procuring the worlds good and services bric by bric

PROCURING THE WORLDS GOOD AND SERVICES BRIC BY BRIC

PURPOSE:

The Institute for Competition

& Procurement Studies

(ICPS),

Bangor University,

School of Law “Aethwy”,

College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907

Website: www.icps.bangor.ac.uk

Email: [email protected]

This event aims to explore cross-border procurement by

examining trade relations between the UK, EU, Brazil,

Russia, India, China, and South Africa or the BRIC

Countries.

mailto:[email protected]

LEARNING OUTCOME:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• Gain an advanced understanding of global economics, world procurement and trade relations.

• Following the event INTERREG based organisations will be in a better position to compete for contracts outside the Ireland/ Wales region (a major economic driver).


A COMPANY/FIRM PERSPECTIVE

Image Source: http://xdesktopwallpapers.com

AS BUSINESS LEADERS:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



Leader is ultimately responsible for three key jobs (Gavetti, 2011): • Spotting opportunities, • Acting on them (getting

employees engaged), and, • Legitimising them (getting

external stakeholders on board).


CROSS BORDER PROCUREMENT:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



HBR, this often involves one or more of the following: 1. Increasing volume and margins, 2. Diversifying revenue streams, 3. Entering new markets, 4. Expanding global reach, or,5. Gaining access to new products,

technologies and skills.


DECISION MAKING:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



“The companies who are capable of thinking faster, acting quicker,

and communicating better are the ones weathering the economic

storm”


DRIVERS FOR BUSINESS GROWTH:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• External drivers (for example): • Government laws/legislation/directives• Business taxes• Supply chains (Inadequate or in short

supply)

• Internal drivers (for example):• The leaders’ drive to expand the

organisation,• Pressures from shareholder/stakeholders to

grow the business, • Increasing business stability.


REASONS WHY?:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• Managing corporate risks• Diversifying revenue streams• Balancing Risk: • Overcommitting to a single market

vs additional/new affluent markets

• Invested in new international markets


IDENTIFYING A SUITABLE TARGET:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



Business Considerations:

1. Business profitability by its location.2. Winning an international contract.

• Local market knowledge,• Ability to respond to local policies,• Understanding of what the customer wants,• The capacity to deliver the contract locally.

3. The chance of finding a suitable collaborator.4. The competence of staff to successfully deliver a

contract locally.5. Likelihood of success.6. Risk of failure. 7. Opportunity gained versus the opportunity lost 8. Political stability (Corruption Index)


TRADING WITHIN THE EU – JUST A TASTER…

INTERNATIONAL COLLABORATION:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• Cross-border collaboration via key affiliates is one key mechanism that encourages free trade, and innovative global solutions.

• Bidding for contract work collaboratively and across a border is more successful (11%) than bidding for cross-border contract work as a single supplier abroad (1-2%).


Direct Cross Border Procurement



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



Direct cross-border procurement tend to be more successful if they are from a neighbouring country.• Cyprus (82%) – The exception..• Ireland (75%)• Wales to England (49%) • Spain (31%) • France (29%) • Netherlands (11%)• Latvia and Bulgaria (0%)





(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907







(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• France: https://www.marches-publics.gouv.fr/ • Germany: http://www.evergabe-online.de/ • Malta: https://secure2.gov.mt/eprocurement/

legislation• Netherlands: http://www.tenderned.nl• Cyprus:

http://www.treasury.gov.cy/treasury/treasury.nsf/

• Ireland: www.eTenders.gov.ie • Europe: http://www.peppol.eu


https://www.marches-publics.gouv.fr/

http://www.evergabe-online.de/home;jsessionid=B8A837F7E59AD71BDA18B490B75865B8.node11?content=spracheSetzen&navi=14&selectedLanguage=en

https://secure2.gov.mt/eprocurement/legislation

https://secure2.gov.mt/eprocurement/legislation

http://www.tenderned.nl/

http://www.tenderned.nl/



http://www.eTenders.gov.ie/

http://www.peppol.eu/

http://www.peppol.eu/

CROSS BORDER PROCUREMENT BARRIERS:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



Geography and location of business (Ranked).

1. Language barriers,2. Competition from local or national bidders,3. Legal requirements (trade and non-trade tariffs),4. Lack of experience of doing business abroad,5. Resources necessary to compete internationally,6. Risk related to project/contract costs and

currency,7. Outside the EU, different countries are operating

very different procurement strategies; systems, procedures and governance in regard to how local and foreign bidders can access and compete for local contracts.


CHANGING PERCEPTIONS:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• The barrier that may prevent ‘true’ cross-border global trade is the mind-set of those who are in power.

• The Internet, and particularly social networks, are connecting ideas, contract opportunities, people, organisations and countries.


GLOBAL PROBLEMS REQUIRE GLOBAL SOLUTIONS …

THINKING OUTSIDE THE BOX:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• The economic and fiscal crash has had a direct affect on world trade

• A long-term problem • Governmental protectionist strategies • Free-trade (bilateral/plurilateral

agreements) should be encouraged to ignite global relationships – this is one way of thinking.


In-Direct Cross Border Procurement



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• Of all indirect cross-border procurement through affiliates from Member States, 60% is awarded to economic operators in another Member State.

• The remaining 40% of contracts goes to countries outside the EU of which the United States accounts for 24% (the highest share) (European Commission)


OUR GUESTS:



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



1. Government Procurement Agreement (GPA). The “only legally binding (plurilateral) agreement focusing on the subject of public procurement - to openly advertise cross border procurement opportunities that potentially have a cross border interest.

2. Trade Agreements & The World Trade Organisation: • Preferential Taxes/Business Rates,• Improved Market Access, • More predictable legislative framework, • Improve investment conditions• Lower prices and increased competition.

3. Restrictive Measure, i.e tariff and non-tariff barriers.


Cross Border Procurement



(ICPS),

Bangor University,


College Road,

Bangor,

Gwynedd,

LL57 2DG,

Tel: +44 (0) 1248 382907



• The EU is Brazil's first trading partner.• Russia is the third trading partner of the EU and the EU

is the first trading partner of Russia.• The value of EU-India trade grew from €28.6 billion in

2003 to €79.9 billion in 2011.• China is now the EU's 2nd trading partner behind the

United States.• EU exports to South Africa are dominated by machinery

and transport equipment, chemicals and other semi-machinery.

• The European Union and the United States have the largest bilateral trade relationship in the world.

• Asean – 11, CIVETS – 6, STAN - 8


The Institute for Competition & Procurement Studies (ICPS),

Bangor University,

School of Law “Aethwy”, College Road,

Bangor,

Gwynedd,

LL57 2DG

Tel: +44 (0) 1248 382907



Contact Us:INTEGRITY >COMPETENCE >PERSURVERANCE >SUCCESS >

Tel: +44 (0) 1248 382907





procuring the worlds good and services bric by bric

Documents

bangor university

school of law aethwy

college road

world procurement

crossborder procurement

cross border procurement

external drivers

business leaders