Public Procurement as Technology and Innovation Policy Tool: A Case Study of Iran-Lab-Expo

Authors

1 Assistant Professor Technology Studies Inistitute TSI Tehran Iran

2 MSc of Metallurgical and Material Engineering, University of Tehran, Iran

3 - Ph.D Student of Industrial Management, Roudehen Islamic Azad University, Iran

10.22034/jstp.2019.10.4.539570

Abstract

Recently, Innovation oriented public procurement has become an attractive issue for innovation policy’s researchers. Due to complexity of the effective implementation of the policy, it is necessary to design and customize these policies according to special condition s of each countries. In the developing countries, the main purpose of innovation oriented public procurement to promote technological learning and domestic firms is catch up as a part of industrial and technological policy, so this paper is tried to consider the design of industrial and technological policy based on innovation oriented public procurement by case study research method and content analysis of selected articles, important categories are identified and interviews are arranged to them. Content analysis of these interviews with government officials managers, firms, buyers, evaluation firms and intermediary institutes involved in Iran lab formed the grounded theory of this paper’s proposed policy method.
Results shows that, managing the transaction costs and intermediary institutions are introduced as a critical issues, and the organization of innovation supply capabilities (Evaluation and coverage of innovation risk pattern), the public sector demand formation (demand aggregation and standardization) and governance structure and infrastructure (Contract terms, coordination and division of labor) are other components of the proposed model.

Keywords

References

[1] Edler, J., & Uyarra, E. (2013). Handbook of Innovation in Public Services, in Public procurement of innovation.
[2] Mowery, D., & Rosenberg, N. (1979). The influence of market demand upon innovation: a critical review of some recent empirical studies. Research policy, 8(2), 102-153.
[3] Ballantine, B., Devonald, B., & Meads, R. (2003). The power of customers to drive innovation. Luxembourg.
[4] Edler, J., & Georghiou, L. (2007). Public procurement and innovation—Resurrecting the demand side. Research policy, 36(7), 949-963.
[5] Georghiou, L., Amanatidou, E., Belitz, H., Cruz, L., Edler, J., Edquist, C., & Rigby, J. (2003). Raising EU R&D intensity: Improving the effectiveness of public support mechanisms for private sector research and development: Direct measures. Commission of the European Communities.
[6] European Commission. (2011). Proposal for a Directive of the European Parliament and of the Council on public procurement.
[7] Lember, V., Kattel, R., & Kalvet, T. (2014). Public procurement and innovation: Theory and practice. in Public Procurement, Innovation and Policy. Springer, 13-34.
[8] Edler, J., Ruhland, S., Hafner, S., Rigby, J., Georghiou, L., Hommen, L., ... & Papadakou, M. (2005). Innovation and public procurement. Review of issues at stake. ISI Fraunhofer Institute Systems and Innovation Research, Karlsruhe.
[9] Nesta (National Endowment for Science, Technology and the Arts). (2012). Plan I: The Case for Innovation-led Growth. London.
[10] Ebrahimi, S. N., & Ghasemi moghaddam, S. (2018). A Survey on the Legal Requirements of Local Content Utilization in the Upstream Petroleum Industry. Public Law, 20(59), 64-96. {In Persian}.
[11] Shiravi, A., & Pouresmaeili, A. (2011). A Comparative Study of Local Content Requirement in Iranian Regulations and World Trade Organization Agreements. The Judiciary Law Journal, 75(74), 41-68. {In Persian}.
[12] Geroski, P. A. (1990). Procurement policy as a tool of industrial policy. International Review of Applied Economics, 4(2), 182-198.
[13] Guerzoni, M., & Raiteri, E. (2012). Innovative procurement and R&D subsidies: compounding effects and new empirical evidence on technological policies in a quasi-experimental setting. Working paper.
[14] Bach, L., & Matt, M. (2005). From economic foundations to S&T policy tools: a comparative analysis of the dominant paradigms. in Innovation policy in a knowledge-based economy. Springer, 17-45.
[15] Smits, R. (2002). Innovation studies in the 21st century; Questions from a user's perspective. Technological forecasting and social change, 69(9), 861-883.
[16] Georghiou, L., Edler, J., Uyarra, E., & Yeow, J. (2014). Policy instruments for public procurement of innovation: Choice, design and assessment. Technological Forecasting and Social Change, 86, 1-12.
[17] Blind, K. (2013). The impact of standardization and standards on innovation report. National Endowment for Science.
[18] Georghiou, L. (2007). Demanding innovation: lead markets, public procurement and innovation. Nesta.
[19] Porter, M. E. (1990). The competitive advantage of nations. Competitive Intelligence Review, 1(1), 14.
[20] Ebersberger, B. (2007). Nachfrageorientierung in der Innovationspolitik in Finnland. Bedürfnisse als Innovationsmotor. Konzepte und Instrumente nachfrageorientierter Innovationspolitik. Studien des Büros für Technikfolgen-Abschätzung beim Deutschen Bundestag. edition sigma, Berlin, 115-129.
[21] Uyarra, E., Edler, J., Garcia-Estevez, J., Georghiou, L., & Yeow, J. (2014). Barriers to innovation through public procurement: A supplier perspective. Technovation, 34(10), 631-645.
[22] McCrudden, C. (2007). Buying social justice: Equality, government procurement, & legal change. Oxford University Press on Demand.
[23] Kattel, R., & Lember, V. (2010). Public procurement as an industrial policy tool: An option for developing countries?. Journal of public procurement, 10(3), 368-404.
[24] Chibber, V. (2003). Locked in place: State-building and late industrialization in India. Princeton University Press.
[25] Singh, A. (2002). Competition and competition policy in emerging markets: international and developmental dimensions. Sept.
[26] Arrowsmith, S. (2003). Government Procurement in the WTO. Springer.
[27] Trionfetti, F. (2000). Discriminatory public procurement and international trade. World Economy, 23(1), 57-76.
[28] Pinnau, H. (2005, December). Exchange lights. 2: 1 for the climate. Modern technology for more efficiency. In Presentation at the Conference on Public Procurement stimulating Research & Innovation, Brussels (Vol. 14).
[29] Edquist, C., Vonortas, N. S., Zabala-Iturriagagoitia, J. M., & Edler, J. (Eds.). (2015). Public procurement for innovation. Edward Elgar Publishing.
[30] Lember, V., Kalvet, T., & Kattel, R. (2011). Urban competitiveness and public procurement for innovation. Urban studies, 48(7), 1373-1395.
[31] Kiasari, M., Mohammadi, M., Jafarnejad, A., Garousi Mokhtarzadeh, N., & Asadifard, R. (2017). Classification of Demand-based Innovation Policy Tools Using Meta-synthesis Approach. Innovation Management Journal, 6(2), 109-138. {In Persian}.
[32] Creswell, J. W. (2003). Research design. Thousand Oaks, CA: Sage.
[33] Yin, R. K. (2014). Case study research: design and methods 5th ed. Thousand Oaks.
[34] Corbin, J., & Strauss, A. (2008). Basics of qualitative research: Techniques and procedures for developing grounded theory.
[35] Ghaneirad, S. M. A., & Azaraein, M. R. (2018). Discoursive Constraction of Government Intervention Rationale in Development of Strategic Technologies; The case of Upstream Oil Technology in Iran. Journal of Science & Technology Policy, 10(2), 13-28. {In Persian}.
[36] Kattel, R., & Primi, A. (2012). The periphery paradox in innovation policy: Latin America and Eastern Europe compared. Development and Semi-Periphery: Post-Neoliberal Trajectories in South America and Central Eastern Europe, 265-304.
[37] Taslimi, M. S., Naghavi, M. H., & Mokhtarzadeh, N. (2018). The Role of Intermediary Institutions in the Emergence of Biopharma Industry in Iran. Journal of Science & Technology Policy, 10(3), 29-44. {In Persian}.
[38] Uyarra, E. (1984). Opportunities for innovation through local government procurement: A case study of Greater Manchester. NESTA Research Report, London.
[39] Rothwell, R. (1984). Creating a Regional Innovation-Oriented Infrastructure: The Role of Public Procurement. Annals of public and cooperative economics, 55(2), 159-172.
[40] Kattel, R., Reinert, E. S., & Suurna, M. (2009). Industrial restructuring and innovation policy in Central and Eastern Europe since 1990. Learning, Knowledge and Innovation: Policy Challenges for the 21st Century. Oxford: Oxford University Press, forthcoming.
 
 
Journal of Science and Technology Policy
Volume 11, Issue 4
January 2019
Pages 17-35

Files

Share

How to cite

Statistics