Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications
Value for Money (VfM) has been used as a critical criterion for evaluating Public-Private Partnerships (PPPs), a popular procurement strategy for delivering infrastructure assets. However, there is a tendency for prevailing VfM techniques (e.g., Public Sector Comparator, PSC) to focus on obtaining c...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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Elsevier
2023-12-01
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| Series: | Developments in the Built Environment |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S266616592300128X |
| _version_ | 1797387837827448832 |
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| author | Jianfeng Zhao Henry J. Liu Peter E.D. Love David Greenwood Michael C.P. Sing |
| author_facet | Jianfeng Zhao Henry J. Liu Peter E.D. Love David Greenwood Michael C.P. Sing |
| author_sort | Jianfeng Zhao |
| collection | DOAJ |
| description | Value for Money (VfM) has been used as a critical criterion for evaluating Public-Private Partnerships (PPPs), a popular procurement strategy for delivering infrastructure assets. However, there is a tendency for prevailing VfM techniques (e.g., Public Sector Comparator, PSC) to focus on obtaining cost savings rather than value per se. Despite the criticisms of the PSC and its alternatives for assessing VfM, there remains no research comparing decision-making methods for procuring transport infrastructure projects. In this instance, the upshot has been the public sector's inability to safeguard and deliver VfM to their taxpayers. Against this backdrop, we systematically review the VfM assessment literature to understand the effectiveness (e.g., strengths, weaknesses, opportunities, and threats) of prevailing approaches used to determine the ‘value’ of transport projects. In light of our review, we propose and introduce the concept of the ‘onion’ architecture to improve the decision-making practice of PPPs, which comprises four systematic future research directions and policy implications. To this end, our paper provides a platform for developing new procurement paradigms that can be used to future-proof infrastructure assets. |
| first_indexed | 2024-03-08T22:31:52Z |
| format | Article |
| id | doaj.art-f84e8a1f01c448719ab84e5082a8b886 |
| institution | Directory Open Access Journal |
| issn | 2666-1659 |
| language | English |
| last_indexed | 2024-03-08T22:31:52Z |
| publishDate | 2023-12-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Developments in the Built Environment |
| spelling | doaj.art-f84e8a1f01c448719ab84e5082a8b8862023-12-18T04:25:01ZengElsevierDevelopments in the Built Environment2666-16592023-12-0116100246Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implicationsJianfeng Zhao0Henry J. Liu1Peter E.D. Love2David Greenwood3Michael C.P. Sing4Department of Architecture and Built Environment, Northumbria University, Newcastle Upon Tyne, NE1 8ST, United Kingdom; Corresponding author.School of Design and the Built Environment, University of Canberra, 11 Kirinari Street, Bruce, ACT, 2617, Australia; Corresponding authorSchool of Civil and Mechanical Engineering, Curtin University, GPO Box U1987, Perth, WA, 6845, AustraliaDepartment of Architecture and Built Environment, Northumbria University, Newcastle Upon Tyne, NE1 8ST, United KingdomDepartment of Building and Real Estate, The Hong Kong Polytechnic University, Hong Kong, 999077, ChinaValue for Money (VfM) has been used as a critical criterion for evaluating Public-Private Partnerships (PPPs), a popular procurement strategy for delivering infrastructure assets. However, there is a tendency for prevailing VfM techniques (e.g., Public Sector Comparator, PSC) to focus on obtaining cost savings rather than value per se. Despite the criticisms of the PSC and its alternatives for assessing VfM, there remains no research comparing decision-making methods for procuring transport infrastructure projects. In this instance, the upshot has been the public sector's inability to safeguard and deliver VfM to their taxpayers. Against this backdrop, we systematically review the VfM assessment literature to understand the effectiveness (e.g., strengths, weaknesses, opportunities, and threats) of prevailing approaches used to determine the ‘value’ of transport projects. In light of our review, we propose and introduce the concept of the ‘onion’ architecture to improve the decision-making practice of PPPs, which comprises four systematic future research directions and policy implications. To this end, our paper provides a platform for developing new procurement paradigms that can be used to future-proof infrastructure assets.http://www.sciencedirect.com/science/article/pii/S266616592300128XPublic Private PartnershipsProcurementPolicyResearch directionsValue for Money |
| spellingShingle | Jianfeng Zhao Henry J. Liu Peter E.D. Love David Greenwood Michael C.P. Sing Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications Developments in the Built Environment Public Private Partnerships Procurement Policy Research directions Value for Money |
| title | Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications |
| title_full | Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications |
| title_fullStr | Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications |
| title_full_unstemmed | Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications |
| title_short | Value for Money assessments for Public-Private Partnerships: characteristics, research directions, and policy implications |
| title_sort | value for money assessments for public private partnerships characteristics research directions and policy implications |
| topic | Public Private Partnerships Procurement Policy Research directions Value for Money |
| url | http://www.sciencedirect.com/science/article/pii/S266616592300128X |
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