Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base
Considering that about 15 percent of global gross domestic product flows through public procurement systems, the lack of systematic evidence on what works in this field is a major challenge for effective policy making. Hence, this paper systematica...
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World Bank, Washington, DC
2021
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| Online Access: | http://documents.worldbank.org/curated/en/656521623167062285/Improving-Public-Procurement-Outcomes-Review-of-Tools-and-the-State-of-the-Evidence-Base http://hdl.handle.net/10986/35727 |
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okr-10986-357272021-06-11T05:11:31Z Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base Fazekas, Mihály Blum, Jurgen Rene PUBLIC PROCUREMENT CONTRACTING PUBLIC FINANCIAL MANAGEMENT TRANSPARENCY CIVIL SOCIETY CIVIC ENGAGEMENT Considering that about 15 percent of global gross domestic product flows through public procurement systems, the lack of systematic evidence on what works in this field is a major challenge for effective policy making. Hence, this paper systematically reviews the state of the evidence on major public procurement reforms and their impact on value for money and open access to public tenders. It discusses the reliably identified costs and benefits and systematically evaluates the quality of the evidence base, relying on academic and policy literature. The quality of evidence on the impact of public procurement interventions is mediocre, with reliable evidence established in multiple countries using diverse analytical methods only for selective, typically narrow tools. Although there is a range of policy tools with global policy interest and extensive implementation record, these have received little to no evaluation. As high-quality research uses different outcome measures, comparing intervention effectiveness is only possible for a very narrow outcome: savings. Comparing intervention types according to their effects on savings, centralized procurement and framework agreements stand out with the largest effects, over 50 percent. Most other intervention types were documented to achieve about 5-10 percent price savings if they were well implemented. Given the estimated US$11 trillion spent on procurement annually around the world, even savings of 1 percent amounts to US$110 billion annually. This systematic review points out that research on e-procurement and its variants, transparency portals, civil society supervision, and opening up the black box of public management, among others, would deserve considerably more research going forward. 2021-06-10T14:12:36Z 2021-06-10T14:12:36Z 2021-06 Working Paper http://documents.worldbank.org/curated/en/656521623167062285/Improving-Public-Procurement-Outcomes-Review-of-Tools-and-the-State-of-the-Evidence-Base http://hdl.handle.net/10986/35727 English Policy Research Working Paper;No. 9690 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
PUBLIC PROCUREMENT CONTRACTING PUBLIC FINANCIAL MANAGEMENT TRANSPARENCY CIVIL SOCIETY CIVIC ENGAGEMENT |
| spellingShingle |
PUBLIC PROCUREMENT CONTRACTING PUBLIC FINANCIAL MANAGEMENT TRANSPARENCY CIVIL SOCIETY CIVIC ENGAGEMENT Fazekas, Mihály Blum, Jurgen Rene Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| relation |
Policy Research Working Paper;No. 9690 |
| description |
Considering that about 15 percent of
global gross domestic product flows through public
procurement systems, the lack of systematic evidence on what
works in this field is a major challenge for effective
policy making. Hence, this paper systematically reviews the
state of the evidence on major public procurement reforms
and their impact on value for money and open access to
public tenders. It discusses the reliably identified costs
and benefits and systematically evaluates the quality of the
evidence base, relying on academic and policy literature.
The quality of evidence on the impact of public procurement
interventions is mediocre, with reliable evidence
established in multiple countries using diverse analytical
methods only for selective, typically narrow tools. Although
there is a range of policy tools with global policy interest
and extensive implementation record, these have received
little to no evaluation. As high-quality research uses
different outcome measures, comparing intervention
effectiveness is only possible for a very narrow outcome:
savings. Comparing intervention types according to their
effects on savings, centralized procurement and framework
agreements stand out with the largest effects, over 50
percent. Most other intervention types were documented to
achieve about 5-10 percent price savings if they were well
implemented. Given the estimated US$11 trillion spent on
procurement annually around the world, even savings of 1
percent amounts to US$110 billion annually. This systematic
review points out that research on e-procurement and its
variants, transparency portals, civil society supervision,
and opening up the black box of public management, among
others, would deserve considerably more research going forward. |
| format |
Working Paper |
| author |
Fazekas, Mihály Blum, Jurgen Rene |
| author_facet |
Fazekas, Mihály Blum, Jurgen Rene |
| author_sort |
Fazekas, Mihály |
| title |
Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| title_short |
Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| title_full |
Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| title_fullStr |
Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| title_full_unstemmed |
Improving Public Procurement Outcomes : Review of Tools and the State of the Evidence Base |
| title_sort |
improving public procurement outcomes : review of tools and the state of the evidence base |
| publisher |
World Bank, Washington, DC |
| publishDate |
2021 |
| url |
http://documents.worldbank.org/curated/en/656521623167062285/Improving-Public-Procurement-Outcomes-Review-of-Tools-and-the-State-of-the-Evidence-Base http://hdl.handle.net/10986/35727 |
| _version_ |
1764483656522399744 |