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Performance-based Specifications in Public Procurement: Exploring the Case of Germany

Klatt, Florian (2015) Performance-based Specifications in Public Procurement: Exploring the Case of Germany.

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Abstract:The large public procurement sector, making up about 16% of the European GDP, is burdened with meeting increasingly economic solutions without disregarding the high-quality aspect and demand for state-of-the-art technology. Further rising requirements on the sector such as sustainability and innovation aspects impose challenges. Proposed by the literature as a tool in helping to foster economic, ecological, innovative and technically valuable solutions is the employment of performance-based specifications (PBS) in the procurement process. This paper seeks to explore the current level of usage as well as underlying reasons for the frequency of this meaningful tool in Germany. A three-stage research approach was chosen, consisting of (1) analysing the legal framework surrounding Germany, (2) analysing tender documents and (3) conducting interviews with public officials. The analysis found that while from a legal perspective there is a clear framework on the use of PBS, in practice these types of specifications are rarely used. Possible reasons for these findings are a lack of adequate education and training on its use and its benefits, and the practitioners’ impression of predominant drawbacks. The findings reveal an imbalance between the theoretical value and practical use of PBS. This possibly calls for more educational initiatives and best-practice examples regarding PBS and its application on part of the German Government. Supervisors:
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:International Business Administration BSc (50952)
Link to this item:http://purl.utwente.nl/essays/67469
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