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Effects of Outsourcing on Organisational Performance

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PRACTICES AND PROCEDURAL DIFFERENCES BETWEEN PRIVATE AND PUBLIC SECTOR PROCUREMENT
1. Regulation by law in public sector while in private practices and procedures are governed by internal policies of the entity
2. Procedures are bureaucratic and lengthy in public sector while in private sector lead times are short
3. Competitive bidding distinctively practiced in public sector, in private sector any other sourcing method other than competitive bidding can be applied
4. Public funds are used to meet public sector activities in private sector funds from shareholders are used
5. In public sector unfairly treated bidders are assisted by an appeals board, in private sector aggrieved bidders have no recourse
6. Public procurement is geared towards provision of quality and efficient services, in private sector procurement is geared towards increasing rate of return
7. In public sector supply chain management is more theoretical than practical, in private sector it is practiced
8. In public sector the procurement systems are more manual, unlike in private sector where in most case systems are automated
9.In public sector there are various committees created for the purpose of ensuring transparency and accountability in the process, while in private sector one or very few committees exist.
10. Professional qualifications and membership is highly emphasized while in private less emphasized
11. Negotiation in public sector is limited to 2 committees; in private sector negotiation is intense
12. In public sector distinct procurement methods or procedures are defined in private sector not elaborate
13.In public sector procurement attempts to promote growth of all categories of bidders, in private sector less concern is given to promotion of small and disadvantaged bidders

DEBARMENT IN PUBLIC PROCUREMENT PROCEEDINGS

* By debarment it means being restricted or…...

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