Showing papers on "Procurement published in 1970"

Determinants of governance structure for the electronic value chain: Resource dependency and transaction costs perspectives.

Abstract: This paper investigates boundary decisions that determine governance structures, particularly intermediaries and external contractors, for executing the primary functions of procurement, sales, and information technology support functions in the value chain model. Utilizing data from 113 firms doing business on the Internet, the findings indicate that firm resources have a significant impact on decisions to outsource or internalize electronic value chain functions. Specifically, firms with a greater reliance on sales intermediaries were found to deploy fewer technical e-commerce resources than firms less dependent on sales intermediaries. Moreover, the number of intermediary procurement functions was positively related to investment in web-based human resources. The results also suggest that firms experiencing lower levels of transaction frequency utilize more types of Internet sales methods. ********** With the advent of Internet-based electronic commerce, firms are searching for new business models to achieve organizational effectiveness. New technologies often do not lead to improved performance because managers lack a framework for deciding the optimal business model given their particular internal and external circumstances (Fisher, 1997; Janssen & Sol, 2000). Thus, research is needed that focuses on resources and capabilities and their impact on governance decisions for firms pursuing Internet-based commerce (Williamson, 1999; Barney, 1999). This study applies well-established paradigms from strategic management, marketing, and organizational economic literature to examine strategic and structural issues related to electronic commerce. Critical to the strategic objective of maximizing firm performance is the appropriate choice of corporate governance mechanisms for interorganizational relationships within the value chain. In light of new information technology, firms need to reassess boundary decisions that determine governance structures. In particular, a focus is needed on the primary functions of procurement, sales, and information technology support functions in the value chain. Although research suggests that the divergent resource requirements of this newly evolved information systems technology necessitate different governance structures, optimal boundary choices have not been empirically investigated (McWilliam & Gray, 1995; Tsang, 2000). In response to this void, this study examines how firm resources and exchange attributes impact interorganizational governance structures for specific value chain functions. First a discussion of the literature related to channel functions and governance structures is provided, followed by hypotheses regarding the effects of various exchange attributes on governance structures. Next, the methods used to test the hypotheses are presented and the results are provided. Lastly, a discussion of the theoretical and managerial implications is offered. Literature Review Channel Functions There are four basic types of companies that use the Internet in the core of their business: (1) e-commerce companies that sell goods over the Internet; (2) content aggregators who gather and display content from multiple sources; (3) market makers that act as intermediaries or conduct electronic markets; and (4) service providers who furnish Internet based services (Afuah & Tucci, 2000). This study focuses on market makers that act as intermediaries within the primary activities of procurement (supply) and sales (demand). Channel functions related to procurement include purchasing through multi-party, interactive, or dynamic pricing online markets. Selling channel services by intermediaries include selling through hubs, online auctions, use of competitive bidding, or the management of dynamic pricing systems. We also investigate information technology support services for website design and commerce support. …

The Theory of Price Determination in Government-Industry Relationships

Abstract: Introduction, 85. — The conventional bilateral monopoly, 86. — The government procurement process, 88. — Sole source contracts, 89. — Multisource procurement, 95.

Impact, pattern, and duration of new orders for defense products

Abstract: This paper reports on a study of the timing of the economic impact of government defense procurement. By assuming that the letting of new orders signals the beginning and shipments signal the end of the impact of defense procurement, this research investigates the effects of changes in product mix and capacity utilization on the duration of such impacts. The effects of changes in product mix and capacity utilization on inventory accumulation are also investigated. RECENT DISCUSSIONS on econometric model building have pointed out that the development of a realistic model of the government sector is a prerequisite to the effective use of econometric models in evaluating the impact of government operations on the economy [7]. There are two aspects to this problem: (i) An econometric model should include appropriate instrumental variables-variables that can be controlled by policy makers [11], and (ii) the model should properly capture the impact of the government actions [2, 3,5,13]. This paper presents an explanatory study related to the second aspect of the above problem. Since defense procurement accounts for nearly ten per cent of GNP, a question which naturally arises is: Can defense procurement be manipulated by the government to help stabilize economic activity or to offset cyclical fluctuations? It is to be expected that the timing of defense procurement is determined primarily by noneconomic considerations. In peace time, however, a certain degree of flexibility is presumed to exist in the scheduling of defense procurement. For this reason, defense procurement is a useful instrumental variable for an econometric model of the government sector. In considering defense procurement as an instrumental variable, the following question is raised: What stage in the defense procurement process is most important from the viewpoint of measuring its impact on economic activity? In their studies of inventory investment, Lovell and Suits [10, 12] emphasized that the Department of Defense orders have an immediate impact upon inventories in advance of its expenditures. In a substantial number of other econometric models, however, the impact of defense procurement was measured at the expenditure stage [4,6,8,9].

The use of e-procurement in South African public procurement law: challenges and prospects

Abstract: In order for government to function, it needs goods and services. It may acquire these goods and services by using its own resources, or by contracting with outside bodies. The latter method is generally referred to as public or government procurement.1 Government procurement usually contributes a large deal to a country’s economy and is therefore of great importance. In 2002, government procurement was estimated to amount to 21.77 per cent of the gross domestic product (GDP).2 Section 217 of the Constitution sets the standard for government procurement in South Africa. Section 217(1) provides that organs of State in the national, provincial or local spheres of government or any other institutions identified in national legislation when contracting for goods or services must

The Politics of Impounded Funds

Abstract: This article explores the political factors which give rise to disputes over impounded funds: prevention of budget deficiencies; wartime diversion of human and material resources from domestic public works; presidential restraints on interservice rivalries over procurement; and fiscal measures to reduce inflationary pressures. The question of whether impoundment is justified or not requires close attention to specific cases and the complex interplay of politics, economics, and legislative procedures.

Analisis sistem pengadaan proyek konstruksi terhadap penyerapan anggaran pemerintah kabupaten badung

Abstract: : The rate of absorption of a government budget, especially on the construction projects, determine whether or not the optimal development of a region. The faster the budget absorption of the construction projects, the faster the perceived benefits. The purpose of the study was to determine the rate of the budget absorption, to find out the factors in the construction project procurement systems that affect the slow budget absorption of the Local Government of the Badung Regency as well as the efforts to minimize such delays. The data were obtained from the parties involved in the procurement of the construction projects through questionnaires as the research instruments. In addition, the data were also obtained through interviews, observations and documentations. The variables used in the study were 38 variables and 60 persons as the respondents. The data analysis was conducted through descriptive analysis, absorption analysis and factor analysis. The scoring system used a Likert scale, and data processing was conducted by SPSS. The findings of the study show that the rate of absorption of the Badung Regency Government’s construction projects for Fiscal Year 2012 - 2013 was not in accordance with the plan, but the increase was more than that of the previous fiscal year. While the results of the factor analysis by using SPSS indicate that the factors that affecting the slow absorption budget in the procurement system of most construction projects are: the fear and caution of the parties in carrying out procurement activities, the change in the activity package, the slow preparation of the Owner's Estimate (OE), the incomplete procurement documents, the misrepresentation of the procurement regulations and the slow process of procurements. And the most effective effort to enhance the budget absorption are the determination of the communication standards, the coordination and the synchronization in the procurement of construction projects with all parties involved in the procurement systems.

Design and Build: Views from some Major Public Clients in Hong Kong

Abstract: This paper presents the views of clients in public sector on design and build(D&B) procurement method. Specifically, their reasons of adopting D&B and refusing to adopt it were explored. Data were collected through face-to-face interviews with ten senior staff from four major public organisations in Hong Kong. The findings indicate that public clients held different views on D&B methods based on different grounds. Apart from functional requirements such as project completion time, cost certainty, etc., internal resources and political force would also influence client's adoption of D&B method in the public sector.

Development Strategy for Electronics Industry-Ensuring Success of Technological Innovation

Abstract: of date.'' "Moreover, foreign collaborators often change their models, with the result, that the components required for production of equipment under licence become difficult to obtain when their production in the country of origin is discontinued. Consequently, the indigenous industry will often be forced to stock large quantities of components to maintain the production of equipment under licence and for repairs." "A serious and undesirable feature of the present situation is that foreign collaborators often dictate the sources of procurement [of components] themselves. This is accepted as the Indian manufacturer does not possess enough design expertise, even alter paying for knowhow,' to be able to adapt equipment designs to use components available indigenously or in the world market at competitive prices. This largely annuls whatever reductions in cost and in foreign ' dependence are apparently achieved by going in for foreign'collaborations/' Taking its cue from the Bhabha Committee, the Electronics Committee has concentrated its attention, during the three and a half years of its existence, on placing contracts on laboratories, universities and companies for developing, what I shall for the moment call, 'knowhow'. As of today the Committee Has placed some 18 such contracts, The outlay on these contracts during the first year of actual funding, viz, 1969, has been around Rs 33 laths while that in the coming-year is about" Rs 1 crore. However, before the Electronics Committee came on the scene, and indeed even after, government agencies with major interests in electronics such as the Department of Atomic Energy (DAE), the Defence Research and Development Organisation (DRDO) and the Council of Scientific and Industrial Research (CSIR) had undertaken a number of D & D projects with their own funds oriented towards agency-specific goals. Unfortunately, no data is available on the total number of D & D projects tinder way in the country as a whole, the problems they are tackling and the resources that have been utilised by them.1 It is however possible to make a 'guesstimate' that during 1969 the total national outlay on electronics. D & D was of the order of about Rs 6 crores and that the number of scientists and engineers (but not supporting staff) engaged on it, again on an optimistic basis, was of the order of 7,000. These figures may be compared, in order to get some perspective, with the Rs 3 crores and 6,334 scientists and engineers, assessed as being engaged in electronics R & D in 1966.2 The question arises: have any of these projects reached the stage where even pilot plant or prototype production, utilising the .knowhow generated by them,, have been established? It is a matter of regret that, as far as those supported by the Electronics Committee are concerned, none except two can make sugh a claim to what is often used as a criterion of 'successful' D & D. The corresponding figures for projects undertaken as a result" of decision taken at the agency level are unfortunately not known. It is, however, possible to secure an overall national estimate from a consideration of the proportion of electronics output, other than of radio receivers, which is based on locally developed knowhow. I have computed this to be 40 per cent for the year 1966 (about Rs 6 crores in absolute value) M-149 Development Strategy for Electronics Industry Ensuring Success of Technological Innovation A Parthasarathi In an industry like electronics where technological changes are rapid, the demand of strategic self- sufficiency great and the current dependence on imported manufacturing technology acute, we just must devise ways and means of ensuring that the resources committed to domestic design and development pay off commercially.

Are Cost Overruns a Military-Industry-Complex Specialty?

Abstract: : The document presents the view that in the design, procurement, and production of future goods, errors will always be made, whether in the purchase of new space vehicles for government use, the introduction of new power plants by privately owned electric companies, or the purchase of new office buildings and homes by private individuals. This has been the case since Roman times and can be expected to continue in the foreseeable future. (Author)

Design Cost Modelling - The Way Forward

Abstract: Design cost modelling is a fundamental cost management support tool used by construction economists/quantity surveyers. The accuracy of design cost modelling is vital to the success of building developments and the viability of clients, consultants and contractors. This paper reports upon design cost modelling research currentlu being undertaken at the department of Building and Construction Economics at RMIT. The paper positions the research by presenting an overview of design cost modelling techniques, their accuracy, deficiencies and usage. Conclusions are drawn that traditional methods of building procurement stifle attempts to advance the accuracy of current design cost modelling techniques used by consultant quantity surveyors. However, recent shifts in procurement trends provide fresh opportunities to re-invigorate design cost modelling research.

Efectos de la crisis económica en la contratación en defensa

Abstract: Procurement in the field of defense has a special importance because it is one of the ministries with the largest volume of expenditure and investment The effects of the economic crisis, in its early years, were especially noticeable through significant budget reductions, which led to changes in procurement policies particularly in its technological orientation This article analyzes more than 3,000 contracts in 2008 and 2011, showing the aspects in which the main changes in this area have been focused

Libraries and the other triangle under the demand curve

Abstract: : A simple theory of library services is presented. The theory was developed as a normative tool to aid libraries in answering the question: which books should be bought by the library. Although developed for normative purposes, the theory generates testable predictions.

Kajian metode sistem nilai untuk mengevaluasi pengadaan jasa konstruksi

Abstract: : The construction procurement evaluation method using lowest price conforming methods often causes some quality problems for owners and increases the probability of dispute and delay during the contract execution. On the other hand, merit point system evaluation method can provide quality assurance, but the procurement committees are often dificult to apply it, and to determaine mesurable criteria evaluation.Therefore, it is necessary for a more in-depth study to find out the criteria evaluation for construction procurement. The research conducted in Bali, and adopted inductive qualitative approach involving 45 experts participated in construction procurements using merit point system evaluation.Puposive sampling is applied to determine the respondents come from all actors included during procurement process. The data was collected through interviews, observation participant and questionnaires, and the Analytic Hierarchy Process (AHP) is choosed to analyse them. The result shows that : the merit point system evaluation for construction procurement can determine the contractor provides better quality than the lowest price conforming method when theevaluation criteria are clear, mesurable and transparant in the bidding document. There are two principle aspects that must be considered to assurethe quality that is: the technical aspect and the cost that weight consecutively 60% and 40%. The technical aspect comprises of : a) the existance of work plan (13.51%), comprising of construction methods (4.12%), supporting equipment (4.05%), supporting material (3.46%), suporting workers (1.88%); b) competencies of human recources (19.91%), comprising of project management competencies(2.31%), existence of expert (7.92%) and certificated human resources (9.68%); c) existence of supporting equipments (15.54%) consisted of lifting support (4.79%), transportation support (6.17%), surveying support equipment(4.58%); d) the existing of time management (6.30%) consisted of network planning (4.13%), bar chart (1.03%), and S-curve (1.14%); and e) existence of quality assurance (2.14%) consisted of quality management system (1.95%), performance quality management (0.66%) and material management quality (2.14%). From price point of view, it must be evaluated the faireness of price and price offer that weighs consecutively 25.66% and 14.34%.