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Innovation and public procurement: Terminology, concepts, and applications

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  • Obwegeser, Nikolaus
  • Müller, Sune Dueholm

Abstract

The growing awareness of public procurement as an innovation policy tool has recently sparked the interest of both policy makers and researchers. While an increasing number of studies is being published every year, an overview of the field is missing. Researchers, practitioners, and policy makers are often using ambiguous wording and have not yet reached consensus on the terminology and concepts involved. This state of affairs leads to research fragmentation and lack of knowledge convergence. For the purpose of contributing to knowledge synthesis and consolidation, this article provides a structured review of the literature on innovation in public procurement. From categorizing publications based on innovation drivers, concepts, and research approaches, the emerging structure of the field is described and synthesized into a framework of innovation in public procurement. The proposed framework differentiates between literature streams on (1) innovations in the public procurement process, (2) innovation of public services by means of procurement, and (3) the use of public procurement as a tool for demand-side innovation policy-making. For each of these streams of literature, different focus areas as well as research gaps and opportunities for future research are identified. Based on analysis of existing research, the proposed framework provides an overview of state-of-the-art knowledge, a unified terminology, and a holistic understanding of innovation in public procurement. The framework is both a point of departure for future research and a source of knowledge for practitioners.

Suggested Citation

  • Obwegeser, Nikolaus & Müller, Sune Dueholm, 2018. "Innovation and public procurement: Terminology, concepts, and applications," Technovation, Elsevier, vol. 74, pages 1-17.
    • Handle: RePEc:eee:techno:v:74-75:y:2018:i::p:1-17
    DOI: 10.1016/j.technovation.2018.02.015
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    3. Tammi, Timo & Saastamoinen, Jani & Reijonen, Helen, 2020. "Public procurement as a vehicle of innovation – What does the inverted-U relationship between competition and innovativeness tell us?," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    4. Edler, Jakob, 2023. "Demand, public procurement and transformation," Discussion Papers "Innovation Systems and Policy Analysis" 79, Fraunhofer Institute for Systems and Innovation Research (ISI).
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    8. Uyarra, Elvira & Zabala-Iturriagagoitia, Jon Mikel & Flanagan, Kieron & Magro, Edurne, 2020. "Public procurement, innovation and industrial policy: Rationales, roles, capabilities and implementation," Research Policy, Elsevier, vol. 49(1).
    9. Donghun Yoon, 2023. "The Improvement Policy Design of Public Procurement Process for the Public Management Innovation in South Korea," SAGE Open, , vol. 13(1), pages 21582440231, March.
    10. Neema Kavishe & Nicholas Chileshe, 2018. "Identifying Project Management Practices and Principles for Public–Private Partnerships in Housing Projects: The Case of Tanzania," Sustainability, MDPI, vol. 10(12), pages 1-23, December.
    11. Paolo Castelnovo & Gelsomina Catalano & Francesco Giffoni & Matteo Landoni, 2024. "The outcomes of public procurements: an empirical analysis of the Italian space industry," The Journal of Technology Transfer, Springer, vol. 49(1), pages 367-399, February.
    12. Peter Adjei‐Bamfo & Hadrian Geri Djajadikerta & Ferry Jie & Kerry Brown & Reza Kiani Mavi, 2023. "Public procurement for innovation through supplier firms' sustainability lens: A systematic review and research agenda," Business Strategy and the Environment, Wiley Blackwell, vol. 32(1), pages 387-407, January.
    13. Naudé, Wim & Dimitri, Nicola, 2021. "Public Procurement and Innovation for Human-Centered Artificial Intelligence," IZA Discussion Papers 14021, Institute of Labor Economics (IZA).
    14. Rocsana Bucea-Manea-Țoniș & Oliva Maria Dourado Martins & Dragan Ilic & Mădălina Belous & Radu Bucea-Manea-Țoniș & Cezar Braicu & Violeta-Elena Simion, 2020. "Green and Sustainable Public Procurement—An Instrument for Nudging Consumer Behavior. A Case Study on Romanian Green Public Agriculture across Different Sectors of Activity," Sustainability, MDPI, vol. 13(1), pages 1-25, December.
    15. Pauline McGuirk & Robyn Dowling & Pratichi Chatterjee, 2021. "Municipal Statecraft For The Smart City: Retooling The Smart Entrepreneurial City?," Environment and Planning A, , vol. 53(7), pages 1730-1748, October.
    16. Dai, Xiaoyong & Li, Yanchao & Chen, Kaihua, 2021. "Direct demand-pull and indirect certification effects of public procurement for innovation," Technovation, Elsevier, vol. 101(C).
    17. Edquist, Charles & Zabala-Iturriagagoitia, Jon Mikel, 2020. "Functional procurement for innovation, welfare and the environment," Papers in Innovation Studies 2020/1, Lund University, CIRCLE - Centre for Innovation Research, revised 19 Jul 2020.
    18. Teresa Fayos & Haydeé Calderón & Juan Manuel García-García & Belén Derqui, 2022. "The upcoming rise of SMEs in cross-border public procurement: is it a matter of networking capabilities?," Journal of International Entrepreneurship, Springer, vol. 20(4), pages 537-563, December.
    19. Leckel, Anja & Veilleux, Sophie & Dana, Leo Paul, 2020. "Local Open Innovation: A means for public policy to increase collaboration for innovation in SMEs," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    20. Robert Davtyan & Wojciech Piotrowicz, 2021. "Cleantech: State of the Art and Implications for Public Procurement," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 19(3 (Fall)), pages 185-207.
    21. Bento, Nuno & Sousa, Cristina & Trindade, Paula & Mamede, Ricardo Paes & Fontes, Margarida & Alves, Tiago, 2022. "Robust relation between public procurement for innovation and economic development," Economics Letters, Elsevier, vol. 211(C).
    22. Jia, Xingping & Wang, Jiangzhe & Liu, Tingting, 2024. "The impact of business-to-government relationship emphasis on green innovation: An empirical analysis," Technovation, Elsevier, vol. 129(C).
    23. Omid Ali Kharazmi & Lia Shaddel, 2024. "Evolutionary and Structural Evaluation of Innovation Ecosystems with the Aim of Mapping and Increasing Performance of Mashhad’s Gold and Jewelry Innovation Ecosystem," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 8231-8261, June.
    24. Saghiri, Soroosh & Wilding, Richard, 2021. "On the effectiveness of supplier development programs: The role of supply-side moderators," Technovation, Elsevier, vol. 103(C).
    25. Kalyuzhnova, Yelena & Azhgaliyeva, Dina & Belitski, Maksim, 2022. "Public Policy Instruments for Procurement: An Empirical Analysis," Technological Forecasting and Social Change, Elsevier, vol. 176(C).

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