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Adoption of E-Procurement and Its Effects on Firm Performance in Ghana's Construction Sector

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  • Andrew Nimako-Boateng

Abstract

Purpose: This study investigates the impact of e-procurement adoption on firm performance in Ghana’s construction sector, with a focus on procurement transparency, cost reductions, and operational efficiency. Methodology: A mixed-method approach was adopted, with data collected from 60 procurement officers and project managers in Accra. Findings: The study reveals a significant positive correlation between e-procurement usage and firm profitability (mean = 3.59) and competitiveness (mean = 4.00). Quantitative results indicate that e-procurement led to a reduction in procurement costs by 10-15%, while qualitative insights highlight the need for capacity-building initiatives to overcome resistance to technological change. However, challenges such as unreliable energy supply (mean = 4.02) and limited technological integration hinder the full potential of e-procurement. Unique Contribution to Theory, Policy and Practice: These findings suggest that e-procurement can play a crucial role in improving efficiency, transparency, and competitiveness in Ghana’s construction sector, provided systemic challenges are addressed.

Suggested Citation

  • Andrew Nimako-Boateng, 2025. "Adoption of E-Procurement and Its Effects on Firm Performance in Ghana's Construction Sector," International Journal of Developing Country Studies, CARI Journals Limited, vol. 7(1), pages 19-35.
    • Handle: RePEc:bhx:oijdcs:v:7:y:2025:i:1:p:19-35:id:2484
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    File URL: https://carijournals.org/journals/index.php/IJDCS/article/view/2484/2909
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