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IPPC 2008 Amsterdam/International Journal of Public Sector Management
1
Improving the validity of public procurement research
Dr J. Gordon Murray
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Validity
“… a reliable item is not necessarily valid” (Bell, 1993, p. 65)
“validity is the extend to which the research findings accurately represent
what is really happening” (Hussey and Hussey, 1997, p. 57)
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Introduction
• Now accepted that public procurement is different from that of private sector
Journal of Public Procurement Journal of Purchasing & Supply Management: Special Issue International Public Procurement Conferences IPSERA conference streams International Research Study on Public Procurement
• However, the fundamental uniqueness of pubic procurement is overlooked, namely, the role of politicians
• Therefore, the validity of public procurement research may be weakened
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Four significant political and procurement interfaces
Democratic accountabilityStrategic procurement managementPrincipal/Agent relationshipPerformance management
Ignoring the role of politicians in any one of these may weaken the research
robustness
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Democratic accountability
The pre-eminence of the ballot boxAdvocacy Accountability for decisions Strategic ‘make or buy’ decisions frequently
bypass procurement managers
Yet public procurement research key informant is the procurement manager!
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Strategic procurement management
Politicians set the priorities for the public sector Policies and strategic objectives should cascade to
procurement Lack of correlation between political priorities and
those of procurement managers Is public procurement dysfunctional, e.g. collaboration
and socio-economic goals? Is there a procurement skills deficient?
The key informant of public procurement research is the procurement manager!
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Example from a tripartite survey of the perceived
objectives of local government procurement
0
10
20
30
40
50
60
70
Valu
e m
axim
isatio
n/V
FM
Cost reductio
n
Innovatio
n transfer
Quality
VF
M
Internal support
Legal com
pliance
Sourcin
g
Deliveryin
g servic
es through contracts/partnership
s
Support lo
cal busin
ess
Sustain
able
Green purchasin
g
Tim
e
On tim
e deliverie
s
As per best valu
e
Ethic
s
Environm
ental conscio
usness
Leaders of Council
Chief Executives
Purchasing Managers
Source: Murray, European Journal of Purchasing & Supply Management (2001)
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Strategic procurement management
Politicians set the priorities for the public sector Policies and strategic objectives should cascade to
procurement Lack of correlation between political priorities and
those of procurement managers Is public procurement dysfunctional, e.g. collaboration
and socio-economic goals? Is there a procurement skills deficient?
The key informant of public procurement research is the procurement manager!
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Principal/Agent roles
Principal/Agent theory generally applied to buyer/supplier
Public procurement managers are the Agent of politicians
Are procurement managers queens, knights, knaves or pawns?
The key informant of public procurement research is the procurement manager!
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Performance management
Little research on public procurement performance management
A procurement performance management system must measure the right things
Procurement's internal customers presented as internal departments
Are public procurement performance management systems reflecting the needs of political leadership?
The key informant of public procurement research is the procurement manager!
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Portrayal of politicians in research
Concerned about image and votes Public accountability is a hindrance to managers Decide on conditions of contract and, initiating a
purchase, supplier selection, and contract awards Potentially distorting and corrupting Causing delays and excessive costs
Working from untested anecdotal views may adversely affect the validity of public procurement research
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Limitations of existing research methodologies
1. Key informants of empirical research are procurement professionals & therefore potential bias
2. Consequentially literature reviews have in-built bias
3. Scope of research carried over from private sector research ignoring the uniqueness of public procurement
4. Literature introspective
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Conclusions
Existing research overlooks the uniqueness of public procurement, the political interface
Politicians have major responsibilities for strategic procurement
Role of politicians is not fully understood and sometimes presented in a negative light
Existing research frequently suffers from in-built bias and lack of triangulation
We really don’t know enough about political procurement
Need to recognise the limitations of existing research may effect validity
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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To improve the validity of public procurement research
Recognise the significance of politicians in the context of public procurement
Be more critical of responses from procurement managers
Look for triangulation from other actors, particularly politicians
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Questions for further research
What is the desired and optimal engagement of politicians in public procurement?
Do democratically elected representatives see procurement as a political tool?
Is procurement politically maximising its contribution? Is public procurement an underused political tool? What are the views of procurement managers
regarding political leadership in procurement strategy? Is there a difference between the procurement
strategy of the political right or left?
IPPC 2008 Amsterdam/International Journal of Public Sector Management
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Improving the validity of public procurement research
Dr J. Gordon Murray