Planning local economic development theory and practice
BUIL1232 Construction Project Management
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Construction Project Management BUIL1232 (Level 7)
If the government had awarded these contracts to local business organisations instead of an FTSE 100 company, it would have been highly beneficial for the development at the local level. Corporate social responsibility is extremely crucial for the balanced development of a country, because significant issues are identified and eliminated because of it. The government should embed CSR in not just its operations, but also in its projects, as it will ensure sustainable development at a fundamental level and will have a deeper impact. This has also been stated in the Public Services (Social Value) Act 2012, which encourages public sector organisations to connect the environmental, social and economic well-being of the country with public service contracts (gov.uk, 2018).
If the public sector organisations start thinking about the benefits of all the stakeholders before starting the procurement process, they will be able to get better value of money along with assisting the society. This will help in removing the imbalances that are currently plaguing the United Kingdom and assist in balanced development. Since big companies get all the contracts, there is an imbalance in money distribution and the rural areas do not get developed (Chambers, 2014). However, if public sector organisations start giving contracts to local, small business organisations and charities, then they will also be provided with a chance to develop themselves.
Conclusion
It can be concluded that if organisations operating in the private sector undertake the Public Services (Social Value) Act 2012 in its operations, then environmental, social and economic development will be enabled at the grass-root level. The government should implement corporate social responsibility while giving out projects. They should give the projects to local organisations instead of big companies because they will be able to perform more efficiently and will also lead to the development or local communities.
Leigh, N.G. and Blakely, E.J., 2016. Planning local economic development: Theory and practice. Sage Publications.
Sheffield, H. (2018). Carillion's Government contracts could have been stopped by a single law. Why wasn't it used?. [online] The Independent. Available at: http://www.independent.co.uk/voices/carillion-contracts-governments-law-could-have-stopped-why-not-used-a8162556.html [Accessed 8 Feb. 2018].
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