Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards

Despite the ideal of a unified Single Market, a powerful “home bias” pervades EU public procurement, hinting at unseen barriers that conventional analysis fails to capture. This study introduces an interpretable AI framework to investigate these dynamics, pairing a LightGBM model with SHapley Additi...

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Main Authors: Cosmin Cernăzanu-Glăvan, Andrei-Ștefan Bulzan
Format: Article
Language:English
Published: MDPI AG 2025-07-01
Series:Mathematics
Subjects:
Online Access:https://www.mdpi.com/2227-7390/13/13/2215
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author Cosmin Cernăzanu-Glăvan
Andrei-Ștefan Bulzan
author_facet Cosmin Cernăzanu-Glăvan
Andrei-Ștefan Bulzan
author_sort Cosmin Cernăzanu-Glăvan
collection DOAJ
description Despite the ideal of a unified Single Market, a powerful “home bias” pervades EU public procurement, hinting at unseen barriers that conventional analysis fails to capture. This study introduces an interpretable AI framework to investigate these dynamics, pairing a LightGBM model with SHapley Additive exPlanations (SHAP) to examine the vast Tenders Electronic Daily (TED) database (2018–2023). Concretely, we propose a fuzzy linguistic layer that translates SHAP’s complex quantitative outputs into intuitive, human-readable terms. Our model effectively distinguishes local from non-local awards (AUC ≈ 0.855), revealing that while high-value contracts expectedly attract broader competition, the most potent predictors are a country’s own history of local awards and structural factors like the buyer’s type and location. This points not to isolated incidents, but, rather, to deep-seated patterns shaping market fairness. Our combined XAI-Fuzzy approach offers a new instrument for transparent governance, enabling policymakers to diagnose market realities and forge a more genuinely open and equitable European public square.
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spelling doaj-art-90148fb76cde4a3e856d8a42b1bc1dd82025-08-20T02:36:32ZengMDPI AGMathematics2227-73902025-07-011313221510.3390/math13132215Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender AwardsCosmin Cernăzanu-Glăvan0Andrei-Ștefan Bulzan1Department of Computer and Information Technology, Politehnica University Timișoara, 300223 Timișoara, RomaniaDepartment of Computer and Information Technology, Politehnica University Timișoara, 300223 Timișoara, RomaniaDespite the ideal of a unified Single Market, a powerful “home bias” pervades EU public procurement, hinting at unseen barriers that conventional analysis fails to capture. This study introduces an interpretable AI framework to investigate these dynamics, pairing a LightGBM model with SHapley Additive exPlanations (SHAP) to examine the vast Tenders Electronic Daily (TED) database (2018–2023). Concretely, we propose a fuzzy linguistic layer that translates SHAP’s complex quantitative outputs into intuitive, human-readable terms. Our model effectively distinguishes local from non-local awards (AUC ≈ 0.855), revealing that while high-value contracts expectedly attract broader competition, the most potent predictors are a country’s own history of local awards and structural factors like the buyer’s type and location. This points not to isolated incidents, but, rather, to deep-seated patterns shaping market fairness. Our combined XAI-Fuzzy approach offers a new instrument for transparent governance, enabling policymakers to diagnose market realities and forge a more genuinely open and equitable European public square.https://www.mdpi.com/2227-7390/13/13/2215public procurementExplainable AI (XAI)SHAPfuzzy linguistic interpretationsmart governanceTenders Electronic Daily (TED)
spellingShingle Cosmin Cernăzanu-Glăvan
Andrei-Ștefan Bulzan
Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
Mathematics
public procurement
Explainable AI (XAI)
SHAP
fuzzy linguistic interpretation
smart governance
Tenders Electronic Daily (TED)
title Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
title_full Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
title_fullStr Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
title_full_unstemmed Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
title_short Explainable AI and Fuzzy Linguistic Interpretation for Enhanced Transparency in Public Procurement: Analyzing EU Tender Awards
title_sort explainable ai and fuzzy linguistic interpretation for enhanced transparency in public procurement analyzing eu tender awards
topic public procurement
Explainable AI (XAI)
SHAP
fuzzy linguistic interpretation
smart governance
Tenders Electronic Daily (TED)
url https://www.mdpi.com/2227-7390/13/13/2215
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