Search results
1 – 10 of 307Johanna Maria Liljeroos-Cork and Kaisu Laitinen
Infrastructure forms a basis for the operations and sustainability of the modern society. This paper aims to recognize value creation from the infrastructure procurement ecosystem…
Abstract
Purpose
Infrastructure forms a basis for the operations and sustainability of the modern society. This paper aims to recognize value creation from the infrastructure procurement ecosystem perspective to achieve those goals. The pursuit of enhancing value creation involves an examination of infrastructure procurement challenges, boundaries as well as boundary spanners that facilitate effective knowledge transfer and interaction.
Design/methodology/approach
The qualitative study is based on content analysis of 25 thematic interviews. Data was transcribed and coded via Atlas.ti software.
Findings
Infrastructure procurement value creation challenges appear complex and related to boundaries that hamper collaboration, coordination and knowledge sharing. Our results show that these boundaries locate within and between different levels of procurement ecosystem. Therefore, value creation in infrastructure procurement requires boundary spanners for leveraging knowledge sharing and interaction. Artifacts, discussion, processes and brokers as identified boundary spanners are strongly nested and interrelated in the industry. Special attention should be given to supporting individuals to act as brokers, since they play the key roles in trust building, culture steering and usage of other boundary spanners.
Social implications
Promoting value creation in infrastructure procurement helps to achieve socio-economic development goals.
Originality/value
This study offers a unique perspective on value creation in the context of infrastructure by adopting an ecosystem lens and examining boundary crossing mechanisms. The results support future development of collaboration and knowledge sharing practices fostering procurement productivity.
Details
Keywords
Abstract
Purpose
Competency frameworks can support public procurement capacity development and performance. However, literature on connecting professionalisation with national procurement contexts is limited. This paper aims to explain and conceptualise recent Romanian experience with developing bespoke competency frameworks at national level for public procurement that reflect the features of the Romanian public procurement system. The approach used could guide in broad-brush, mutatis mutandis, other (national) public procurement systems with comparable features, mainly those seeking a shift from a rather administrative function of public procurement towards a strategic function.
Design/methodology/approach
This case study reflects on the methodology used for analysing the Romanian public procurement environment in EU context to develop bespoke professionalisation instruments, and on ways to integrate competency management approaches in Romanian public procurement culture. That methodological mix has been mainly qualitative and constructionist, within an applied research approach. It combined desk research with empirical research and included legal research in this context.
Findings
A principled, methodological and pragmatic approach tailored to the procurement environment in question is essential for developing competency frameworks capable to resonate to and address the specific practical needs of that procurement system.
Social implications
Competency frameworks can uphold societal objectives through public procurement.
Originality/value
Using valuable insights into the development of the Romanian public procurement competency frameworks, the paper provides a conceptual framework for instilling competency management approaches to public procurement professional development where the latter is governed by a rather distinct, public administration, paradigm. This conceptual framework can guide other public procurement systems and stimulate further research.
Details
Keywords
Mohammad Ali Fallah, Mehrdad Agha Mohammad Ali Kermani, Alireza Moini and Javad Mashayekh
The present research is trying to construct the network of relationships between different department of an organization during the design and development of car engine. Analyzing…
Abstract
Purpose
The present research is trying to construct the network of relationships between different department of an organization during the design and development of car engine. Analyzing the structure of the network, finding the patterns of collaborations, and determining the important departments are the main purposes of the present research.
Design/methodology/approach
Improving relationships during a project life is an effective way to enhance employee performance in project-oriented organizations. This paper examines the collaborative relationships between internal project stakeholders through social network analysis (SNA) in a project for the design and development of car engine. In the first step of the research, the network of internal stakeholders was studied based on collaboration in the common activities performed by the resources. Then, the network of correspondences between internal stakeholders was studied. Finally, the two networks were integrated into a single network.
Findings
In the integrated network, the “fuel and combustion department” had the largest degree centrality (i.e. highest collaboration with others). The “integration department” was found to have the highest closeness centrality (i.e. more rapid access to other nodes). Furthermore, the “procurement department” had the highest betweenness centrality (i.e. the most strategic department). Our results revealed the potential capabilities of SNA method for the project management in the vehicle industry.
Originality/value
The obtained results of the present research show us the value of applying SNA methods and concepts to analyze the inter-organizational network of the Project Stakeholders relationship.
Details
Keywords
Tippatrai Saelawong, Torplus Yomnak, Thanee Chaiwat, Siwat Poopunpanich and Charoen Sutuktis
This study evaluates the effect of transparency measures on public procurement efficiency, focusing on Thailand’s Infrastructure Transparency Initiative (CoST). This study aims to…
Abstract
Purpose
This study evaluates the effect of transparency measures on public procurement efficiency, focusing on Thailand’s Infrastructure Transparency Initiative (CoST). This study aims to understand its impact on the country’s public infrastructure procurement practices.
Design/methodology/approach
This paper analyses Thailand’s government construction procurement data, focusing on budgetary savings and CoST process participation. Budgetary savings are this study dependent variable, while the main intervention variable is the adoption of the CoST data disclosure standard. This study uses multiple linear regression, fixed-effects model and propensity score matching with the logit model for a comprehensive analysis.
Findings
This study shows that using the CoST data disclosure leads to notable budget savings in Thai public construction procurement. With CoST’s introduction, the savings rose by Baht 9.6m, and even with added controls, the savings remained significant at around Baht 3.3m. The savings consistently stay near 5% across different models. The propensity score matching method confirms these results, consistent with factors such as open bidding and agency categorisation.
Research limitations/implications
This study might not capture all benefits, especially non-financial ones. Thailand’s unique context and potential biases in data sources also need consideration.
Practical implications
CoST evidence backs Thailand’s procurement transparency. This study recommends broadening CoST, streamlining online platforms and promoting digital public engagement. Training stakeholders and partnering with state-owned enterprises and local agencies is vital to align with CoST and mitigate risks.
Originality/value
This study shows a clear link between transparency from information disclosure and budget efficiency in public procurement, using data from Thailand. It highlights the potential of transparency measures in developing countries.
Details
Keywords
Stephanie Sheamar, Gayan Wedawatta, Maheshi Tennakoon, Roshani Palliyaguru and Maxwell Fordjour Antwi-Afari
Cost overrun is a significant issue in construction, an undesirable feature the industry has long been associated with. Poor procurement practices are often blamed for subsequent…
Abstract
Purpose
Cost overrun is a significant issue in construction, an undesirable feature the industry has long been associated with. Poor procurement practices are often blamed for subsequent cost overruns in construction, especially with conventional procurement methods leading to outrageous cost overruns. The purpose of this study is to review the features of the new models of construction procurement (NMCP) and assess their potential to reduce cost overruns in construction projects.
Design/methodology/approach
A literature review was conducted to identify the issues of procurement leading to cost escalations. Primary data were obtained through exploratory, semi-structured interviews using a case study approach.
Findings
Clients’ lack of knowledge was highlighted as a key issue in procurement that interlinks with many factors causing cost escalation. The findings suggest that the features contained within the NMCP, such as early contractor involvement and collaboration throughout the project team, have the potential to make a positive contribution to addressing cost escalation in construction.
Research limitations/implications
The primary research was undertaken as an exploratory study and presents the contractor's perspective. Further research is therefore suggested, with multiple organisations representing all key stakeholders in a construction project, including clients, consultants, sub-contractors and suppliers.
Practical implications
The study recommends awareness of the NMCP be raised throughout the industry, and simplified information must be made available to help widen uptake of these contemporary procurement methods.
Originality/value
Addressing the dearth of research concerning the use of NMCP within the industry, this study makes a niche contribution to the body of knowledge on construction cost management by illustrating the potential offered by these new procurement methods for addressing cost escalation. For an industry where collaboration is accepted with reservations, this case study demonstrates how novel collaborative strategies such as open book costing, project bank accounts and shared pain and gain mechanisms can be implemented as part of the procurement strategy and how such strategies can contribute towards minimising the cost escalation inherent in construction projects.
Details
Keywords
Priscila Laczynski de Souza Miguel and Andrea Lago da Silva
This paper aims to investigate how purchasing organizations implement supplier diversity (SD) initiatives over time.
Abstract
Purpose
This paper aims to investigate how purchasing organizations implement supplier diversity (SD) initiatives over time.
Design/methodology/approach
A multiple case study approach was conducted. Data were collected through in-depth interviews with participants from purchasing organizations, intermediary organizations and diverse suppliers.
Findings
The research suggests that the SD journey encompasses three different, but interrelated stages before full implementation is achieved: structuring, operation and adaptation. The findings also provide evidence that SD implementation in Brazil is highly influenced by the lack of a consistent knowledge base and the lack of legitimized intermediary organizations.
Research limitations/implications
Using a temporal approach to understand how different practices suggested by the literature have been managed by practitioners over time, this study contributes to the understanding of the path to effective SD implementation and how intra- and interorganizational context influences this journey.
Practical implications
By identifying which practices should be adopted during different phases of SD implementation and proposing ways to overcome some of the inherent challenges, managers can better plan and allocate resources for the adoption of a successful SD initiative.
Social implications
This research demonstrates how organizations can promote diversity and reduce social and economic inequalities by buying from diverse suppliers.
Originality/value
Using a temporal approach, the research empirically investigates how different purchasing organizations have implemented and managed the known practices and dealt with the challenges faced when trying to adopt SD.
Details
Keywords
Innocent Chigozie Osuizugbo and Olumide Afolarin Adenuga
This study aimed at determining the decisive factors for achieving sustainable procurement in construction projects.
Abstract
Purpose
This study aimed at determining the decisive factors for achieving sustainable procurement in construction projects.
Design/methodology/approach
Questionnaire survey of principal stakeholders involved in construction project delivery within client, consulting and contracting organisations in Nigeria were conducted to assess stakeholders' perspectives on the decisive factors for achieving sustainable procurement in construction projects using importance weights. A total of 243 questionnaires were distributed and a response rate of 51% (123 questionnaires were adequately filled and returned) was achieved. Descriptive and inferential statistics were utilised in analysing elicited data.
Findings
The results from data analysis showed that “satisfaction – including workforce satisfaction and user satisfaction”, “value for money” and “creating a healthy, nontoxic environment – including high indoor air quality” were the top most three decisive factors for achieving sustainable procurement in construction projects in Nigeria.
Originality/value
An understanding of these decisive factors can help principal stakeholders in the construction industry of developing countries to facilitate the development of methods required in supporting the adoption of sustainable procurement practice.
Details
Keywords
Yubo Guo, Jinchan Liu, Chuan Chen, Xiaowei Luo and Igor Martek
Public–Private Partnerships (PPPs) are crucial to the procurement of global infrastructure projects. Moreover, a price mode based on a cluster of core concessionary items is key…
Abstract
Purpose
Public–Private Partnerships (PPPs) are crucial to the procurement of global infrastructure projects. Moreover, a price mode based on a cluster of core concessionary items is key to the delivery of value-for-money and successful project outcomes. However, existing research has yet to fully identify PPP concessionary items, nor yet described the range of practical price modes. This study provides taxonomy of core concessionary items impacting PPP projects, systematically classifies price modes, and assesses the applicability and risk impacts of those price modes on PPP projects.
Design/methodology/approach
This study adopts a comparative case study method in analyzing core concessionary items and alternative price modes. China is taken as the context, as it is one of the world’s largest PPP markets. In ensuring research validity and reliability, diverse data sources are utilized, with a graphic content analysis tool developed to capture the structure of price modes.
Findings
Eight PPP price modes are identified. These are: (1) UP (Unit Price) mode, (2) ALS (Annual Lump Sum) mode, (3) IRR (Internal Rate of Return) mode, (4) RP (Return for Investing Capital (RIC) - Profit Rate of O&M (PROM)) mode, (5) RFP (RIC - Financing Interest Rate (FR) - PROM) mode, (6) RFPL (RIC - FR - PROM - Lower Limit of User Charge (LLoUC)) mode, (7) RFL (RIC - FR - Lump Sum/Fixed Unit Price O&M Contract (LSOM/FUP)) mode, and (8) RFLL (RIC - FR - LSOM/FUP - LLoUC) mode. Other main findings are as follows: (1) Five risk allocation configurations can be achieved via these price modes. Yet while different price modes enable the allocation of specific risks, these do not always align with contracting parties’ original intentions. (2) IRR and RP modes may be less applicable in general because of their vulnerability in allocating critical risks and capacity for spurring opportunistic behavior.
Originality/value
By depicting the paths by which concessionary items in price modes affect cash flow, a systematic analysis of price modes was conducted exposing structural characteristics, along with risk allocation choice implications. The study is unique in: (1) Providing a systematic classification of PPP price modes used in PPP projects, (2) Presenting a comprehensive identification and streamlining of concessionary items in PPP practice, and (3) Analyzing the risk effects of different price modes. Together, these outcomes offer a hitherto unavailable perspective on PPP project risk management. The value of the study lies in the following: (1) Existing studies employ diverse concessionary items, but their applicability varies. This study offers an overarching framework facilitating decision-making in selecting appropriate PPP price modes and in determining concessionary items. (2) This study adds to the understanding of PPP price modes in significant ways that will aid local governments and potential sponsors in crafting and administrating more workable contract designs.
Details
Keywords
Nurin Athilah Masron, Suhaiza Ismail and Zaini Zainol
The objectives of this study are twofold. Firstly, this study aims to examine the challenges of green public procurement (GPP) involvement among small- and medium-sized…
Abstract
Purpose
The objectives of this study are twofold. Firstly, this study aims to examine the challenges of green public procurement (GPP) involvement among small- and medium-sized enterprises (SMEs) government suppliers. Secondly, it investigates the differences in the perceived challenges between the small- and medium-sized groups of companies.
Design/methodology/approach
The study draws on the quantitative method. The questionnaire was distributed to SMEs that supply green goods or services to the government and which are listed in the MyHijau directory. Using convenience sampling, a total of 394 questionnaires were distributed and 126 usable questionnaires were received, representing a response rate of 31.98%. A descriptive analysis of the mean score, standard deviation and mean score ranking was used to analyse the overall results. The t-test analysis was carried out to examine the differences between the small- and medium-sized groups of companies.
Findings
All five categories of the barriers, i.e. financial, legal, people, knowledge and organizational challenges, are perceived as the important challenges for SMEs’ involvement in GPP. Of the five categories, “having lack of knowledgeable staff on GPP” under the category of “people” challenge is ranked as the most major barrier. In relation to the differences between the two groups of enterprises (small- and medium-sized), medium enterprises are more affected by two items under the “organization” challenge, i.e. “The company has not targeted suppliers that promote environmentally-friendly products/services” and “The company has not established a clear objective on purchase of green products and services”, as compared to the small-sized enterprises through their GPP involvement.
Social implications
By understanding the difficulties faced by SMEs in engaging with GPP, various practical measures can be formulated to support the SME businesses in mitigating the challenges faced for their involvement with GPP, which subsequently will lead to the country’s target to reach the sustainable development goals.
Originality/value
This study extends empirical evidence on barriers or challenges that may hinder the involvement in government green procurement, with a specific focus on SME government suppliers.
Details
Keywords
Șerban Filipon and Violeta Simionescu
Competency frameworks can support public procurement capacity development and performance. However, literature on connecting professionalisation with national procurement contexts…
Abstract
Purpose
Competency frameworks can support public procurement capacity development and performance. However, literature on connecting professionalisation with national procurement contexts is limited. This paper aims to explain and conceptualise recent Romanian experience with developing bespoke competency frameworks at national level for public procurement that reflect the features of the Romanian public procurement system. The approach used could guide in broad-brush, mutatis mutandis, other (national) public procurement systems with comparable features, mainly those seeking a shift from a rather administrative function of public procurement towards a strategic function.
Design/methodology/approach
This case study reflects on the methodology used for analysing the Romanian public procurement environment in EU context to develop bespoke professionalisation instruments, and on ways to integrate competency management approaches in Romanian public procurement culture. That methodological mix has been mainly qualitative and constructionist, within an applied research approach. It combined desk research with empirical research and included legal research in this context.
Findings
A principled, methodological and pragmatic approach tailored to the procurement environment in question is essential for developing competency frameworks capable to resonate to and address the specific practical needs of that procurement system.
Social implications
Competency frameworks can uphold societal objectives through public procurement.
Originality/value
Using valuable insights into the development of the Romanian public procurement competency frameworks, the paper provides a conceptual framework for instilling competency management approaches to public procurement professional development where the latter is governed by a rather distinct, public administration, paradigm. This conceptual framework can guide other public procurement systems and stimulate further research.
Details