The digital transformation of public procurement is a priority for many countries as it promises a host of benefits. By streamlining processes for public buyers and suppliers, it can make transactions more efficient and effective. It can make procurement more agile, allowing for swift adaptation to changing needs and supporting innovative approaches. Moreover, the increased collection and use of data can enable more precise measurement of outcomes, especially as procurement is increasingly used as a policy tool to drive strategic, environmental and social objectives. The wealth of data generated by procurement systems can also be used by a wide spectrum of stakeholders in policymaking and to increase transparency and accountability. Finally, the shift towards digital systems can promote user-friendliness and openness, foster greater participation from small and medium-sized enterprises (SMEs) and promote competition. However, digital transformation in public procurement should not be pursued for its own sake. Rather, it should be a strategic endeavour that connects and builds on existing systems and initiatives and contributes to broader policies such as digital government and the digital transition.
While Ireland was an early adopter of e-procurement, meeting society’s increasing expectations for digital services will require further steps. Moreover, a clear national strategy and a common set of guiding principles for the digital transformation of public procurement are needed to ensure coherence and quality in implementation. Operational silos, lack of consistency in approach, limited interoperability among systems and reduced ability to use joined-up data could ultimately result in a more complex environment for public buyers and suppliers and limit oversight and strategic decision making. Initiatives for digitalising the public procurement system should also be fully aligned with Ireland’s Digital Public Service Strategy, Connecting Government 2030, and other digital government initiatives.
This report maps the current state of digital public procurement in Ireland, identifying areas of strength and opportunities for improvement. It also presents stakeholders’ perspectives on related challenges and opportunities, with a view to informing a future strategy for the digital transformation of public procurement in the country. It was developed under the Project “Strategy for the digital transformation of public procurement in Ireland”, funded by the European Union via the Technical Support Instrument, and implemented by the OECD, in co-operation with the Directorate-General for Structural Reform Support of the European Commission.
The first section of the report summarises the findings on the current landscape and the initial recommendations for the way forward. The second section defines key concepts and terminology on the digital transformation of public procurement. This includes an overview of European experiences and orientations in terms of similar or related strategies, standards, emerging technologies, and learnings from other European Union (EU) and OECD Members. The third section identifies areas of strength and opportunities for improvement in the use of digital in Ireland. Finally, the report outlines the main factors that should inform Ireland’s direction for digital public procurement and initial recommendations for a digital transformation strategy.
This report was approved for publication by the Public Governance Committee on 22 October 2024. It was prepared for publication by the OECD Secretariat.