. W artykule przedstawiono rozwiniętą charakterystykę kluczowych elementów oferty przetargowej, niektórych na tle rozwiązań obcych, przede wszystkim z uwzględnieniem potrzeb rodzimej praktyki i orzecznictwa, a także z perspektywy nadchodzącej dyskusji nad nowelizacją niektórych dyspozycji zawartych w Pzp.
In the public sector, transparency is na importante instrument for controlling the allocation of public resources. In this context, the main objective of this studyis to analyze the contributions of … In the public sector, transparency is na importante instrument for controlling the allocation of public resources. In this context, the main objective of this studyis to analyze the contributions of a municipal controllership to the transparency of public procurement. To this end, qualitative and descriptive research was carried out on the implementation of the Internal Control Report on Management Accountability (RCIG) at the Municipal Government of Fortaleza (PMF). This paper aims to consolidate information relevant to municipal management, covering contracts, intended for external control. Documentary researchand a case study were carried out in a municipal controller's office. Primary data was collectedthrough a semi-structured questionnaire. The main result shows that the implementation of the RCIG strengthened transparency and internal control in public contracts, standardizing reports and identifying weaknesses in management. It is concluded that in addition to strengthening the municipal internal control network, the RCIG supports external control in the detection of municipal weaknesses, contributing to transparency in public contracts. This study’s results can improve public governance by optimizing transparency, reducing embezzlement and corruption, and improving resource management, thereby benefiting society.
Purpose Information sharing within the procurement process is considered crucial since most procurement activities and task performance are largely contingent on achieving organizational goals. With the advent of technology and … Purpose Information sharing within the procurement process is considered crucial since most procurement activities and task performance are largely contingent on achieving organizational goals. With the advent of technology and the inadequacy of it, information sharing has become a struggle in most developing nations. Hence, this study aims to investigate the impact of information sharing and management commitment on procurement performance within public procurement organizations. Design/methodology/approach Predicated on a comprehensive review of pertinent and extant literature, a pilot survey, questionnaire was administered to 150 procurement officers in various organizations directly involved in Ghana’s procurement supply chain. Using the resource-based theory, an examination of the roles of information sharing and management commitment on procurement performance in procurement companies; three (3) constructs were tested using a partial least square structural equation modeling approach. Findings The results revealed that information sharing and management commitment are key to improving procurement performance. This result suggests that management and policymakers should ensure that information shared in line with procurement dealings is well protected since major decisions are relied on to improve procurement performance. Practical implications The insight given in understanding the extent and nature of the influence of information sharing and management commitment on procurement performance in public organizations should inform actions and efforts to improve the procurement supply chain, particularly in the Ghanaian landscape. Originality/value The findings of the study indicate that the procurement performance of a firm is shaped by the extent of information sharing within the firm’s procurement chain. Hence, firms need to focus on timely, accurate and quality information sharing pertaining to the procurement processes, decisions and management to engender the required performance of procurement tasks and functions.
Transparency and compliance in the procurement process is vital for the financial sustainability and developmental progress of Kitwe City Council. The rationale behind this research was to establish the Transparency … Transparency and compliance in the procurement process is vital for the financial sustainability and developmental progress of Kitwe City Council. The rationale behind this research was to establish the Transparency and compliance of procurement processes in Kitwe City Council, the case study of goods and services. The primary objectives of this study were threefold: To establish the procurement processes in in Kitwe City Council, to determine the Transparency and compliance of procurement processes in in Kitwe City Council, and to ascertain the challenges of procurement processes in in Kitwe City Council. The population for the study was 50 respondents both from Kitwe City Council and suppliers. The descriptive research design was employed because it is suitable for gathering qualitative and quantitative information. Simple random sampling was adopted to select members of the procurement committee and staff from various departments in the council. The data collection methods included primary and secondary data collection. Different data analysis techniques such as modeling to reach trend relationship were used. This approach provided a comprehensive assessment of the procurement process systems and their impacts on Kitwe City Council. The results of this study identified weaknesses the procurement management system. There is a need to review the structural and operational frameworks governing Kitwe City Council procurement process, tighten procurement staff training, strengthen legislative oversight and public audit functions, loose areas in procurement frameworks, institute transparency. The implications of this research are significant, contributing to a better understanding of how transparency and compliance in procurement can enhance the value for money.
Կազ­մա­կեր­պութ­յու­նը մարդ­կա­յին կյան­քի ան­բա­ժա­նե­լի ձև­ է. ժա­մա­նա­կա­կից մար­դը, որ­պես կա­նոն, կա՛մ աշ­խա­տող է, կա՛մ հա­րա­բե­րութ­յուն­նե­րի մեջ է մտնում կազ­մա­կեր­պութ­յան հետ, այ­սինքն՝ նա իր ժա­մա­նա­կի մեծ մասն անց­կաց­նում է հա­մա­գոր­ծակ­ցե­լով տար­բեր … Կազ­մա­կեր­պութ­յու­նը մարդ­կա­յին կյան­քի ան­բա­ժա­նե­լի ձև­ է. ժա­մա­նա­կա­կից մար­դը, որ­պես կա­նոն, կա՛մ աշ­խա­տող է, կա՛մ հա­րա­բե­րութ­յուն­նե­րի մեջ է մտնում կազ­մա­կեր­պութ­յան հետ, այ­սինքն՝ նա իր ժա­մա­նա­կի մեծ մասն անց­կաց­նում է հա­մա­գոր­ծակ­ցե­լով տար­բեր տե­սա­կի և մա­կար­դա­կի հա­րա­բե­րութ­յուն­նե­րում: Եվ բա­խումն ան­խու­սա­փե­լիո­րեն դառ­նում է այս փո­խազ­դե­ցութ­յան մի մա­սը: Ցան­կա­ցած կազ­մա­կեր­պութ­յու­նում, այդ թվում՝ բու­հե­րում, ան­խու­սա­փե­լի են բա­խում­նե­րը, քա­նի որ կազ­մա­կեր­պութ­յու­նը մարդ­կանց խումբ է, ո­րոնց գոր­ծու­նեութ­յու­նը գի­տակ­ցա­բար հա­մա­կարգ­ված է ընդ­հա­նուր նպա­տակ­նե­րին հաս­նե­լու հա­մար: Բա­խում­նե­րի ի­րա­կան նշա­նա­կութ­յու­նը և դե­րը մարդ­կանց կյան­քում կա­րող է ո­րոշ­վել հա­սա­րա­կութ­յան վրա դրանց ներ­գոր­ծութ­յան հետ­ևանք­նե­րի կամ ուղղ­վա­ծութ­յուն­նե­րի պար­զա­բան­մամբ կամ ո­րո­շա­կի ժա­մա­նա­կաշր­ջա­նում ա­ռան­ձին ո­լորտ­նե­րի վրա այդ բա­խում­նե­րի ազ­դե­ցութ­յամբ։ Բա­խում­նե­րի շար­ժա­ռիթ­նե­րի դե­րի ու նշա­նա­կութ­յան բա­ցա­հայ­տու­մը, հաղ­թա­հար­ման ու­ղի­նե­րի ո­րո­նումն ու կա­ռա­վա­րու­մը կար­ևոր հիմ­նախն­դիր է ցան­կա­ցած բու­հա­կան հա­մա­կար­գում։ Բա­խում­նե­րը բնա­կան են ցան­կա­ցած հա­մախմբ­ված սո­ցիա­լա­կան խմբում, այդ թվում՝ բու­հե­րում, որ­տեղ տե­ղի է ու­նե­նում տար­բեր մարդ­կանց, ար­ժեք­նե­րի, կար­ծիք­նե­րի և­ ըն­կա­լում­նե­րի հա­մակ­ցում։ Այս­պի­սի ի­րա­վի­ճակ­նե­րում ճիշտ կա­ռա­վար­ման ռազ­մա­վա­րութ­յուն­նե­րը կա­րող են նպաս­տել ոչ միայն բա­խում­նե­րի լուծ­մա­նը, այլև ընդ­հա­նուր մի­ջա­վայ­րի բա­րե­լավ­մա­նը: Այս նպա­տա­կով հոդ­վա­ծում ա­ռա­ջարկ­վել է ե­ռա­չափ հար­թութ­յու­նով բու­հե­րում բա­խում­նե­րի կա­ռա­վար­ման մո­դել։
This study aimed to investigate the vital role and impact of technical audits in promoting sustainable infrastructure development in Tanzania. The role and effects of technical audits in long-term infrastructure … This study aimed to investigate the vital role and impact of technical audits in promoting sustainable infrastructure development in Tanzania. The role and effects of technical audits in long-term infrastructure development were studied using a mixed-methods approach with both quantitative and qualitative parts. Data were collected through analysis of technical audit documentation, a semistructured questionnaire, and stakeholder interviews. The study revealed the various dimensions of infrastructure investment projects, including initiation and planning, design, procurement of contractors and consultants, contract management, environment, health, and safety. The technical audit findings reported weaknesses or nonperformance issues in infrastructure planning at the national level and in infrastructure projects, programs, and portfolios at various stages of their lifecycle that need to be addressed. The implementation of governance approaches aims to address environmental, social, and economic impacts and achieve investment objectives. The audited entities received recommendations for improvements to address non performance issues. Furthermore, the timely implementation of these recommendations significantly contributed to the achievement of infrastructure development objectives. Based on the findings, the research concluded that technical audits play a significant role in promoting sustainable infrastructure development in Tanzania. The study recommended strengthening the institutional capacity of organisations overseeing technical audits by investing in training programs, professional development initiatives, and knowledge sharing platforms. These initiatives will help to improve the technical expertise and competency of auditors and project stakeholders, who will consequently benefit from the technical audit of infrastructure development.
This study aimed to investigate the vital role and impact of technical audits in promoting sustainable infrastructure development in Tanzania. The role and effects of technical audits in long-term infrastructure … This study aimed to investigate the vital role and impact of technical audits in promoting sustainable infrastructure development in Tanzania. The role and effects of technical audits in long-term infrastructure development were studied using a mixed-methods approach with both quantitative and qualitative parts. Data were collected through analysis of technical audit documentation, a semi- structured questionnaire, and stakeholder interviews. The study revealed the various dimensions of infrastructure investment projects, including initiation and planning, design, procurement of contractors and consultants, contract management, environment, health, and safety. The technical audit findings reported weaknesses or non- performance issues in infrastructure planning at the national level and in infrastructure projects, programs, and portfolios at various stages of their lifecycle that need to be addressed. The implementation of governance approaches aims to address environmental, social, and economic impacts and achieve investment objectives. The audited entities received recommendations for improvements to address non- performance issues. Furthermore, the timely implementation of these recommendations significantly contributed to the achievement of infrastructure development objectives. Based on the findings, the research concluded that technical audits play a significant role in promoting sustainable infrastructure development in Tanzania. The study recommended strengthening the institutional capacity of organisations overseeing technical audits by investing in training programs, professional development initiatives, and knowledge- sharing platforms. These initiatives will help to improve the technical expertise and competency of auditors and project stakeholders, who will consequently benefit from the technical audit of infrastructure development.
Incorporating stakeholders’ engagement is essential for the successful implementation and adoption of e-procurement in building construction projects across the Federal Capital Territory (FCT). As digital technologies revolutionise the construction industry, … Incorporating stakeholders’ engagement is essential for the successful implementation and adoption of e-procurement in building construction projects across the Federal Capital Territory (FCT). As digital technologies revolutionise the construction industry, e-procurement offers numerous benefits, including increased efficiency, transparency, cost savings, and streamlined procurement processes. However, achieving these advantages depends on the active involvement of key stakeholders, such as government agencies, construction firms, suppliers, policymakers, and technology providers. This study aims to explore the impact of stakeholders’ engagement on e-procurement adoption in the Federal Capital Territory (FCT). The study adopts mixed-methods in data collection and analysis. The participants are stakeholders involved in the e-procurement implementation within FCT Administration. The findings from the study revealed high correlation between stakeholders’ engagement and e-procurement adoption. The key obstacles to e-procurement adoption include resistance to change, insufficient technological infrastructure, inadequate digital literacy, and concerns about cybersecurity. Additionally, the study found that the advantages of e-procurement include shorter procurement cycle times, reduced risks of corruption, improved contract administration, and enhanced project efficiency. The study recommends stakeholders’ education, policy alignment, structured communication systems, and leadership support as strategies to address e-procurement implementation challenges. Collaboration is also emphasised to build trust and facilitate the widespread acceptance of digital procurement solutions. The study serves as a guide to top management towards the adoption of e-procurement.
Public procurement (PP) helps promote sustainable development and plays a strategic role in the economy of countries. The general objective of this research is to analyze the main antecedents, their … Public procurement (PP) helps promote sustainable development and plays a strategic role in the economy of countries. The general objective of this research is to analyze the main antecedents, their influences, and challenges in the sustainable acquisition and contracting of goods and services by public institutions through a quantitative and statistical approach based on the development of improvement proposals. The methodological aspects of this paper permeate the conceptual stage on the frontier of knowledge of antecedents in sustainable public procurement (SPP), which includes actors, strategies, barriers, and purposes. A conceptual framework and hypotheses arising from theory were developed and a survey was conducted among employees of higher education institutions (HEIs) in Brazil, and with structural equation modeling (SEM) an integrated model in sustainable public procurement (SPP) was structured. The results of the research validate the constructs in SPP and highlight the causal relationships between them. It empirically validates an integrated model in SPP and the hypothesis tests. The constructs actors, strategies, and purposes significantly influence sustainability improvements in PP, demonstrating their strategic importance, and barriers negatively influence purposes, demonstrating the importance of knowledge on the topic to mitigate their adverse effects. This research offers insights for managers, policymakers, and researchers in SPP in the search for a more systemic view of the process and to improve sustainability indices in public procurement.
This article empirically tests the impact of short selling mechanism on corporate earnings management level using data from companies other than the financial and real estate industries and ST companies … This article empirically tests the impact of short selling mechanism on corporate earnings management level using data from companies other than the financial and real estate industries and ST companies from 2003 to 2023. This article constructs a model and also set multiple control variables. The results of the research show that between short selling and the level of earnings management of enterprises there is a negative correlation, that is, the stronger the short selling mechanism, the lower the level of earnings management of enterprises. At the same time, this study also shows that compared with other regions, in areas with a good legal environment, the negative correlation between short selling mechanism and corporate earnings management level is stronger. The innovation of this article lies in the use of data samples with longer time spans and the addition of annual dummy variables, providing new perspectives and directions for future research. Through this study, we hope to promote the development and improvement of short selling mechanisms, effectively prevent financial fraud caused by excessive earnings management levels of enterprises, and promote the development of the capital market.
Abstract In this paper, I explore the notion of public interest embedded in the Procurement Act 2023. I use this new piece of post-Brexit legislation as a contemporary example of … Abstract In this paper, I explore the notion of public interest embedded in the Procurement Act 2023. I use this new piece of post-Brexit legislation as a contemporary example of the difficulty in designing a ‘public interest centred’ system of public procurement regulation. I show how a mix of partly overlapping explicit, referential, and implicit public interest goals results in a situation where there are multiple sources of objectives contracting authorities need to consider in their decision-making, but there is no prioritisation of sources or objectives. I also show that, despite this kaleidoscopic proliferation of sources and objectives, and due to the unavailability of effective means of judicial challenge or administrative oversight, contracting authorities retain almost unlimited discretion to shape the public interest and ‘what it looks like’ in relation to the award of each public contract. This challenges the centralised approach to procurement policy taken by recent and current UK Governments and, in particular, raises significant questions on the likely effectiveness of ‘mission-driven’ procurement. I close with a call to reconsider how public procurement can foster the public interest, in light of its limitations as a regulatory tool.
<ns3:p>The article presents the relationship between the salaries of civil servants and officials and the work difficulties and qualifications. The level of education of most government employees is higher than … <ns3:p>The article presents the relationship between the salaries of civil servants and officials and the work difficulties and qualifications. The level of education of most government employees is higher than that of other sectors of the economy. Also, the difficulty of work, especially in independent and specialist positions, is higher than similar positions in the same professional groups, in other economic sectors. Government administration employees are responsible for the implementation of the government social and economic policy. The article analyzes the characteristics of work in government administration, the organization and principles of improving the qualifications of employees, salaries of government administration employees in relation to the salaries of employees with university education in the public and private sectors, in relation to salaries in the pub.</ns3:p>
Purpose The purpose of this paper is to analyze, on the basis of novel empirical data from Finland and previous research literature, trust in procurement judicial review and the factors … Purpose The purpose of this paper is to analyze, on the basis of novel empirical data from Finland and previous research literature, trust in procurement judicial review and the factors that influence the decision of businesses to complain or not. Design/methodology/approach The paper applies legal and social sciences methodology. The background is based on a legal literature review, whereafter it presents the results of a survey that applies qualitative empirical methodology and discusses possible avenues for reform of rules (de lege ferenda, legal dogmatics). The main results are based on an empirical data set collected through a survey to Finnish companies (352 responses). Findings The results are not encouraging: almost 70 % considered that there is somewhat, a little or no trust in the public procurement judicial review system and its ability to correct an erroneous decision. This is particularly alarming as the lack of trust also appears to affect economic operators’ interest in participating in public contract awards, which is problematic from the perspectives of competition, effective public expenditure and achieving other goals such as sustainability. This study confirms that the decision of whether or not to appeal is primarily a business decision and not closely related to the actual breach in question. The public procurement remedies are designed for enabling courts to correct erroneous decisions, but the system is not equipped to solve the issues of reputational business risks. One way of addressing this issue and increasing the effectiveness of public procurement judicial review and remedies, would be to increase the availability of anonymous review mechanisms and the role of public procurement monitoring authorities. Social implications Provides new insights how companies view procurement litigation and on how remedies rules should be developed. Originality/value Collection and application of novel empirical data on factors impacting companies decision-making regarding procurement litigations.
ABSTRACT This paper investigates the issue of recent technology‐enabled transformation in public procurement, for India in particular. A combination of techniques, such as the analysis of social media posts about … ABSTRACT This paper investigates the issue of recent technology‐enabled transformation in public procurement, for India in particular. A combination of techniques, such as the analysis of social media posts about the new electronic public procurement platform (Government e‐Marketplace, GeM) as well as auction details on GeM itself, are employed in this paper to conduct a detailed exploration of the nature of this transition. In doing so, this paper contributes not only to the nascent literature on electronic public procurement, but also to that of technology‐driven inclusive development, whereby small and marginalized sellers are encouraged to participate in public procurement. We find that the process of change is iterative and non‐linear: few government buyers have become dominant entities on the platform, while many other stakeholders are still in the process of transition. This is reflected in the divergence in the perspectives of different stakeholders regarding the platform. The immediate policy recommendation is a proposal to diversify the support system of the electronic platform, so that different queries and complaints can be adequately addressed. Additionally, collective representation of small and marginal sellers to the government would help the latter understand how to increase its outreach to similar entities, enabling better outcomes for inclusive development.
The article examines regulatory and legal governance as a key instrument for preventing corruption in public procurement. It emphasizes that an effective system of legal norms, encompassing both general provisions … The article examines regulatory and legal governance as a key instrument for preventing corruption in public procurement. It emphasizes that an effective system of legal norms, encompassing both general provisions and specific procedural requirements, is the foundation for establishing a transparent, accountable, and integrity-based mechanism for public funds. The focus is placed on the structure of the regulatory framework, which includes legal acts at various levels, from higher-level legislation to subordinate regulations and internal policies of contracting authorities. The study highlights the importance of legal norms’ consistency, clarity, and enforceability, as these significantly reduce the risks of abuse, conflicts of interest, and a formalistic approach to anti-corruption measures. It is noted that the insufficient effectiveness of control mechanisms, flawed violation detection procedures, and the lack of proper risk analysis in the implementation of internal anti-corruption programs diminish the overall impact of corruption prevention efforts. The article concludes that improving the existing regulatory framework is necessary by strengthening administrative and legal enforcement mechanisms, raising the quality standards of internal documents, and ensuring genuine accountability of contracting entities. The role of administrative law in ensuring liability for violations of established procedures is particularly emphasized. The effectiveness of anti-corruption policy directly depends on the capacity of state institutions to adopt legal norms and ensure their proper implementation. Special attention should be paid to the institutional capacity of oversight bodies, the refinement of administrative liability procedures, and the enhancement of professional training for officials responsible for procurement processes. Key words: public procurement, corruption, anti-corruption policy, anti-corruption measures, administrative law, normative legal acts, administrative and legal regulation, oversight, transparency.
Expensive medical devices, especially in the areas of orthopedics, and cardiology, have a significant impact on hospital costs and the delivery of high-quality services. These medical supplies are known as … Expensive medical devices, especially in the areas of orthopedics, and cardiology, have a significant impact on hospital costs and the delivery of high-quality services. These medical supplies are known as physician preference items (PPIs), as they act as “surrogate buyers”—impacting the selection and sourcing of products. There is a gap between the purchasing strategy and the adoption of tactical activities for these complex medical supplies. In the context of the healthcare exceptionalism thesis, this research investigates how healthcare organizations can successfully adopt suitable sourcing levers aiming to achieve different purchasing results. This research conducts a multi-case study in 15 healthcare organizations in nine countries. Three new sourcing levers specific to the healthcare sector emerged, based on the healthcare exceptionalism thesis. It was possible to identify five main sourcing levers clusters. The fit between strategy and tactical level can be allowed by the implementation of suitable sourcing levers—facilitating the achievement of the desired objectives. Healthcare procurement practitioners should assess the fit between strategy and the tactical level by employing suitable sourcing levers. Organizations wishing to move towards a value-based procurement approach should adopt a set of supporting sourcing levers to enable this transition.
Competition in the field of public procurement is among the topics to which the Algerian legislator has given special attention by enshrining this principle and attempting to strengthen the mechanisms … Competition in the field of public procurement is among the topics to which the Algerian legislator has given special attention by enshrining this principle and attempting to strengthen the mechanisms of economic efficiency by requiring public entities to observe and uphold the principle of competition when concluding public procurement contracts. In this context, the legislator subjected this stage to the oversight of the Bid Opening and Evaluation Committee, which plays a key role in identifying any violations committed by economic operators during the submission of their bids. In this regard, Algerian legislation on public procurement and public service delegations includes mechanisms for exercising internal control over public contracts, particularly through the activation of the role of the Bid Opening and Evaluation Committee. The law provides this committee with safeguards aimed at enhancing its oversight function.
| OECD public governance reviews
Abstract This study examined the direct and moderating relationships between operational management capabilities, specifically process efficiency capability, process integration capability, operational flexibility and procurement performance among manufacturing firms in Ghana. … Abstract This study examined the direct and moderating relationships between operational management capabilities, specifically process efficiency capability, process integration capability, operational flexibility and procurement performance among manufacturing firms in Ghana. The study adopted a quantitative cross-sectional survey design. A total of three hundred and fifty (350) procurement officials from fifty (50) manufacturing firms were selected for the study. Stratified and purposive sampling techniques were used in the selection of manufacturing firms and procurement officials, respectively. Questionnaires were used in the data collection, and data were analyzed using Partial Least Squares (PLS) Structural Equation Modelling (SEM). For direct effects, the study showed that a non-significant positive relationship exists between process integration capability and procurement performance. However, a significant positive relationship was found to exist between process efficiency capability and procurement performance. The study also found that operational flexibility does not moderate the relationship between process integration capability and procurement performance. Meanwhile, operational flexibility negatively moderates the relationship between process efficiency capability and procurement performance among manufacturing firms in Ghana. The results of the study highlight the importance of developing robust process efficiency capabilities for improved procurement outcomes, while also suggesting a careful balance in operational flexibility initiatives to avoid inefficiencies among manufacturing firms. The study contributes to the dynamic capabilities theory and provides practical implications for manufacturing firms seeking to optimize their procurement strategies.