Viability of management procurement system in the construction industry of Ghana

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July 2016
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Management procurement system designed to solve construction procurement of complex and time bound project is virtually unknown in Ghanaian construction industry. The purpose of this research is to educate and bring into the attention of consultants and clients the need to employ management procurement method. The mixed methodology design employs non-probability sampling technique to survey 103 construction professionals in the Greater Accra Region in an attempt to investigate the viability of management procurement system in the construction industry. The study revealed that the construction firms in the region predominantly depend on the traditional procurement system. The major factors influencing the construction firms dependency on this system of procurement were found to include minimization of construction time, project completion at estimated cost, quality assurance minimization of design time, consultancy service offered, availability of information at project inception, and technical complexity of construction in that order of their rank. The study also revealed several effects of management procurement system on the success of building project including reduction in project cost, reduction in conflict of interest, risk reduction, design flexibility, quicker delivery, and the achievement of full control of the construction process. However, the study revealed several challenges to the practice of the management procurement system including increased level of risk for the client, lack of a firm price when construction commences, more administration for client, need for meticulous and comprehensive administration, construction project manager must be an expert and control process well and others. Based on these findings, the study recommended the need for appropriate procurement management system adoption, advice clients on available procurement systems; need to employ a qualified and experienced in procurement manager, and training of project team on procurement management systems.
A dissertation report submitted to the Department of Building Technology in partial fulfillment of the requirements for a degree of Master of Science in Construction Management,