Researching the public procurement system: An analysis of winning organizations

2020 ◽  
Vol 16 (5) ◽  
pp. 860-884
Author(s):  
V.G. Kogdenko ◽  
A.A. Sanzharov
Keyword(s):  
Public Procurement ◽  
The Public ◽  
Debt Capital ◽  
Scientific Principles ◽  
General Scientific ◽  
Marketing Information ◽  
High Level ◽  
Return On Sales ◽  
Procurement System ◽  
Social Components

Subject. The article deals with the analysis of suppliers in the public procurement system based on reasonable prequalification parameters. Objectives. The aim is to test the hypothesis about strong reputation characteristics of the winners in the public procurement system and develop a methodology for assessing the reputation of suppliers for prequalification purposes. Methods. We employ general scientific principles and methods of research, like abstraction, generalization of approaches used by domestic and foreign authors for prequalification and assessment of reputation of public procurement participants. Results. To test the hypothesis, we calculated four groups of indicators on corporate, financial, market, and social components of reputation. The methodology was tested on the data obtained from SPARK-Interfax and SPARK-Marketing information resources. Conclusions. The study revealed that not all reputational characteristics of public procurement winners can be regarded as high level. In terms of the corporate component, it is the low level of share capital, indicating the mistrust on the part of owners and their reluctance to invest in the business, and the low percentage of non-current assets. In terms of the market component, it is a low sales growth rate, as well as low return on sales. As to the financial component, it is a low capitalization of winners, low share of long-term debt capital and low credit limit. With respect to the social component, it is a below-average tax burden.

scholarly journals Accounting and Analytical Support of Public Procurement in the Electronics Industry in the Digitalization

2021 ◽  
Vol 8 (2) ◽  
pp. 48-61
Author(s):  
V. G. Kogdenko
Keyword(s):  
Human Resources ◽  
Public Procurement ◽  
Its Region ◽  
Electronics Industry ◽  
Legal Form ◽  
The Public ◽  
Third Stage ◽  
Scientific Principles ◽  
General Scientific ◽  
Procurement System

The article deals with the problems of accounting and analytical support of public procurement in the electronics industry; one of the objectives of the study is to substantiate the criteria for assessing suppliers' reputation; evaluations of persons filing procurement complaints; procurement monitoring indicators. In the process of research, the author used such general scientific principles and methods as abstraction, generalization, as well as statistical methods of data processing. As a result, there has been developed a methodology for assessing the suppliers' reputation including three stages. At the first one — participating companies are assessed according to the criteria of size, industry, ownership, organizational and legal form, data transparency for subsequent calculations. At the second stage — the economic viability of the subjects is assessed in terms of the availability of financial, material and human resources, as well as the effectiveness of companies and the dynamics of their growth. At the third stage — the conscientiousness of the participants is assessed according to the criteria of the authorized capital, credit limit, tax burden, the Spark-Risk lists inclusion. The technique has been tested on data from the register of unscrupulous suppliers supplying products for the electronics industry; the data for analysis has been generated on the basis of 1360 companies. Calculations have shown that the overwhelming majority of unscrupulous suppliers are micro-enterprises that do not belong to the production related industries, repair, and in electronics trade; the significant part of them are registered in Moscow and its region. There is found out some companies which are unscrupulous suppliers of electronic products. They do not have sufficient financial, material and human resources and are characterized by low reputation characteristics. The proposed changes in the legislation in the introduction of prequalification terms require an adequate accounting and analytical support that would help to control the admittance of only participants with high reputational characteristics that can and should be allowed in the public procurement system.

scholarly journals Features of using the electronic system ProZorro in public procurement in Ukraine: problems and ways to overcome them

2021 ◽  
pp. 100-113
Author(s):  
Natalia Ponomarenko ◽  
Christina Voznyakovska ◽  
Julia Nemish
Keyword(s):  
Law Enforcement ◽  
Research Methods ◽  
Positive Impact ◽  
Public Procurement ◽  
Electronic System ◽  
Tender Offers ◽  
The Public ◽  
General Scientific ◽  
The Law ◽  
Procurement System

Summary The purpose of the article is to study the problematic aspects of the functioning of the electronic public procurement system ProZorro in Ukraine and to develop proposals for minimizing abuses in the field of tender procedures. Research methods: The article uses general scientific research methods, in particular: synthesis analysis – in the study of scientific literature and determining the features of the electronic public procurement system ProZorro; economic and statistical analysis and comparison – with indicators of public procurement in Ukraine; generalization – when developing recommendations for minimizing abuses in the field of public procurement within the electronic system ProZorro. Scientific novelty: is to determine the main mechanisms of abuse in the field of public procurement in order to obtain illegal benefits: the fragmentation of contracts and the development of sub-threshold trade procedures and justification of ways to minimize them. In particular, in the article It is substantiated that non-competitive tender offers carry high corruption risks and lead to inflated prices for the supply of goods, services and works. It is proposed to amend the Law of Ukraine «On Public Procurement» in order to prohibit the conclusion of additional agreements after the tender; prohibition to change the conditions of the tender and tender documentation after the announcement of tenders; prohibitions to combine goods into one lot and set maximum payment terms for delivered goods for more than 30 calendar days. Conclusions: The study concludes that the electronic public procurement system ProZorro has a positive impact on the development of public procurement in Ukraine, as it increases the transparency of bidding and tender procedures, expands opportunities for participation in tenders of small and medium-sized businesses and more. However, shortcomings, first of all, in the law enforcement and judicial system of Ukraine are caused by frequent cases of corruption schemes in the public procurement system both within the ProZorro system and outside it. Elimination of corruption schemes in the public procurement system is possible subject to amendments to the Law of Ukraine «On Public Procurement». Keywords: public procurement, ProZorro, tender, tender offer, electronic bidding, competitive and non-competitive procedures.

scholarly journals Ways to improve the efficiency of the public procurement market of the Republic of Kazakhstan

2021 ◽  
pp. 77-89
Author(s):  
R. K. Yelshibayev ◽  
S. A. Kozhabaeva ◽  
B. T. Beisegaliyev
Keyword(s):  
Economic Development ◽  
Comparative Analysis ◽  
Statistical Analysis ◽  
Public Procurement ◽  
The Public ◽  
Socio Economic Development ◽  
General Scientific ◽  
The Republic ◽  
Procurement System ◽  
Conceptual Foundations

Purpose of research. Development of theoretical and methodological provisions and economically sound proposals to improve the efficiency of the public procurement system of the Republic of Kazakhstan.Methodology. In the course of the study, various methods of general scientific knowledge, comparative analysis, economic and statistical analysis were used.Originality / value of research. The results of the study can be used in the development of regional target programs for socio-economic development, amendments and additions to the legislative and regulatory acts regulating the processes of state procurement.Research results. Through the application of appropriate research methods, the conceptual foundations of the public procurement market are disclosed, the evolution of the public procurement system of the Republic of Kazakhstan is tracked, a comparative analysis of Kazakhstani and foreign experience in building this system is carried out, the main problems of the public procurement market functioning are identified and theoretical and methodological provisions and economically sound proposals are developed. to improve its efficiency.

scholarly journals Organization of the Public Procurement System in Japan and the Possibility of Applying Experience in Russia

2021 ◽  
Vol 12 (1) ◽  
pp. 34-55
Author(s):  
I. Yu. Fedorova ◽  
Yu. S. Pipiya
Keyword(s):  
Russian Federation ◽  
Public Procurement ◽  
Analytical Data ◽  
Positive Development ◽  
The Public ◽  
Legislative Framework ◽  
Mechanism Of Interaction ◽  
General Scientific ◽  
The Russian Federation ◽  
Procurement System

Purpose: is to identify the features of the organization of the Japanese public procurement system and the applicability of the positive experience for Russia. For this, it is necessary to study the organization of the public procurement system in Japan, highlighting the most effective elements and tools; to show the features of the functioning of the system and possible ways of future development; to give a comparative description of the procurement systems of Japan and Russia; to suggest ways to improve the Russian procurement system, using the experience of Japan.Methods: during the work, general scientific and special research methods were used, including statistical analysis, processing of analytical data, analogies, scientific generalizations, etc.Results: as a result of the analysis of changes in the legislative framework, on the basis of which public procurement in Japan is regulated, the authors examined the qualitative characteristics of the interconnections of the procurement system participants and assessed the development prospects, incl. Special attention is paid to the content and hierarchy of regulatory legal acts regulating the scope of procurement.The important link of the author's research was the procedure for organizing procurement in the course of applying various types of procurement procedures, including open, selective and limited procurement methods. A comparative analysis of the procurement systems of Japan and the Russian Federation allowed us to determine the similarities and differences in the organization of the procurement process.Conclusions and Relevance: as a result of the analysis the validity of the execution of the state order through the competitive procurement system used in world practice has been substantiated. This formed the basis of the targeted approach and the identification of promising directions in the development of the public procurement system in Japan until 2030. The authors highlight the areas that are successfully implemented in the field of public procurement in the Russian Federation. This indicates the positive development of the Russian system, which was created taking into account the best international experience, including Japanese practice. To improve the mechanism of interaction between participants and exchange of experience in the public procurement system, directions have been identified and the most effective tools have been identified.

Researching the public procurement system: An analysis of unscrupulous suppliers

2020 ◽  
Vol 19 (3) ◽  
pp. 430-453 ◽  
Author(s):  
V.G. Kogdenko
Keyword(s):  
Legal Status ◽  
Public Procurement ◽  
Limited Liability ◽  
Dominant Group ◽  
The Public ◽  
Data Registry ◽  
Scientific Principles ◽  
Industry Affiliation ◽  
Two Stages ◽  
Procurement System

Subject. The article addresses issues of prequalification in the public procurement system. Objectives. The study analyzes the registry of unscrupulous suppliers and substantiates proposals for assessing the reputation of suppliers in the public procurement system for the purpose of prequalification. Methods. The study employs general scientific principles and research methods, like abstraction, generalization of approaches of domestic and foreign authors on issues of prequalification and reputation assessment. Results. The paper presents a methodology for analyzing a set of suppliers, which includes two stages. At the first stage, it examines a set of suppliers by industry affiliation, form of ownership, legal status, affiliation of participants, and degree of competition. At the second stage, it assesses the reputation of suppliers in the public procurement system by four components: corporate, financial, market, and social. The methodology was tested on unscrupulous suppliers data registry, which was formed on the basis of SPARK-Interfax information resource. Calculations show that the sampled population of unscrupulous suppliers includes three groups according to industry affiliation, i.e. trade, construction, and all other industries. In the legal status category, limited liability companies prevail. In the form of ownership category, the dominant group of unscrupulous suppliers is private business. The population is characterized by a low degree of concentration. Conclusions. Unscrupulous suppliers have negative reputation characteristics by which it is possible to identify them at the prequalification stage and debar from bidding.

scholarly journals FOREIGN EXPERIENCE IN REGULATING THE PUBLIC PROCUREMENT SYSTEM

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Yernur Mukhtar ◽  
Yuri Toluev
Keyword(s):  
System Analysis ◽  
Public Procurement ◽  
Economic Assessment ◽  
Developed Countries ◽  
Scientific Article ◽  
Regional Institutions ◽  
The Public ◽  
Foreign Experience ◽  
The Government ◽  
Procurement System

The relevance of this research topic lies in the fact that public procurement requires in-depth consideration and comprehensive analysis, including the scientific and methodological level of analysis. The use of special legal documents in public procurement and the specific procedure for the execution of these documents is not a factor in the full understanding of this direction, including the economic assessment of the entire process. An economic and statistical approach using system analysis is required, which was used by the authors of the scientific article as the proposed research methodology. One of the main parts of the progressive process of commodity exchange in the economies of the analyzed countries is the mechanism for building public procurement. Currently, the problem of material and technical support of public needs in developed countries is solved as a result of logistics processes in the system of public procurement through the acquisition and supply of goods, works, and services, tangible and intangible resources. The article submits a review of foreign experience in building a public procurement system with special features characteristic of this region of the world, presented as an object of research. Country aspects in the object under study and allowed the authors to formulate the relevant main results and conclusions concerning various parties in the public procurement system, which determined the further strategy to improve the procurement system of the government and international integration union. Key words: public procurement (PP), regulation of the public procurement system, government orders, entrepreneurship, international regional institutions, regulation of the public procurement system, procurement, USA, European Union (EU), Poland, Germany, World Bank.

scholarly journals Upgrade the Saudi Arabian Procurement System Delivery Method

2015 ◽  
Vol 7 (1) ◽  
pp. 146
Author(s):  
Ahmed Alofi ◽  
Yasir Alhammadi ◽  
Dean Kashiwagi ◽  
Kenneth Sullivan
Keyword(s):  
Saudi Arabia ◽  
Construction Projects ◽  
Public Procurement ◽  
Saudi Arabian ◽  
The Public ◽  
Public Projects ◽  
Potential Risks ◽  
Low Performance ◽  
And Performance ◽  
Procurement System

Saudi Arabia has had many issues in delivering mega construction projects, such as delays, high costs, and low customer satisfaction. Some studies show that around 70% of public projects in Saudi Arabia are delayed. One factor that might be causing these performance issues is the traditional low bid contracting system in Saudi Arabia, or the Saudi procurement system. In Saudi Arabia, owners select contractors based only upon the lowest price. This paper researched ways to modify the current Saudi procurement system and show quick and simple modifications that can be done to improve the low performance. This research proposes that by adding the clarification phase from the Performance Information Procurement System (PIPS) to the Saudi traditional procurement process could greatly improve construction performance. The clarification phase requires the selected contractor to submit a project scope, detailed and milestone schedule, potential risks that they do not control, and performance measurement before a contract is awarded. The PIPS system is one of the most successful systems around the world, which shows success rate of 98% in six different countries with risk and cost reduction up to 30%. The clarification phase has been identified as the most important step in the PIPS to ensuring a successful project. This paper conducted a survey among construction professionals in Saudi Arabia, including 157 engineers, 33 consultants 9 owners, 5 vendors, 13 academics, and 28 architects, in order to develop the public procurement system in Saudi Arabia. The participants work in government sectors with an interest in the Saudi Arabian procurement system. The survey confirmed that professionals in the Saudi construction industry believe that the procurement system should be changed and that the inclusion of the clarification phase to the procurement system is a way to improve the procurement system.

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