The rhetoric and reality of SME-friendly procurement

Flynn, Anthony; Davis, Paul K.

doi:10.1080/09540962.2015.1007705

Cited by 26 publications

(42 citation statements)

References 28 publications

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“…From an entrepreneurial policy perspective, public procurement is a means to promote SMEs’ performance and to strengthen their role in the economy and in creating new jobs. However, much of the policy discussions have remained mostly, if not wholly rhetorical, and the implementation of policy ideas on various aspects and levels of public procurement has been only partial and slow (Flynn and Davis, 2015; Loader, 2013). We here reflect what our empirical analysis could add to the growing ‘knowledge base’ of supporting SMEs through public procurement.…”

Section: Discussionmentioning

confidence: 99%

“…It is well established that SMEs are underpresented in awarded public tenders (GHK, 2010) and many studies point to barriers, either perceived or actual, that impede SMEs access to public sector markets (e.g. Bovis, 1998; Flynn and Davis, 2015; Flynn et al., 2015; Karjalainen and Kemppainen, 2008; Loader, 2005, 2013; Pickernell et al., 2013; Uyarra et al., 2014). Since transparency, openness and fairness are central principles in public procurement (European Commission, 2015), but public procurers seem to lack clear objectives and priorities for encouraging and supporting SMEs (Loader, 2013), there is an urgent need for investigations on the factors and characteristics that influence SMEs involvement in public procurement.…”

Section: Introductionmentioning

confidence: 99%

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Are entrepreneurial and market orientations of small and medium-sized enterprises associated with targeting different tiers of public procurement?

Tammi

Reijonen

Saastamoinen

2016

Environment and Planning C: Politics and Space

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A general view is that small and medium-sized enterprises are underrepresented in public procurement due to their resource constraints. The recent literature suggests that small and medium-sized enterprises' strategic orientations could also have a role in the underrepresentation. In addition, small and medium-sized enterprises tend to position themselves either towards national or wider level public sector customers or towards sub-national level public sector customers. This paper studies how strategic orientations, namely entrepreneurial orientation and market orientation, affect small and medium-sized enterprises’ targeting of public sector customers, and how this affects their performance. Our findings show that market-oriented small and medium-sized enterprises tend to focus on sub-national level public sector customers, whereas entrepreneurially oriented small and medium-sized enterprises have more often national or wider level public sector customers. It also appears that higher performance is associated with national or wider level rather than sub-national level public sector customers. In consequence, more attention should be paid to the differentiation of public procurement markets in developing and refining policies aimed at increasing small and medium-sized enterprises participation in public procurement and at using public procurement as a means to strengthen small and medium-sized enterprises’ roles in promoting overall economic development.

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Section: Discussionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Are entrepreneurial and market orientations of small and medium-sized enterprises associated with targeting different tiers of public procurement?

Tammi

Reijonen

Saastamoinen

2016

Environment and Planning C: Politics and Space

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“…They are less likely to mentor and support small businesses than budget holders for whom the contract is being let (McKevitt & Davis, ), and poor data on suppliers impedes targeted improvements (Loader, ). A survey conducted in Ireland found that, despite the existence of government policy to encourage increased engagement of small businesses in public contracts, there is limited evidence of successful implementation of this policy (Flynn & Davis, ).…”

Section: Theoretical Backgroundmentioning

confidence: 99%

Implementing Government Policy in Supply Chains: An International Coproduction Study of Public Procurement

Harland

Telgen

Callender

et al. 2019

J Supply Chain Manag

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Public procurement is the commercial arm of governments, contracting for goods, and services to feed public sector service provision. However, mainstream operations and supply chain management journals have published little on supply chains to governments, public procurement, and the significance of engaging small businesses in government supply chains. Policy feedback theory and thirteen coproduced international case studies of public procurement and small business agency dyadic relationships are used to explore this space. The research highlights the importance of both public procurement and small business as areas of policy and supply chain management research. Policy feedback theory is introduced as a means to understand relationships and is applied to a coproduction study to understand how supply chain management research can both explore and change policy.

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“…However, there is also evidence of the inability to implement SMEfriendly procurement policies in impactful ways (e.g. Kidalov and Snider, 2011;Flynn and Davis, 2015). This is due to tensions between different objectives of public buyers (e.g.…”

Section: Public Procurement and Small Business Developmentmentioning

confidence: 99%

Effects of public procurement of R&D on the innovation process: evidence from the UK small business research initiative

Selviaridis

2020

JOPP

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Purpose The study aims to investigate how pre-commercial procurement (PCP) influences the activities, capabilities and behaviours of actors participating in the innovation process. Unlike much of PCP research underpinned by a market failure theoretical framework that evaluates the additionality of innovation inputs and outputs, this paper focusses on the role and capacity of PCP in addressing systemic failures impeding the process of innovation. Design/methodology/approach PCP effects on the innovation process were studied through a qualitative study of the UK small business research initiative (SBRI) programme. Data collection comprised 33 semi-structured interviews with key informants within 30 organisations and analysis of 80-plus secondary data sources. Interviewees included executives of technology-based small businesses, managers within public buying organisations and innovation policymakers and experts. Findings The UK SBRI improves connectivity and instigates research and development (R&D) related interactions and cooperation. Through securing government R&D contracts, small firms access relevant innovation ecosystems, build up their knowledge and capabilities and explore possible routes to market. Public organisations use the SBRI to connect to innovative small firms and access their sets of expertise and novel ideas. They also learn to appreciate the strategic role of procurement. Nonetheless, SBRI-funded small business face commercialisation and innovation adoption challenges because of institutional constraints pertaining to rules, regulations and public-sector norms of conduct. Research limitations/implications The study contributes to existing PCP research by demonstrating innovation process-related effects of PCP policies. It also complements literature on small business-friendly public procurement measures by highlighting the ways through which PCP, rather than commercial procurement procedures, can support the development of small businesses other than just facilitating their access to government (R&D) contracts. Social implications The study identifies several challenge areas that policymakers should address to improve the implementation of the UK SBRI programme. Originality/value The study demonstrates the effects of PCP on the activities, capabilities and behaviours of small businesses and public buying organisations involved in the innovation process.

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The rhetoric and reality of SME-friendly procurement

Cited by 26 publications

References 28 publications

Are entrepreneurial and market orientations of small and medium-sized enterprises associated with targeting different tiers of public procurement?

Are entrepreneurial and market orientations of small and medium-sized enterprises associated with targeting different tiers of public procurement?

Implementing Government Policy in Supply Chains: An International Coproduction Study of Public Procurement

Effects of public procurement of R&D on the innovation process: evidence from the UK small business research initiative

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