Factors Affecting Procurement Performance In Building Construction Industry Of Ghana

In a very competitive and complex industry like the building construction with a very high demand,competitive pricing,delivery on time within budget are very important to this industry.There are some setbacks in the delivery of houses and project in the building construction industry of Ghana,which includes not completing of projects within expected time,doing projects over the approved cost,not achieving the required quality standards and not fulfilling the satisfactions of stakeholders.Poor procurement is an important factor generating the above problems.The study is aimed at assessing the factors affecting procurement performance in the building construction industry of Ghana.The factors that were considered for the study are procurement planning,procurement procedure,staff competence,and resource allocation.A descriptive cross-sectional research design was used for the study.Three hundred and twenty(320)employees were targeted from 10(ten)registered building construction firms in Accra,Ghana and this was used as the population of the study.The target group of the study was top managers,middle level managers,procurement staff and others members who form part of the procurement process,function and decision-making process of the 10 firms in Accra,Ghana.A questionnaire containing open-ended and close-ended questions,was the main instrument to collect data for the study.278 questionnaires were filled in and returned by the respondents,achieving 86.8% response rate.From the findings,Pearson Correlation Coefficient indicated there is a positive relationship between procurement planning and procurement performance(r= 0.138).There is a positive relationship between staff competence and procurement performance(r=0.415).There is a positive relationship between procurement procedures and procurement performance(r=0.093).There is a strong positive relationship between resource allocation and procurement performance(r=0.714).Multiple regression analysis was also conducted to determine the influence of the independent variables(procurement planning,procurement procedure,staff competency and resource allocation)on dependent variable(procurement performance).Staff competence and resource allocation with(p < 0.05)where the most factors affecting procurement performance based on the findings.Based on ANOVA,with a significance value 0.000 which is less than 0.05 shows that the independent variables influence the dependent variable.F critical value of(2.64)was recorder at 5% level of significance and an ANOVA of(13.075),which is greater than the F critical valve.This shows that the overall objective of the study is achieved.Therefore,resource allocation,staff competence,procurement planning and procurement procedure are orderly important factors affecting procurement performance in the building construction industry of Ghana.It offers some valuable managerial suggestions for managers and practitioners in the building construction industry of Ghana.