- There are fewer regulations in the private sector procurement, which makes the

parties free to get deeply involved in any activity, compared to the much regulated
public sector procurement.
- Procurement personnel in the private sector work in relatively more flat structures
compared to hierarchical public bureaucratic structures.
- Private sector firms serve a limited constituency of shareholders, employees etc. the
constituency is much wider in the public sector.
- The diversity of items that may be purchased by a public sector, which of course is
related to the diversity of services it provides.
- There is confidentiality between buyers and suppliers in the private sector while in
public sector, confidentiality is limited because of public interest in disclosure.
- A private firm places less emphasis on formal competitive bidding, documented
procedures, and constraining conflicts of interest than governments do.
- In contrast, the public manager must follow prescribed competitive procedures, and
the rules give a major weight to fairness and equity.
- Private firms and non-profit agencies prefer stable relationships with suppliers and
long term contracts, for certainty and easier business planning. But several factors
(including the fear of collusion with contractors and financial rules) prevent public
agencies from developing such long-term relationships.
- Public procurement is often used as a tool for public policy goals (e.g. fostering the
growth of local industry, or benefiting groups of poor women or disadvantaged
groups).
- Public procurement must be transacted with other considerations in mind besides
the economy. These considerations include accountability, non-discrimination
among potential suppliers and respect for international obligations.
- Public procurement uses public funds and therefore public interests must be
protected.
- Public procurement has regulations (the PPDA Act, 2003 as amended) - Public
procurement has a more detailed budgeting process.
- In Public procurement follow up on audit reports by IGG, DPP, CID is very
important.
- Public procurement stipulates methods of procurement that have to be used