Public procurement is increasingly expected to advance innovation and sustainability, yet the concept of supply market orientation (SMO) remains fragmented and undertheorized. To address this gap, this study investigates which SMO strategies can be identified in public procurement research when analyzed through the lens of signaling and screening theory, originally developed in information economics, and applies this perspective to the strategic function of purchasing and supply management (PSM). This theoretical lens offers a structured framework to conceptualize how public buyers can proactively screen, interpret, and respond to supplier signals to mitigate information asymmetries and improve procurement outcomes. Using a contextualized explanation approach, a systematic literature review was conducted to examine how SMO is conceptualized and operationalized in public procurement. The findings indicate that SMO strategies remain predominantly short-term and event-related, emphasizing supplier-specific intelligence to support immediate procurement decisions within a limited set of known suppliers, thereby constraining broader strategic market engagement. To extend this understanding, the literature was synthesized into a typology of five SMO strategies: supply market exploration, supply market analysis, supply market observation, and supply market forecasting (Type I and Type II). These strategies were organized along two dimensions, regularity (event-related vs. continuous) and temporal focus (short-term vs. long-term), providing a structured framework for enhancing SMO in public procurement. The study contributes to theoretical clarification of SMO and offers a foundation for shifting from reactive intelligence gathering to proactive market engagement that supports innovation, sustainability, and long-term organizational objectives.

PurposePublic procurement faces the challenge of living up to its pioneering role and using its monetary volume to change the market towards more sustainable development. Relevant policy guidelines and strategic objectives for public institutions are in place, but the actual implementation of green public procurement (GPP) still raises questions. This study aims to analyse GPP implementation processes of contracting authorities to explain the persistence of intention-action gaps.Design/methodology/approachDrawing on the general theory of implementation (GTI), secondary data from the tender electronic data database, and in-depth interviews with 12 public contracting authorities on the GPP of cleaning products and services were analysed.FindingsCapability, capacity and potential as pillars of the GTI lead to an actual contribution of GPP. In addition to internal organizational resources and motivational factors, external factors such as bureaucratic requirements and market dynamics also affect the relationship and may cause an intention-action gap.Research limitations/implicationsThe implications suggest that future research should address market readiness and supplier commitment to GPP.Social implicationsTo implement GPP effectively, a multi-level approach is required that addresses both policy in terms of bureaucracy as well as contracting authorities and suppliers.Originality/valueExisting research on the implementation of GPP focuses either on preconditions (drivers, barriers) or on actions (green supplier selection). This paper offers a theory-based approach to explain how GPP intentions are translated into actual implementation.

PurposeThis study aims to examine the current state of research on innovation intermediaries by analysing systematic literature reviews (SLRs), focusing specifically on the extent to which public procurement is considered. Design/methodology/approachThis study uses a review of reviews methodology, with SLRs as the unit of analysis. This approach allows for a comprehensive synthesis of existing research on innovation intermediaries and a focused examination of public procurement within this literature. FindingsThe findings reveal that research predominantly focuses on private-sector dynamics, leaving public procurement underexplored. Barriers to public procurement of innovation (PPoI), such as inadequate supplier interaction, underscore the need for intermediaries, yet their role in overcoming these challenges is not thoroughly examined. This highlights the necessity for more targeted research on how innovation intermediaries can effectively support procurement processes in the public sector, particularly at the management level, to enhance PPoI outcomes. Social implicationsPublic procurement is a strategic tool for achieving policy objectives. Leveraging innovation intermediaries as an instrument for implementation could significantly enhance the effectiveness of PPoI. Originality/valueThis study evaluates SLRs to assess the extent to which public procurement is addressed and identifies transferable insights to enhance the understanding of innovation intermediaries in a public procurement context. Building on these findings and an exploratory analysis of 90 identified innovation intermediaries in public procurement across the European Union, this study conceptualises how these organisations can support public procurement management in different procurement situations, particularly in contexts with high or low technology readiness levels.

Due to increasing political tensions, the procurement of required weapon systems and supply products needed to satisfy a country's defense needs, in short, Defense Acquisition Management (DAM), is currently under the spotlight. Therefore, the question arises as to how DAM is structured and executed in project management across different countries, and what lessons can be derived from comparing these approaches. It also raises the question of whether DAM (strategic management of overall defense requirements, including the supplier base) is fully implemented, or if countries concentrate solely on modeling sub-concepts within Defense Procurement (DP) (with a focus on armaments). For this purpose, this chapter analyzes published models for DP. The database comprises 76 models from 34 countries. The findings reveal four key observations: First, there is a great variety of models, indicating that DP knowledge is not yet consolidated. There are national peculiarities and different views of DP in individual cases. Second, an imbalance in the relevance of individual model elements is recognizable. Demand management is addressed in a high proportion, indicating that DP models often cater to what future military users require. In contrast, the subordinate tasks of strategic procurement, and in particular, the operational ordering process, are rarely mentioned. They can be described as a “blind spot” in DP models. Strategic procurement tasks and processes are mentioned but are usually only focused on partial aspects (e.g., definition of the planning framework), not elaborated and formulated in terms of content as a link between demand management and operational procurement. Lastly, the user forms the conceptual bracket and the orientation point for many DP models. The “utilization and implementation” section concludes many models, but without defining the interface between procurement and equipping the user. Furthermore, an outward orientation, i.e., towards suppliers and the procurement market, remains underrepresented both strategically and on the user side, and procurement is too one-sided in terms of a comprehensive strategy. The analysis also examines whether the steps recorded in the DP models are sufficient to cover an all-encompassing DAM. It shows that although steps of utilization are already included, differentiation between objects and orientation along the supply chain are not yet sufficiently addressed. This chapter presents the observations and concludes with a proposition for a synthesized view of the global mosaic, incorporating an aggregated DP/DAM model.

Purpose Artificial Intelligence (AI) promises major performance gains in the public sector. However, as AI is primarily procured from private suppliers, adequate governance is crucial, particularly regarding AI risk perceptions. This study links existing AI governance frameworks and make-or-buy considerations to empirically examine perceived AI benefits and risks and their effects on supplier performance. Design/methodology/approach A novel workshare governance construct is established, capturing the allocation of digital development responsibilities and is adapted to a public sector setting, connecting dynamic capabilities with individual AI-related factors like motivation and risk awareness. A partial least squares structural equation model (PLS-SEM) is applied to test hypotheses between governance, AI readiness and performance with survey data from 104 questionnaires. Findings The necessity of workshare governance and its role as a mitigator of negative effects is empirically validated. AI risk awareness significantly reduces supplier performance, while AI motivation shows no significant effect. The results indicate that motivation alone is insufficient; risk awareness and governance determine whether AI leads to measurable improvements in supplier performance. Research limitations/implications The study challenges the assumption that AI adoption automatically yields transformation. It highlights workshare governance and risk awareness as potential explanatory mechanisms, suggesting the need to refine existing AI readiness and adoption models, particularly for regulated or defense-related procurement environments. Practical implications Policy makers and procurement managers should prioritize governance frameworks addressing individual barriers to AI use and rigorously assess the value of potential AI products and services. Originality/value This study provides empirical evidence for the high relevance of procurement for public sector AI services via supplier-related governance perspectives.

Since the 1980s, scholars emphasise the importance of customer-driven management, as ultimately external customers determine organisational competitiveness. This study critically examines the relationship between external customers and Purchasing and Supply Management (PSM) through a systematic literature review. It explores whether PSM adopts an ambilateral focus, addressing not only upstream supplier relationships but also downstream customers. Drawing on 105 empirical journal articles, the study holistically investigates how external customers and PSM interact. Key findings reveal that while external customer considerations are definitely present, they are often fragmented, incidental, and predominantly confined to industrial customer relationships in B2B contexts. End customers, their preferences, and qualitative insights are notably underrepresented. Moreover, most studies address customer concepts with limited adoption of advanced digitalisation technologies, which hold potential for richer customer engagement. Bidirectional relationships between PSM activities and customer outcomes were identified, suggesting that customer demands influence procurement decisions, and PSM activities, in turn, impact customer satisfaction and value perception. However, this dynamic remains underexplored, limiting PSM’s ability to position itself as a driver of external value creation. Thus, this review argues that by embracing an ambilateral perspective, PSM can not only increase the efficiency and effectiveness of its activities but also strengthen its strategic significance for the focal organisation’s competitive position. Avenues for future research and theoretical development lie therefore in (1) reconceptualising the PSM-customer relationship, (2) integrating end customers into core PSM considerations, (3) incorporating advanced digitalisation technologies as novel instruments for PSM-customer interaction, and (4) contemplating PSM’s role in value creation for external customers.

Public procurement is increasingly recognized as a strategic lever for stimulating innovation and addressing complex societal challenges. Despite political commitment across Europe and beyond, the implementation of public procurement of innovation (PPoI) remains fraught with structural, procedural, and organizational challenges. Innovation intermediaries—actors that broker, coordinate, or facilitate innovation processes, demonstrate promise in overcoming these barriers. However, their role in procurement management is conceptually underdeveloped and empirically confined to highly complex cases. Existing studies rarely reflect the regulatory particularities of public procurement, especially its legal obligations for openness, competition, and transparency. To address this gap, this study proposes a function-based typology of innovation intermediaries, identifying six types—Networker, Mediator, Foundation Layer, Resource Orchestrator, Tendering Facilitator, and Compliance Facilitator—linked to four procurement situations: efficient, adapted, technological, and experimental. The typology improves conceptual clarity, offers practical guidance for procurement practitioners, and provides a foundation for future empirical and theoretical PPoI research.

Performance-based contracting (PBC) is a procurement strategy that utilizes outcome specification and performance-based remuneration to manage suppliers. Historically, research on PBC has predominantly focused on the constructs influencing supplier management to ensure specific levels of performance quality. However, existing studies often emphasize isolated cause-effect relationships among selected constructs, thereby overlooking other potentially influential constructs. To motivate suppliers towards effective performance, a comprehensive understanding of the cause-effect relationships among PBC constructs within a broader context is essential. This study addresses this gap by identifying and systematizing these relationships through a systematic literature review, and by deriving propositions concerning the interconnections among PBC constructs. The constructs and their interrelations are visualised and evaluated using social network analysis. The findings indicate that most relationships are only weakly supported by empirical evidence. To address this fragmentation the PBC constructs were clustered into a systematic framework. The results underscore the importance of effective PBC implementation and investment in quality to realize the potential benefits of PBC in terms of service effectiveness and cost reduction. The clustering of 17 core PBC constructs enables the derivation of a generic PBC pathway, progressing from the prerequisites for PBC execution, through its design and implementation, to incentivised supplier behaviour, ultimately leading to desired outcomes and effects.

This study investigates the trade-offs customers make between product quality, system efficiency, and personal privacy in adopting a digital customer twin-based demand management approach. By using a conjoint analysis methodology, embedded in a laboratory experiment, participants are exposed to a smartphone-based measurement system for apparel sizing. Findings indicate that product quality is the most critical determinant for customer decision-making. Privacy concerns are particularly pronounced among customers preferring traditional shopping methods over digital ones. The study not only provides new insights into customer priorities in digital commerce but also advocates for a shift towards more effectiveness-driven supply chains. Furthermore, a new theoretical framework is proposed that matches customer demands and supply chain characteristics with customer integration through digital twins.

This research investigates how challenges, as a specialized form of innovation contest, function within public procurement, an area underexplored in existing PPI literature. While public procurement of innovation (PPI) is widely studied, most research focuses on traditional instruments, with limited attention to competition-based formats like challenges. To address this gap, we conduct a qualitative case study combining document analysis and expert interviews. The study explores key characteristics, processes, and success factors of challenges in the public sector. Elements such as motivation, task specificity, degree of elaboration, and organizational structure were identified as critical to their success. This research contributes to the literature by introducing a process-oriented model and provides guidance for public authorities. This research delivers both a conceptual typology and an applied framework, enhancing understanding of how open innovation contests can support innovation-oriented procurement strategies.

This article is inspired by the biological holobiont/hologenome theory of evolution, which views individual organisms and their associated microorganisms as a unified entity-the holobiont-whose development is driven by symbiosis. Building on this concept, the article explores whether a purchasing organization and its suppliers can also be understood as a holobiont, with symbiosis as a fundamental mechanism. The metaphoric transfer of this theory provides a novel lens for examining interorganizational relationships, emphasizing potentially underexplored aspects. Since the holobiont theory typically explains interaction, co-evolution, and biological resilience, its application to purchasing and supply management may enhance the understanding of interorganizational dynamics and symbiosis. Additionally, this perspective contributes to structuring purchasing and supply management as a supply ecosystem. The conceptual findings gained from this theoretical transfer are further validated through survey findings on the effects of interorganizational symbiosis. The article presents several propositions to refine and expand this theoretical framework. Given that industrial symbiosis is increasingly recognized as a key factor in addressing contemporary supply chain challenges-such as resilience and sustainability-further research in this area is strongly encouraged.

Performance-based contracting (PBC) promises a win-win situation for suppliers and buyers in exchange relationships. It allows buyers to focus on their core competencies and shift responsibility for system sustainment to suppliers. The latter are expected to deliver services more efficiently and effectively, benefiting from higher profit margins and greater flexibility. However, successful implementation of PBC is vital to realise these advantages. This case study explores the contextual and structural factors influencing the implementation of PBC as a procurement strategy, drawing on implementation and strategic fit theory. The findings reveal seven critical factors influencing PBC implementation: strategic priorities, flexibility of legal requirements, the innovativeness of organisational culture, formalisation and centralisation of organisational structure, availability of organisational resources, and stakeholder communication. Moreover, the findings demonstrate that these factors are adaptable, with their case-specific composition determining which conceptual components of the PBC strategy are implemented. A strategy-structure fit for PBC implementation is achieved when the PBC concept and influencing factors are aligned.

Purpose Often, public procurement is perceived to be too slow. One prominent factor that impedes procurement time is the so-called “red tape” problem. Red tape represents formal or informal constraints to an organisation’s freedom, i.e. rules and regulation but also influence on key stakeholders. These constraints can lead to procedural delay. This study aims to assess the effectiveness of counter-measures to red tape and their effect on public procurement speed and time. Design/methodology/approach This research is imbedded in the case of the German defence industry. Here, several legal and regulatory measures have been taken to reduce procurement time. Using time stamps from the public procurement system of roughly 40,000 procurement procedures in an ex ante /ex post comparison analysis, this study is able to assess different counter-measures and their effectiveness. Findings In this case, the overall duration of public procurement decreased by 36.6% over seven years. Findings show that this reduction in duration is correlated with the reduction of red tape as several measures have been taken to reduce regulatory burden. Furthermore, chi-square testing shows dependency between time and red tape. Social implications While it is not new that superfluous rules and regulations require critical assessment in public procurement, this study is able to demonstrate the effectiveness of top-down laws and directives which aim to reduce procurement durations. Beyond that, the study calls for the introduction of standardised speed metrics to better monitor performance−time relations in public procurement. Originality/value Previous research examined red tape predominantly from a perceptive point of view. In contrast, this study leverages empirical time stamps obtained from an actual procurement system.

In public procurement, the state enters into a market economy relationship with private-sector suppliers. Due to the enormous volume of goods and services demanded, public procurement can provide impetus for transformation both externally with suppliers and internally for public administration. The EU and Germany have enshrined sustainability criteria in their public procurement law. This article shows that empirical studies indicate a large discrepancy between the possibility and implementation of sustainable procurement. Effective implementation of sustainable procurement requires not only regulatory law (bureaucratic logic) but also the strategic anchoring of sustainability principles in the management and processes of public procurement and in supplier management (managerial logic).