Inclusion of Social Services in Public Procurement: A Case Study of Federal Government Departments in Canada

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Raymond, Jeanette (2021) Inclusion of Social Services in Public Procurement: A Case Study of Federal Government Departments in Canada. Other Degree thesis, Victoria University.

Abstract

The purpose of this research study is to examine and explore the factors that encourage or inhibit the promotion of social policy through the public procurement process. The study is undertaken with a sample of federal government departments and agencies based in Canada. The study investigates how the Federal Government of Canada has attempted to advance conceptions of social justice and change for disadvantaged people (visible minorities, women, people with disabilities and the Aboriginal community) through their procurement policies and processes. The two social policies examined in this study are the Federal Contractors Program (FCP) and the Procurement Strategy for Aboriginal Business (PSAB), which address the consequences of past discriminatory policies and practices. To address the research questions, this study uses the single case study approach to examine the factors that encourage or inhibit the promotion of social policy objectives through the procurement process. Both primary data and secondary data collection methods are used and a sample of six government departments and agencies is selected from the Canadian Government website. The findings for the first social policy (PSAB program) from the primary data reveal that the success of the PSAB program cannot be measured only in increasing numbers and the value of contracts awarded to Aboriginal firms, and an increase in both the numbers and capabilities of Aboriginal firms is essential if the overall objectives of the strategy are to be achieved. The findings from the primary data for the second social policy (FCP program) indicate that performance measures of the FCP program appear to be underused to improve program effectiveness. Furthermore there has been little assessment of the FCP program owing to the lack of reporting. Secondly the findings from the secondary data for the PSAB program indicate that there has been an increase in the award of set-aside contracts; however, Public Services and Procurement Canada needs to develop enhanced accountability and transparency mechanisms for the capture of this data. The findings from the secondary data for the FCP program indicate that two designated groups (visible minorities and the Aboriginal community) continue to experience disadvantage, in the workforce, even though they are covered by the employment equity. This study makes a key contribution to both theory and practice. Theoretically this study has contributed to the existing debate on institutionalism by applying the three key institutional enablers namely rules, resources and actors. It also represents the first empirical attempt to examine emerging social practices and diffusion. The study makes a theoretical contribution to the debate on Agency theory in the management literature by extending the Agency theory further to explain the inclusion of social services through the procurement process. The study also makes an important contribution to practice by acknowledging that numerous changes to existing procurement practices are required to encourage and promote the inclusion of social services through the procurement process. In the future, suppliers tendering for major infrastructure and construction projects will need to demonstrate that they are not just efficient in the delivery of goods and services, but also contribute positively to the welfare of the community at large. Suppliers will not only be competing with each other in terms of price, technical skills and past performance, but also in terms of their social credentials.

Additional Information

Doctor of Business Administration

Item type Thesis (Other Degree thesis)
URI https://vuir.vu.edu.au/id/eprint/49941
Subjects Historical > FOR Classification > 1402 Applied Economics
Historical > Faculty/School/Research Centre/Department > Victoria Institute of Strategic Economic Studies (VISES)
Keywords Social policy, public procurement process, Federal Government, Canada, Federal Contractors Program, FCP, Procurement Strategy for Aboriginal Business, PSAB, inclusion
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