Abstract: One of the best examples, in evolution of the public
procurement, from post-soviet countries are reforms carried out in
Georgia, which brought them close to international standards of
procurement. In Georgia, public procurement legislation started
functioning short after gaining independence. The reform has passed
several stages and came in the form as it is today. It should also be
noted, that countries with economy in transition, including Georgia,
implemented all the reforms in public procurement based on
recommendations and support of World Bank, the United Nations
and other international organizations.
The aim of first adopted law was regulation of the procurement
process of budget-organizations, transparency and creation of
competitive environment for private companies to access state funds
legally. The priorities were identified quite clearly in the wording of
the law, but operation/function of this law could not be reached on its
level, because of some objective and subjective reasons. The high
level of corruption in all levels of governance can be considered as a
main obstacle reason and of course, it is natural, that it had direct
impact on the procurement process, as well as on transparency and
rational use of state funds. These circumstances were the reasons that
reforms in this sphere continued, to improve procurement process, in
particular, the first wave of reforms began after several years. Public
procurement agency carried out reform with World Bank with main
purpose of smartening the procurement legislation and its
harmonization with international treaties and agreements. Also with
the support of World Bank various activities were carried out to raise
awareness of participants involved in procurement system.
Further major changes in the legislation were filed bit later, which
was also directed towards the improvement and smarten of the
procurement process. The third wave of the reform more or less
guaranteed the transparency of the procurement process, which later
became the basis for the rational spending of state funds. The reform
of the procurement system completely changed the procedures.
Carried out reform in Georgia resulted in introducing new
electronic tendering system, which benefit the transparency of the
process, after this became the basis for the further development of a
competitive environment, which become a prerequisite for the state
rational spending. Increased number of supplier organizations
participating in the procurement process resulted in reduction of the
estimated cost and the actual cost.
Assessment of the reforms in Georgia in the field of public
procurement can be concluded, that proper regulation of the sector
and relevant policy may proceed to rational and transparent spending
of the budget from country’s state institutions. Also, the business
sector has the opportunity to work in competitive market conditions
and to make a preliminary analysis, which is a prerequisite for future
strategy and development.
Abstract: The results of dissertation research "Preventing and
combating corruption in public procurement" are presented in this
publication. The study was conducted 2011 till 2013 in a Member
State of the European Union– in the Republic of Latvia.
Goal of the thesis is to explore corruption prevention and
combating issues in public procurement sphere, to identify the
prevalence rates, determinants and contributing factors and
prevention opportunities in Latvia.
In the first chapter the author analyzes theoretical aspects of
understanding corruption in public procurement, with particular
emphasis on corruption definition problem, its nature, causes and
consequences. A separate section is dedicated to the public
procurement concept, mechanism and legal framework. In the first
part of this work the author presents cognitive methodology of
corruption in public procurement field, based on which the author has
carried out an analysis of corruption situation in public procurement
in Republic of Latvia.
In the second chapter of the thesis, the author analyzes the
problem of corruption in public procurement, including its historical
aspects, typology and classification of corruption subjects involved,
corruption risk elements in public procurement and their
identification. During the development of the second chapter author's
practical experience in public procurements was widely used.
The third and fourth chapter deals with issues related to the
prevention and combating corruption in public procurement, namely
the operation of the concept, principles, methods and techniques,
subjects in Republic of Latvia, as well as an analysis of foreign
experience in preventing and combating corruption. The fifth chapter
is devoted to the corruption prevention and combating perspectives
and their assessment. In this chapter the author has made the
evaluation of corruption prevention and combating measures
efficiency in Republic of Latvia, assessment of anti-corruption
legislation development stage in public procurement field in Latvia.
Abstract: Public procurement is one of the most
important areas in the public sector that introduces a possibility for a
corruption. Due to the volume of the funds that are
allocated through this institution (in the EU countries it is between 10
– 15% of GDP), it has very serious implications for the efficiency of
public expenditures and the overall economic efficiency as
well. Indicators that are usually used for the measurement of the
corruption (such as Corruption Perceptions Index - CPI) show that
the worst situation is in the post-communist countries
and Mediterranean countries.
The presented paper uses the Czech Republic as an example of a
post-communist country and analyses the factors which influence
the scope of corruption in public procurement. Moreover, the
paper discusses indicators that could point at the public procurement
market inefficiency. The presented results show that post-communist
states use the institute of public contracts significantly more than the
old member countries of the continental Europe. It has a very
important implication because it gives more space for corruption.
Furthermore, it appears that the inefficient functioning of public
procurement market is clearly manifested in the low number of bids,
low level of market transparency and an ineffective control
system. Some of the observed indicators are statistically significantly
correlated with the CPI.
Abstract: Limited competition has been a serious concern in infrastructure procurement. Importantly, however, there are normally a number of potential bidders initially showing interest in proposed projects. This paper focuses on tackling the question why these initially interested bidders fade out. An empirical problem is that no bids of fading-out firms are observable. They could decide not to enter the process at the beginning of the tendering or may be technically disqualified at any point in the selection process. The paper applies the double selection model to procurement data from road development projects in developing countries and shows that competition ends up restricted, because bidders are self-selective and auctioneers also tend to limit participation depending on the size of contracts.Limited competition would likely lead to high infrastructure procurement costs, threatening fiscal sustainability and economic growth.
Abstract: Construction projects can be implemented under various contractual and organizational systems. They can be divided into two groups: systems without the managing company where the Client manages the process, and systems with the managing company, where management is entrusted to an external company. In the public sector of the Polish market there are two ways of delivery of construction projects with the participation of the manager: one is to assign operations to another party, the so called Project Supervisor, whilst the other results from the application of FIDIC conditions of contract, which entail appointment of the Engineer. The decision is to be made by the Client and depends on various factors. On the public procurement market in Poland the selection of construction project manager boils down to awarding the contract for such a service. The selection can be done by one of eight public procurement procedures identified by the procurement law. The paper provides the analysis of 96 contracts for services awarded in 2011, which employed construction management. The study aimed to investigate the methods and criteria for selecting managers, applied in practice by the Polish public Clients.