How strategic public procurement creates social value: Evidence from UK anchor institutions

Abstract

This study investigates how public procurement is used strategically to create social value. Public management research has analysed the different levels, forms, and processes of social value creation, but little is known about the role of public procurement in this respect. Based on 17 cases of UK public-sector anchor institutions (Metropolitan Councils and hospitals), we unveil social value-oriented procurement strategies, inter-organizational structures, supplier management practices, and capability development and performance assessment activities. We contribute to public administration research by showing how social value policies translate into strategic procurement goals and activities.