Why Procurement in Public Sector has to be Transparent?

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Procuring or purchasing goods on behalf of a company are quite a responsible task. It involves a lot of money and there is also scope for corruption. Therefore, this process has been made as transparent as possible in the public sectors. The money of public companies belong to the shareholders, therefore, it has to be safeguarded at all costs. Government and other regulatory public and private bodies also closely look at procurement.

Corrupt Practices & Solutions

There have been cases in the past when you the people in charge of procurement would collude only with a certain suppliers and vendors for purchase orders. They would receive kick-backs for giving them orders. This would be unfair to other vendors. Therefore, now, tenders are issued which are advertised and made public for procurement orders for public limited companies. Everything has to be transparent and public. The bids are welcomes from interested vendors, and the vendor meeting the company’s terms and conditions is selected to fulfill the order.

Some vendors would take orders for certain quality but deliver poorer quality, despite charging for the mentioned quality. To put a stop to this, there are now proper contracts and once the goods are delivered, the procurer has to check and prepare a report that is made public.

There were many poor practices in procurement in public companies, but now they have been put to rest over the years. There is minimal to almost non-existent corruption. To know more, and learn about procurement, you can do public procurement training courses

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