Electronification of the Public Procurement System

Author(s):  
Sergey Tsygankov ◽  
Ekaterina Gasanova

This chapter analyzes the reform of public procurement systems in Russia and Ukraine in the context of electronization, as well as a comparative analysis of the effectiveness of such reforms. The goal is to determine the prospects of expanding the scope of e-procurement based on the analysis of the implementation of the reform of public procurement systems effects in Russia and Ukraine. Public procurement is a fundamental component of social and economic policy of any state, by means of this mechanism the government has the ability to create and influence the industry for future changes in production structures, increase efficiency and more rapid transition to an innovative new type of economy. Procurers are dependent on funds that provide their functioning and providing services to the population. Provision of works, goods and services to such customers is carried out by means of public procurement market, which, enhances the efficiency and transparency of spending money through a contractual relationship satisfying the needs of the state. The share of public procurement (including procurement of state-owned companies) is more over 25% of Russia's GDP, while in Ukraine - more than 7%. That's why it is possible to make a comparative analysis of public procurement reform in Russia and the Ukraine, whose legal approach is quite close (Tsygankov & Syropyatov, 2014).

Author(s):  
Yernur Mukhtar ◽  
Yuri Toluev

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.


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.


Author(s):  
R. K. Yelshibayev ◽  
S. A. Kozhabaeva ◽  
B. T. Beisegaliyev

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.


JASSP ◽  
2021 ◽  
Vol 1 (2) ◽  
pp. 103-113
Author(s):  
Adam Khafi Ferdinand ◽  
Rinaldy Amrullah

Presidential Regulation Number 12 of 2021 concerning amendment the Presidential Regulation Number 16 of 2018 (Presidential Regulation 12/2021) was the government efforts for micro small-level enterprises (MSEs) and cooperatives to be involved in the public procurement of goods and services. However, it still needs to be anticipated because there are always irregularities that usually occur, namely corruption. This research aims to determine how the amendment of the public procurement regulation in the Presidential Regulation 12/2021 especially for MSEs and cooperatives, and also how to assess the Presidential Regulation 12/2021 can reduce the potential for corruption in the process of public procurement. This research uses a normative method with a comparative approach and a statutory approach. The results of this research indicate the Presidential Regulation 12/2021 are the elimination of medium-level enterprises, the government's obligation to allocate a minimum budget of 40%, and also increase the budget ceiling for MSEs and cooperatives up to IDR 15 billion. E-Procurement for MSEs and cooperatives still has the potential for corruption, but with the new policy in the form of competency certification, and if there is an increase in regulations from the National Procurement Board (LKPP) in terms of provider qualifications, procurement can produce quality and efficient products.  Keywords: Cooperatives, Potential of Corruption, Presidential Regulation 12/2021, Government’s Procurement Goods and Services, Small-Level Enterprises (MSEs)


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.


1988 ◽  
Vol 8 (1) ◽  
pp. 1-19 ◽  
Author(s):  
Lennart J. Lundqvist

ABSTRACTAffected by the ideological symbolism and political controversy surrounding privatization, much of the work on this subject is marred by definitional uncertainty; what should be included in the concept? To get away from this, and to prepare the ground for meaningful comparative analysis of the phenomenon, I propose both a definition and a taxonomy. I argue that it is the active and conscious transfer of reponsibility from the public to the private realm that should form the core of the concept. Furthermore, I argue that neither the principles for, nor the level of, provision of goods and services should be included in the definition. Finally, I propose that the taxonomy should be based on the public/private dichotomy of responsibility allocation included in the definition, as well as on three main activities in goods and services production which the government could privatize; regulation, financing, and production.


Author(s):  
J. Y. Lee

Korea launched a national e-procurement system on September 30, 2002. The adoption of the e-procurement system in the government of Korea has been acknowledged as successful. This article presents a case study describing the public e-procurement system of Korea, analyzing the development process, and determining factors in the successful adoption of the system. The Government E-Procurement System (GePS: www.g2b.go.kr) is a portal site providing information on public procurement and an application service provider for public procurement as a whole. GePS advances procurement services by reducing paper work and red tape, expanding the range of commodity selection, and standardizing services. Government-wide support, including that of the president, had an instrumental role towards the successful adoption of GePS. The high capacity of information technology and institutional collaboration among public agencies were other foundations for the successful establishment.


2012 ◽  
pp. 65-83
Author(s):  
A. Yakovlev ◽  
O. Demidova ◽  
O. Balaeva

The main goal of the public procurement reform in Russia was to limit corruption. The government prohibited the most part of qualification criteria in the selection process and used open auctions as the main tool of contract placement. However simplification of procurement procedures led to opportunism on the side of suppliers. In this paper using the unique dataset of 2000 contracts executed in 2008-2010 for a large public customer we define the factors explaining the risk of suppliers non-performance. Econometric analysis showed that under current procurement regulation in Russia the risks of suppliers non-performance are higher for large contracts, contracts executed in October-December and contracts placed at open auctions. However contrary to anecdotal evidences, initial price decrease does not influence the performance of contractors.


Author(s):  
E.I. Efremova ◽  
E.A. Fedchenko

The article analyzes the procedure of procurement by the state control bodies with the participation of audit organizations. In recent years, the procurement system has improved in terms of openness and transparency of tenders due to the gradual electronics and innovations in legislation. The public procurement system is used for the acquisition by the state of a wide variety of goods and services, but it is far from perfect in the procurement of specific areas. The system does not provide for full disclosure of customer information for such orders where it is highly desirable, in particular when conducting a tender for the audit of financial statements. These and many other factors may ultimately affect the quality of audit services, which is why it seems relevant to study the control system of procurement from audit organizations and mechanisms to ensure the high quality of the audit.В статье анализируется порядок проведения государственными контрольными органами закупок с участием аудиторских организаций. В последние годы система закупок усовершенствовалась в части открытости и прозрачности торгов благодаря постепенной цифровизации и нововведениям в законодательстве. Система государственных закупок служит для приобретения государством самых различных товаров и услуг, однако она далеко не совершенна при осуществлении закупок в специфических областях. Система не предусматривает раскрытие полной информации о заказчике для таких заказов, в которых это весьма желательно, в частности, при проведении конкурса на аудит финансовой отчетности. Эти и многие другие факторы в конечном итоге могут влиять на качество предоставления аудиторских услуг, именно поэтому представляется актуальным изучение системы контроля закупок у аудиторских организаций и механизмы обеспечения высокого качества проводимого аудита.


2020 ◽  
pp. 62-76
Author(s):  
Olga KYRYLENKO ◽  
Victor RUSIN

Introduction. Ukraine is undergoing an extremely important and complex process of forming a modern and effective public procurement system aimed at creating a competitive environment and further developing fair competition in public procurement, as well as ensuring compliance with international obligations by consistently adapting Ukrainian legislation to EU standards. The task of public procurement reform is to significantly reduce financial fraud in this area and achieve savings in public funds. The purpose of the article is to analyze the process of reforming the public procurement in Ukraine, focusing on the latest changes, substantiation of proposals for ways to minimize financial fraud in the field of public procurement. Results. The main milestones of formation and improvement of the public procurement system in Ukraine are considered. Emphasis is placed on the features of the current stage, which are to create better conditions for bidders and prevent financial fraud in public procurement, expanding the list of violations and strengthening penalties. Data on the most common types of violations among procurement customers are given. Conclusions. The existing risks of unfair competition in procurement are indicated and the ways of minimizing financial fraud in this area are substantiated. Emphasis is placed on the importance of preventive measures that can be used to detect violations before the conclusion of the contract. In the context of strengthening the effectiveness of control measures, it is proposed to introduce a direct rule of criminal liability for violations in the field of public procurement. The implementation of the proposed measures will help increase the effectiveness of public policy in the field of public procurement, which will ultimately allow for more economical and efficient use of public funds.


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