Determination of the Optimal Method of Procurement in connection with the Federal Law of 18.07.2011 № 223-FL «About Procurement of Goods, Works and Services By Certain Types of Legal Entities»

<p>Nowadays public procurement in Russia is one of the most important and at the same time problematic sector of economy. Today special attention is paid to the legislation in the sphere of placement of orders, namely to the Federal Law № 44-FZ about the contract system and the Federal Law № 223-FZ which regulates procurement by certain types of legal entities. The Law № 223 -FZ has a framework character, the practice of using different methods of procurement is of interest, as customer is completely free in determination of the appropriate method.</p><p>The aim of this study is to analyze the effectiveness of procurement systems of the subjects to the Law № 223-FZ regarding determination of the method of procurement. Several tasks were solved for the achievement of this goal:</p><ul><li style="margin-left: 21.3pt;">general assessment of the practice of the Law № 223-FZ was carried out;</li><li style="margin-left: 21.3pt;">comparative analysis of the Laws № 223-FZ, № 44-FZ and № 94-FZ was made regarding the applied methods of procurement;</li><li style="margin-left: 21.3pt;">practice of using various methods of procurement on the example of certain types of products was considered;</li><li style="margin-left: 21.3pt;">effectiveness of different methods was evaluated;</li><li style="margin-left: 21.3pt;">proposals aimed at improving procurement activities regarding the choice of the method of procurement were formulated.</li></ul><p>The assessment of effectiveness, mentioned in the aim of the work, was evaluated on the basis of achievement of the objectives of the Law № 223-FZ.</p><p>As a hypothesis was put forward the assumption that the existing legislation does not secure the purposes set by the Law № 223-FZ.</p><p>To verify the hypothesis, there was carried out the analysis of procurement of motor petrol among the customers registered in Moscow. The study was grounded on the basis of analysis of the information published on the official website for placement of orders. Received information was compared with the state and municipal order.</p><p>The results of the research showed that enforcement of the Law № 223-FZ is accompanied by a number of problems:</p><ul><li>within one customer various methods of procurement are used for purchasing the same production (the principle of ensuring unity of economic space isn&#39;t abided);</li><li>considerable part of procurement fails because of the absence of the bids (problem of the wrong choice of the method of procurement);</li><li>low competition among participants in most cases doesn&#39;t allow to receive cost savings;&nbsp;</li><li>principle of publicity and transparency is broken when carrying out procurement.</li></ul><p>As the result of the study there were advanced the suggestions for legislation improvement in the sphere of procurement. In particular, there was revealed the necessity of addition of the Law № 223-FZ with the rules of carrying out procurement procedures and new methods of procurement, specification of rules of work on the official site, rules of calculation of the initial price of the contract, strengthening of control over execution of orders.</p><p>During the research there was also developed an approach to the choice of a suitable way of procurement. When choosing the method of procurement, the customer has to be guided by the time restrictions, characteristics of object of procurement, criteria of a choice of the winner. Practice of procurement of motor petrol allowed to draw the conclusion that the most effective ways of procurement for this production are electronic auction and request of quotations.</p><p>The conducted analysis showed that the right choice of method of procurement is the key to success for any customer. The more detailed and concrete methods of procurement are, the easier it will be for the customer to regulate carrying out of procedures, to resolve disputes and to prevent abuses. In this regard the need of continuous improvement of the legislation in the sphere of procurement becomes obvious. Modifications and amendment to the law have to serve the purposes of increase of transparency, accuracy, efficiency of carrying out procurement procedures and to allow to satisfy the needs of the customer in the best way.</p>