Outsourcing of Facility Management Activities and Procurement Design
AbstractWe introduce a multi-attribute combinatorial auction-based mechanism, called contract clause mechanism (CCM), as a mean to innovate procurement design related to outsourcing of facility management activities. The CCM allows a procurer and sellers to dynamically and simultaneously bargain the characteristics of distinct procurement contracts. The procurer does not directly call for goods and/or services; in fact, firstly he involves sellers in defining a collection of contract clauses related to different features of the supply of goods/services; secondly he requests bids on such clauses. The procurer also assigns scores to clauses to signal their relevance to the sellers. Submitted offers concern bundles of sets of clauses and define detailed procurement contracts. CCM allows procurers to mitigate the relevant problem concerning the lack of competences on the non-core activities, since CCM can partially extract from sellers their private knowledge as well as information on the supply cost.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Department of Computer, Control and Management Engineering, Universita' degli Studi di Roma "La Sapienza" in its series DIS Technical Reports with number 2010-13.
Date of creation: 2010
Date of revision:
procurement design; multi-attribute auctions; combinatorial auctions; contracts; facility management;
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Yeon-Koo Che, 1993.
"Design Competition through Multidimensional Auctions,"
RAND Journal of Economics,
The RAND Corporation, vol. 24(4), pages 668-680, Winter.
- Pitchford, Rohan & Snyder, Christopher M., 2004. "A solution to the hold-up problem involving gradual investment," Journal of Economic Theory, Elsevier, vol. 114(1), pages 88-103, January.
- Anthony M. Kwasnica & John O. Ledyard & Dave Porter & Christine DeMartini, 2005.
"A New and Improved Design for Multiobject Iterative Auctions,"
INFORMS, vol. 51(3), pages 419-434, March.
- DeMartini, Christine & Kwasnica, Anthony M. & Ledyard, John O. & Porter, David, 1998. "A New and Improved Design For Multi-Object Iterative Auctions," Working Papers 1054, California Institute of Technology, Division of the Humanities and Social Sciences.
- Teich, Jeffrey E. & Wallenius, Hannele & Wallenius, Jyrki & Koppius, Otto R., 2004. "Emerging multiple issue e-auctions," European Journal of Operational Research, Elsevier, vol. 159(1), pages 1-16, November.
- Avenali, Alessandro, 2009. "Exploring the VCG mechanism in combinatorial auctions: The threshold revenue and the threshold-price rule," European Journal of Operational Research, Elsevier, vol. 199(1), pages 262-275, November.
- Quélin, Bertrand & Duhamel, François, 2003. "Bringing Together Strategic Outsourcing and Corporate Strategy:: Outsourcing Motives and Risks," European Management Journal, Elsevier, vol. 21(5), pages 647-661, October.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Antonietta Angelica Zucconi).
If references are entirely missing, you can add them using this form.