Supply Chain Manipulation, Misrepresentation, and Magical Thinking During the COVID-19 Pandemic
| Author | Allison M. Atkinson,Eric Prier,Clifford McCue,Christopher L. Atkinson |
| DOI | 10.1177/0275074020942055 |
| Date | 01 August 2020 |
| Published date | 01 August 2020 |
| Subject Matter | The Case For & Against BureaucracyChallenges Acquiring Personal Protective Equipment & the Impact on Supply Chains |
research-article2020
Challenges Acquiring Personal Protective Equipment & the Impact on Supply Chains
American Review of Public Administration
2020, Vol. 50(6-7) 628 –634
Supply Chain Manipulation,
© The Author(s) 2020
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Misrepresentation, and Magical
https://doi.org/10.1177/0275074020942055
DOI: 10.1177/0275074020942055
journals.sagepub.com/home/arp
Thinking During the COVID-19 Pandemic
Christopher L. Atkinson1, Clifford McCue2, Eric Prier2,
and Allison M. Atkinson1
Abstract
The COVID-19 pandemic has placed remarkable stress on all aspects of society, from health care and the economy to the
psychological well-being of communities. While the crisis is still playing out in the United States and around the world, it is
nevertheless appropriate to begin to assess its impact. This article asks: What documentable public failures provide a deeper
understanding of the U.S. government COVID-19 responses’ impact on supply chains? Case examples show that markets
were adversely affected in ways that caused avoidable shortages of critical goods and supplies. Moreover, public procurement
effectiveness was likely reduced by short-run efforts to obtain political advantage. The article begins with a brief review of
disaster procurement, highlighting how public procurement professionals tried to respond to the COVID-19 pandemic. The
next section delineates three politically led phenomena that adversely impacted procurement’s ability to acquire the needed
goods and services, including a lack of cohesive strategy in acquiring essential personal protective equipment; preference for
unproven drugs and magical thinking; and cozy relationships between the public and private sectors. The article concludes
by discussing the centrality of public sector procurement professionals as a critical link for effective provision of government
services, especially in times of crisis.
Keywords
COVID-19, supply chain interruption, magical thinking, disaster response, public health
Introduction
that markets may have been manipulated in ways that caused
avoidable shortages of essential goods and services. Patients
The coronavirus disease 2019 (COVID-19) pandemic has
with grave illnesses such as lupus have been impacted; tests
placed remarkable stress on all aspects of society, from health
with high failure rates have been funded. Furthermore, effec-
care and the economy to the psychological well-being of
tive policy response to the crisis has been hampered by fed-
communities. While the crisis is still playing out in the United
eral decisions favoring decentralized procurement of needed
States and around the world, it is nevertheless appropriate to
emergency response equipment, such as ventilators and face
begin to assess the impacts of the pandemic; official rhetoric
masks, to states, localities, and hospitals. Consistent with the
during this crisis has often deviated significantly from best
dynamics of competitive markets, there were rapid price
practices for crisis communication, especially in over-reas-
increases (Berklan, 2020) and waste of public resources at a
surance, inaccuracy, and inconsistency in messaging (Centers
time when those resources are even more essential. This led
for Disease Control and Prevention [CDC], 2018). A notable
to promoting unproven medical solutions for purposes of
area of impact, deserving of study, is the misrepresentation
declaring the ongoing threat of the pandemic contained.
and spread of falsehoods, well-intentioned or otherwise, con-
Moreover, government sought to play a marketing role for
cerning public procurement and its traditional supply chains.
As Turley (2020, p. 1) asked, “how do we test the resilience
1
of supply chains across an ecosystem of providers?”
University of West Florida, Pensacola, USA
2Florida Atlantic University, Boca Raton, USA
The research question considered herein is, What docu-
mentable public failures provide a deeper understanding of
Corresponding Author:
the U.S. government COVID-19 responses’ impact on supply
Christopher L. Atkinson, Assistant Professor, Department of
Administration and Law, University of West Florida, 11000 University
chains? Numerous case examples exhibit policy pronounce-
Parkway, Pensacola, FL 32514, USA.
ments that are more rhetorical than substantive, suggesting
Email: catkinson1@uwf.edu
Atkinson et al.
629
private-sector firms. At minimum, the choices made in deter-
from social to economic, and efforts to respond in an improvi-
mining relevant guidance for agencies and the most appropri-
sational manner may lead to waste (Day, 2014). Because ex
ate avenues for response have resulted in delay and supply
ante risks of natural disaster are often known (whether flood,
chain inefficiency, and for this reason alone, public procure-
storm, or disease, e.g., influenza), the need to address vulnera-
ment responses and outcomes deserve attention.
bilities and plan for resilient responses in the face of many sorts
This article begins with a brief review of disaster procure-
of hazards is reasonable. However, competing priorities for uti-
ment, highlighting the COVID-19 response involving public
lization of public-sector resources may prevent adoption of
procurement. The next section highlights three politically led
responses that are the most logical and forward-thinking. Day
phenomena that have adversely impacted best practices in
et al. (2009) highlighted how slow movement of information,
procurement capacity of governments to respond and recover
too, can damage the potential for responsiveness and timely
from the pandemic. The article concludes with a discussion
coordination of materials for disaster response.
of the centrality of public-sector procurement professionals
Even though planned supply chain resilience may be
as a critical link for effective provision of government ser-
worthwhile, it is not easily developed. Day observed that “[C]
vices, especially in times of crisis.
ollective resilience emerges in a non-linear and dynamic fash-
ion . . . [and as such] . . . cannot be reliably obtained through
deterministic or reductionist strategies” (Day, 2014, p. 1984).
Public Procurement and Disaster
While a rapid influx of public funds can help set society on
Response
the road to normalcy, these additional resources can also cre-
It is appropriate to briefly examine the relevant literature to
ate an environment that favors disaster profiteering.
understand the current response to COVID-19. Experience
Public-purchasing systems are complex and often unap-
suggests that procurement practitioners are likely to see mar-
proachable for many businesses during normal circumstances,
ket manipulation quickly. For example, Frauscher et al.
but under disaster conditions, difficulties quickly arise when
(2020) conducted an online discussion with 150 procurement
accounting for the use of public money. Even where the effort
professionals and found that there was
to solicit bids and make awards considers notions of fairness
and accountability, operational constraints often reduce the
widespread price gouging, an influx of counterfeit items, cases
vendor pool. At the very least, the lack of consistent enforce-
of intermediaries winning contracts and leaving governments in
ment and controls during a disaster response may favor
the lurch when they can’t fulfill the orders, and difficulties when
opportunities for corruption that decrease public welfare
competing for supplies against private companies who aren’t
(Atkinson & Sapat, 2012; Nikolova & Marinov, 2017).
bound by the same bureaucratic procedures as the public sector.
A major part of successful institutional responses to haz-
ardous threats is sober acknowledgment that the threat exists
These concerns were also consistent with conversations the
and a willingness to take appropriate early action, so that lives
authors had with several local government procurement
may be saved, even if it means foregoing economic gains. In
professionals.
the case of Hurricane Katrina, for example, even with dire
Public-sector procurement as a business process is an
warnings of the growing threat, the New Orleans response to
important point of government response in crisis situations,
the storm was to put off evacuation until very late in prepara-
and this often requires governments to gather needed materi-
tions, infamously leaving many stranded in the city and sur-
als to adequately respond to the immediate crisis and create
rounding areas, amid rising floodwaters, and in the Superdome
short-term supply chains to begin recovery (Atkinson, 2014).
as a shelter of last resort. Tools to evacuate people were not
How a government responds to a disaster says “a great deal
used. There was an inability to see through the “fog of war”
about the accountability and transparency of the government
that surrounded the event, and this led to increased loss of life,
institution, and whether the institution itself constrains or
as well as a seemingly endless game of various levels of gov-
encourages official behavior in a way that is favorable or
ernment blaming anyone and everyone for the event spiraling
hostile to community interests” (Atkinson & Sapat, 2012, p.
into disaster. Elsewhere, officials responsible, in part,...
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