Dynamic capabilities view on value creation in public procurement

Abstract

Purpose: This study aims to build on the dynamic capability view by examining dynamic capabilities associated with public value in public procurement. Design/methodology/approach: A qualitative case study approach is used in this study. The interview and secondary data consist of eight cases of value-creating procurement from four public organizations. Findings: The findings connect dynamic capabilities and public value in terms of innovation generation and promotion, well-functioning supplier markets, public procurement process effectiveness, environmental and social sustainability and quality and availability of products or services. Social implications: Dynamic capabilities in public procurement are necessary to improve public procurement. Originality/value: This study extends understanding of how sensing, seizing and transforming capabilities contribute to public value creation in both innovative and less innovative (i.e. ordinary) procurement scenarios.