Strategic Issues In Public-Private Partnerships

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Strategic Issues In Public-Private Partnerships

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Strategic Issues In Public-Private Partnerships

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Question:
Write about the Strategic Issues in Public-Private Partnerships.

Answer:

One of the major important issues in this project is the management of risks emerging from the different perspectives. The construction project of the magnitude of new Royal Adelaide Hospital has many players who have to engage on different activities within the site. There are key sub-contractors who are contracted to carry some of the activities and their monitoring becomes one of the key risk the main contractor is able to face in the project (Dewulf, Blanken & Bult-Spiering, 2012). The major activities are required to be done in the right order and the main contractor must make sure that these activities are done well. Failure to manage some of these key risks results to a double procurement method for the both resources used and the human resource. The complexities of the activities of major projects are able to increase the chances for risks which the sub-contractors are likely to make during their execution of the duties. The procurement process has to consider the complexity of these activities and therefore enhance the choice of the personnel to carry out the duties and the process to be followed. This will help to reduce double cost in some of the key area within the project.
In addition, the analysis of the will enhance the timely completion of the project which is key to the procurement process (Rechel et all., 2009). The analysis of the risks will ensure that some of the key processes are taken on the required timeline and they enhance the process undertaking of the construction. The new Royal Adelaide Hospital is a large project, which requires close monitoring of the risk, which is emerging from different perspectives. In addition, the analysis helps to reduce the cost pressures from the procurement departments since the resources will be utilized properly (Dewulf, Blanken & Bult-Spiering, 2012). The analysis of the risks is a key necessity, which has to be involved in Public Private Partnership, (PPP) arrangement that is being applied on new Royal Adelaide Hospital project. In addition, the PPP is able to define the responsible parties for the different risks and therefore helps to derive a better way to solve them.
The monitoring of the personnel and especially sub-contractors is another key issue, which must be analyzed through the new Royal Adelaide Hospital project. As bigger project has different parties taking different responsibilities and they have to be monitored to ensure that the procurement process is not compromised (Rechel et all., 2009). Proper and clear guidelines must be provided to the sub-contractors from the procurement department to ensure they know what they have to provide and the cost of their activities.

References
Dewulf, G., Blanken, A., & Bult-Spiering, M. (2012). Strategic Issues in Public-Private Partnerships. Hoboken: Wiley.
Rechel, B., European Health Property Network., European Observatory on Health Systems and Policies., & World Health Organization. (2009). Investing in hospitals of the future. Copenhagen: World Health Organization on behalf of the European Observatory on Health Systems and Policies.

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