“Public Procurement 4.0 in the Public Sector of Bangladesh: Opportunities and Challenges for Effective Supply Chain Management.”

Abstract

This thesis titled as “Public Procurement 4.0 and Supply Chain Management: Opportunities and Challenges for Bangladesh”, explores the integration of modern digital technologies into the public procurement system and its impact on public-sector supply chain management. The study aims to identify the opportunities, challenges, and potential strategies for implementing Public Procurement 4.0 (P4.0) in Bangladesh, leveraging lessons from both domestic initiatives and international best practices. Public procurement represents a significant portion of Bangladesh’s national budget, accounting for approximately 25% of total government expenditure and nearly 3.5–4% of the GDP ($453B). With the rapid advancement of digital technologies under Industry 4.0, there is a growing need to modernize procurement processes to improve transparency, efficiency, and supply chain resilience. This study focuses on evaluating how digital tools such as Artificial Intelligence (AI), Blockchain, Internet of Things (IoT), and advanced analytics can be integrated into Bangladesh’s e-GP system to optimize public procurement outcomes. The research is based on secondary data sources, including official reports from the Bangladesh Public Procurement Authority (BPPA), World Bank publications, OECD studies, and peer reviewed academic literature. A thematic and conceptual approach is used to review existing literature, analyze international case studies, and evaluate the current state of public procurement in Bangladesh. Tables, matrices, and diagrams are employed to summarize data and demonstrate technology adoption frameworks. Bangladesh has successfully implemented the e-GP system, which has improved transparency and reduced manual procurement processes. However, adoption of AI, blockchain, and predictive analytics is still limited. Integration of Procurement 4.0 technologies can lead to faster procurement cycles and reduced operational cost, improved supplier accountability and risk management, real-time monitoring and data-driven decision-making, enhanced resilience of public-sector supply chains. The major obstacles includes limited technical skills among government staff and suppliers, policy gaps regarding advanced technology adoption, resistance to change among stakeholders etc. SME participation should be encouraged through training and simplified e-GP onboarding processes. Phased roadmap should be developed for Procurement 4.0 adoption in Bangladesh, prioritizing AI analytics, blockchain-based smart contracts, and IoT-enabled supply chain monitoring. With proper policy support, technological investment, and capacity building, Bangladesh can align its public procurement system with global best practices and achieve significant economic and governance benefits. Keywords: Public Procurement 4.0, Supply Chain Management, Bangladesh, e-GP, AI, Blockchain, IoT, Industry 4.0