DOI: https://doi.org/10.32515/2663-1636.2019.2(35).216-225
Analysis of the Public Procurement Procedures Alternativeness for the State Programs Financing
About the Authors
Iryna Drozd, Professor, Doctor in Economics (Doctor of Economics Sciences), Director of Educational and Scientific Center of Public Administration and Financial Control, Taras Shevchenko National University of Kyiv, Kyiv, Ukraine, E-mail: drozdirina@ukr.net
Mariia Pysmenna, Associate Professor, Doctor in Economics (Doctor of Economic Sciences), Dean of the Faculty of Management, Flight academy of National aviation university, Kropyvnytskyi, Ukraine, E-mail: mari.pismennaya.83@ukr.net
Abstract
Public procurement constitutes a significant part of the state budget expenditures of the public sector institutions. The issue of efficient use of money is related to the economical use of funds for the public procurement needs of the customer. Therefore, the purpose of this paper is to study the effectiveness of public procurement procedures by type, which will serve as the basis for the choice of alternative management decisions at the stage of planning the spending of the budgetary institution’s funds for their effective use. The results of the study are intended to provide greater transparency in public procurement activities.
The task of choosing the acceptable procurement procedures, both in terms of legislation and for the purpose of economical use of funds, is relevant for the customers’ financial management. The study of the public procurement procedures’ alternatives was based on the research of their application practice in 2013-2018. The analysis of quantitative and cost indicators of procurement procedures under separate procedures: open bidding, two-stage bidding/competitive dialogue, requests for bids, pre-qualification of participants, and negotiated procurement procedure. The calculation of the procurement procedures efficiency is applied using the planned value of the expected value of public procurement. Directions to improve the public procurement analysis through alternative procedures evaluation in terms of their effectiveness are suggested.
We used the conducted procurement procedures in accordance with the legally approved procedure for their application as a quantitative indicator of the procurement procedures evaluation. Incomplete or canceled procedures were excluded from the quantitative estimates for all periods studied. It is established that the vast majority of purchases were made through open auctions. We have used the amounts of contracts concluded as a result of successful procurement procedures to study the cost characteristics of procurement procedures.Value fluctuations have been established over the study period, which is explained by significant changes in the legislation regarding the regulation of the obligation to conduct procurement through tendering procedures.
Therefore, the problem of analyzing the public procurement procedures alternatives is suggested to be solved by directing the organization of the expected value of procurement by those procedures, which allow obtaining the highest cost savings due to tendering on the electronic procurement system and achieving the goal of procurement through the optimal price/quality ratio.
Keywords
procurement procedures, public procurement, analysis, estimated value of purchases, quantitative indicators of purchases, monetary measures of purchases
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References
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19. Tirole, J. (1994). The internal organization of government. Oxford economic papers, new series, 46, 1, 1–29 [in English].
GOST Style Citations
- Заєць Н.М. Методичні засади визначення збитків, завданих державі, в контексті реалізації принципу відповідальності. Вісник Київського національного університету імені Тараса Шевченка. 2013. № 8 (149). С. 82-88.
Заєць Н.М. Порівняльний аналіз вимірників застосування процедур закупівель. Вісник ЖДТУ. Серія: Економічні науки. 2017. № 1(179). C.72-80.Міняйло В. П. Методологічні засади контролю закупівель товарів, робіт і послуг за державні кошти. Інвестиції: практика та досвід. 2017. №16. C.88–93.Письменна М.С. Державний аудит та аналіз публічних закупівель: теорія, методологія та практика: монографія. Київ. «Центр учбової літератури». 2017. 452 с.Проведення закупівель товарів, робіт і послуг за державні кошти в Україні. Державна служба статистики України. URL: http://www.ukrstat.gov.ua. (дата звернення: 10.05.2019).Публічні закупівлі Prozzoro. Офіційний сайт. URL: http://prozorro.gov.ua/ua/news/eng-obov-yazkove-vykorystannya-etsp-vidpovidno-do-zakonu-pro-publichni-zakupivli. (дата звернення: 10.05.2019).
Analysis of the Public Procurement Procedures Alternativeness for the State Programs Financing
About the Authors
Iryna Drozd, Professor, Doctor in Economics (Doctor of Economics Sciences), Director of Educational and Scientific Center of Public Administration and Financial Control, Taras Shevchenko National University of Kyiv, Kyiv, Ukraine, E-mail: drozdirina@ukr.net
Mariia Pysmenna, Associate Professor, Doctor in Economics (Doctor of Economic Sciences), Dean of the Faculty of Management, Flight academy of National aviation university, Kropyvnytskyi, Ukraine, E-mail: mari.pismennaya.83@ukr.net
Abstract
Keywords
Full Text:
PDFReferences
1. Zaiets, N.M. (2013). Metodychni zasady vyznachennia zbytkiv, zavdanykh derzhavi, v konteksti realizatsii pryntsypu vidpovidalnosti. [Methodological principles for determining the losses caused to the state under implementation of the responsibility principle]. Visnyk Kyivskoho natsionalnoho universytetu imeni Tarasa Shevchenka - Bulletin of Taras Shevchenko National University of Kyiv, 8 (149), 84 [in Ukrainian].
2. Zaiets, N.M. (2017). Porivnialnyi analiz vymirnykiv zastosuvannia protsedur zakupivel [Comparative analysis of measuring instruments for applying procurement procedures]. Visnyk ZhDTU. Seriia: Ekonomichni nauky - ZhSTU Bulletin. Series: Economic Sciences, 1 (179),72-80 [in Ukrainian].
3. Minaylo, V.P. (2017). Metodolohichni zasady kontroliu zakupivel tovariv, robit i posluh za derzhavni koshty [Methodological principles of control of purchases of goods, works and services for public funds]. Investytsii: praktyka ta dosvid - Investments: practice and experience, 16, 88–93 [in Ukrainian].
4. Pysmenna, M.S. (2017). Derzhavnyi audyt ta analiz publichnykh zakupivel: teoriia, metodolohiia ta praktyka: monohrafiia [State Audit and Public Procurement Analysis: Theory, Methodology and Practice: Monograph]. Kyiv: Tsentr uchbovoi literatury [in Ukrainian].
5. Provedennia zakupivel tovariv, robit i posluh za derzhavni koshty v Ukraini [Procurement of goods, works and services for public funds in Ukraine]. Derzhavna sluzhba statystyky Ukrainy - State Statistics Service of Ukraine. Retrieved from http://www.ukrstat.gov.ua [in Ukrainian].
6. Publichni zakupivli Prozzoro [Prozzoro Public Procurement]. prozorro.gov.ua. Retrieved from http://prozorro.gov.ua/en/news/eng-obov-yazkove-vykorystannya-etsp-vidpovidno-do-zakonu-pro-publichni-zakupivli/ [in Ukrainian].
7. Thorstein Vablen’s socio-psychological institutionalism [Sotsialno-psykholohichnyi instytutsionalizm Torsteina Vablena]. pidruchniki.com. Retrieved from http://pidruchniki.com/1957041140378/politekonomiya/sotsialnopsihologichniy_institutsionalizm_torsteyna_veblena_1857-1929 [in Ukrainian].
8. Shatkovsky, O., & Yaremenko, S. (2016). Harmonizatsiia systemy derzhavnykh zakupivel v Ukraini zi standartamy YeS [Harmonization of the public procurement system in Ukraine with EU standards]. Komentari do zakonodavstva Ukrainy pro publichni zakupivli - Comments on the legislation of Ukraine on public procurement, 4 [in Ukrainian].
9. Yukhimenko, P.I. (2005). Monetaryzm: teoriia i praktyka: monohrafiia [Monetarism: Theory and Practice: A Monograph]. Kyiv: Condor [in Ukrainian].
10. Analytical Framework for Conducting Political Economy Analysis in Sectors. odi.org. Retrieved from http://www.odi.org/sites/odi.org.uk/files/ odi-assets/publications-opinion-files/3898.pdf [in Ukrainian].
11. Directive 2004/18/EC of the European Parliament and of the Council of 31.03.2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts (2004). Official Journal of the European Union, 134, 30.4, 114 [in English].
12. Directive 2014/24/EU of the European Parliament and of the Council «On public procurement and repealing Directive 2004/18/EC» of 26 February 2014. eurlex.europa.eu. Retrieved from http://eurlex.europa.eu/legal-content/EN/TXT/?uri=uriserv%3AOJ.L_.2014.094.01.0065.01.ENG [in English].
13. Edler, J., & Georghiou, L. (2007). Public procurement and innovation - resurrecting the demand side. Research policy, 36, 7, 949-963 [in English].
14. Krueger, A. (1974). The political economy of the rent seeking society. American economic review, 64, 8073-X, 291–303. Retrieved from http://zakon5.rada.gov.ua/laws/show/80731-10 [in English].
15. Recommendation on Public Procurement: Public Procurement is the cornerstone of strategic governance. oecd.org. Retrieved from http://www.oecd.org/gov/public-procurement/recommendation/OECD-Recommendation-on-Public-Procurement.pdf. [in English].
16. Thai, K.V. (2001). Public procurement re-examined. Journal of public procurement, 1, 1, 9-50 [in English].
17. The National Audit Office. A review of collaborative procurement across the public sector. (2010). nao.org.uk. Retrieved from https://www.nao.org.uk/report/a-review-of-collaborative-procurement-across-the-public-sector-4/ [in English].
19. Tirole, J. (1994). The internal organization of government. Oxford economic papers, new series, 46, 1, 1–29 [in English].
GOST Style Citations
- Заєць Н.М. Методичні засади визначення збитків, завданих державі, в контексті реалізації принципу відповідальності. Вісник Київського національного університету імені Тараса Шевченка. 2013. № 8 (149). С. 82-88.