Enhancing Integrity in Public
Procurement
OECD Recommendation and
Toolbox
Elodie Beth
Administrator Integrity
Public Governance and Territorial
Development Directorate
OECD
For a cleaner world economy
Mission:
Partnering with countries for a cleaner, fairer and
stronger world economy
• Recognising that weak governance, lack of integrity and
transparency are at the heart of the crisis
Working methods:
• Formulates standards at the international level as well as
practical tools for implementation
• Offers country-specific reviews (peer reviews)/ “know-how”
• Provides comparative and evidence-based analysis
2
Outline of the presentation
How the OECD can support public procurement reforms in the
Czech Republic:
• OECD policy instruments and toolbox on public procurement
• OECD comparative data on public procurement
a)Transparency in public procurement
b) E-procurement
• Peer reviews of public procurement system
OECD Principles: A Framework to assess countries
efforts in public procurement
• Principles on Enhancing Integrity in Public Procurement
• Guidelines for Fighting Bid Rigging in Public Procurement
1.
2.
3.
4.
Transparency (e.g. openness of procedures, use of new technologies)
Good management (e.g. procurement function)
Prevention of misconduct (e.g. specialised training)
Accountability and Control (e.g. remedy system, access for civil society to
key contracts)
Managing risks of waste, fraud and corruption:
-
Needs assessment, contract management
Exceptions to competitive tendering: Emergency procedures, defence
Elements of good practice and
Toolbox
• Report on Integrity in Public Procurement:
Good Practices from A to Z
• Enhancing Integrity in public Procurement:
On-line Toolbox
Element of good practice for
Good practice example:
Transparency
 Policy concern: Preventing risks of corruption
and ensuring accountability in the contract
management
 Practice: Publishing a notice on the
amendment and execution of the contract
 By whom: The Public Procurement Council in
Hungary, an autonomous body reporting to
Parliament
 Role of private sector actors and civil society
to monitor contract
Transparency
• Guidelines for accelerated public procurement procedures
• Model format for supplier debriefings
• Checklist for record keeping
Good management
• Template for market study report
• Template to solicit supplier information
• Checklist to enhance integrity in non-competitive tender methods
Prevention of misconduct
• Code of conduct for procurement practitioners
• Gifts and gratuities checklist
• Indicators of procurement risk
Accountability and control
• Online public procurement reporting
• Registration of private interests
Etc.
How does the OECD collect data and support
evidence based decision making?
• Survey questionnaires
• Systems of National Accounts
• European Commission data on expenditures of state owned
utilities
• Country reviews : Brazil, United States, etc.
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Transparency in public procurement (1)
• Providing an adequate degree of transparency throughout the
entire public procurement cycle is critical to minimise the risk
of fraud, corruption and mismanagement of public funds, and
to level the playing field for businesses.
• Access to laws, regulations, judicial and /or administrative
decisions, standard contract clauses on public procurement as
well as actual means and processes by which specific
procurement are defined, awarded and managed.
Transparency in public procurement (2)
Frequency of publication of public procurement information (2010)
Source: OECD Survey on Public Procurement (2010)
E-procurement (1)
• The use of ICT’s in public procurement processes :
1. Enhances transparency and efficiency of
procurement process
2. Empowers citizens to hold public authorities
accountable
3. Decreases administrative burdens and cost
Role of on-line portals for procurement
Other locations
Source: OECD Survey on Public Procurement (2010)
Contracting entity website
Single entry procurement website
Ukraine
Egypt
United Kingdom
Turkey
Switzerland
Sweden
Slovak Republic
Poland
Norway
New Zealand
Netherlands
Mexico
Luxembourg
Korea
Japan
Italy
Ireland
Hungary
Greece
Germany
France
Finland
Estonia
Denmark
Czech Republic
Chile
Canada
Belgium
Austria
Australia
c) E-procurement (2)
Online availability of public procurement information
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Public Procurement Reviews
United States example
• U.S. Government’s Federal Acquisition system : US$ 540 billion per
year
• Office of Management and Budget’s interest in assessment of
successes and challenges in ensuring transparency, integrity and
good management in public procurement
• OECD peer review of practice in selected federal agencies and
benchmarking against other relevant countries
• Transparency, accountability and integrity in different stages of
procurement cycle
• Acquisition workforce
• Best value for taxpayers
• Competition
• Review and remedy mechanisms
For Further Information
Website: http://www.oecd.org/gov/ethics
Selected publications:
• Principles for Enhancing Integrity in Public Procurement (2009)
• Enhancing Integrity in Public Procurement – Joint Learning Study
on Yemen, Morocco (2010)
• Integrity in Public Procurement: Good Practice from A to Z (2007)
Contact us: OECD Integrity Unit (gov.integrity@oecd.org)
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Thank you
Elodie Beth
Elodie.beth@oecd.org