Assessing the impact of early supplier involvement on public works procurement

Abstract

Purpose

Works procurement performance is critical to successful project delivery. However, early supplier involvement (ESI) has been touted in other industries to impact procurement performance positively. Works procurement has been attracting significant attention from major players due to poor performance characterized by poor performance, budget overruns and incompetence. Hence, the purpose of this study was to assess the impact of ESI on public works procurement performance.

Design/methodology/approach

Based on a thorough review of the literature for a pilot survey, the main questionnaires were administered to 103 public procurement officers. To assess the impact of ESI on public works procurement performance, three constructs that served as factors for implementing ESI and five that measure works procurement performance were validated using partial least square structural equation modelling (PLS-SEM).

Findings

The outcome of this study shows a significant positive impact of ESI on works procurement performance. This included communication, trust and supplier capabilities. The study further showed that even though cost, schedule, quality, health and safety are essential, sustainability measures are also crucial for work procurement.

Research limitations/implications

The results of this study could help firms make better decisions regarding public works procurement by encouraging ESI. This will likely significantly impact the successful project delivery and preservation of sustainability and efficiency objectives.

Originality/value

The application of PLS-SEM analysis in this study provides insights into how ESI can impact the procurement of public works in Ghana.

Citation

Osei-Appiah, V.K., Kissi, E., Karikari, V.A., Ayeng, P., Danquah-Smith, E. and Adesi, M. (2023), "Assessing the impact of early supplier involvement on public works procurement", Journal of Financial Management of Property and Construction, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JFMPC-09-2022-0047