Volume 12, Number 1, Spring 2012

Early Contractor Involvement in Dutch Infrastructure Development: Initial Experiences with Parallel Procedures for Planning And Procurement ............................................................................................................................................... 1
S. Lenferink, J. Arts, T. Tillema, M. van Valkenburg and R. Nijsten

Environmental Impacts and the Most Economically Advantageous Tender in Public Procurement .......... 43
K. Parikka-Alhola and A. Nissinen

Combinatorial Auctions in Public Procurement: Experiences from Sweden .............................................. 81
A. Lunander and S. Lundberg

Supply Management Concepts in Local Government: Four Case Studies................................................ 109
G. Gianakis and C. McCue
PrAcademics

ABSTRACT. The purpose of the article is to examine the factors that either foster or impede adoption of supply-chain management processes by public sector organizations, as well as to identify the potential benefits that can be achieved by local governments through the use of the supply chain framework. Case study findings suggest that in order for supply chain management innovation to occur in the public sector a number of factors must be addressed, including the willingness to invest in information technology; identifying opportunities for procurement to transition from a control to a support function; seeking to partner organizational expertise with vendor expertise; the ability to identify crucial supplies and strategic issues that add value to the organization; and to innovate incrementally. Results suggest that the adoption of a supply chain perspective can yield innovative procurement techniques.

ABSTRACT. The “most economically advantageous tender,” as defined in the EU's public procurement directives, allows public purchasers to combine environmental aspects, price and other award criteria in decision making. The directives do not, however, determine how the environmental criteria should be built. Indeed, there could be different means to assess the “greenness” of competing tenders, and these various measurements of environmental impacts may lead to different assessments of the most economically advantageous tender. In this article, the determination of environmental award criteria is examined through a case study on a purchase of a goods transportation service, where the most economically advantageous tender is calculated by life cycle assessment and the environmental cost calculation method suggested by the EU, and compared to the results gained by the purchaser's equation. Also the contribution of the weighting for the “green” purchasing decision is discussed.

ABSTRACT. Combinatorial procurement auctions are increasingly being employed in the private and public sector as an alternative to simultaneous single contract auctions. This mechanism has the advantage that it enables suppliers to express synergies across bundles of public contracts. This mitigates the exposure problem and also has the potential to both lower the price paid by the procuring authority and to enhance efficiency. This paper provides stylized facts of recently performed combinatorial public procurements in various markets in Sweden.

ABSTRACT. Traditionally, in the Netherlands, the procurement procedure for infrastructure does not start until the public decision-making procedure is fully completed. In the new procurement strategy, early contractor involvement is applied by carrying out the procurement procedure and the public planning procedure simultaneously. This article explores the first experiences and lessons learned with early contractor involvement in four Dutch infrastructure projects. It can be concluded that the new strategy adds value in terms of time gains, improved project control and more innovative solutions. However, to optimize early contractor involvement, the differences between the competitive procurement procedures and the open, cooperative public planning procedures need to be bridged.

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