OECD Recommendation
Support integration of public procurement into overall public finance management, budgeting and services delivery processes.
- Rationalise public procurement spending by combining procurement processes with public finance management.
- Encourage multi-year budgeting and financing to optimise the design and planning of the public procurement cycle.
- Harmonise public procurement principles across the spectrum of public services delivery, as appropriate, including public works, public-private partnerships and concessions.
Related Principles
Risks to public procurement related to integration include:
- Procurement plans not always include a detailed and realistic description of financial and human resources requirements and are not always properly reflected in the government’s budgets;
- Budgets and procurement plans are often still prepared on an annual basis, instead of an multi-annual basis, which hinders the alignment with medium-term strategic priorities of the governments and reduces the flexibility in purchasing decisions;
- The planning, implementation and monitoring of arrangements with between governments and private-sector partners, such as public-private partnerships (PPPs), are challenging for many governments, in terms of transparency and integrity and
- The e-procurement systems are not always sufficiently integrated with other e-government systems, including financial management information systems (FMIS).
Country Cases
Harmonised public procurement principles across the spectrum of public service delivery, as appropriate, including public works, public-private partnerships and concessions
Other institutions’ work on integration
- From lessons to principles, The public governance of PPPs, Ian Hawkesworth, OECD, Handshake Journal, The World Bank Group, June 2015 (pdf)