Pub Date : 2019-11-21DOI: 10.1108/jopp-06-2019-0035
A. Flynn
Purpose This paper aims to examine how firms react to the loss of a major government contract. Reactions to contract loss are yet to be properly studied in public procurement. Design/methodology/approach The hypothesis is that contract loss triggers a five-stage grieving process, as predicted by the Kubler-Ross model. The hypothesis is tested using the recent UK passport contract in which the British supplier, De La Rue, lost to the Franco-Dutch supplier, Gemalto. Secondary data from corporate publications, news reporting, parliamentary debates and trade union press releases is used to compile the case. Findings The findings show that De La Rue and its supporters passed through the five stages of grief in response to their loss. De La Rue initially exhibited denial by vowing to appeal the decision. Next came anger directed at the UK Government. An attempt to bargain was made during the standstill period. Depression set in after De La Rue admitted it would not appeal. Finally, acceptance was indicated by De La Rue pursuing new opportunities in the product authentication market. Research limitations/implications The study is based on a single case. Further case research is warranted to test the external validity of the results. Practical implications By debriefing unsuccessful bidders and listening to their viewpoint, public buyers can help to assuage the anger that accompanies contract loss. Social implications Elected representatives, the media and civic society groups have vested interests in the outcome of contract competitions. Moreover, they use their agency in pursuit of their own interests, whether through political bargaining, lobbying or editorials. Originality/value The paper demonstrates that the Kubler-Ross model of grieving has utility for understanding reactions to loss in a public procurement context.
目的本文旨在考察企业对失去主要政府合同的反应。公共采购中对合同损失的反应尚待适当研究。设计/方法论/方法正如Kubler-Ross模型预测的那样，假设合同损失会引发五个阶段的悲伤过程。这一假设是使用最近的英国护照合同进行检验的，在该合同中，英国供应商德拉鲁输给了法荷供应商金雅拓。来自企业出版物、新闻报道、议会辩论和工会新闻稿的二级数据用于汇编该案件。调查结果显示，德拉鲁及其支持者经历了五个悲伤阶段，以回应他们的损失。德拉鲁起初表示否认，发誓要对判决提出上诉。接下来是针对英国政府的愤怒。在停滞期有人试图讨价还价。德拉鲁承认上诉无效后，大萧条开始了。最后，De La Rue在产品认证市场上寻求新的机会，这表明他接受了这一点。研究局限性/含义该研究基于单个案例。需要进一步的案例研究来检验结果的外部有效性。实际含义通过向未中标的投标人汇报情况并听取他们的观点，公共买家可以帮助缓解合同损失带来的愤怒。社会影响民选代表、媒体和公民社会团体在合同竞争的结果中拥有既得利益。此外，他们利用自己的机构来追求自己的利益，无论是通过政治谈判、游说还是社论。原创性/价值本文证明了Kubler-Ross悲伤模型在理解公共采购背景下对损失的反应方面具有实用性。
{"title":"Grieving the loss of a public contract: De La Rue and the Brexit passport","authors":"A. Flynn","doi":"10.1108/jopp-06-2019-0035","DOIUrl":"https://doi.org/10.1108/jopp-06-2019-0035","url":null,"abstract":"\u0000Purpose\u0000This paper aims to examine how firms react to the loss of a major government contract. Reactions to contract loss are yet to be properly studied in public procurement.\u0000\u0000\u0000Design/methodology/approach\u0000The hypothesis is that contract loss triggers a five-stage grieving process, as predicted by the Kubler-Ross model. The hypothesis is tested using the recent UK passport contract in which the British supplier, De La Rue, lost to the Franco-Dutch supplier, Gemalto. Secondary data from corporate publications, news reporting, parliamentary debates and trade union press releases is used to compile the case.\u0000\u0000\u0000Findings\u0000The findings show that De La Rue and its supporters passed through the five stages of grief in response to their loss. De La Rue initially exhibited denial by vowing to appeal the decision. Next came anger directed at the UK Government. An attempt to bargain was made during the standstill period. Depression set in after De La Rue admitted it would not appeal. Finally, acceptance was indicated by De La Rue pursuing new opportunities in the product authentication market.\u0000\u0000\u0000Research limitations/implications\u0000The study is based on a single case. Further case research is warranted to test the external validity of the results.\u0000\u0000\u0000Practical implications\u0000By debriefing unsuccessful bidders and listening to their viewpoint, public buyers can help to assuage the anger that accompanies contract loss.\u0000\u0000\u0000Social implications\u0000Elected representatives, the media and civic society groups have vested interests in the outcome of contract competitions. Moreover, they use their agency in pursuit of their own interests, whether through political bargaining, lobbying or editorials.\u0000\u0000\u0000Originality/value\u0000The paper demonstrates that the Kubler-Ross model of grieving has utility for understanding reactions to loss in a public procurement context.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-11-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/jopp-06-2019-0035","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42559794","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-11-18DOI: 10.1108/jopp-08-2019-0052
Henrico Plantinga, J. Voordijk, A. Dorée
Purpose - The development of innovative procurement instruments can be costly and risky. To capitalize on successful innovative instruments, it is essential that these are reused. However, reuse can be problematic in project-based public client organizations. This paper aims to apply the ambidexterity concept of integration mechanisms to examine how such reuse can be facilitated. Design/methodology/approach - An initial framework is developed to conceptualize and contextualize the ambidexterity integration mechanism for the procurement function of a multi-project public client. Concluding that, in this situation, an organizational procedure is an appropriate interpretation of the integration mechanism, a design science project is carried out to develop and implement a procedure in a real-life setting. Findings - Reconstructed reuse patterns confirm the need to have an actionable integration mechanism implemented. Integration, in the sense of drawing benefits from successful one-off innovative procurement instruments, may fail unnoticed if not organized and deliberately managed. The procedure developed in the design science project demonstrates how such integration can be achieved. Originality/value - Although research on ambidexterity has grown exponentially in the past decade, it is yet to be applied in the field of public procurement. Furthermore, the application of design science research is novel in this field of literature. The paper illustrates how both can help solve a relevant organizational problem.
{"title":"Moving beyond one-off procurement innovation; an ambidexterity perspective","authors":"Henrico Plantinga, J. Voordijk, A. Dorée","doi":"10.1108/jopp-08-2019-0052","DOIUrl":"https://doi.org/10.1108/jopp-08-2019-0052","url":null,"abstract":"Purpose - The development of innovative procurement instruments can be costly and risky. To capitalize on successful innovative instruments, it is essential that these are reused. However, reuse can be problematic in project-based public client organizations. This paper aims to apply the ambidexterity concept of integration mechanisms to examine how such reuse can be facilitated. Design/methodology/approach - An initial framework is developed to conceptualize and contextualize the ambidexterity integration mechanism for the procurement function of a multi-project public client. Concluding that, in this situation, an organizational procedure is an appropriate interpretation of the integration mechanism, a design science project is carried out to develop and implement a procedure in a real-life setting. Findings - Reconstructed reuse patterns confirm the need to have an actionable integration mechanism implemented. Integration, in the sense of drawing benefits from successful one-off innovative procurement instruments, may fail unnoticed if not organized and deliberately managed. The procedure developed in the design science project demonstrates how such integration can be achieved. Originality/value - Although research on ambidexterity has grown exponentially in the past decade, it is yet to be applied in the field of public procurement. Furthermore, the application of design science research is novel in this field of literature. The paper illustrates how both can help solve a relevant organizational problem.","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":"20 1","pages":"1-19"},"PeriodicalIF":2.5,"publicationDate":"2019-11-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/jopp-08-2019-0052","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43923578","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-11-04DOI: 10.1108/JOPP-01-2019-0001
Parestico Pastory
PurposeThe purpose of this study is to examine the implications of inter-governmental relations on procurement compliance in local government.Design/methodology/approachA total of 68 in-depth interviews with local government officials and councillors in four different local government authorities, members of parliament in the local authorities accounts committee and a committee clerk were carried out in addition to documentary review.FindingsEvidences from in-depth interviews and documentary analysis point to central government as one of key reasons for procurement non-compliance. The nature of inter-governmental relations enables the central government to issue encroaching directives on local government procurement plans or take handicapping actions on the financial ability of the local governments to execute procurement plans.Practical implicationsThe study adds inter-governmental relations on strategies for improving procurement compliance in African local government systems.Originality/valueDespite increasing research on procurement compliance, the complexity of regulatory non-compliance in local government procurement has not been adequately analysed. The current study uses an inter-governmental relations perspective to contribute knowledge on procurement compliance in local government systems of the Third World, sub-Saharan Africa in particular.
{"title":"Inter-governmental relations and procurement non-compliance in African local government systems","authors":"Parestico Pastory","doi":"10.1108/JOPP-01-2019-0001","DOIUrl":"https://doi.org/10.1108/JOPP-01-2019-0001","url":null,"abstract":"PurposeThe purpose of this study is to examine the implications of inter-governmental relations on procurement compliance in local government.Design/methodology/approachA total of 68 in-depth interviews with local government officials and councillors in four different local government authorities, members of parliament in the local authorities accounts committee and a committee clerk were carried out in addition to documentary review.FindingsEvidences from in-depth interviews and documentary analysis point to central government as one of key reasons for procurement non-compliance. The nature of inter-governmental relations enables the central government to issue encroaching directives on local government procurement plans or take handicapping actions on the financial ability of the local governments to execute procurement plans.Practical implicationsThe study adds inter-governmental relations on strategies for improving procurement compliance in African local government systems.Originality/valueDespite increasing research on procurement compliance, the complexity of regulatory non-compliance in local government procurement has not been adequately analysed. The current study uses an inter-governmental relations perspective to contribute knowledge on procurement compliance in local government systems of the Third World, sub-Saharan Africa in particular.","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-11-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/JOPP-01-2019-0001","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45278068","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-11-04DOI: 10.1108/jopp-09-2018-0032
P. Guarnieri, R. Gomes
Purpose This paper aims to demonstrate how public procurement can be strategic. Design/methodology/approach A systematic literature review (SLR) was conducted following the protocol from Pagani, Kovaleski and Resende (2015), called Methodi Ordinatio, to select the relevant literature on this topic. The analysis of papers selected was carried out following the procedures of categorical content analysis (Bardin, 1977). Findings In all, 68 full papers were analyzed from Science Direct and Web of Science. The results present the main characteristics of publications analyzed and the authors propose some categories of strategic practices related to public procurement that are in turn related to: sustainability, partnerships and supplier management, information systems and technology and other issues. Research limitations/implications The main limitations of this paper are: the publication period considered of the articles selected is from January 2012 to March 2017; the databases Science Direct and Web of Science are selected as the sources of articles; the Methodi Ordinatio is used as the basic protocol of the SLR and, consequently, the inclusion and exclusion criteria described in the steps of the protocol are used. Practical implications Showing how the public procurement can be strategic, this paper highlights the benefits of best procurement practices; similarly, it highlights those practices adopted by the private sector, which can highly contribute to the creation of value in public services that are aligned with the concept of obtaining “the best value for money”. Social implications The incorporation of strategic practices in public procurement can result in the best expenditure of public resources and the reduction of corruption in the process of procurement. Originality/value This paper contributes to synthesize the knowledge on strategic procurement, a topic exploited by few people in the public organizations. It differentiates from other literature reviews already published, considering that these studies do not deal, specifically, with public procurement and, also, do not use protocols of SLR. Moreover, this paper indicates a future agenda of research, which can aid researchers and practitioners acting in this field of knowledge.
本文旨在展示公共采购如何具有战略意义。设计/方法/方法按照Pagani, Kovaleski和Resende(2015)的方案(称为Methodi Ordinatio)进行系统文献综述(SLR)，以选择有关本主题的相关文献。所选论文的分析是按照分类内容分析的程序进行的(Bardin, 1977)。总共分析了来自Science Direct和Web of Science的68篇论文全文。结果显示了所分析的出版物的主要特征，作者提出了与公共采购有关的一些战略做法类别，这些做法反过来又与:可持续性、伙伴关系和供应商管理、信息系统和技术以及其他问题有关。研究限制/启示本文的主要限制是:入选文章考虑的出版期为2012年1月至2017年3月;文章来源选择Science Direct和Web of Science数据库;方法排序被用作SLR的基本协议，因此，使用协议步骤中描述的纳入和排除标准。实际意义本文强调了最佳采购实践的好处，展示了公共采购如何具有战略意义;同样，它强调了私营部门采取的那些做法，这些做法可以极大地促进公共服务的价值创造，这些服务符合获得“最物有所值”的概念。社会影响在公共采购中纳入战略实践可以使公共资源得到最佳的使用，并减少采购过程中的腐败现象。本文对战略采购这一公共组织中很少有人涉足的课题进行了综合研究。它与已经发表的其他文献综述有所不同，因为这些研究没有具体涉及公共采购，也没有使用单反协议。此外，本文还指出了未来的研究议程，这可以帮助研究人员和实践者在这一知识领域的行动。
{"title":"Can public procurement be strategic? A future agenda proposition","authors":"P. Guarnieri, R. Gomes","doi":"10.1108/jopp-09-2018-0032","DOIUrl":"https://doi.org/10.1108/jopp-09-2018-0032","url":null,"abstract":"\u0000Purpose\u0000This paper aims to demonstrate how public procurement can be strategic.\u0000\u0000\u0000Design/methodology/approach\u0000A systematic literature review (SLR) was conducted following the protocol from Pagani, Kovaleski and Resende (2015), called Methodi Ordinatio, to select the relevant literature on this topic. The analysis of papers selected was carried out following the procedures of categorical content analysis (Bardin, 1977).\u0000\u0000\u0000Findings\u0000In all, 68 full papers were analyzed from Science Direct and Web of Science. The results present the main characteristics of publications analyzed and the authors propose some categories of strategic practices related to public procurement that are in turn related to: sustainability, partnerships and supplier management, information systems and technology and other issues.\u0000\u0000\u0000Research limitations/implications\u0000The main limitations of this paper are: the publication period considered of the articles selected is from January 2012 to March 2017; the databases Science Direct and Web of Science are selected as the sources of articles; the Methodi Ordinatio is used as the basic protocol of the SLR and, consequently, the inclusion and exclusion criteria described in the steps of the protocol are used.\u0000\u0000\u0000Practical implications\u0000Showing how the public procurement can be strategic, this paper highlights the benefits of best procurement practices; similarly, it highlights those practices adopted by the private sector, which can highly contribute to the creation of value in public services that are aligned with the concept of obtaining “the best value for money”.\u0000\u0000\u0000Social implications\u0000The incorporation of strategic practices in public procurement can result in the best expenditure of public resources and the reduction of corruption in the process of procurement.\u0000\u0000\u0000Originality/value\u0000This paper contributes to synthesize the knowledge on strategic procurement, a topic exploited by few people in the public organizations. It differentiates from other literature reviews already published, considering that these studies do not deal, specifically, with public procurement and, also, do not use protocols of SLR. Moreover, this paper indicates a future agenda of research, which can aid researchers and practitioners acting in this field of knowledge.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":"1 1","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-11-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/jopp-09-2018-0032","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"62138058","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-11-04DOI: 10.1108/jopp-02-2019-0012
Ni Wayan Rustiarini, T. Sutrisno, N. Nurkholis, W. Andayani
PurposeThis paper aims to discuss the factors that cause individuals to commit fraud, especially in the public procurement context. All this time, an empirical review of public procurement fraud has only focused on the macro and micro level, as well as its losses on the country's economy. This paper highlights individuals’ fraudulent behavior from the four elements of the fraud diamond theory, namely, pressure, opportunity, rationalization and capability.Design/methodology/approachThis paper is a literature review that discusses the fraudulent behavior of bureaucrat as a procurement official in the context of public procurement. This review uses fraud diamond theory as its theoretical framework to explain the attributes to do fraud.FindingsPublic procurement is a high-risk area for fraud (corruption), particularly in the government institution. It cannot be denied that the situation factor (pressure and opportunity) will interact with psychological aspects (rationalization) and individual capability to direct the individuals to commit fraud. This study discusses how existing pressure (motivation) and opportunities are used by individuals who have the capability to rationalize their actions. This literature review also endeavors to shed light on the strategy to prevent, detect and control the causes of fraud.Practical implicationsThis paper provides an understanding of regulators, auditors and other employees in recognizing the characteristics and nature of fraud antecedents. This understanding can help prevent various forms of procurement fraud that occur within their organizations. This paper also can be a guideline to assist public sector organizations in designing effective internal control systems to prevent fraud in the process and practice of public procurement.Social implicationsPublic procurement has a central role that enables the government to allocate the budget effectively and efficiently. Compliance in implementing procurement rules and procedures will improve the quality of public services.Originality/valueThere exists relatively little study outlining the factors underlying of bureaucrats’ (procurement official) opportunistic behavior on procurement activities. The authors focused on bureaucrats’ behavior because they have unique positions of power and responsibility of the procurement process. On the one hand, they have a crucial role in serving the public and safeguarding public assets. On the other hand, they have the ability to collaborate with politicians and business actors in corrupt procurement practices. Therefore, the discussion on this topic is very relevant and interesting.
{"title":"Why people commit public procurement fraud? The fraud diamond view","authors":"Ni Wayan Rustiarini, T. Sutrisno, N. Nurkholis, W. Andayani","doi":"10.1108/jopp-02-2019-0012","DOIUrl":"https://doi.org/10.1108/jopp-02-2019-0012","url":null,"abstract":"PurposeThis paper aims to discuss the factors that cause individuals to commit fraud, especially in the public procurement context. All this time, an empirical review of public procurement fraud has only focused on the macro and micro level, as well as its losses on the country's economy. This paper highlights individuals’ fraudulent behavior from the four elements of the fraud diamond theory, namely, pressure, opportunity, rationalization and capability.Design/methodology/approachThis paper is a literature review that discusses the fraudulent behavior of bureaucrat as a procurement official in the context of public procurement. This review uses fraud diamond theory as its theoretical framework to explain the attributes to do fraud.FindingsPublic procurement is a high-risk area for fraud (corruption), particularly in the government institution. It cannot be denied that the situation factor (pressure and opportunity) will interact with psychological aspects (rationalization) and individual capability to direct the individuals to commit fraud. This study discusses how existing pressure (motivation) and opportunities are used by individuals who have the capability to rationalize their actions. This literature review also endeavors to shed light on the strategy to prevent, detect and control the causes of fraud.Practical implicationsThis paper provides an understanding of regulators, auditors and other employees in recognizing the characteristics and nature of fraud antecedents. This understanding can help prevent various forms of procurement fraud that occur within their organizations. This paper also can be a guideline to assist public sector organizations in designing effective internal control systems to prevent fraud in the process and practice of public procurement.Social implicationsPublic procurement has a central role that enables the government to allocate the budget effectively and efficiently. Compliance in implementing procurement rules and procedures will improve the quality of public services.Originality/valueThere exists relatively little study outlining the factors underlying of bureaucrats’ (procurement official) opportunistic behavior on procurement activities. The authors focused on bureaucrats’ behavior because they have unique positions of power and responsibility of the procurement process. On the one hand, they have a crucial role in serving the public and safeguarding public assets. On the other hand, they have the ability to collaborate with politicians and business actors in corrupt procurement practices. Therefore, the discussion on this topic is very relevant and interesting.","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-11-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/jopp-02-2019-0012","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43579796","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-20DOI: 10.35611/jkt.2019.23.6.52
Seoung-Taek Lee
Purpose – This paper aims to study what is impacting the development of e-Government Procurement in China, the current strategies of developing Chinese Governmental e-Procurement, and to present some measures by which Korea’s exporting industry could enter the Chinese procurement market. Design/methodology – This study is to provide a systematic literatures review on what is impacting the development of e-Government Procurement in China. Hence, based on western research, Chinese literatures are used for this study. Findings – To penetrate the e-procurement of the Chinese government, the acquisition of government procurement certification is necessary. Secondly, the qualification of “Made in China�? is one way to join the market. And finally for Korean companies to enter the procurement, it is necessary to provide products to the public institutions such as universities, hospitals and social organizations and to the state-owned enterprises. Originality/value – This paper aims to study what is impacting the development of the e-Government Procurement in China, the current strategies of developing Chinese Governmental e-Procurements, and to present some measures by which Korea’s exporting industry could enter the Chinese procurement market. These originalities can be expected to give understanding of Chinese e-government procurement and insight for strategy for both Korean enterprise and relevant academic circles.
{"title":"A Study on the Possibility of E-Government Procurement in China","authors":"Seoung-Taek Lee","doi":"10.35611/jkt.2019.23.6.52","DOIUrl":"https://doi.org/10.35611/jkt.2019.23.6.52","url":null,"abstract":"Purpose – This paper aims to study what is impacting the development of e-Government Procurement in China, the current strategies of developing Chinese Governmental e-Procurement, and to present some measures by which Korea’s exporting industry could enter the Chinese procurement market. Design/methodology – This study is to provide a systematic literatures review on what is impacting the development of e-Government Procurement in China. Hence, based on western research, Chinese literatures are used for this study. Findings – To penetrate the e-procurement of the Chinese government, the acquisition of government procurement certification is necessary. Secondly, the qualification of “Made in China�? is one way to join the market. And finally for Korean companies to enter the procurement, it is necessary to provide products to the public institutions such as universities, hospitals and social organizations and to the state-owned enterprises. Originality/value – This paper aims to study what is impacting the development of the e-Government Procurement in China, the current strategies of developing Chinese Governmental e-Procurements, and to present some measures by which Korea’s exporting industry could enter the Chinese procurement market. These originalities can be expected to give understanding of Chinese e-government procurement and insight for strategy for both Korean enterprise and relevant academic circles.","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":"57 1","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-10-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"74312788","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-09-02DOI: 10.1108/JOPP-02-2018-0006
Deborah B. Kim, E. White, J. Ritschel, Chad A. Millette
Purpose Within earned value management, the cost performance index (CPI) and the critical ratio (CR) are used to generate the estimates at completion (EACs). According to the research in the 1990s, estimating the final contract’s cost at completion (CAC) using EACCR is a quicker predictor of the actual final cost versus using EACCPI. This paper aims to investigate whether this trend stills holds for modern department of defense contracts. Design/methodology/approach Accessing the Cost Assessment Data Enterprise (CADE) database, 451 contracts consisting of 863 contract line item numbers (CLINs) were initially retrieved and analyzed in three stages. The first replicated the work conducted in 1990s. The second stage entailed calculating 95 per cent confidence intervals and hypothesis tests regarding percentage accuracy of EACs for a contract’s final CAC. Lastly, regression analysis was conducted to characterize major, moderate and minor influencers on EAC reliability. Findings For modern contracts, EACCR aligns more with EACCPI and no longer demonstrates early accuracy of a contract’s final CAC. Contract percentage completion strongly reduced the per cent error of estimating CAC, while cost-plus-fixed-fee contracts and those with no work breakdown structure greater than Level 2 negatively affected accuracy. Social implications To militate against optimism of early assessment of a contract's true cost. Originality/value This paper provides empirical evidence that EACCR behaves more like EACCPI with respect to modern contracts, suggesting that today’s contracts have relatively high SPI. Therefore, caution is warranted for program managers when estimating the CAC from contract initiation up to and slightly beyond the mid-point of completion.
{"title":"Revisiting reliability of estimates at completion for department of defense contracts","authors":"Deborah B. Kim, E. White, J. Ritschel, Chad A. Millette","doi":"10.1108/JOPP-02-2018-0006","DOIUrl":"https://doi.org/10.1108/JOPP-02-2018-0006","url":null,"abstract":"\u0000Purpose\u0000Within earned value management, the cost performance index (CPI) and the critical ratio (CR) are used to generate the estimates at completion (EACs). According to the research in the 1990s, estimating the final contract’s cost at completion (CAC) using EACCR is a quicker predictor of the actual final cost versus using EACCPI. This paper aims to investigate whether this trend stills holds for modern department of defense contracts.\u0000\u0000\u0000Design/methodology/approach\u0000Accessing the Cost Assessment Data Enterprise (CADE) database, 451 contracts consisting of 863 contract line item numbers (CLINs) were initially retrieved and analyzed in three stages. The first replicated the work conducted in 1990s. The second stage entailed calculating 95 per cent confidence intervals and hypothesis tests regarding percentage accuracy of EACs for a contract’s final CAC. Lastly, regression analysis was conducted to characterize major, moderate and minor influencers on EAC reliability.\u0000\u0000\u0000Findings\u0000For modern contracts, EACCR aligns more with EACCPI and no longer demonstrates early accuracy of a contract’s final CAC. Contract percentage completion strongly reduced the per cent error of estimating CAC, while cost-plus-fixed-fee contracts and those with no work breakdown structure greater than Level 2 negatively affected accuracy.\u0000\u0000\u0000Social implications\u0000To militate against optimism of early assessment of a contract's true cost.\u0000\u0000\u0000Originality/value\u0000This paper provides empirical evidence that EACCR behaves more like EACCPI with respect to modern contracts, suggesting that today’s contracts have relatively high SPI. Therefore, caution is warranted for program managers when estimating the CAC from contract initiation up to and slightly beyond the mid-point of completion.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/JOPP-02-2018-0006","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45558868","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-09-02DOI: 10.1108/JOPP-05-2018-0020
G. Marcarelli, Andrea Nappi
Purpose This paper aims to show how the proposed approach (two analytic hierarchy process [AHP] models) may allow dealing with the best tender selection process in an organic and simple way and ensure the consistency check of the judgements, the necessary step for having reliable results. At first, this paper highlights some critical issues regarding the weighted sum model (WSM) and the algorithms frequently used to evaluate the most economic advantageous tender. Then, it proposes to extend the AHP approach to the evaluation of both the qualitative and quantitative components of a public procurement award. Finally, the WSM and the AHP are applied to the same case study to show, step by step, some criticisms of the former and some advantages of the latter. Design/methodology/approach This paper proposes to apply two AHP models to evaluate both qualitative and quantitative components of a public tender. The quality and cost models allow to identify and select the tender associated with the highest quality/cost ratio. Findings The assessment of the WSM and the AHP models, and some differences between them, build upon their application as an example of public procurement. A case study is used as a teaching device (Yin, 2003) to highlight why the AHP may provide different results. In particular, an important issue concerning the evaluation of qualitative requirements is explored: the consistency of judgements expressed by the committee members. Social implications This approach provides analytical tools for public management that allow appropriate implementation of their management function and allow a realisation of the strategic objectives of European Union law and Italian legislation on public procurement. It would help managers to prioritise their goals and criteria and evaluate them in a scientific way. The model integrates multiple qualitative and quantitative criteria, simplifies the selection process, achieves optimal use of funds and leads to cost savings. It allows to reduce the discretional power of both the contracting issuer, in the choice of the formula to adopt for calculating the coefficients, and the committee members, allowing tender evaluation to have more trust and ensure the fairness of public procurement matters and quality of the object purchased. Originality/value This paper proposes the use of two hierarchical models to evaluate qualitative and quantitative requirements and provide the ranking among several tenders.
{"title":"Multicriteria approach to select the most economically advantageous tender","authors":"G. Marcarelli, Andrea Nappi","doi":"10.1108/JOPP-05-2018-0020","DOIUrl":"https://doi.org/10.1108/JOPP-05-2018-0020","url":null,"abstract":"\u0000Purpose\u0000This paper aims to show how the proposed approach (two analytic hierarchy process [AHP] models) may allow dealing with the best tender selection process in an organic and simple way and ensure the consistency check of the judgements, the necessary step for having reliable results. At first, this paper highlights some critical issues regarding the weighted sum model (WSM) and the algorithms frequently used to evaluate the most economic advantageous tender. Then, it proposes to extend the AHP approach to the evaluation of both the qualitative and quantitative components of a public procurement award. Finally, the WSM and the AHP are applied to the same case study to show, step by step, some criticisms of the former and some advantages of the latter.\u0000\u0000\u0000Design/methodology/approach\u0000This paper proposes to apply two AHP models to evaluate both qualitative and quantitative components of a public tender. The quality and cost models allow to identify and select the tender associated with the highest quality/cost ratio.\u0000\u0000\u0000Findings\u0000The assessment of the WSM and the AHP models, and some differences between them, build upon their application as an example of public procurement. A case study is used as a teaching device (Yin, 2003) to highlight why the AHP may provide different results. In particular, an important issue concerning the evaluation of qualitative requirements is explored: the consistency of judgements expressed by the committee members.\u0000\u0000\u0000Social implications\u0000This approach provides analytical tools for public management that allow appropriate implementation of their management function and allow a realisation of the strategic objectives of European Union law and Italian legislation on public procurement. It would help managers to prioritise their goals and criteria and evaluate them in a scientific way. The model integrates multiple qualitative and quantitative criteria, simplifies the selection process, achieves optimal use of funds and leads to cost savings. It allows to reduce the discretional power of both the contracting issuer, in the choice of the formula to adopt for calculating the coefficients, and the committee members, allowing tender evaluation to have more trust and ensure the fairness of public procurement matters and quality of the object purchased.\u0000\u0000\u0000Originality/value\u0000This paper proposes the use of two hierarchical models to evaluate qualitative and quantitative requirements and provide the ranking among several tenders.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/JOPP-05-2018-0020","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45702048","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-09-02DOI: 10.1108/JOPP-07-2018-0027
M. Molin, E. Previtali
Purpose The purpose of this paper is to estimate and assess the impact of public procurement activities of an Italian basic research center (the National Institute for Nuclear Physics [INFN]) on supplier companies. Design/methodology/approach Starting from the exploratory nature of this research, a single case study research strategy has been applied. The impact of basic research public procurement has been estimated using survey data on 168 INFN supplier companies. Supplier companies have been surveyed on six different categories of company outcomes, namely, sales volume, learning and innovation, relationship with the market, alliances and network and social impact. Findings Results of the analysis reported that the activity of INFN public procurement generates a positive impact on supplier companies on different dimensions, especially related to learning and innovative outcome and economic impact and market penetration outcome. Social implications Policy implications can be derived from the current study. In particular, to support the policymakers in the effort of assessing the impact of basic research public procurement, this study, first highlights the impact dimensions on supplier companies, and second, it provides empirical evidence of public procurement as a viable tool to foster companies’ innovation. Originality/value This research explores a relevant but understudied topic that has recently attracted the attention of policymakers. In fact, although public procurement have been recognized as a tool to foster companies’ innovation, empirical evidence is still scant, particularly in the case of basic research.
{"title":"Basic research public procurement: the impact on supplier companies","authors":"M. Molin, E. Previtali","doi":"10.1108/JOPP-07-2018-0027","DOIUrl":"https://doi.org/10.1108/JOPP-07-2018-0027","url":null,"abstract":"\u0000Purpose\u0000The purpose of this paper is to estimate and assess the impact of public procurement activities of an Italian basic research center (the National Institute for Nuclear Physics [INFN]) on supplier companies.\u0000\u0000\u0000Design/methodology/approach\u0000Starting from the exploratory nature of this research, a single case study research strategy has been applied. The impact of basic research public procurement has been estimated using survey data on 168 INFN supplier companies. Supplier companies have been surveyed on six different categories of company outcomes, namely, sales volume, learning and innovation, relationship with the market, alliances and network and social impact.\u0000\u0000\u0000Findings\u0000Results of the analysis reported that the activity of INFN public procurement generates a positive impact on supplier companies on different dimensions, especially related to learning and innovative outcome and economic impact and market penetration outcome.\u0000\u0000\u0000Social implications\u0000Policy implications can be derived from the current study. In particular, to support the policymakers in the effort of assessing the impact of basic research public procurement, this study, first highlights the impact dimensions on supplier companies, and second, it provides empirical evidence of public procurement as a viable tool to foster companies’ innovation.\u0000\u0000\u0000Originality/value\u0000This research explores a relevant but understudied topic that has recently attracted the attention of policymakers. In fact, although public procurement have been recognized as a tool to foster companies’ innovation, empirical evidence is still scant, particularly in the case of basic research.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/JOPP-07-2018-0027","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49354366","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-09-02DOI: 10.1108/JOPP-11-2018-0045
Deodat Mwesiumo, Kjetil Magnus Olsen, Geir Arne Svenning, Richard Glavee-Geo
Purpose The purpose of this paper is to explore the drivers, enablers, barriers, key success factors, pitfalls and benefits of implementing public procurement of innovations (PPoI) in an organization. Design/methodology/approach The study deployed multiple-case design, whereby six case organizations were selected according to purposeful sampling. Data collection was carried out through in-depth semi-structured one-on-one interviews with key informants. Data analysis involved coding, synthesis, categorization and aggregation. Findings The study revealed that implementation of PPoI represents significant change in an organization, and thus, it identifies key enablers and barriers that organizations must overcome. Furthermore, the study revealed that implementation of PPoI is a necessary but not sufficient condition for reaping its benefits. Moreover, the study identified key success factors for achieving the desirable results and potential pitfalls that organizations should avoid to ensure that the execution phase is not hurt. Social implications Overall, the findings of the study imply that PPoI and the practices associated with it are valuable to the organizations implementing it and society at large. Thus, time and financial investments and the costs associated with the challenges and barriers of implementing it are justified by the resulting wider benefits and outcomes. Originality/value The study contributes by providing useful insights related to implementation of PPoI at an organizational level. Considering that extant literature provides limited insights on this subject, findings of this study should be of interest to researchers, public authorities, procurement practitioners, small- and medium-sized enterprises and other stakeholders. In particular, the study contributes to the body of knowledge on PPoI and offers actionable implications to both practitioners and policymakers.
{"title":"Implementing public procurement of innovations in an organization: lessons from Norway","authors":"Deodat Mwesiumo, Kjetil Magnus Olsen, Geir Arne Svenning, Richard Glavee-Geo","doi":"10.1108/JOPP-11-2018-0045","DOIUrl":"https://doi.org/10.1108/JOPP-11-2018-0045","url":null,"abstract":"\u0000Purpose\u0000The purpose of this paper is to explore the drivers, enablers, barriers, key success factors, pitfalls and benefits of implementing public procurement of innovations (PPoI) in an organization.\u0000\u0000\u0000Design/methodology/approach\u0000The study deployed multiple-case design, whereby six case organizations were selected according to purposeful sampling. Data collection was carried out through in-depth semi-structured one-on-one interviews with key informants. Data analysis involved coding, synthesis, categorization and aggregation.\u0000\u0000\u0000Findings\u0000The study revealed that implementation of PPoI represents significant change in an organization, and thus, it identifies key enablers and barriers that organizations must overcome. Furthermore, the study revealed that implementation of PPoI is a necessary but not sufficient condition for reaping its benefits. Moreover, the study identified key success factors for achieving the desirable results and potential pitfalls that organizations should avoid to ensure that the execution phase is not hurt.\u0000\u0000\u0000Social implications\u0000Overall, the findings of the study imply that PPoI and the practices associated with it are valuable to the organizations implementing it and society at large. Thus, time and financial investments and the costs associated with the challenges and barriers of implementing it are justified by the resulting wider benefits and outcomes.\u0000\u0000\u0000Originality/value\u0000The study contributes by providing useful insights related to implementation of PPoI at an organizational level. Considering that extant literature provides limited insights on this subject, findings of this study should be of interest to researchers, public authorities, procurement practitioners, small- and medium-sized enterprises and other stakeholders. In particular, the study contributes to the body of knowledge on PPoI and offers actionable implications to both practitioners and policymakers.\u0000","PeriodicalId":45136,"journal":{"name":"Journal of Public Procurement","volume":" ","pages":""},"PeriodicalIF":2.5,"publicationDate":"2019-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1108/JOPP-11-2018-0045","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47111656","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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