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1 – 10 of over 46000
Article
Publication date: 30 March 2020

Giulia Buccino, Elisabetta Iossa, Biancamaria Raganelli and Mate Vincze

The purpose of this paper is to discuss the economic and legal rationale for the use of the competitive dialogue in complex procurement. The authors use the data set of public…

Abstract

Purpose

The purpose of this paper is to discuss the economic and legal rationale for the use of the competitive dialogue in complex procurement. The authors use the data set of public contracts awarded by European Union (EU) member states between 2010 and 2017 to analyse its usage patterns. In particular, the authors identify the types of contracting authorities that mainly use the procedure, the sectors and contract characteristics and the role of institutional factors related to the country’s perceived corruption and level of innovativeness.

Design/methodology/approach

The authors discuss economic and legal issues in the use of the competitive dialogue. The authors use a data set of public contracts awarded by EU member states, published on the EU’s public procurement portal Tenders Electronic Daily (TED) to analyse usage patterns and explore the types of contracting authorities that use the procedure, the sectors and type of tenders. The data covers a sample of 1.242.090 observations, which relates to all the contract award notices published on TED in the period 2010-2017 for all the 28 European member states. A probit model is used as a methodology.

Findings

The empirical analysis reveals that the use of competitive value is greater for larger value contracts, for national rather than local authorities, for the supply of other manufactured products and machinery; for research and development and business, as well as information technology services; and for construction works. The level of perceived corruption and the gross domestic product/capita do not have explanatory power in the use of the procedure, whilst a country’s degree of innovativeness, as measured by the global innovation index, positively affects the probability of adopting the procedure. A decreasing trend in the use of competitive dialogue over time is observed.

Research limitations/implications

In conclusion, the countries examined benefited from a long tradition of public–private partnerships (PPPs) and from a transposition of the 2004 directive, able to provide an inclusive interpretation of complexity, and therefore, stimulate the adoption of the competitive dialogue in different sectors. Conversely, the countries, which postponed a concrete transposition and the overcoming of the confusing concept of complexity, limited the scope for the application of competitive dialogue, relying on the easier alternative: the negotiated procedure. Those circumstances lead to visible difficulties in stimulating the adoption of the procedure even in the traditional sectors; indeed, only with the new directive’s provisions a slight change in the trend can be seen.

Practical implications

To foster the use of the competitive dialogue in countries that have so far used it to a limited extent is important to improve upon the definition of complexity and learn from the experience of the top usage countries, as identified in the analysis.

Social implications

Helping the use of the procedure may facilitate the procurement of complex contracts such as PPPs, and thus, ease the building and management of public infrastructures for the provision of public services.

Originality/value

The authors are not aware of previous studies that have used the TED data set and studied the law in a number of European countries so as to understand the usage patterns for the competitive dialogue.

Details

Journal of Public Procurement, vol. 20 no. 2
Type: Research Article
ISSN: 1535-0118

Keywords

Article
Publication date: 1 October 1999

Andrew N. Kleit and Dennis L. Weisman

Elaborates on forthcoming change in the US telecoms industry. Wonders how competitors will be allowed to compete. Urges that regulators must focus on protecting competition and…

Abstract

Elaborates on forthcoming change in the US telecoms industry. Wonders how competitors will be allowed to compete. Urges that regulators must focus on protecting competition and not competitors. In conclusion, reckons that consumers are best served by laws and regulations that protect the competitive process – not the competitors themselves.

Details

info, vol. 1 no. 5
Type: Research Article
ISSN: 1463-6697

Keywords

Article
Publication date: 1 February 1997

Judith D. Smyth

Competition is now widely used as the means of choosing the providers of essential public services in the USA and the UK. Many different approaches are found in the USA and there…

1086

Abstract

Competition is now widely used as the means of choosing the providers of essential public services in the USA and the UK. Many different approaches are found in the USA and there are useful lessons for the UK. With particular reference to mental health and substance abuse services, describes the effects of using competitive tendering on users, providers, purchasers and citizens and examines the problems of specification, transaction costs, the use of consultants, supply, the level playing field, trust, innovation, local accessibility and accountability. Ends with discussion of co‐operation and collaboration and the emergence of monopolies and integrated delivery systems in the USA and concludes by finding politics and political decision making of overriding importance.

Details

International Journal of Public Sector Management, vol. 10 no. 1/2
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 5 September 2008

Keith Gray and Mark F. Bailey

The purpose of this paper is, for English acute NHS hospitals, to investigate how they operate their governance systems in the area of secondary care contracting and identify the…

1086

Abstract

Purpose

The purpose of this paper is, for English acute NHS hospitals, to investigate how they operate their governance systems in the area of secondary care contracting and identify the key determinants of relationship building within the contacting/commissioning of secondary care focusing upon non‐price competitive behaviour.

Design/methodology/approach

A survey instrument was designed and mailed to a sample of all acute NHS hospitals in England of whom 35 per cent responded. This survey was then analysed using logit techniques.

Findings

The analysis suggests that: those NHS Trusts offering volume discounts, non‐price competitive incentives or having a strong belief in performance being by “payment by results” criteria are significantly more likely to offer augmented services to secondary care purchasers over and above contractual minima; those NHS Trusts strongly believing in the importance of non‐price factors (such as contract augmentation or quality) in the contracting process are more likely to offer customisation of generic services; and those NHS Trusts using cost‐sharing agreements to realign contracts when negotiating contracts or who strongly believe in the importance of service augmentation in strengthening relationships, or that increased hospital efficiency is the most important aspect of recent NHS reform are more likely to utilise default measures to help realign contracts.

Originality/value

This paper fills a gap in the area of non‐price competition in English NHS acute secondary care contracting.

Details

Journal of Health Organization and Management, vol. 22 no. 5
Type: Research Article
ISSN: 1477-7266

Keywords

Article
Publication date: 1 May 2000

P.D. Steane and D.H.T. Walker

Public sector regimes in Australasia are reforming their operations to enhance effectiveness and efficiency. Competition and contracts are presented as mechanisms facilitating…

3497

Abstract

Public sector regimes in Australasia are reforming their operations to enhance effectiveness and efficiency. Competition and contracts are presented as mechanisms facilitating such reform in areas such as costs, productivity and quality. This paper argues that short‐term contractual arrangements such as compulsory tendering do not live up to such reformist expectations. Unresolved questions thus preclude any final judgement about the benefits claimed for contracts and tendering in public management. In pursuing “best value” procurement policies, the public sector should consider delivery of services as a facilities management issue. Furthermore, business practice suggests that success is linked to an ability to be flexible in environments noted for change more than constancy. However, the preference given to competitive tendering and contracting (CTC) and more specifically to compulsory competitive tendering (CCT) by state and federal governments in Australia limits the growth of networks at community levels. The policy arena from which CCT derives is more transitory and limited in scope. The notion of compulsory tendering through market competition is discussed and challenged. The authors conclude that good procurement of facilities is a result of strategic linkages.

Details

Facilities, vol. 18 no. 5/6
Type: Research Article
ISSN: 0263-2772

Keywords

Article
Publication date: 1 March 1996

Margaret C. Bowden and William Earle Klay

Contracting practice and theory is based upon a legal framework which impedes the attainment of value, defined as quality and cost containment. The manufacture of complex, highly…

Abstract

Contracting practice and theory is based upon a legal framework which impedes the attainment of value, defined as quality and cost containment. The manufacture of complex, highly technical infrastructure is especially impeded. Constraints of the legal framework are being overcome through innovative infrastructure contracting practices which maintain competitiveness and accountability, and simultaneously foster collaboration among the participants. Some of these innovations are discussed along with five projects which utilized one or more of them. A management framework for contracting based on a competitive/collaborative model is offered which emphasizes value, cooperation, long-term relationships, accountability and stewardship.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 8 no. 4
Type: Research Article
ISSN: 1096-3367

Abstract

Details

Handbook of Transport Strategy, Policy and Institutions
Type: Book
ISBN: 978-0-0804-4115-3

Article
Publication date: 6 July 2012

Mieke Hoezen, Hans Voordijk and Geert Dewulf

The competitive dialogue (CD) aims to align complex demands of principals with possible solutions that contractors have to offer. It is, however, unclear how formal and informal…

Abstract

Purpose

The competitive dialogue (CD) aims to align complex demands of principals with possible solutions that contractors have to offer. It is, however, unclear how formal and informal structures and processes in the CD are interrelated. The purpose of this paper is to provide insights in to the development of and the relationship between interaction processes during negotiations and commitments in terms of formal and informal contracts during a CD‐procured project.

Design/methodology/approach

Based on a case study of a complex construction project, an event‐driven explanation is provided of the sequence in which a discrete set of critical events occur.

Findings

Critical events show that problems of understanding are caused by differences between the formal legal and the informal psychological contract of one of the parties involved. During all phases of a project, the parties involved oscillate between negotiations and commitments, depending on whether there is understanding or not. Negotiations and commitments act as substitutes. The formal legal contract and the informal psychological contract are complementary.

Practical implications

The competitive dialogue develops less promisingly than hoped for due to risk aversion actions by at least one of the parties involved. Insights of this study help to create more cooperative working relationships and to reduce failure costs of large complex projects.

Originality/value

The in‐depth case study offers a unique opportunity to reconstruct an intensive procurement process by detailed first‐hand information in a specific case.

Details

Built Environment Project and Asset Management, vol. 2 no. 1
Type: Research Article
ISSN: 2044-124X

Keywords

Article
Publication date: 15 February 2013

O.A. Adedokun, O.T. Ibironke and S.O. Babatunde

The purpose of this paper is to assess educational building projects with a view to determining the level of utilization of competitive tendering methods, factors influencing…

2118

Abstract

Purpose

The purpose of this paper is to assess educational building projects with a view to determining the level of utilization of competitive tendering methods, factors influencing their choice and predisposition to risk factors, in order to ensure effective construction project delivery.

Design/methodology/approach

The paper assessed the level of utilization of competitive tendering methods, the factors influencing their choice and finally the predisposition of each of the methods to risk factors, adopting survey method which involved primary data, obtained by using multiple‐choice questionnaire administered to the respondents (architects, quantity surveyors, builders, structural engineers, civil engineers, mechanical and electrical engineers).

Findings

It was found that the usage of open competitive tendering methods outweighed selective tendering method of procurement as a result of accountability and price competition involved, which made it predisposed to not only financial risk factors, but also political and logistics factors.

Research limitations/implications

Multiple‐choice questionnaire administered to the respondents (architects, quantity surveyors, builders, structural engineers, civil engineers, mechanical and electrical engineers) was limited to selected institutions in the southwestern zone of Nigeria.

Practical implications

The most widely adopted method (open competitive tendering method) suffers from risk factors such as selective but high premium being placed on financial and logistic risk factors in order to achieve hitch‐free construction project delivery. These measures will help the stakeholders in assessing degrees of project complexity and better manage the potential risks that might be induced to different levels of competitive tendering methods of project procurement in relation to educational building projects.

Originality/value

This empirical investigation provides strong evidence on the procurement of educational building projects in response to due process policy. The findings provided insightful perspectives to define and understand project complexity. For stakeholders, understanding and addressing the complexity help to improve project planning and implementation.

Details

Journal of Facilities Management, vol. 11 no. 1
Type: Research Article
ISSN: 1472-5967

Keywords

Article
Publication date: 1 December 1995

Nick Adnett, Stephen Hard and Richard Painter

Compulsory competitive tendering (CCT) and market testing arecentral and controversial planks of government economic policy. Criticsquestion the level of efficiency gains which…

761

Abstract

Compulsory competitive tendering (CCT) and market testing are central and controversial planks of government economic policy. Critics question the level of efficiency gains which flows from the process and point to the deterioration of workers′ terms and conditions of employment in the aftermath of contracting out exercises. Recent case law, in extending employment protection rights to workers caught up in contracting‐out exercises, may make CCT a much less attractive proposition to private contractors. Analyses recent developments and, in the context of the draft revised directive on business transfers, poses the question whether CCT is destined to become a failed economic experiment.

Details

Employee Relations, vol. 17 no. 8
Type: Research Article
ISSN: 0142-5455

Keywords

1 – 10 of over 46000