Enhancing performance measurement of public procurement processes through the application of procurement delay index

  • 0Department of Management Science, Business School, Ghana Institute of Management and Public Administration (GIMPA), Accra, Ghana.

|

|

Summary

This summary is machine-generated.

This study introduces the Procurement Delay Index (PDindex) to measure and manage public procurement delays. The PDindex offers a cost-effective solution for assessing process timeliness, recommending a 3σ limit for acceptable delays.

Area Of Science

  • Public Procurement
  • Operations Management
  • Quality Management

Background

  • Existing performance assessment tools like Balanced Scorecard and Capability Maturity Models inadequately address planned vs. actual timelines in procurement.
  • This gap leads to persistent delays in public procurement processes.
  • Six Sigma offers benefits for process improvement, including addressing delays, but its implementation in public procurement is rare due to high costs.

Purpose Of The Study

  • To develop a Procurement Delay Index (PDindex) as a performance measure within a Six Sigma framework.
  • To provide a specific metric for quantifying delays in procurement processes.
  • To enhance uniformity and cost-effectiveness in measuring procurement process timeliness.

Main Methods

  • Development of the Procurement Delay Index (PDindex) based on Six Sigma principles.
  • Proposal of a rating scale for assessing the timeliness of procurement processes.
  • Practical demonstration of the PDindex application for procurement professionals.

Main Results

  • The PDindex offers a standardized and less expensive method for evaluating procurement process timeliness.
  • A practical application demonstrates the usability of the PDindex for procurement professionals.
  • A recommended acceptable limit for procurement process delays is established at 3σ.

Conclusions

  • The PDindex serves as a valuable standard for determining procurement process timeliness.
  • It provides a specific, quantifiable measure to address and reduce procurement delays.
  • The PDindex is a cost-effective alternative for performance assessment in public procurement.