Effects of Procurement Practices on the Project Performance in Case of SNV Ethiopia Addis Ababa

Abstract

Procurement is the process of obtaining goods and services for a project, and it plays a vital role in enhancing project performance through various means such as ensuring cost efficiency, quality assurance, timely delivery, risk management, innovation, and stakeholder satisfaction. The main objective of the study is to investigate effects of Procurement Practices on the Project Performance in Case of SNV Ethiopia. Employing a descriptive and explanatory research design, alongside quantitative methodologies, the study utilized both primary data collected through questionnaires and secondary data from various sources, which underwent thorough analysis. The research sample consisted of 140 questionnaire respondents, drawn using probability sampling techniques through random sampling approach. Analysis involved quantitative techniques, such as descriptive and inferential analyses conducted using SPSS software. The findings highlighted strong Pearson correlation coefficients, indicating significant relationships between procurement practices and project performance. The model suggested that 73% of the variability in project performance could be explained by the included procurement factors, with the remainder attributed to unexplored influences. Further regression results revealed that staff competency (B=0.333, P=0.000), leadership (B=0.208, P=0.006), stakeholder collaboration (B=0.261, P=0.000), and information technology (B=0.269, P=0.002) have positive and significant effects on project performance. Based on these findings, the study recommends enhancing stakeholder engagement through regular consultations, transparent communication, and inclusive decision-making. It also suggests fostering ethical leadership that prioritizes integrity and accountability, along with the utilization of advanced Information Communication Technology systems to streamline procurement processes and enhance efficiency and transparency.