Tender System Research Articles

Tendering in Assignment of the Administrative Contract: A Comparison of Egyptian Tender Law and Saudi Government Tenders and Procurement Law

Administrative contracts are conducted to meet government agencies' requirements in terms of procurement, which is done by tendering. The government infrastructure demand and day-to-day other needs are contracted with vendors, who render their services by applying the announced tender. Hence, the legal framework related to tendering is very important, which protects the legal rights of tender authority and vendors. This present research aims to explore the tendering law in Saudi Arabia and Egypt, having a close legal framework regarding tendering. Egypt is carrying the tender law of 1998, which is updated in 2018 recently. Moreover, tendering in Saudi Arabia depends on the Government Tenders and Procurement Law (GTPL) of 2019, which is updated from the previous version of GTPL 2006. The research explores the basic structure of the procurement system and tendering in both systems, including the discussions on procurement agency, tendering methods, basic tendering regulations, public-private partnership, transparency issue, and tendering with foreigners' bidders. Also, the recent improvements in both tendering systems are discussed. The research traces many similarities and differences in both tendering systems and suggests taking help from each other's experiences.

The Significance of Enabling Human Consideration in Policymaking: How to Get the E-Ferry That You Want.

There is broad agreement in literature and policy that the transport sector needs to maximise electric mobility, in order to lower both energy consumption and greenhouse gas emissions. This ongoing transformation continues to require a high degree of technological innovation. Consequently, policymakers are striving to reward innovation in procurement tender contracts, in order to achieve sustainable innovation. At the same time, such contracts are often designed with a principle of technology neutrality in mind, to prevent any distortion of the market logic. This article suggests that it is misguided to try to perfect the logic of the tender system and that articulating contract that rewards innovation is no guarantee of a sustainable solution. Rather than being technological, the problem should be seen as moral: the mounting environmental challenge. Policymakers thus have clear ideas about the action needed based on what they, through moral conviction, consider to be appropriate action. This case study—conducted as a part of the EU H2020-funded ECHOES Project under Work Package 6—on the electrification of the Flakk–Rørvik ferry connexion reveals how policymakers were able to achieve the intended results: in this case, an e-ferry rather than a biodiesel ferry, in spite of, rather than because of, the tender system logic. They achieved this by involving stakeholders in the process with a continuous and uninterrupted dialogue. The project stakeholders were able to intervene in the tender system logic in favour of human considerations. We argue that this project was a success because human judgement, not system logic, was the driving force. By extension, we argue that systems will only allow policymakers to pursue moral issues to the degree that they allow human intervention.

Statistical Methods in Bidding Decision Support for Construction Companies

On the border of two phases of a building life cycle (LC), the programming phase (conception and design) and the execution phase, a contractor is selected. A particularly appropriate method of selecting a contractor for the construction market is the tendering system. It is usually based on quality and price criteria. The latter may involve the price (namely, direct costs connected with works realization as well as mark-ups, mainly overhead costs and profit) or cost (based on the life cycle costing (LCC) method of cost efficiency). A contractor’s decision to participate in a tender and to calculate a tender requires an investment of time and company resources. As this decision is often made in a limited time frame and based on the experience and subjective judgement of the contractor, a number of models have been proposed in the literature to support this process. The present paper proposes the use of statistical classification methods. The response obtained from the classification model is a recommendation to participate or not. A database consisting of historical data was used for the analyses. Two models were proposed: the LOG model—using logit regression and the LDA model—using linear discriminant analysis, which obtain better results. In the construction of the LDA model, the equation of the discriminant function was sought by indicating the statistically significant variables. For this purpose, the backward stepwise method was applied, where initially all input variables were introduced, namely, 15 identified bidding factors, and then in subsequent steps, the least statistically significant variables were removed. Finally, six variables (factors) were identified that significantly discriminate between groups: type of works, contractual conditions, project value, need for work, possible participation of subcontractors, and the degree of difficulty of the works. The model proposed in this paper using a discriminant analysis with six input variables achieved good performance. The results obtained prove that it can be used in practice. It should be emphasized, however, that mathematical models cannot replace the decision-maker’s thought process, but they can increase the effectiveness of the bidding decision.

Использование специальных строительно-технических знаний в борьбе с коррупцией

Introduction. Corruption risks are essential restrictive factors that hamper the normal operation of the construction industry; they are the obstacles that hamper investment and construction activities; they prevent the successful implementation of government-funded projects and development programmes. Elimination of corruption threats through the expert examination of draft legal acts in terms of corruptogenicity, law enforcement monitoring, research into practical corruption, control over business processes in the construction industry and other actions represent the top priority actions performed within the framework of Russia’s effective anti-corruption policy. Materials and methods. Corruption risks can be easily differentiated depending on specific stages of investment and construction projects. It is logical to distinguish corruption risks at due diligence and project implementation stages, at the stages of construction and commissioning, and at the stage of facility operation. Results. The co-authors have analyzed the anti-corruption efforts exerted in the construction industry both by the federal government and parties to investment construction projects. The co-authors describe several elements of anti-corruption actions aimed at the improvement of the system of state governance, in particular, the co-authors address several actions, taken by the Ministry of construction, housing and utilities of the Russian Federation. The business community considers corruption control as an effectively operating multi-faceted system, that encompasses supervision, reporting, and law enforcement. Today any control over corruption threats, that accompany the implementation of investment and construction projects, is undergoing substantial transformations triggered by the introduction of information technologies (BIM, improvement of electronic purchasing and tendering systems, etc.) Traditional instruments of control (for example, audi­ting) should focus on the involvement of competent professionals, having in-depth knowledge of construction processes and capable of performing an expert examination of project’s economic and construction constituents and accompanying business processes. Conclusions. The co-authors have substantiated the need to apply a flexible multi-faceted approach to corruption control, which should not be limited to controlling instruments to ensure the comprehensive tackling of the corruption problem.

Strategy for increasing tender success in Jakarta’s e-tender construction project

Electronic tender or e-tendering system in the procurement of goods and services in Indonesia from the perspective of the government is considered to be a tool to realize good governance and public services, because it will increase cost efficiency, effectiveness, faster cycle times, increase package transparency tendered work, provides better public monitoring, promotes fair competition and increases government accountability. However, in the implementation of e-tendering for construction projects, many tenders have failed. This research aims to identify the factors that cause tender failures and develop strategies to increase the success of e-tendering for construction projects in Jakarta. Identification of the factors causing the tender failure was obtained from a literature study and these factors were validated by experts. Questionnaires were distributed to project owners, tender committee, and contractors who have participated in e-tendering system for public construction projects in Jakarta. From the data obtained, statistical analysis using validity test, reliability test, comparative analysis and descriptive statistical analysis used to obtain factors that cause e-tender failures. Proposed strategies for increasing e-tender success for construction projects were obtained from literature studies and expert judgment.

Public Tendering Practices, Issues and Directions - A Case of Pakistan Construction Sector

Outdated tendering system is a significant obstacle in the momentum of public sector development in Pakistan. This study aims to examine various undiscovered part of public tendering through a detailed survey from key professionals, experts, and decision-makers of public projects. Furthermore, research covers the present status of public tendering in Pakistan and provides recommendations as per experts’ opinion. This paper exhaustively highlights how the classical customs of the public tendering in Pakistan could track the old-fashioned sector to an upright path. Intensive interviews and questionnaire surveys were carried out throughout the country for data compilation. The one-way ANOVA test was performed to verify the perception of various participants and to reject the null hypothesis. The study revealed various interesting facts of present-day situations of public tendering. Various pitfalls in public tendering were underlined in the speculation of experts. The study concluded that public tendering in Pakistan is crowded with severe threats that may be alarming for the future of the industry. Un-discovering of alarming facts about public tendering in Pakistan opens the directions for several researchers in terms of exploring project case studies further. The research is an eye-opener for policymakers, experts, decision-makers and governmental bodies to regulate the public tendering system accordingly.

Exploring Drug Cost and Disease Outcome in Rheumatoid Arthritis Patients Treated With Biologic and Targeted Synthetic DMARDs in Norway from 2010 to 2019 – A Country With a National Tender System for Prescription of Costly Drugs

Exploring Drug Cost and Disease Outcome in Rheumatoid Arthritis Patients Treated With Biologic and Targeted Synthetic DMARDs in Norway from 2010 to 2019 – A Country With a National Tender System for Prescription of Costly Drugs

Analysis of a Conceptual Model and Assessment of the e-Procurement System in Bangladesh

The public procurement system in Bangladesh has been running by traditional manual process under the flagship of Public Procurement Act (PPA 2006) and Public Procurement Rules (PPR 2008). Public procurement agencies have been facing challenges in this manual tendering system. To overcome this problem and to bring reality to the “Digital Bangladesh” slogan, the Government of Bangladesh introduced the e-Procurement system under the e-GP (Electronic Government Procurement) guideline 2011. After the inception of e-procurement, there is no e-procurement assessment model to improve the e-GP system. The purpose of this research is to develop a conceptual framework and to design an e-procurement assessment model. With this view, we have considered one of the biggest entity Roads and Highways Department (RHD) of the Government of Bangladesh, for field study. Mixed methods along with FGD (Focus Group Discussion), KII (Key Informant Interview), and survey questionnaires are used to collect data from RHD, and then Statistical Package for Social Science (SPSS) software is used for regression analysis and hypothesis testing to develop the e-Procurement assessment model. The novel contribution of the study lies in the test of the hypothesis that focuses on developing the conceptual model of the e-procurement assessment system in Bangladesh. Findings of the study are essential for all Procurement Entity (PE) and suppliers i.e. contractors of RHD who are engaged in the construction of the infrastructure project development project.

Affirmative Action in Tenders

In this work, the affirmative action doctrine in public tenders was discussed. The ההעדפה affirmative עוסקת action policy is one in which an institution or organization actively engages in efforts to improve opportunities for groups that have historically been excluded from society and the economy. The situation that until recently did not allow small and medium-sized businesses to access and deal with government tenders as equals. The central tender system, whose bureaucratic conduct is cumbersome and heavy, followed size guidelines. The country is a huge purchasing power. In the United States, for example, it's about an industry that rolls trillions of dollars every year. Of course, in Israel the sums will not come close to this number, but relatively speaking, the government is certainly a major proprietary body that rolls out about NIS 65 billion a year by various estimates. And not just the government, but all the public bodies themselves. The various state authorities such as the Council for Higher Education, health funds, etc., which are managed by public funds, are obligated to publish tenders for each purchase. Which should actually produce fair competition. The share of small and medium-sized businesses in the country is 99%. Ostensibly, a business connection between state bodies and small and medium-sized businesses could have been an optimal situation. But that's not the picture on the ground. Reality is that small and medium-sized businesses are unable to handle tenders. This paints a picture whereby 1% of all businesses in Israel control the procurement of Israel's largest proprietary body המסים – state bodies. This distorted state has come to correct the affirmative action doctrine. The change has also received backing in legislation and today the trend is to integrate as many SMEs into public contracts as possible. For this purpose, the Small and Medium Business Agency was established to promote this goal. As the work will show, it's still a long way to make things optimal. In this work we will see the status that is present and the the first chapter will discuss the doctrine itself with a brief historical overview of its roots that stemmed from the principle of equality and justice. The second chapter will discuss the status quo, which is a change trend and what this trend means. The third chapter will describe the small and medium-sized business sector and the Small and Medium Business Agency. Chapter 5 will deal with a trial comparing various applications of affirmative action in Israel against the United States, the European Union, and the final chapter will summarize the main points of work.

TRANSPARENCY AND ACCOUNTABILITY IN URBAN PUBLIC PROCUREMENT: DESIGN OF A SELF-SOVEREIGN BLOCKCHAIN APP

Abstract. This paper positions blockchain systems in the context of smart city policy. It argues that blockchain technology may be an effective vehicle in coping with corruption and ‘false playing’ in urban public procurement and tendering systems. It presents the design of new app (Self-Sovereign App or SSApp) to avoid corruptive behavior of agents.

Метод сокрытия приватных данных для блокчейн-системы проведения тендеров

Метод сокрытия приватных данных для блокчейн-системы проведения тендеров

COVID-19: digital equivalence of health care in English prisons

COVID-19: digital equivalence of health care in English prisons

Identifying the Risk Impact on Cost and Time of the Egyptian Non-Residential Buildings Projects

Construction projects in Egypt were typically influenced by multiple risk factors which have various impacts on both cost and time objectives that lead to project cost overruns and time delays. This paper presents the results of an investigation study concerns with the identification and assessment of risks associated with the Egyptian Non-Residential Buildings Projects (ENRBP). The study explores risk factors probability of occurrence and their effects on cost and time of these projects. A field survey was conducted with professionals in the construction projects in EGYPT for a purpose of collecting the required data of the risk factors characteristics. Based on results analysis, several risk factors were identified and categorized into fifteen risk groups as well as they were prioritized based on their effects on cost and time. A high agreement for ranking risk factors among contractors, consultants and owners was acquired. The list of the major risks included many factors such as: dramatic changes in the materials prices and Adopting direct attribution system rather than tendering and bidding systems. The most expected average increase of the cost overruns and time delays was more than 20% of the project planned budget and schedule. Finally, the analysis and findings showed that risk factors were very close in their impacts on both cost and time of ENRBP.

PBI40 TENDER APPROACHES IN THE OFF-PATENT BIOLOGICAL MEDICINES MARKET: A EUROPEAN COMPARATIVE ANALYSIS

Tendering has become an important strategy to contain spending when purchasing pharmaceuticals. However, tender approaches, such as awarding total market volume to a sole competitor, may threaten the sustainability of the off-patent biological medicines market. This study aims to (i) map the organisation and implementation of tendering across Europe, (ii) investigate tender frameworks and award criteria, (iii) identify best tender practices and (iv) formulate recommendations. First, to gather information on tender implementation and applied frameworks, a quantitative web survey was completed by hospital pharmacists and procurers across Europe. Second, to explore insights and derive learnings, semi-structured interviews were performed with hospital pharmacists, procurers and industry from countries representing different healthcare systems: Norway, Denmark, Italy, UK, France and Belgium. A hundred survey participants representing 26 countries were included for descriptive analysis. Although the implementation and experience with tendering for off-patent biologicals was heterogeneous among participants, similar selection and award criteria were often applied. The majority of participants indicated the use of selection criteria beyond price. Twelve interviews were conducted. Interviewees mentioned the complex trade-off between benefits and risks of national and regional/hospital tendering systems. National systems, representing a larger purchasing capacity, may result in larger discounts, but may also push other competitors out of the market. Regional/hospital systems may be advantageous for long-term competition by providing an opportunity for multiple players, however they may also result in less competitive prices. Some interviewees were apprehensive about the risk of competitors withdrawing from the market due to unexpected high price pressure. Due to variations between regions, national healthcare systems and product classes, it may not be possible to create a ‘one-size-fits-all’ tendering framework. However, overarching best practices towards sustainable tendering for off-patent biologicals were identified, including: (i) multiple winner tenders, (ii) differentiation beyond price and (iii) re-opening of contracts upon biosimilar market entry.

PDG48 AN ANALYSIS OF THE DANISH MODEL FOR ANALOGUE COMPETITION OF HOSPITAL MEDICINE BASED ON THE THERAPEUTIC AREA, HEPATITIS C

The expenses for hospital pharmaceuticals in Denmark has increased more than 80% the last decade. The increased expenditure is particularity caused by new and expensive patent-protected medicine. Amgros carries out EU-tender calls for 98% of hospital medicine used at public hospitals in Denmark. The opportunity to achieve price discounts on patent-protected pharmaceuticals through tender calls are minimal due to the limited competition. In order to accommodate this, a unique analogue competition model was developed by Amgros and the Danish Regions. The purpose of this study was to explore the effects of the analogue competition model on pharmaceutical prices in the therapeutic area hepatitis C in the period from 2014-2018. The study was designed as a case study including semi-structured interviews with relevant stakeholders in the industry, Danish Regions, and Amgros. Quantitative data including both list prices and actual purchase prices were withdrawn with special permission from Amgros´ database. The qualitative and quantitative analysis showed that the price for one hepatitis C treatment decreased 77% (from 531.406 DKK to 121.798 DKK per patient) for genotype 1 and 32% (from 531.406 DKK to 363.780 DKK per patient) for genotype 3 within the period 2014-2018. Important factors leading to the price decreases were the following: the therapeutic treatment guidelines produced by the Danish Medicines Council equalling the medicine at ATC level 5, the number of pharmaceuticals for each disease genotype on the market at each tender, the incentive structure created by the Amgros tender system with possibilities of being ranked as first choice with an 75% market share, and the size of the patient population. The analysis showed that the analogue model was effective in creating an oligopoly competition market situation within the therapeutic area hepatitis C.

Which incentive instruments do well for expansing the installed capacity of wind power: the empirical study in China

China has made significant progress in pursuing its wind power policy in terms of cumulative installed capacity. This study investigated the effects of different incentive policies on the expansion installed capacity of wind power. Local planning support, cost allocation, concessionary tendering system and benchmark pricing are selected as policy variables and the individual fixed-effects model is applied to perform a quantitative analysis given the characteristics of the data series. Empirical results indicate that the effects of cost allocation, benchmark price and local planning support are decreasing gradually. We also find that concessionary tendering has no evident impact on the increase in installed capacity. This investigation on incentive policies provided evidence to further the design of an incentive mechanism that can optimize the supply structure of energy.

Development of web-based e-Tendering system for Nigerian public procuring entities

E-Tendering is gradually gaining wide acceptance by public sector organisations. Many public procuring entities in both the developed and developing countries have been transitioning from manual-based to digital-based tendering processes, primarily to address the numerous problems associated with the manual-based system such as lack of efficiency, transparency and manipulation of the tendering processes. In Nigeria, the tendering process is largely manual-based and there are no existing e-Tendering systems that support the entire tendering lifecycle. This research addresses that by developing a web-based system that supports key steps in the tendering process, i.e. tender notification, submission, opening, evaluation, approval and awarding. The system has been validated and found to have the potential to significantly improve the proficiency of the current manual-based tendering system used by the Nigerian public procuring entities. The system was developed using object-oriented methodologies. Specifically, Ripple and Unified Process along with Unified Modelling Language were used to guide the system development.

Perencanaan E-Procurement dalam Pengadaan Material Pesawat

With frequent delays in booking aircraft materials carried out in several countries, including: Germany, the United States and France which still use E-Mail in their orders. So the researcher built an E-procurement information system in saturating orders made like a simple tender system. The methodology used in building this E-Procurement information system uses the waterfall methodology as the engineering system stage, namely: Analysis, Designing, cooding, testing and implementation of the system. Whereas the model or tool used in this analytical designer is using UML (Unified Model Language), so the expectation of making this E-Procurement information system is to assist the procurement of aircraft materials in meeting the needs of the procurement of materials in warehouses with good material quality cheap and non-miss communication on orders.

Stakeholder driven development of a multi-criteria decision analysis tool for purchasing off-patent pharmaceuticals in Kuwait

BackgroundIn Kuwait, the government is planning to improve the specifications for purchase of medicine and to improve the tendering system intending to slow the growth of the expenditure for medicine and to improve the sustainability of the healthcare system. Multiple Criteria Decision Analysis (MCDA) is a method which can help to assess multiple and sometimes conflicting criteria in the evaluation of the available alternatives. The objective of this initiative was to develop collaboratively a MCDA tool which is locally relevant, and which could be used to improve the use of performance indicators in the purchasing of off-patent pharmaceuticals.MethodsNineteen leading experts representing a broad range of pharmaceutical policy stakeholders elaborated a locally adapted MCDA format by following a 7-step process for criteria selection, scoring, ranking and weighting.ResultsThe most important criterion was the price measured as savings versus the originator product with a weight of 35% in the final decision and a full score with a 60% price reduction. In addition, eight criteria were considered important for assessing the product performance in the Kuwaiti healthcare system: ‘equivalence with the reference product’ (weight of 16.2%), ‘stability and drug formulation’ (13.5%), ‘quality assurance’ (11.2%), ‘reliability of drug supply’ (8.8%), ‘macroeconomic benefit’ (5.5%), ‘real world outcomes (clinical and economic)’ (4.2%), ‘pharmacovigilance’ (3.3%), and ‘added value services related to the product’ (2.3%).ConclusionsA MCDA model was successfully adapted to the Kuwait decision context by a group of Kuwaiti pharmacists from a broad range of institutions. The participants agreed with the approach and considered it suitable to improve the transparency and consistency of decision making for off-patent pharmaceuticals in Kuwait. A pilot implementation project was proposed.

Renewable energy in the European Union: support policy and outcomes

The article deals with the study of support schemes for renewable energy promotion in the European Union member states. The main strategic documents that declare short-term and long-term goals to increase the share of green energy in final energy consumption of the European Union are considered. The primary motivational mechanisms aimed at encouraging the production of energy from renewable energy sources, namely feed-in tariff models, feed-in premium model, and tradable green certificate scheme are analyzed. In addition, a number of secondary motivational tools such as tender systems, net metering, tax and customs privileges which are used in combination with the primary mechanisms for more effective promotion of renewable energy are described. The results of the influence of policy in renewable energy field on increasing the share of green energy in the total energy mixes of European Union member states are presented.