6th ippc km and public procurement v1.0
DESCRIPTION
IPPC6TRANSCRIPT
6th IPPC 15-08-14
Knowledge management for public sector procurement Exploratory study and model development
H.E.C. Plantinga, ProRail, Procurement Department, The Netherlands J.T. Voordijk & Department of Construction Management & Engineering, A.G. Dorée University Twente, The Netherlands
6th IPPC 15-08-14
Research context
• Public sector clients,
• Construction industry,
• Multi-project portfolio,
• Several procurement systems, methods and means,
• Ambition to continuously improve procurement performance,
• By making better use of extant procurement knowledge.
• Knowledge Management
– Generally claimed beneficial for improving performance
– Presumably also important for this particular research context
• However: hardly any specific literature available
6th IPPC 15-08-14
Two questions on procurement knowledge
1. Which kind …?
2. How to manage …? improve procurement performance
6th IPPC 15-08-14
1. Which kind …?
a. Identify procurement decisions b. Identify kind of knowledge used
Disciplineraad UT 04-09-14
The client’s multi-project
environment
Disciplineraad UT 04-09-14
The client’s multi-project
environment
‘Selection process’
approach is sufficient?
Standardized
procurement strategy
yes
Portfolio of standardized
procurement instruments
e.g. Design & Construct: • Negotiated Procedure
• Qualification system • Award criteria
- price, - past performance system - CO2 performance ladder
• Contract, terms & conditions
• Indemnity insurance • Etc.
Disciplineraad UT 04-09-14
The client’s multi-project
environment
‘Selection process’
approach is sufficient? (re-)design process
Standardized
procurement strategy
yes
no
Range of new / adapted
procurement instruments
Portfolio of standardized
procurement instruments
e.g. Safety ladder as additional award criterium
Disciplineraad UT 04-09-14
The client’s multi-project
environment
‘Selection process’
approach is sufficient?
Discarded instrument
(re-)design process
Standardized
procurement strategy
yes
no
Strategic level
Tactical level
Range of new / adapted
procurement instruments
Portfolio of standardized
procurement instruments
Addition to portfolio Obsolete instrument
6th IPPC 15-08-14
Relevant kind of procurement knowledge?
• All such decisions are based – to some extent – on reasoning processes
• What characterizes these reasonings? => preliminary constructs
Features of (standardized)
procurement instruments
“A Design & Construct contract concerns both the design and realisation phases”
6th IPPC 15-08-14
Relevant kind of procurement knowledge
• All such decisions are based – to some extent – on reasoning processes
• What characterizes these reasonings? => preliminary constructs
Features of (standardized)
procurement instruments
Argumentations
“In this project, Design & Construct will improve the constructability of the design and thus reduce overall cost”
6th IPPC 15-08-14
Relevant kind of procurement knowledge
• All such decisions are based – to some extent – on reasoning processes
• What characterizes these reasonings? => preliminary constructs
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
“Compared to Design-Bid-Build, Design & Construct reduced overall cost here”
6th IPPC 15-08-14
Relevant kind of procurement knowledge
• All such decisions are based – to some extent – on reasoning processes
• What characterizes these reasonings? => preliminary constructs
Generalizations
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
“Design & Construct improves construct-ability and reduces overall cost”
6th IPPC 15-08-14
Relevant kind of procurement knowledge
• All such decisions are based – to some extent – on reasoning processes
• What characterizes these reasonings? => preliminary constructs
Generalizations
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
This kind of procurement knowledge appears to be relevant for continuous improvement.
6th IPPC 15-08-14
2. How to manage …?
a. Select prominent KM theory & concepts
b. Link that to the identified relevant
kind of procurement knowledge
=> Development of a first KM model
6th IPPC 15-08-14
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
6th IPPC 15-08-14
Linking KM to relevant kind of procurement knowledge
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
Generalizations
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
6th IPPC 15-08-14
Application
Generalizations
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
Linking KM to relevant kind of procurement knowledge
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
6th IPPC 15-08-14
Application
Generalizations
Creation and acquisition
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
Linking KM to relevant kind of procurement knowledge
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
6th IPPC 15-08-14
Transfer and sharing
Storage and retrieval
Application
Generalizations
Creation and acquisition
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
Linking KM to relevant kind of procurement knowledge
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
6th IPPC 15-08-14
Transfer and sharing
Storage and retrieval
Application
Generalizations
Creation and acquisition
Features of (standardized)
procurement instruments
Project experiences with
procurement instruments
Argumentations
T
E
T
E
T
E
Linking KM to relevant kind of procurement knowledge
Selected KM theories and concepts:
• The four KM core processes
• Tacit & Explicit knowledge
6th IPPC 15-08-14
Conclusions
In order to enable continuous improvement:
Q: Which kind of procurement knowledge should be managed? A: We suggest to focus on ‘argumentations’ and ‘generalizations’.
Q: How to manage this procurement knowledge?
A: We propose a first KM model
Our next research step concerns case studies of current practices using the perspectives of this KM model.
