Transforming Procurement in Local Governments: A Case Study on Linking Organizational Design and Value Creation

• In Event: Relational Public Procurement

Abstract

Public managers face the complex challenge of designing procurement to balance the effective use of taxpayer dollars with its idiosyncratic environment. Simultaneously, they must advocate for procurement's strategic importance and ensure diverse needs are translated into improved service delivery. Discussions continue around the best ways to organize procurement, given its reliance on context and the involvement of competing interests. Despite this, it remains unclear the extent to which procurement models can drive performance improvements and create social impact, particularly during transitions in an organization's landscape. This ambiguity raises the critical question, "How does changing procurement models help organizations align stakeholder needs with organizational value creation?" This study uses an embedded case study of two recent solicitations, issued between September 2024 and May 2025 and awarded from November 2024 to August 2025, within a nationally representative, medium-sized county experiencing significant population growth and economic expansion. The case study includes interviews with organizational leadership, central procurement authorities, lead user departments based on purchasing volume and spending, as well as both awarded and non-awarded vendors. It also utilizes secondary data sources, such as procurement codes, solicitation documents and information, news articles, and public meeting minutes. Preliminary findings highlight that inclusive stakeholder engagement is vital for the success of procurement structural changes. However, the value generated from these relationships depends on key contingencies such as political support, organizational stability, and procurement professionals’ expertise. These factors enable organizations to balance competing priorities and align procurement structures with broader organizational and community goals, ensuring that stakeholder partnerships translate into meaningful organizational and societal impact.

Author

• Mariah Teal Lindberg, Arizona State University
  Presenting Author