Hài hòa trong đấu thầu cạnh tranh mua sắm công: thực nghiệm chứng minh từ Bộ Y tế Việt Nam

A RESEARCH PAPER PRESENTED TO THE FACULTY OF THE GRADUATE SCHOOL SOUTHERN LUZON

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ThAi nguyen University Southern luzon STATE University

Socialist Republic of Vietnam Republic of Philippines

HARMONIZATION OF PUBLIC COMPETITIVE TENDERING :

EMPIRICAL EVIDENCE FROM THE MINISTRY

OF HEALTH IN VIETNAM

Advisor : Dr. Alice T. Valerio

Name of Student : NGUYEN DUY PHUONG

English Name : NOAH

Date of Birth : 13-12-1974

Course : SLSU-DBA1

Hanoi May, 2013

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HARMONIZATION OF PUBLIC COMPETITIVE TENDERING :

EMPIRICAL EVIDENCE FROM THE MINISTRY OF

HEALTH IN VIETNAM

A Dissertation

Presented to the Faculty of the

Graduate School of Southern Luzon State University

in Collaboration With Thai Nguyen University

In Partial Fulfilment

of the Requirements for the Degree

Doctor in Business Administration

NGUYEN DUY PHUONG

May 2013

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ACKNOWLEDGMENT

I would like to express my gratitude to Dr. Alice T. Valerio for being an outstanding

advisor and excellent professor. Her constant encouragement, support, and invaluable

suggestions made this work successful. She has been everything that one could want in an

advisor. I would like to thank her for providing me ideas on the research methodology and

valuable insights on public procurement system and international bidding implementation

issues.

I am deeply indebted to my committee member, Dr. Lee Kari Ling for her time and

effort in reviewing this work. Also, I would like to thank all the lecturers of DBA1 course for

helping me to complete this thesis which I have been their student for three years.

I would like to acknowledge my best friends in the DBA 1 class for reviewing my

thesis and providing valuable feedback. I am grateful to Mr. Ngo Anh Cuong and Mrs. To

Ngoc Lan for their help and valuable advice, and for being great friends throughout my

program stint.

I am deeply and forever indebted to my family for their love, support, and

encouragement throughout my entire life. I would like to thank my wife, Bui Thi Nga, who

has provided a tremendous amount of love and support throughout this study. On a final note

with love are for my children, my five-year old daughter and three-year old son!

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DEED OF DECLARATION

I, Nguyen Duy Phuong (English name: Noah), hereby submit my thesis for oral

examination, entitled “HARMONIZATION OF PUBLIC COMPETITIVE

TENDERING: EMPIRICAL EVIDENCE FROM THE MINISTRY OF HEALTH IN

VIETNAM”, truthfully declare that the said paper is a product of my original research

investigation.

Signed this …………………….2013 at Thai Nguyen University

NGUYEN DUY PHUONG

DBA Candidate

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TABLE OF CONTENTS

Page

ACKNOWLEDGMENT........................................................................................................iii

DEED OF DECLARATION .................................................................................................iv

TABLE OF CONTENTS........................................................................................................ v

LIST OF TABLES..................................................................................................................ix

LIST OF FIGURES................................................................................................................. x

LIST OF ABBREVIATIONS................................................................................................xi

APPROVAL SHEET ............................................................................................................xii

ABSTRACT ..........................................................................................................................xiii

CHAPTER I............................................................................................................................. 1

INTRODUCTION................................................................................................................... 1

1. Background of the Study............................................................................................... 1

2. Statement of the Problem .............................................................................................. 3

3. Objectives....................................................................................................................... 5

4. Hypotheses of the Study. ............................................................................................... 6

5. Significance of the Study............................................................................................... 6

6. Scope and Limitations of the Study .............................................................................. 7

7. Definition of Terms ....................................................................................................... 9

CHAPTER II ......................................................................................................................... 13

REVIEW OF RELATED LITERATURE.......................................................................... 13

1. Systems Theory ............................................................................................................ 13

2. Administrative Theory ................................................................................................. 14

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3. Procurement Legislation and Studies......................................................................... 15

4. Procurement Administrative Theories and Studies.................................................... 20

5. Legislation of Vietnam and International Community for Procurement ................. 23

6. Conceptual and Theoretical framework ..................................................................... 24

CHAPTER III........................................................................................................................ 29

RESEARCH METHODOLOGY......................................................................................... 29

1. Research Design .......................................................................................................... 29

2. Time and Place of the Study ....................................................................................... 30

3. Sampling Procedures................................................................................................... 31

4. Data Collection ............................................................................................................ 31

5. Research Instrument ................................................................................................... 34

6. Statistical Treatment.................................................................................................... 36

7. Methods of Analysis ................................................................................................... 40

CHAPTER IV........................................................................................................................ 42

RESULTS AND DISCUSSION............................................................................................ 42

1. Provisions in ILT and LLT in Vietnam...................................................................... 42

2. Public Procurement Activities in MOH...................................................................... 56

3. Procurement and Bidding Practices in Terms of Transparency and Openness

Measures............................................................................................................................. 62

4. Formulation of efficient public procurement............................................................. 64

CHAPTER V.......................................................................................................................... 74

CONCLUSION AND RECOMMENDATIONS ................................................................ 74

1. Summary...................................................................................................................... 74

2. Conclusion ................................................................................................................... 75

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3. Recommendations........................................................................................................ 76

REFERENCES ...................................................................................................................... 98

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APPENDIES

Appendix Page

1. LETTER REQUEST FOR THE CONDUCT OF THE SURVEY .....................................80

2. SURVEY QUESTIONNAIRE............................................................................................82

3. CURRICULUM VITAE .....................................................................................................89

4. BUDGET REVENUES AND EXPENDITURES ..............................................................95

5. TOTAL GOVERNMENT EXPENDITURE , 1990-2010 ..................................................95

6. CORRUPTION PERCEPTIONS INDEX...........................................................................96

7. MINISTRY OF HEALTH STRUCTURE ..........................................................................97

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LIST OF TABLES

Table Page

1. Factors affecting the harmonizing.......................................................................................35

2. Likert scale summated rating for openness and transparency procurement.......................41

3. Discrepancy in public procurement.....................................................................................43

4. Department of Administrators.............................................................................................58

5. Testing result of reliable of Model ......................................................................................65

6. Description of Mean and Standard Deviation .....................................................................66

7. Post Hoc Tests openness and transparency procurement....................................................67

8. Model Summary Option......................................................................................................69

9. ANOVA F-Test ...................................................................................................................69

10. T-test coefficient................................................................................................................70

11. Linear regression for 02 removed variables......................................................................72

12. T-test for Coefficient and Multicollinearity ......................................................................72

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LIST OF FIGURES

Figure Page

1. Conceptual framework of the study ....................................................................................27

2. Data collection procedure....................................................................................................33

3. Distribution of respondents by position in the MOH ..........................................................56

4. Distribution of age of respondents ...................................................................................57

5. Distribution of total working years of the respondents.....................................................58

6. Distribution of the respondents by department ...................................................................59

7. Frequency of submitting bidding documents under LCB ...................................................62

8. Frequency of applying transparency level...........................................................................63

9. Frequency of applying the most opening purchase method ................................................64

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LIST OF ABBREVIATIONS

ADB Asian Development Bank

GOV Government of Vietnam

ICB International competitive bidding

ILT International Law on Tendering

JICA Japan International Cooperation Agency

LCB Local competitive bidding

LLT Local Law on Tendering LLT

PMU Project Management Unit

PPC Provincial People Committee

WB World Bank