• Title/Summary/Keyword: procurement

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Expansion of the Government Procurement Agreement: Time to Concentrate on Depth as well as Width

  • Yang, Junsok
    • East Asian Economic Review
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    • v.16 no.4
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    • pp.363-394
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    • 2012
  • WTO Government Procurement Agreement (GPA) was designed to liberalize and expand trade in government procurement. Revised GPA was implemented in 1996 and the latest revision was completed (but not yet implemented) in 2012, but as a plurilateral agreement. Since the end of the UR, there has been attempts by various WTO members to liberalize trade in the government procurement market - through an expansion of Parties who are signatories to GPA, and through a negotiated agreement on transparency in government procurement. The attempt to expand the Parties who are signatories to the GPA - attempt to increase the width of the coverage of the agreement - has been somewhat successful, but I argue that the goal should be to further liberate the government procurement markets of the current Party members - to reduce thresholds and other barriers which limit market access even to other GPA members, in other words, to increase the depth of coverage. Taking cue from Korea's FTA, I propose a two-level liberalization of the government procurement market under the GPA: A "light" level which would be the same as the current level of liberalization; and a "deep" level with lower thresholds and less exemptions. I argue that, as seen in Korea, with FTAs, many GPA Parties already have multiple levels of liberalization (i.e, spaghetti-bowl effect of FTAs), but by limiting the levels of liberalization to two, we can seek the best of deep liberalization but reduce the spaghetti-bowl effect.

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A Study on Supplier Relationship Management System for National Public Procurement (국가 공공조달을 위한 조달업체 평가관리 시스템에 대한 연구)

  • Lee, Ig-Hoon
    • The Journal of Society for e-Business Studies
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    • v.16 no.1
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    • pp.101-116
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    • 2011
  • As e-Commerce and national public procurement have been enabled, needs of supplier management and evaluation system for national public procurement has been growing. Enterprises have constructed and operated supplier relationship management system, in order to automate and increase their supply chain processes by managing the strategic assessment of relationships with external partners. Recently, PPS(Public Procurement Service) in Korea is introducing the concept of SRM to ensure the fairness of public procurement and to strengthen the competitiveness of the national public procurement and public procurement. For this purpose, it is necessary to establish supplier evaluation management and decision support process to allow a transparent supplier selection. In this paper, we present an evaluation method for transparent and objective public procurement. We also present a method for purchase decision support.

Analysis of the Procurement Management Process for the Gas & Oil Plant projects (Gas & Oil 플랜트 조달관리 프로세스 분석)

  • Won, Seo-Kyung;Kang, Min-Woo;Lee, Jun-Bok;Kim, Sun-Kuk;Han, Choong-Hee
    • Proceedings of the Korean Institute Of Construction Engineering and Management
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    • 2007.11a
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    • pp.491-494
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    • 2007
  • Recently Gas & Oil plant construction projects are increasing in the world. The EPC (Engineering, Procurement and Construction) company, which participate in the plant projects, should possess the pertinent engineering license and procurement skill to create high added-value. It is because the procurement is very substantial to cover 70% of the total project cost. Nonetheless, there exist various risks involved in the procurement process due to the characteristics of the construction projects with long duration and complicated process as well as the procured goods or services subjected to various logistics. The objective of this paper is to analyze proper process in the procurement and to identify various information and document. Also to analyze procurement process, the principal data are derived from the interview with experts and specialty contractors of plant project. The result of this study would widely be used as a guide to the procurement personnel in forecasting the risks in advance.

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A Study on Influence of UN Public Procurement Participation on SMEs Sustainability in Korea (UN 공공 조달 참여가 우리나라 중소기업 지속가능성에 미치는 영향 분석)

  • LEE, Yejin;CHO, Hyuksoo
    • Knowledge Management Research
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    • v.23 no.3
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    • pp.89-109
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    • 2022
  • Many companies are trying to enter into overseas markets to overcome the limited size of domestic markets. However, there are many barriers to enter the overseas markets such as difficulty to find buyers and make contract with them, payment risks, unfriendly foreign policies, and etc. Companies have used to various strategies to get opportunities of overseas markets. One of them is UN public procurement. Despite many advantages, limited number of companies are participating in the procurement. Individual governments are providing policies to support local companies to participate in the UN public procurement. However it is not easy to encourage firms, especially SMEs to participate in the procurement. This study is designed to analyze firm and product determinants of participating in UN public procurement. Based on literature reviews and empirical findings, this study shows social responsibility and global orientation can play an important role regarding the participation. In addition, the positive relationship between UN public procurement participation and sustainability in a given firm could be empirically supported. Last, we suggest combining country- and industry-level data to investigate UN public procurement participation as an interesting topic for future research. This study represents various determinants to encourage UN public procurement participation. They may contribute to enhance firm performance such as sustainability.

A Decision Support System for Supplier Selection in B2B E-procurement (전자조달을 위한 공급자 선택 지원 시스템의 개발)

  • 하성호;남미성
    • Korean Management Science Review
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    • v.21 no.1
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    • pp.113-129
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    • 2004
  • Nowadays many enterprises build e-procurement systems. An e-procurement is a Web-based procurement process and its functionalities are considered important in the B2B e-commerce. Buyers should select competent suppliers for a successful e-procurement. Therefore, this study proposes a method using the analytic hierarchy process(AHP) for building a Web-based supplier selection system. In detail, the purpose of this study is (1) to review methods previously used when buyers selecting suppliers and to extract important selection criteria: (2) to explain extended AHP method adopted by this study among supplier selection methods: (3) to describe the supplier selection steps using extended AHP : and (4) to propose a decision support system embedding the methodology described above. The proposed system comprises of three phase: first phase is to evaluate suppliers on enterprise level: second phase to evaluate them on each transaction level: third phase to post-evaluate them.

A Study of the Optimal Procurement to Determine the Quantities of Spare Parts Under the Budget Constraint (예산제약하에서 수리부속 최적조달요구량 산정 연구)

  • Lee, Sang-Jin;Kim, Seung-Chul;Hwang, Ji-Hyun
    • Korean Management Science Review
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    • v.27 no.2
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    • pp.31-44
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    • 2010
  • It is very important to forecast demand and determine the optimal procurement quantities of spare parts. The Army has been forecasting demand not with actual usage of spare parts but with request quantities. However, the Army could not purchase all of forecasted demand quantities due to budget limit. Thus, the procurement quantities depend on the item managers' intuition and their meetings. The system currently used contains many problems. This study suggests a new determination procedure; 1) forecasting demand method based on actual usage, 2) determining procurement method through LP model with budge and other constraints. The newly determined quantities of spare parts is verified in the simulation model, that represents the real operational and maintenance situation to measure the operational availability. The result shows that the new forecasting method with actual usage improves the operational availability. Also, the procurement determination with LP improves the operational availability as well.

Public Procurement for Innovation in Korea

  • Choi, Jonghwa;Lee, Kwang Ho;Lee, Ahjung
    • STI Policy Review
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    • v.6 no.2
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    • pp.87-104
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    • 2015
  • Public procurement for innovation is used as one of the major policy tools to stimulate innovation and promote growth of small and medium-sized enterprises (SMEs) in Korea. However, it is evaluated that this policy has not been so effective in promoting technological innovation among SMEs largely because it heavily depends on price competitiveness of SMEs products and services. In order to draw some policy implications, this study examines the PPI policies of selected countries as comparative references and conducts an empirical analysis on Korean Public Procurement Services (PPS) data for identifying challenges of the current policy in Korea. We conclude that in order to enhance technological innovations of SMEs, PPI policy in Korea should 1) focus more on the potential competitiveness of SMEs, 2) enlarge public demands especially on R&D services, 3) encourage private sector participation in the public procurement market, 4) improve the assessment criteria for public procurement market registration, and 5) restructure the responsible organizations.

Public Procurement for Innovation in Vietnam: Rationales and Perspectives

  • Cao, Thi Thu Anh;Dang, Thu Giang
    • STI Policy Review
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    • v.7 no.1
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    • pp.87-109
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    • 2016
  • Public procurement for innovation (PPI) is a new approach in stimulating innovation, and currently attracts considerable attention from policymakers and academics. This paper discusses the rationales and perspectives of PPI in Vietnam. The rationales for public procurement for innovation policy in Vietnam compared to theoretical and international practice are discussed. From such a comparison, the paper concludes that R&D results-procurement policy in Vietnam shall be understood and implemented as regular PPI both theoretically and practically. However while designing the policy, policymakers must consider the characteristics of the STI system of the country in order to make the policy adaptable to context. The paper identifies that PPI in Vietnam can be implemented with a ready legal framework (intellectual property rights, R&D contracts, standardization, etc.), the prepared capabilities of R&D institutions, businesses, and public agencies in innovation processes, and the provision of a demand-supply network and other procurement incentives.

A Study on Utilization of E-Procurement System of Korea Electric Power Corporation (공기업의 전자조달시스템 활성화 방안에 관한 연구 -한국전력공사의 사례를 중심으로-)

  • Lee, Choong-Bae;Lee, Seong-Soo
    • International Commerce and Information Review
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    • v.6 no.3
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    • pp.245-268
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    • 2004
  • The application of Internet-technologies to support inter-business transactions and relationships (also termed business-to-business, B2B, electronic commerce) has recently received tremendous attention. Recognizing the importance of the Internet as a powerful business tool, many companies including public organization such as KEPCO(Korea Electronic Power Corporation) have moved quickly to take advantage of electronic commerce. This study explores the impact of Internet-based technology on the procurement function, howe-procurement is helping organizations to enhance their competitiveness and the challenges to its adoption. The study also presents the findings from a survey conducted to gain insight into the adoption of e-procurement by KEPCO. Specifically, it seeks to uncover the prevalence of and extent to which public organization is adopting e-procurement, the benefits reaped and the barriers encountered in the course of implementation.

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The Impact of Design-Bid-Build Procurement Methods on Project Performance in Libya

  • Ghadamsi, Alaeddin;Braimah, Nuhu
    • Journal of Construction Engineering and Project Management
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    • v.6 no.2
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    • pp.16-23
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    • 2016
  • The use of inappropriate procurement methods to deliver construction projects has long been acknowledged as a major source of poor project performance and is particularly problematic for the Libyan Construction Industry. Poor procurement method selection has been recognised as a major contributory factor to frequent time and cost overruns. This paper offers a way of selecting specific procurement methods to maximize successful project performance. The methodology involves an intensive review of relevant literature, followed by a semi-structured questionnaire survey. The key findings of the study reveal that 11 out of its 12 common selection criteria exhibit a significant contribution to one or more project performance criteria (time, cost and quality). Project clients should therefore prioritise these criteria when selecting a design-bid-build method. Knowledge of the criteria that contribute positively to project performance will also enable clients to work out, prior to and during construction, the best measures and provisions for successful project outcomes.