Transparency International Reports on Military Single-Source Procurement – Public Spend Matters Europe Post

We launched our new website, Public Spend Matters Europe (PSME) last month, and we hope some of our regular readers here visit that site and find the material there enjoyable and interesting. Some of the articles we publish on that site would we think be of particular interest to Spend Matters UK/Europe readers, so we are going to start featuring short tasters here with a link to PSME if you want to read the whole piece.

That won’t mean a reduction in the number of articles here; still three free to read posts a day, plus any from our subscription services PRO and Plus, as well as the PSME tasters – and here is the first of those.

Transparency International reports on Military Single-Source Procurement

Transparency International (TI) is a global non-governmental organisation dedicated to fighting corruption and promoting openness in government and public bodies. One of their key strands of work is Defence and Security, and reducing corruption in defence procurement is a major part of their work.

TI has recently issued a new report, available here, titled “Single Sourcing: A multi-country analysis of non-competitive defence procurement”. Single or non-competitive sourcing is probably more prevalent in defence than any other part of the public sector. That is driven by a couple of good reasons. In some product or service areas there are simply very few capable suppliers who can meet the buyer’s needs. And there are issues of national security; major countries will want to have at least one viable domestic supplier of certain key military goods and services, which may push them towards single sourcing.

But there are also less good reasons why sourcing goes in this direction, often linked to favouritism, nepotism and corruption. And of course, any procurement professional knows that competition is likely to drive more dynamic markets, bringing more in the way of value for money, customer service and innovation.

In terms of this new report, perhaps the most important finding though is both its strength and its weakness. (Continue reading here at Public Spend Matters Europe).

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