A Proposal for a Standard With Innovation Management System

Isabel Ferreira and Luís Alfredo Amaral
used as support tools for the definition and authorization of what is the public value (e-governance)
associated to the creation and provision of services of a particular public entity (Hui and Hayllar, 2010;
Coats and Passmore, s.d.), when the technology is regarded from the inside to the outside.
4. Public procurement, an innovation policy instrument
The EURODAD (2009) presents the public procurement as a public policy instrument, within a legal
context, aiming to achieve social justice, that is to say, progress in the social equity and the reducing
of discrimination. Public procurement policies are concerned not only about the efficiency (value for
money) but also with the promotion of the social and environmental goals (the outcomes) of
procurement.There exists a view of the public procurement as an effective instrument, when aligned
with public policies, capable of promoting the public value, through the innovation policy (Fraunhofer,
2005). This perspective meets the view of procurement as an instrument for the creation of public
value, as presented by the public value model, in contrast to the focus only on the economic efficiency
of the new public management model (O`Flynn, 2007; Bof and Previtali, 2010). Hence the need to
frame the public procurement in the development targets, so that the procuremen toutcome has
impact on public value.
The strategic importance of public procurement is well present in the report produced for the
European Comission, in 2005, by Fraunhofer – Institute Systems and Innovation
Research,characterizing it as aninovation policy instrument, not only for the public market, but also
private, namely the technological market, requiring solutions to face its challenges in a time of
demand and change.
Bof and Previtali (2010) present several reasons to one consider the public procurement as a
strategic government’s activity, among them: (i) the relevant economic impact; (ii) hinders the
country's competitiveness; (iii) hinders the citizen’s well-fare; (iv) all the governmental units and public
services need to acquire goods and services to proceed with their goals.
From the point of view of the management, the procuremen tis one of the strategic functions (and not
support), once the relationship with the suppliers or customers are pointed as critical forces for
competitiveness (Porter, 1980). And in the case of public procurement support all teh governmental
functions (Bof and Previtali, 2010), as previously mentioned.
The public procurement refers to the acquisition of goods and services by the government or public
sector entities (Uyarra, 2010).The concepts procurement, purchasing e commissioning arise in
literature, mostly, in a interrelated and sometimes even confuse way. There are arguments which
support the idea that the procurement and purchasing refer to similar activities. In other words,
procurement is identified as the public sector's purchases activities and the purchasingas the private
sector ones. Uyarra (2010) argues that the scope of the procurement is, however, wider than the
purchasing. On the other hand, the procurement is much wider than the purchase departments
activities and, in these terms, its impact probably is not only taking place on the organizational level.
Quoting Caldwell and Bakker (2009), Uyarra (2010) presents the procurement as including two
cycles: the cycle of strategic acquisitions decisions (aggregation of purchase needs and strategies)
and the cycle of acquisitions, as such. Nevertheless, in public sector, it does not mean that the
purchase strategic decisions be taken by the purchase departments technicians.
In a legal context, the public procurement consists in one of the two underlyingschemes for the
contractua activity of public bodies and entities. In other words, public contracts establish two
significant matters: the formation of contracts and the enforcement of administrative contracts,
according to the Code of Public Contracts.
By public procurement, one understand, so, once taken the decision to carry out the expenditure by
the respective competent body, the process of the contract’s formation, according to one of the five
pre-contractual procedures under prevailing legislation: (i) direct adjustment (normal or simplified) , (ii)
competitive tendering (normal or urgent), (iii) limited bid by previous qualification, (iv) competitive
dialogue and (v) negotiation procedure.
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