Examining the need for a public procurement maturity model (PPMM) for infrastructure buyers in a monopsony market structure

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Abstract

This paper examines the need for a Public Procurement Maturity Model (PPMM) in organizations with the role of road infrastructure buyers under public procurement legislation in a monopsony market structure. The environment used to contextualize the information is Romania and CNADNR (Compania Națională de Autostrăzi și Drumuri Naționale din România).

The literature research, open data as well as my own practical experience are used as entry data for the four parts of the paper: (i) the context leading to the PPMM need identification, (ii) an overview of the existing public (procurement) maturity models; (iii) discussions and (iv) summary, limitations, and outlook.

The paper provides arguments of an upstream intervention in the value chain of road transport infrastructure and highlights the benefits of such an intervention. Elements such as Romanian cultural dimensions, type of market structure or impact of the outcomes of public procurement process for road infrastructure are considered relevant entry data for an intervention which aims to contribute to the improvement of performance at a procurement process level.

The results of this paper serve as a starting point for further reflection on the performance in road infrastructure public procurement area in Romania. In addition to the awareness of the need for an intervention at a contracting authority level, the paper arguments that market structure or national cultural dimensions must be considered as entry data in designing maturity models.

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