Conditions Determining the Success of Public E-Procurement

Author(s):  
Nirmala Dorasamy

The dynamic global environment has necessitated governments to adopt a systems approach of integrating suppliers, customers, and information linkages in an endeavor to create and sustain value for public services. The evolution of the concept “the customer is king” has placed the customer foremost in public management thinking. As a result, optimizing customer value in the public domain has become a focal point in managing procurement. The large quantity of public resources used for service delivery points to the importance of efficiency and effectiveness in expenditures as well as accountability. E-Procurement systems provide mechanisms for controlling, simplifying, and automating goods and services from different suppliers. While benefits like stricter control over spending authorization, easier transaction processing and elimination of redundant stock are achieved through automated procurement processes; the viability and success of e-procurement for the public sector is determined by various conditions. The conditions for successful implementation of an e-procurement system are explored as every government activity involves the spending of public monies on goods and services. Any failings in e-procurement practices can create possibilities for large-scale losses through incompetence, waste, and fraud, which directly impact the public.

2017 ◽  
Vol 2 (3) ◽  
pp. 33-43
Author(s):  
László Buics

Public services and logistics are generally treated as different fields, but the tools of logistics management with the help of the Unified Services Theory can be used for the benefit of the public services. The aim of this theoretical paper is to generally introduce my topic and relevance of the research on which my PhD thesis will be based in the future. The expectations in the advanced, globalized world are pushing governments to find new methods to fulfil the needs of the citizens while keeping up or even increase efficiency and effectiveness. I believe that from a certain viewpoint the public administration system can be considered as a large scale supply network, and I am particularly interested in how we could apply logistical methods in public services to increase efficiency and effectiveness while simultaneously increase customer satisfaction. In this particular paper I would like to present how I see the connections between the concept of New Public management and the Unified Services Theory. I would like to show the similarities between them and how they could complete each other in order to serve as a background for later logistics related approaches and researches within the domain of public services.


Author(s):  
Zwelibanzi Mpehle ◽  
Robert M. Mudogwa

Background: The establishment of a digital central supplier database (CSD) in the Limpopo provincial departments was envisaged not only to eliminate the duplication of service provider compliance requirements during procurement processes and payment processing but also to level the playing field amongst service providers so that small and upcoming businesses can have equal competitive bidding opportunities like any other business. This therefore meant that the CSD was to ensure that all registered suppliers have an equal and fair prospect of providing goods and services to government, and that acquiring of goods and services is done in a cost-effective manner. However, the Limpopo provincial departments are persistently underspending their allocated budgets at the end of each financial year.Aim: The aim of this study was to assess whether CSD as an electronic procurement (e-procurement) system adopted by the provincial departments in Limpopo is efficient and cost-effective in enhancing the provisioning of goods and services.Setting: The study focused on the Limpopo provincial departments, South Africa.Methods: The study used a qualitative research approach to assess the use of CSD in enabling e-procurement processes. Purposive sampling was employed to sample 14 participants from 12 provincial departments.Results: The outcome revealed that the technological innovation of centralising the suppliers’ records on the CSD increased transparency and accountability in the process of selecting suppliers who qualify to do business with government, and the system has the potential, if rightly used, to eliminate corrupt activities such as favouritism and collusion.Conclusion: The article concludes that the successful implementation of CSD by provincial departments and public entities may, amongst other things, improve supply chain management performance, particularly in the selection of suppliers, and may also promote economic development of small, medium and micro-enterprises.


2000 ◽  
Vol 29 (2) ◽  
pp. 225-236 ◽  
Author(s):  
Gilbert B. Siegel

One of the more recent “hot button” issues in our field is that of outsourcing all or some human resource (HR) functions whether by fee for service or contract. Advocates from the field of Public Choice Economics assume and, in many cases, economically substantiate the case for privatization of governmental functions.1 Even though these economists demonstrate an underlying anti-government bias, their basic argument with supply of government services is “that agencies should compete to provide citizens with goods and services instead of acting like monopolies under the influence of organized pressure groups.”2 Responsiveness to the needs of individual citizens (or to governmental units to be served by staff agencies, for that matter) is best obtained by competing within markets, with the result of economic choices by clientele between competing services. From this market environment economies in resource allocation and efficiency and effectiveness in operations are said to result. Public Choice Economists would also include simulation of market forces by introducing competition, possibly within the same department, governmental jurisdiction, or between other public, profit or nonprofit providers.3 This essay departs from an article by Robert J. Agresta.4 He argues for an extension of the Public Choice approach from one of “citizen-customers being empowered to select freely among providers of a service—whether it is schools or health care (with vouchers) or groceries (with food stamps)—and have control over the resources needed to acquire the service…”,5 to the same market relationship between central administrative (staff or auxiliary staff) agencies and the line units to which they provide services. While Agresta writes of building choice into any line-staff relationships, this article is concerned with HR service supply alternatives and alternative modes for their delivery.


2021 ◽  
Vol 2 (517) ◽  
pp. 35-40
Author(s):  
O. I. Laiko ◽  

The article is concerned with topical issues of the State regulation of public procurement in Ukraine in the context of reforms and integration processes. The conceptual principles of regulation of the public procurement system have been formulated, taking into account the requirements and challenges of modern processes of reforms of the national economy and the implementation of the European integration vector. The public procurement system is considered as a new institutional unit in the national economy – the market for goods and services to the State-owned institutions and organizations with the involvement of budgetary funds. The significance of the public procurement system for the country’s economy as an environment for financing and implementing entrepreneurial initiatives aimed at creating high-quality goods and services, which is characterized by volumes equal to 15% of GDP, is substantiated. The article is aimed at defining the theoretical-conceptual and applied principles of the State regulation of the public procurement system in Ukraine in the context of efficient implementation of reform goals and taking into account the impact and challenges from the active participation of the national economy in the international distribution of labor in the course of integration processes with the EU countries. The article defines the key directions of the State policy on the regulation of the public procurement system, which include: stimulating the economic development of the entrepreneurial sector and overall economic growth on the basis of sustainability and balance; support for the production of domestic goods and services with high added value; stimulation of production of goods and services using local resources; stimulating the creation by domestic producers of both goods and services of cooperation associations in order to use the opportunities for the distribution of labor to create more competitive products; supporting the formation of an economic basis for the development of territorial and economic entities in the regions of Ukraine. As for the above defined directions of the State regulation of the public procurement system in Ukraine, appropriate measures have been proposed, the implementation of which is expected to contribute to the strengthening of the national economy and does not contradict the provisions of ratified international agreements.


There is a growing trend worldwide, primarily developed and some developing countries, of the public sector moving from conventional procurement system towards the more sustainable and environmental-friendly approach. The need to consider economic, environmental as well as social aspects of projects before embarking on it yield enormous benefits to the present and future generations. This study seeks to assess the level of awareness and readiness of public procurement experts on Sustainability in north-eastern Nigeria. The study targeted procurements experts in Bauchi and Gombe state working at Due-process unit, a focal point that ensures efficiency, transparency and effectiveness in all procurements (goods and services), and issue certificate of compliance to across the state. A total of seventy-three (73) questionnaire forms were administered to the respondents to rank, based on their experience, social, economic and environmental factors in a Linkert-like scale of five-point. Fifty-three (53) questionnaires were returned, and Cross-tabulation was used to compare the respondents' background information, which shows that most of those with training on Sustainability are engineers with a bachelor's degree. Descriptive statistics and Friedman's ANOVA were used to, which ranked gender, race, religious discrimination, the factor with highest mean score thus ranked first, while Similar working experience, lowest responsive tender and excellent workmanship were ranked second, third and fourth respectively. Friedman's ANOVA with the stepwise step-down comparison, with a significant factor of 0.05, ranked using energy saver appliance and fair working condition as the most significant factors. The study recommends that other geopolitical zones of the country should also embark on the same study.


2020 ◽  
Vol 01 (01) ◽  
pp. 52-58
Author(s):  
Olha Rudenko ◽  
Tetiana Shestakovska

Strategic course of Ukraine towards European integration requires a new conceptual basis for the institutionalization of power, the introduction of a modern model of public administration. In the conditions of democratic transit, Ukraine and the countries of Central and Eastern Europe should use a conservative Neo-Weberian State (NWS) Model. This model is normative in terms of implementation in Ukraine, because our country, first, has accumulated necessary democratic potential of public initiative; secondly, it has a tradition of strong state power, capable of independently performing the functions of public goal-setting and making appropriate organic decisions; third, it is able to ensure the longevity of public policy at all administrative levels; fourth, preserves stable corporate values and rules of the civil service; fifth, seeks to bring the process of modernization of the domestic public administration system closer to European standards and practices. The normative and legal conditions necessary for the modernization of the current system of public administration in Ukraine in the direction of implementation of the principles of public administration have been generalized. In Ukraine, modernization of the public administration system, aimed at forming a new model of public administration, is possible only if the objective and subjective preconditions are taken into account, which are critical for the successful implementation of decentralization. It has been identified the following promising stages of decentralization in Ukraine: 1) deconcentration of powers and resources, their legally justified transfer from central government to regional and local government bodies; 2) compliance with the principles of devolution of power; 3) powers and resources will be distributed between traditional public authorities (state and self-governing) and market and public structures; 4) introduction of the newest models of public management, built on the principles of the New Public Management paradigm. Keywords: public administration, state government, decentralization, modernization, European integration.


2021 ◽  
pp. 35-50
Author(s):  
Bohdan MALYNIAK

Introduction. The functions of public expenditures reveal their intended purpose in the regulation of various processes and explain their role in the attainment of specific goals. Scientific literature provides extensive insights into definitions of budget functions in market democracies, but the functional purpose of public expenditures is covered only fragmentarily. The purpose of the article is to present a scientific substantiation for the system of public expenditure functions in the market democracies. Results. Based on the analysis of public expenditure functions, we believe that it would be feasible to substantiate the functions separately for each of the two main spheres directly affected by public expenditures, namely public management and the economic and social system of the country. In the public management sphere, public expenditures perform the functions of control and planning (programming). The essence of the planning function consists in using public expenditures to create conditions and provide necessary incentives for rational performance-based planning of the activities carried out by public authorities, as well as for attainment of target performance indicators by applying the results-oriented budgeting method. The function of control is preconditioned by the specifics of public management system functioning in a democratic society, which consists in assuring that the society has control over activities of public authorities. The influence of public expenditures on the national economy and its social system occurs through functions of allocation, redistribution and stimulation. The function of allocation consists in providing the population with goods and services that cannot be supplied by the market economy in sufficient volumes. The essence of the redistribution function consists in using public expenditures with the aim of decreasing income inequality among members of the society, regional development of territories or solving other tasks. The public expenditure function of stimulation aims to stimulate certain directions of economic activity by means of changing the volumes, components or structure of public expenditures through different mechanisms of their realization. Conclusions. In result of performing a theoretical study of the functional purpose of the budget in a market economy and a critical analysis of scientific postulates allow us to substantiate the feasibility of identifying the following functions of public expenditures: planning (programming), control, allocation, redistribution, and stimula tion.


Author(s):  
Valentyna Tokareva ◽  

The article analyzes ways to increase the efficiency of public administration in the field of procurement. The legal and regulatory conditions that affect the ability of the private sector to interact with the public sector in order to make a profit are described. The analysis of these conditions focuses on two key aspects: the procurement process, starting from the stage of formation of demand for goods, work, services and ending with the implementation of the state contract, and the mechanism for reviewing complaints in the system. The following indicators of system efficiency were used as indicators for these processes: needs assessment, invitation to participate in procurement; submission of applications; consideration, evaluation of applications, conclusion of a contract; content and management of the contract; warranty obligations; payment obligations; complaints submitted to the bodies of first instance; complaints filed with the bodies of second instance. It should be noted that this list of basic data is not exhaustive, but most significantly affects the final effect of the implementation of norms and rules of procurement in the country. Based on the results of the analysis of the World Bank research, recommendations have been developed for improving the organizational and administrative methods of managing the system of goods, works and services procurement. It is proved that the assessment of the economic efficiency of placing an order can be carried out in comparison with: the maximum possible indicators within the procedure completed by the time of analysis; with generalized results of the initial level using the same procedures; with positions planned by the customer, taking into account one or more indicators. The opinion on the need to analyze all the processes taking place in the public procurement system: from procurement planning to monitoring the progress of the contract. In addition, it is emphasized that when assessing the effectiveness of procurement, it is necessary to take into account not only the economic efficiency and effectiveness of the procedure, but also social efficiency, as one of the objectives of procurement is to meet customer needs.


Author(s):  
Guillermo Burr Ortuzar ◽  
Elena Mora Sevillano ◽  
Claudio Loyola Castro ◽  
Catalina Uribe

ChileCompra (CC) is the procurement authority of Chile. Purchases are made independently by the public entities, but CC is responsible for market regulation and management of the electronic platform, where transactions are made. ChileCompra was launched on 2003, within a deep State modernization process which started by the end of the 90s. ChileCompra was born with the mission of generating a substantial change in public procurement, as the previous system was neither responding to market needs nor to the accountability which citizens demanded. The objective was the creation of a transparent, efficient, and – most of all - accessible system, which would create equal business opportunities to companies of all sizes, especially for micro and small ones. ChileCompra manages the public procurement market, facilitating the acquisition of goods and services for public authorities; with high levels of transparency and equal opportunities for every enterprise, especially the smallest ones. Through the electronic platform www.mercadopublico.cl – which is the biggest electronic marketplace in the country – public organizations are connected to suppliers within a transparent and efficient system based on a solid regulatory framework whose governing principles are universality, accessibility, and non-discrimination. ChileCompra is currently a strong system, with high levels of transparency and efficiency. As other public procurement national systems, ChileCompra is now facing second generation challenges, like the strengthening of the public procurement role in the socio economic national development. This chapter focuses on the evolution of the Chilean public procurement system, lessons learned and challenges, and the conditions to make it a complete electronic procurement process.


2016 ◽  
Vol 5 (3) ◽  
pp. 19-25
Author(s):  
Пешкова ◽  
O. Peshkova ◽  
Замуравкин ◽  
P. Zamuravkin

Increasing requirements for housing and communal services, its development and improvement are an important factor in improving the quality of people’s lives. This makes it necessary to significantly change the principles of the personnel policy in public institutions. Only then will they be able to improve the quality of goods and services provided to the population, and as a result, to achieve reduce social tension in society. The purpose of research — to learn the basics of formation of personnel policy in the public management company housing and communal services on the example of a particular organization and to formulate recommendations for its improvement. The scientific novelty of the research lies in the fact that the developed principles of human resources policy are adapted to the particular area — management of housing and communal services. The proposed set of measures can be recommended for use in the Russian organizations for the management of housing and communal services because the situation can be regarded as typical for this sector of the Russian economy.


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