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A Proposal for a Standard With Innovation Management System

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Isabel Ferreira and Luís Alfredo Amaral<br />

Public procurement is a essential part of the ability of any organization to operate effectively, allowing<br />

to support the integration of the supply chains and the collaboration of all the stakeholders, with<br />

impact in terms o organizational development.<br />

It is consensual the alignment of the purchase strategy with the organizational strategy guided<br />

towards the public value, given the impact of the organization’s per<strong>for</strong>mance (Panayiotou et al, 2004),<br />

being several the references found in literature about the benefits related to the adoption of<br />

technologies in the public procurement practices. Ronchi et al (2010), referindo Wen and Wei (2007),<br />

talk about: (i) strategic benefits (related to comparative efficiency); (ii) transactional benefits<br />

(concerned about the efficiency and effectiveness of transactional activities); and (iii) in<strong>for</strong>mational<br />

benefits (as well as decision’s and opportune communication’s supporting ones). According to these<br />

authors these benefits are translated into financial gains (quantitatively measured) and organizational<br />

gains (measured qualitatively in terms of control, transparency, aggregation of needs,<br />

decentralization, supplier base’s rationalization).Talero (2001), adds: (i) the increase of transparency<br />

in the public organisms relationships with the market (emphasis on G2B component); (ii) a lever of<br />

the eGovernment (to enhance the G2C; G2G; G2E components); and (iii) creation of interoperability<br />

mechanisms between the multiple systems. Kassim and Hassin (2010), refer, in turn, (i) the creation<br />

of value, (ii) the increase of the transparency, (iii) the improvement of the flow of in<strong>for</strong>mation, (iv) the<br />

support to the decision-making, (v) the creation of open markets, in such a way that all the suppliers<br />

can compete, grasping the added governments’ power to obtain goods and services’ dynamic prices,<br />

improving the efficiency of the purchase cycle, like (vi) the benefits in the adoption of electronic public<br />

procurement systems. Bof and Previtali (2010), add (i) the propel of the innovation and collaboration,<br />

as well as, (ii) cultural changes, where the digital could become the Public Administration core<br />

business.<br />

At the level of the European area, where there is a clear policy of ICT adoption in order to improve the<br />

development of the public bodies and entities guided towards the public value, the progressive<br />

introduction of the public eProcurement is included in the online programme of Public Administration,<br />

aiming to trans<strong>for</strong>m its functioning and development. The publication of European Union directives on<br />

this subject provided an legislative framework uni<strong>for</strong>m way through European Union ensuring, via<br />

electronic public procurement, the realization of the basic freedoms of the European Union area: (i)<br />

single market; (ii) free movement of persons, goods, services, and capital; (iii) transparency and<br />

competition; and (iv) prohibition of discrimination based on nationality (European Comission, 2010).<br />

5. Discussion<br />

Portugal is referenced in the Green Paper on Electronic Public Procurement as a good example in<br />

terms of public eProcurement (European Commission, 2010), as a result of the measures introduced<br />

by virtue of the entry into <strong>for</strong>ce of the Code of Public Contracts, in 2008. However, when analysing the<br />

Portuguese reality, one considers that the recognition of that merit is only in the legal field and in the<br />

obligation of the adoption of electronic plat<strong>for</strong>ms. <strong>With</strong> regard to the technological development,<br />

expressed in terms of models and organizational practices and technological applications the<br />

perception is different. The technological market does not offer end-to-end solutions, falling the<br />

desired de-materialisation far short of expectations. In some cases, there is, including, a double<br />

proceeding, in different stages of the process –some phases go through the procedure in paper<br />

<strong>for</strong>mat, others in electronic <strong>for</strong>mat, or both. In other words, in the Portuguese case, technological<br />

solutions in public organizations without a preliminary reflection in terms of changes in the structure<br />

and working methods and, in a broader perspective, with concerns in terms of impact in public value.<br />

One considers, there<strong>for</strong>e, the lack of an integrated vision of the public procurement that aligns models<br />

of <strong>for</strong>mulation of public policies (dynamics of public value related to the <strong>for</strong>mulation of public policies)<br />

with the models of implementation of those same policies by the different public entities and the<br />

technological development to support all that management. There is, thus, a fragmentation between<br />

models of policy, management and technology.<br />

The lack of a conceptual vision of the transversal management of public contracts impedes, both<br />

politics and responsible technicians, the monitoring and management of those sam processes, as well<br />

as the evaluation of their impact on the organization and the society. That is to say, they hamper the<br />

<strong>for</strong>mulation of good purchase practices guided towards the public value. Figure 4 represents that<br />

integrated and transversal vision that one defends.<br />

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