Centralization vs. decentralization of purchasing in the public sector: The role of e-procurement in the Italian case

Abstract

In this work, we sought to better understand the possible role of eprocurement in the evolving strategies of centralization (and decentralization) of public purchase centres. We conducted an explorative research study in the Italian context, where both centralization and decentralization of eprocurement have been experimented. The analysis of the Italian case highlighted an aspect that has been overlooked in literature so far: the strong and sudden centralization of purchasing caused by e-procurement adoption may present problems, especially in complex contexts with a past tradition of wide-spread de-centralized purchasing powers. The Italian case suggests that a possible solution may be the adoption of a hybrid model, where a centralized structure coordinates a network made of regional semi-centralized eprocurement centres, which, in turn, mediate with local contexts and involve or control the smallest agencies. The main features, strengths and weaknesses of this emerging organizational model for e-procurement agencies are discussed. © Springer-Verlag Berlin Heidelberg 2012.