Public Procurement ~ International cases and commentary

Transcription

1 oniiiiiilllllllllllllllllllllllllllilllllllll Public Procurement ~ International cases and commentary Edited by Louise Knight, Christine Harland, Jan Telgen, Khi V. Thai, Guy Callender and Katy McKen Routledge Taylor & Francis Group LONDON AND NEW YORK

2 List of illustrations Notes on contributors Foreword Acknowledgements xiii xv xxv xvii 1 Public procurement: an introduction 1 LOUISE KNIGHT, CHRISTINE HARLAND, JAN TELGEN AND NIGEL CALDWELL Introduction 1 Context, findings and key themes 2 Organization of the book 4 IRSPP case synopses 7 The IRSPP research process 7 Conclusion 14 References 14 2 Public procurement in perspective 16 JAN TELGEN, CHRISTINE HARLAND AND LOUISE KNIGHT Introduction 16 Public procurement: marked differences from private sector procurement 16 Stakeholders and conflicting interests in public procurement 19 Developments in public procurement 20 Conclusion 22 Note 22 References 22 3 Public procurement reform in Western Australia: a federal-state evaluation 25 GUY CALLENDER AND PAUL SCHAPPER Introduction 25 National context 26

3 vi Case description: public procurement in Western Australia 31 New developments 37 Key issues and challenges 38 Conclusion 39 Study questions 39 References 40 4 Procurement in the English National Health Service 42 CHRISTINE HARLAND, ANDREW RUDD, LOUISE KNIGHT, SAMANTHA FORREST AND ELMER BAKKER Introduction 42 Case description: the structure of the NHS, and purchasing and supply in the NHS 43 Public sector reform 52 Conclusions 57 Study questions 58 Notes 58 References and further reading 58 5 Dutch health care organization and financing: recent reform and its impact on purchasing 60 JAN TELGEN AND HENK VAN VLIET The health care sector in the Netherlands: Introduction 60 Budgeting under the old system (to end 2005) 62 Financial aspects of the new system (from 1 January 2006) 63 Stakeholders and their position 64 Purchasing and supply in health care 66 Conclusion: missing incentives 68 Study questions 68 Appendix: budget calculation 69 6 Budget and organization reform: impact on public procurement in Belgium 72 BERT BAEYENS AND MARC MARTEL Introduction 72 State structure 73 Public procurement legislation 75 The budgetary system 76 The supervision of public procurement 78 Procurement at federal and local levels 80 Public sector reform 80 Organization of competences, and supervision 83 Summary and conclusion 87

4 Study questions 87 Notes 87 vii 7 US federal government procurement: structure, process and current issues 89 KHI V. THAI AND DAVID A. DRABKIN Introduction 89 Federal procurement structure 89 Current issues 95 Conclusion 100 Study questions 100 Notes 101 References and further reading Public procurement in Germany: a purchasing cooperative for energy sourcing at the German Aerospace Centre 104 MICHAEL ESSIG AND BERTHOLD SCHAEFER Introduction 104 The case 104 The German Aerospace Centre (DLR) 109 The purchasing cooperative for energy 113 Major reform impact for the public procurement system 115 Study questions 116 References The features and recent reforms of government procurement in Singapore 117 DAVID SETH JONES Introduction 117 The government and public sector in Singapore 118 Features of public procurement in Singapore 119 Organizations involved in public procurement 120 The types and process of public procurement 121 Recent reforms of public procurement 123 Conclusion: evaluation of public procurement practices in Singapore 135 Notes 136 References Public procurement: a pillar of good governance? 138 WENDY PHILLIPS, NIGEL CALDWELL AND GUY CALLENDER Introduction 138 Governance - an overview 138 Public procurement and the public sector 140

5 viii Stakeholders' expectations of public procurement 141 Governance structures across the cases 142 Conclusions 146 References The purchasing process in public procurement 149 NIGEL CALDWELL, ELMER BARKER AND JOHN J. D. READ Introduction 149 The specification phase 149 The selection phase 150 The contracting phase 152 Ordering 154 Expediting and supplier evaluation 155 Follow-up and purchasing!procurement evaluation 156 Conclusions 158 Note 158 References Procurement in the United Nations system 160 JOHAN VAN DE GRONDEN, KARSTEN BLOCH, NIELS RAMM, K1RSTEN EJLSKOV JENSEN, CHRISTINE HARLAND AND HELEN WALKER Introduction 160 Case description 161 The United Nations' supply markets and suppliers 164 The regulatory and legislative context 165 Major reform effort impacting on purchasing and supply 166 What still needs to change 174 Update 174 Study questions 175 References Consortia purchasing for higher education in Canada, the US, the UK and Australia 176 MARY M. AYLESWORTH Introduction 176 The Canadian context 177 A case for collaboration 178 Defining the purchasing consortium 179 Models of cooperation 180 Success indicators and barriers 183 Product fit 184 Technology and e-commerce 184

6 ix Summary and conclusions 186 Acknowledgements 188 Notes 188 References Consortia purchasing and logistics in the Kuopio area: lessons learned from a four-year project 190 TIMO KIVISTO, VELI-MATTI VIROLAINEN AND EIJA TELLA Introduction 190 Theoretical background 190 Background of the Kuopio region purchasing consortium 193 Enhancing the value of the purchasing consortium 196 Conclusions 199 A postscript: subsequent developments 200 Study questions 200 Note 201 References The development of procurement education: the Queensland (Australia) experience 202 KEN DOOLEY AND CHRISTINE TONKIN Introduction 202 Case background 203 State and regional support for public sector procurement 206 Interesting issues relating to reforms 207 Major reform effort impacting on purchasing and supply in Queensland 209 Study questions 214 Note 215 References E-procurement: a cross-jurisdictional comparison 216 CHRISTINE TONKIN Introduction 216 Case description 217 Analysis of information from the jurisdictions 241 Conclusion 244 Study questions 245 Notes 245 References 246

7 x 17 The fraud/red tape dilemma in public procurement: a study of US state and local governments 247 CLIFFORD P. McCUE, KIRK W. BUFFINGTON AND AARON D. HOWELL Introduction 247 Public sector procurement trends 248 Case description 251 Generating and documenting savings 257 Professionalism and education 259 Redefining procurement processes 260 Conclusion 261 Study questions 261 Acknowledgements 261 Notes 261 References A new era: how to improve procurement services to clients presented by Public Works and Government Services Canada 264 JOHN J. D. READ Introduction 264 Case description 265 Major reform effort impacting on purchasing and supply 269 The new model for service delivery 272 Case update 275 Study questions 277 Notes South African provincial government reform: using a shared services model to transform 'back-office' support in Gauteng Province 278 KAREN VAN VUUREN AND J. A. BADENHORST-WEISS Introduction 278 Case description 280 Major reform effort impacting on PSCM 293 Conclusion 300 Glossary 300 Study questions 301 Note E-commerce and information 302 MICHAEL ESSIG, CHRISTINE TONKIN AND TOM McGUFFOG Introduction 302 Public e-procurement: economic effects and aim of internet-based technology in the public sector 303

8 Cross-country comparison of public e-procurement practices 304 Implementation of public e-procurement: recommendations based on a review of strategic, managerial, operational and technical aspects in the public sector 307 Conclusions 311 References and further reading 311 Appendix: data architecture 312 xi 21 People in public procurement 314 GUY CALLENDER AND JIM McGUIRE Introduction 314 The recent evolution of public procurement 314 The evidence from the cases and prior research 316 Professional recognition for people in procurement 318 Public procurement practitioners 321 Conclusion 322 Acknowledgements 322 References Cooperative purchasing in the public sector 325 HELEN WALKER, MICHAEL ESSIG, FREDO SCHOTANUS AND TIMO KIVISTO Introduction 325 State of the art in cooperative purchasing: a literature review 326 Case study findings 333 Discussion 335 Summary 337 References Procurement: a strategic weapon for change 343 MARTIN SYKES Editors' note 343 Introduction 344 Efficient use of public funds 344 Better delivery 344 British industry and UK prosperity 345 Capacity, contestability and planning 346 Leveraging buying power 347 SMEs and regional development 347 Stimulating innovation 348 Protecting the environment 348 Overseas economic development 349 Other objectives 349

9 xii Conclusions 349 Study questions 349 Notes 349 References andfurther reading Challenges facing public procurement 351 CHRISTINE HARLAND, JAN TELGEN, LOUISE KNIGHT, GUY CALLENDER AND KHI V.THAI Introduction 351 Review of cases 351 Operationalizing the seven-stage framework 352 Challenges for the future 354 Conclusions 355 Note 356 References 356 Index 359