Supporting BSR cities to implement public procurement of innovation while providing practical tools created using AI technologies and gamification methods

Fostering Innovation through Public Procurement in the Baltic Sea Region

05 June 2023
Collaboration is a cornerstone of innovative public procurement in the Baltic Sea Region. Governments, businesses, and research institutions actively collaborate to foster innovation and solve complex societal challenges.
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The region benefits from a robust network of innovation hubs, incubators, and technology clusters, which serve as catalysts for collaboration. These platforms facilitate knowledge exchange, joint research and development projects, and the co-creation of innovative solutions. By involving stakeholders from various sectors, public procurement processes become more dynamic and capable of driving transformative change.

„Public procurement plays a pivotal role in the economic development of nations, facilitating the delivery of goods, services, and infrastructure projects. In recent years, the Baltic Sea Region has gained momentum as a hotspot of innovative public procurement practices. Governments in this region have recognized the potential of procurement processes to stimulate innovation, boost economic growth, and address societal challenges. By leveraging strategic approaches, promoting collaboration, and embracing digital solutions, the Baltic Sea Region has become a trailblazer in harnessing the power of public procurement to drive innovation. I am happy that LIC had a chance to build a strong team for PPI4Cities project and aim to drive this trend even further” – says Mantas Vilys, Director at Lithuanian Innovation Centre.

A key driver of innovative public procurement in the Baltic Sea Region is the adoption of a strategic approach. Governments in this region are increasingly viewing procurement as a means to achieve broader policy objectives, such as sustainability, social inclusion, and technology advancement. For instance, public authorities in Sweden have implemented a strategic procurement approach, where the focus is on long-term value creation rather than simply obtaining the lowest price. This shift encourages the development of innovative solutions and promotes collaboration between the public and private sectors.

Digitalization has revolutionized public procurement processes in the Baltic Sea Region, enhancing transparency, efficiency, and innovation. E-procurement platforms have been implemented across the region, providing streamlined and standardized procedures for procurement. These platforms not only simplify the tendering process but also enable greater access for small and medium-sized enterprises (SMEs) and startups, promoting competition and fostering innovation. Additionally, digital solutions such as artificial intelligence, blockchain, and data analytics are being harnessed to optimize procurement decision-making, improve risk management, and ensure compliance.

The Baltic Sea Region has positioned itself at the forefront of innovative public procurement practices. By adopting strategic approaches, fostering collaboration, embracing digital solutions, and promoting sustainability, governments in this region have successfully harnessed the power of procurement to drive innovation, economic growth, and societal change. The region’s emphasis on long-term value creation, sustainability, and social inclusion serves as an inspiration for other nations seeking to leverage public procurement as a catalyst for innovation. As the Baltic Sea Region continues to evolve and adapt to emerging trends, it will undoubtedly remain a leader in innovative public procurement, setting new benchmarks for the rest of the world to follow.