Developing Procedures to Assess Contractors at Various Stages of Cooperation

DOI

10.2991/aer.k.200202.001How to use a DOI?

Keywords

contractor assessment, governmental contracts, budget savings, auditing procedures, contractual obligation performance quality check, the Ministry of Agriculture of the Astrakhan region

Abstract

State customer activities inevitably imply signing governmental contracts with companies of various types. Government contract making may result in certain risks and economic security threats for the state customer and it is of primary importance because its successful execution influences the budget savings and the application of funds. Professional literature shows little information on contractor assessment for the making of government contracts, and there are no developed procedures for the interaction audit of the contractors in the Ministry of Agriculture. We analyzed and suggested procedures for the assessment of contractors in the Ministry of Agriculture of the Astrakhan region. The operations of the ministry and its subordinate entities cannot be isolated at the moment because they enter into dozens of government contracts every year. One of the threats influencing the execution of the contract is the vendor’s inability to perform their obligations due to the incorrect calculation of the maximum face price of the contract. The author claims that the inability to properly assess the diligence of a potential contractor is due to the very requirements for procurement participants and the non-compulsory character of government customer audits of the procurement participant’s compliance with those. Therefore, the government customer shall be legally obliged to audit the contractor at the selection stage, not during the fulfillment of contractual obligations, which is often done indirectly by auditing the government customer themselves.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Turgaeva Aksana Albekovna
AU  - Azizova Esenia Anatolevna
PY  - 2020
DA  - 2020/02/08
TI  - Developing Procedures to Assess Contractors at Various Stages of Cooperation
BT  - Proceedings of the IV International Scientific and Practical Conference 'Anthropogenic Transformation of Geospace: Nature, Economy, Society' (ATG 2019)
PB  - Atlantis Press
SP  - 1
EP  - 6
SN  - 2352-5401
UR  - https://doi.org/10.2991/aer.k.200202.001
DO  - 10.2991/aer.k.200202.001
ID  - Albekovna2020
ER  -