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Research Proposal on The benefits of procurement methods to organizations

Introduction



The research will basically determine and critically appraise procurement methods that are of effective notion for certain organizations. The need to imply comprehensive literature collation that will bring in a solid basis of positive and negative benefits of such methods relating to procurement strategies and ways that organization adopts, uses, applies and executes. Probably, preliminary literature case assumptions will be used as a core method upon which specific cases directing to organizations will be possible, these organizations could be SMEs operating in Uganda as there focus on procurement methods pertaining to ideal and winning benefit piece. Moreover, it is known that procurement methods play major role in defining and shaping contractual and work relationships between parties involved in the construction process. Thus, better understanding of those methods and criteria that practitioners use in their selection is important step in enhancing certain understanding of the issue. The research will present outcome of study into criteria of selection for procurement methods used in Uganda's SME industry such as those involved in the construction sector, the research will investigate issue of satisfaction with procurement methods.


Problem statement


Building procurement has become fashionable term with industry practitioners and researchers. There determine overall framework and structure of responsibilities and authorities for participants within the building process. It is a key factor contributing to overall client satisfaction and project success. The selection of the most suitable procurement method consequently is critical for both clients and project participants, and is becoming an important and contemporary issue within the building industry. The problem implies the fact that there has been limited empirical research in this field of study. Procurement method from its selection continues to be topical, and several advanced studies have been reported. One of the key concerns of procurement selection is how to enhance objectivity with the input of industrial experts, critical procurement selection criteria and procurement strategies commonly used in Uganda will be identified. Several utility factors corresponding to various procurement strategies will be created forming in utility factor to be derived from the procurement strategies, taking into account the relative importance of selection criteria. The use of procurement model has to be illustrated into the actual research data. Another problem lies within the fact that some studies about procurement methods is limited to amiably determine success factors that bring in benefit options for the organization. Thus, there lack of assessment tools that implies to research methods and materials to use in finding research evidences and support.


Objectives


The key objective in research is to recognize and find out several procurement methods that an organization could use in order to fully exercise business operations and effectively adhere to these procurement methods with a grounding literature base as one factor for understanding imperative benefits. The need to use postal questionnaire survey to be given at clients and consultants in Uganda as being used in order to obtain experience of and attitudes to variety of procurement methods and the criteria used for selection. The findings indicate that a simple set of the criteria generally is adequate and sufficient for procurement path selection, and that there is a reasonable consensus on the appropriate weighting for each path. Moreover, it is shown that, contrary to expectations, similar clients generally do not have similar procurement needs. Questionnaire will be prepared with other objective of obtaining information relating to procurement choice and satisfaction with procurement methods used by organizations. Total of 100 questionnaires will be mailed to 50 clients and 50 consultants through statement formation will be employed by means of five point scaling system for data analysis.


Scope of the study


Adopting of procurement methods framework can be introduced in order to help SME organizations review project portfolio to find more effective ways of using market resources in information systems development to determine what procurement methods/strategies should be used in diverse situation. According to Procurement Principle, systems that are company specific and involve high uncertainty have to be internally developed because they require specific knowledge and intensive interaction between developers and users. Procurement Principle will be tested with data from recent SME development projects in Uganda. Project delivery methods and procurement policies that currently drive the management of infrastructure system will be explored. The methods ranged from the combined procurement of the design, construction, operation and maintenance of facility, such as Design-Build-Operate and Design-Build-Finance-Operate, to separate procurement of these services like Design-Bid-Building and Design-Build. Thus, some drivers that foster future shift in public procurement procedures are needed to be highlighted as well as development of efficient procurement practice.


Literature review



For literature, Masterman (1992) provide good background to some procurement work as traditional procurement route came under closer scrutiny other procurement routes developed and consequently means for selection were considered. In addition, Masterman (1992) have defined various procurement routes if characteristics of procurement route can be identified and the impact of these characteristics upon performance can be measured, then and only then, can the selection of specific procurement path serving in definite purpose.


Morledge and Sharif (1996 a; 1996 b) have discussed procurement strategy, summarized procurement options and outlined better process to assist in the selection of the best procurement method/strategy. Furthermore, Gillespie (1994) questions the extent that rationality plays in procurement selection and suggest that other factors often influence choice. Some researchers suggested the use of fuzzy logic to produce computerized systems to help practitioners (Peak et al., 1992; Russell, 1992). Turner (1990) provides an assessment of the risk inherent in procurement routes and it can be inferred that this is an important determinant in the route being selected.



References


Gillespie, B. (1994). 'The Choice of Procurement Route is A Key Decision - So why not treat it as one?' Building, 29 July. p.46



Masterman, J.W.E. (1992). An Introduction to Building Procurement Systems. E. & F.N. Spon, London



Morledge R., and Sharif A. (1996,a). 'The Procurement Guide' A Code of Procedure for Builders and their Advisers. RICS, London



Morledge R., and Sharif A. (1996,b). 'Strategies for Procurement: Implications for Cost Database, Cost Planning and Tender Price Indexing' COBRA 95 Construction and Building Conference -, RICS, London



Peak, J.H., Lee, Y.W., and Napier, T.R. (1992). 'Selection of Design/Build Proposal Using Fuzzy-Logic System' Journal of Construction Engineering and Management, 118, pp 303-317



Russell, J.S. (1992). 'Decision Models for Analysis and Evaluation of Construction Contractors' Construction Management and Economics, 10, pp 185-202

Comments

baayare55 said…
hhhhhhhhhhhmmmmmmmmmmmmmm plz this no right proposal revise the
peter said…
The need to involve exhaustive classification of the literature that provide a solid foundation of positive benefits and disadvantages of these methods of recruitment strategies and how the organization to adopt, use, manage and enforce.
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