Exploring infrastructure procurement by Australian state governments

Abstract

PurposeThe purpose of this paper is to report on a research thesis that explores how Australian state government agencies procure infrastructure projects and the extent to which they view the procurement process as an opportunity to deliver more than just a physical facility. The primary purpose of this study was to understand the practice of construction project procurement by project managers on behalf of Australian state government agencies and to explore the creation of public value through procurement.Design/methodology/approachThis thesis presents results drawn from ten case studies of state government organisations that procure infrastructure; either roads or buildings. A total of 37 highly experienced project managers operationally responsible for the procurement of infrastructure within these organisations were interviewed.FindingsThe findings show that there is considerable scope for improving infrastructure procurement by Australian state governments and that broader public value creation approaches in the form of policy by‐products are either not considered or inconsistently pursued.Practical implicationsThe broader policy implications flowing from the research findings provide valuable commentary that inform the practice of infrastructure procurement and point to areas to which improvement efforts may be directed. These areas include the challenge of developing the next generation of infrastructure procurement managers, applying non‐price criteria in a rigorous way, using prequalification registers to engage in supplier development and delivering policy by‐products as part of standard procurement approaches.Originality/valueThis thesis presents qualitative data focused on the perspective of procurement professionals, a group who have, hitherto, been somewhat underrepresented in the literature.