Procurement function in the public sector

In the market, you encounter supply and demand for the purpose of acquiring or selling goods and services. In modern times, the interaction between customers and providers from the geographical environment moves to the Internet and the use of e-commerce is created by the global market, which increases the economic efficiency and transparency of the competitive market.

Competition is not only characteristic in a market-oriented economy, but is also present in the public sector.

The task of the purchasing function in each company or organization is to provide the company with the necessary raw materials, materials, energy, services, machines… All of this must be of the right quality, in the right place at the right time and at the right price.

The State Attorney’s Office belongs to the public sector in which the procurement of goods and services is regulated through public order which means that is on the basis of contracts concluded by the State Attorney’s Office as the contracting authority and the selected supplier.

At the State Attorney’s Office we are limited in the procurement of goods and services by regulations on public procurement. We use budget money when performing our activity, so we must follow the public procurement procedure when purchasing, in which we choose the most favorable bidder either on the basis of the price or an economically more favorable offer.

As a contracting authority we must strictly observe all public procurement regulations. In the Republic of Slovenia, the public procurement procedure was approved in 1997 with acceptance of the Public Procurement Act.

This increased the clarity of the clients operations and their economical use of public funds and the prevention of inequality between providers, as well as their competitiveness. With the emergence of public procurement, various providers allowed to enter the market where they can fight for customers.

State institutions as an inquiry acquires the goods and services they need in their functioning.

With my diploma thesis I wanted to show what function procurement in the public sector has.

Mainly I researched whether we achieve sufficient quality of goods and services through public procurement and how, in what way we could attract even more potential bidders and increase the quality of goods and services.

In first part I used the description method, where I used the professional literature to describe the theory, concepts and facts, and the classification method with which I defined the concepts.

In the second part, I used an analytical approach, where I used the method of analysis and questioning of employees from whom I obtained information with which, in addition to checking how the theory works in practice, I made an analysis of the situation and user satisfaction and made recommendations for quality offers.