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Procurement in Public Sector

The document summarizes common weaknesses in Malaysia's public sector procurement system, including inefficient procurement processes, opaque and ambiguous processes leading to leakages and corruption, inadequate infrastructure to support procurement, and lack of vendor development programs. It also outlines three types of procurement systems in Malaysia - direct purchase, tender, and direct negotiation. Specific issues discussed include bribery, fraud, and abuse of authority in medical procurement during the pandemic and exclusion of intermediaries causing dissent in vaccine procurement. The last section provides an ethics code for procurement personnel focusing on integrity, accountability, confidentiality, and avoiding conflicts of interest. E-procurement is suggested to increase transparency and opportunities for private entrepreneurs.

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noranasihah
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48 views8 pages

Procurement in Public Sector

The document summarizes common weaknesses in Malaysia's public sector procurement system, including inefficient procurement processes, opaque and ambiguous processes leading to leakages and corruption, inadequate infrastructure to support procurement, and lack of vendor development programs. It also outlines three types of procurement systems in Malaysia - direct purchase, tender, and direct negotiation. Specific issues discussed include bribery, fraud, and abuse of authority in medical procurement during the pandemic and exclusion of intermediaries causing dissent in vaccine procurement. The last section provides an ethics code for procurement personnel focusing on integrity, accountability, confidentiality, and avoiding conflicts of interest. E-procurement is suggested to increase transparency and opportunities for private entrepreneurs.

Uploaded by

noranasihah
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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PROCUREMENT

IN PUBLIC
SECTOR
PREPARED BY :
NORANASIHAH MALIKI
NUR FARAHANI YUSOP
5 COMMON WEAKNESSES IN THE
MALAYSIAN PROCUREMENT SYSTEM

Failure to buy Opaqueness and Inadequate Non-existent or


Inefficient and ambiguity in the infrastructure to ineffective
products in the right
ineffective procurement support procurement, vendor
quantities, and at the
right specifications
procurement process, resulting in including flaws in
development
processes, resulting leakages organization and
also prices, resulting in programs
and corruption. governance.
higher total cost of in long cycle times. (VDPs)
ownership
3 TYPES OF
SYSTEM
PROCUREMENT IN
MALAYSIA
DIRECT
NEGOTIATION
DIRECT The government chose
PURCHASE the best bid for a project
without having to go
Departments fill
requisition forms for TENDER through an open tender
process.
approval by purchasing Invitation to tender is
department. needed to provide an
opportunity for bidders
to participate.
PROCUREMENT OF MEDICAL
SERVICES DURING PANDEMIC
Bribery in the procurement of medical services, fraud
in the delivery of personal protective equipment (PPE),
and abuse of authority in the distribution of help and
stimulus packages during the epidemic were all
accused.
Wastage

Misappropriation
IDENTIFIED

Fraud of
authority
VACCINE PROCUREMENT PROCESS ISSUES
While the complexity of pharmaceutical procurement is to blame for
most of the uncertainty, a major percentage of the assaults have been
based on misinformation, deception, and conspiracy theories that
persist in the face of reality.
A considerable amount of dissent and purposeful misrepresentation has
also resulted from the exclusion of intermediaries or tender brokers from
these vaccination transactions. We applaud the government for actively
engaging with the pharmaceutical firms involved.

This is what happens when the government works directly with the provider,
with no intermediaries such as tender brokers. A considerable amount of
public money is saved, and the expense involved is greatly decreased. The
Covid-19 public health emergency has thrown a wrench into the traditional
manner of government pharmaceutical procurement.
INTEGRITY OF
INFORMATION
PROFESSIONALISM All parties including employees are responsible for
ensuring the Integrity of Information
All procurement transactions must be before it is presented to the Commission,
done with the highest level of integrity Tender Committee or Management for
and ethical standards. decision
making.

ACCOUNTABILITY AND CONFIDENTIALITY


TRANSPARENCY PROCUREMENT Procurement personnel must
Transparent and accountable behaviour
in the procurement process and contract
CODE OF ETHICS protect confidential information
from third parties.
awarding by ensuring necessary
information on request for quote (RFQ)

HONOURING COMPETITIVE
CONFLICT OF PRACTICES
INTEREST COMMITMENT
Any activity taken to obtain inside Suppliers must engage in healthy
information and any attempt to Suppliers must honour competition and are not permitted to
influence the procurement decision commitments in procurement engage in anti-competitive acts in
process. order to win procurement
EXAMPLE
E-PROCUREMENT

Electronic methods in E-procurement could


every stage of the ensure greater
purchasing process from transparency, and
identification of provide equal opportunity
requirements to payment, to private entrepreneurs
and potentially to contract in bidding for government
management contracts.

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