Barriers to innovation through public procurement: a supplier perspective
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Public procurement is increasingly viewed as having important potential to drive innovation. Despite this interest, numerous barriers prevent the public sector from acting as an intelligent and informed customer. This paper seeks to understand how barriers related to processes, competences, procedures and relationships in public procurement influence suppliers׳ ability to innovate and to reap the benefits of innovation. We address this by exploiting a dedicated survey of public sector suppliers in the UK, using a probit model to investigate the influence of structural, market and innovation determinants on suppliers׳ perception of these barriers. The main barriers reported by suppliers refer to the lack of interaction with procuring organisations, the use of over-specified tenders as opposed to outcome based specifications, low competences of procurers and a poor management of risk during the procurement process. Such barriers are perceived most strongly by R&D intensive organisations. Our results also indicate that certain organisations, particularly smaller firms and not-forprofit organisations, encounter greater difficulties with innovation arising from the procurement process, for instance in relation to contract size, lack of useful feedback and communication of opportunities. Government procurement policies are queried in light of the findings.
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A lack of interaction between procurer and supplier remains the main barrier to the implementation of innovative solutions through public procurement.
“However, a lack of interaction between procurer and supplier remains the main barrier to the implementation of innovative solutions though public procurement (Uyarra et al., 2014).”
From Implementation and management of a circular public procurement contract for furniture (2023) · cites this paper as Uyarra et al., 2014
The Discussion (§4; page unavailable) identifies lack of interaction with procuring organisations as a main barrier to innovation through public procurement. It lists several other main barriers, however, and does not establish lack of interaction as the single main barrier. (LLM, conf=0.88)
Experimental — accuracy not yet measuredThe lack of knowledge and experience of CPP in the public sector is the main barrier to implementation.
“The lack of knowledge and experience of CPP in the public sector is the main barrier to implementation (Uyarra et al., 2014;Trindade et al., 2017;Vejaratnam et al., 2020).”
From Implementation and management of a circular public procurement contract for furniture (2023) · cites this paper as Uyarra et al., 2014
Section 2.2.1 identifies a lack of procurer skills and expertise as an important barrier to innovative purchasing. But Section 4 (Discussion) lists low procurer competence alongside several other main barriers; it does not identify lack of knowledge and experience as the single main barrier to implementation. (LLM, conf=0.86)
Experimental — accuracy not yet measuredOverly specific tenders and a lack of competence and risk management in procuring organizations are barriers.
“Overly specific tenders and a lack of competence and risk management in procuring organizations are other barriers mentioned in the literature (Uyarra et al., 2014).”
From Implementation and management of a circular public procurement contract for furniture (2023) · cites this paper as Uyarra et al., 2014
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Background
- Authors
- Uyarra, E., Edler, J., Garcia-Estevez, J., Georghiou, L., & Yeow, J.
- Affiliations
- University of Manchester (GB)
- Corresponding author
- Uyarra, Elvira
- Venue
- Technovation
- Publisher
- Elsevier BV
- Published
- 2014-10
- Volume
- 34
- Issue
- 10
- Pages
- 631-645
- ISSN
- 0166-4972 (ISSN-L)
- OpenAlex
- W2063120748
- Cited by
- 408
- References
- 0
- Citations by year
- 2026: 34 · 2025: 42 · 2024: 36 · 2023: 43 · 2022: 39 · 2021: 38 · 2020: 38 · 2019: 34 · 2018: 34 · 2017: 29 · 2016: 21 · 2015: 19
- FWCI
- 70.71
- Type
- journal article
- Language
- en
- Open access
- hybrid
- doi.org
- Licence
- Locations
- Technovation (publishedVersion, cc-by)
- Research Explorer (The University of Manchester) (publishedVersion, cc-by)
- DMU Open Research Archive (De Montfort University) (submittedVersion)
- Greater South Information System
- Funders
- UK Economic and Social Research Council
- Department of Business Innovation and Skills, NESTA
- Technology Strategy Board
- Topics
- Social Sciences › Business, Management and Accounting › Strategy and Management › Public Procurement and Policy
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Innovation Policy and R&D
- Social Sciences › Decision Sciences › Management Science and Operations Research › Auction Theory and Applications
- Keywords
- public procurement, barriers to innovation, supplier perspective, procurement process, tender specifications, R&D-intensive firms, small business, nonprofit organizations, public procurement policy
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