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European Journal of Applied Sciences – Vol. 12, No. 5

Publication Date: October 25, 2024

DOI:10.14738/aivp.125.17615.

Rashid, M. A., & Shorif Uddin, M. (2024). Procurement Governance Hypothesis Testing in a Proposed e-Procurement

Implementation Assessment Model Framework. European Journal of Applied Sciences, Vol - 12(5). 232-239.

Services for Science and Education – United Kingdom

Procurement Governance Hypothesis Testing in a Proposed e- Procurement Implementation Assessment Model Framework

Md. Abdur Rashid

ORCID: 0000-0001-8311-2363

National Academy for Planning and Development,

Bangladesh and Centre for Higher Studies and Research,

Bangladesh University of Professionals, Bangladesh

Mohammad Shorif Uddin

ORCID: 0000-0002-7184-2809

Department of Computer Science and Engineering,

Jahangirnagar University, Bangladesh

Abstract

Purpose: This paper examines the critical factors that lead to the effective

deployment of an electronic procurement system in Bangladesh. Developing an

effective model for e-procurement implementation assessment is another

objective. Design, methodology, and approach: Survey data from 206 samples of

procurement entity (PE) officers obtained through primary investigation is used

to operationalize the proposed model. Data from eleven zones in Bangladesh's

Roads and Highways Division (RHD) population were gathered using survey

questionnaires. Findings: According to the analysis, the conceptual framework for

the e-procurement assessment model that has been suggested is an affirmation

that the procurement governance was approved. The findings also showed that the

alternative hypothesis was accepted, indicating that the proposed model fit the

data. Originality/value: This study represents the first effort to develop the

theoretical framework for a specially developed and proposed model of e- procurement implementation assessment. The results of the study will benefit

practitioners of e-procurement. The proposed assessment model will also support

the subsequent review, implementation, and modification of enhanced e-GP

policies and guidelines.

Keywords: e-GP policy, e-GP guideline, e-Procurement assessment model, Hypothesis

test, e-Procurement, Procurement governance.

INTRODUCTION

Overview and Problem Setting

To implement e-procurement, Nigeria developed a regulatory framework for public

procurement (Udeh, K., & Ahmadu, M. 2013). The procurement governance framework, which

provides a clear blueprint of procurement guidance for its design and implementation, should

serve as the foundation for regulatory frameworks governing the implementation of e- procurement (Naomi, J., & Karanja, K. 2016). Globally, many nations are progressively

concentrating on improving their public procurement procedures, both in terms of law and

practice (Schooner et al. 2008). In other words, it is believed that the legal framework is the

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Rashid, M. A., & Shorif Uddin, M. (2024). Procurement Governance Hypothesis Testing in a Proposed e-Procurement Implementation Assessment

Model Framework. European Journal of Applied Sciences, Vol - 12(5). 232-239.

URL: http://dx.doi.org/10.14738/aivp.125.17615

primary critical success factor that affects other critical success factors in the public sector's

adoption of e-procurement.

The Public Procurement Act 2006 (IPPA 2010) and the Public Procurement Rules 2008 were

released by the Central Procurement Technical Unit (CPTU) in Bangladesh in order to create

an appropriate legislative framework. Following that, Bangladesh used the conventional

manual public tendering procedure as outlined in the Acts and Rules. Based on the

technological pinnacle of the electronic government procurement (e-GP) system developed

and implemented by the CPTU of the Ministry of Planning, Bangladesh implemented the e- procurement implementation (CPTU 2011) in the field of public procurement in 2011. In

addition, the World Bank's recommendation (World Bank 2002) to enhance the effectiveness,

openness, and transparency of all public procurement in Bangladesh prompted the

development of e-GP. The e-GP has been welcomed by the bidding community as well as the

public sector.

In order to help design an e-procurement assessment model, the ultimate objective of this

study is to predict the critical effects of various factors affecting the deployment of e- procurement in RHD. Differentiation is necessary for academicians, students, researchers,

procurement entities, and policymakers to benefit from the study's implications.

Background of the Study

The implementation of e-procurement at RHD has experienced substantial growth. A World

Bank policy research working paper (Jürgen et al. 2023) examined the adoption of e- procurement, revealing a progression from 0% in FY 2011-12 to 100% in FY 2014-15 to FY

2017-18, with intermediate values of 5% and 37% in the intervening fiscal years. Notably,

there is a notable absence of RHD studies exploring the e-procurement assessment model,

leading to a lack of recommended models and hypothesis testing within the RHD context.

Instead, this article (Rashid and Uddin 2019) concentrates on analyzing the impact of the

legal, regulatory, and policy framework as a dependent variable, along with its five associated

independent variables.

Research Question and Hypothesis

The study's research question relating to this paper was:

• Q: What are the different factors that influence the adoption of the e-procurement

implementation assessment model in RHD?

Statement of Hypothesis:

• H: Effective e-procurement implementation assessment significantly depends on

procurement governance.

Specific Objective

Following the study question, the study objective was to develop a hypothesis and

corresponding survey questionnaires.

• Objective: To predict the significant effects of different factors influencing adopting

the e-Procurement implementation assessment model in RHD development project

procuring.

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European Journal of Applied Sciences (EJAS) Vol. 12, Issue 5, October-2024

Motivation and Novelty

The study aimed to address the existing gap by establishing an assessment model for e- procurement implementation. Its distinctive contributions are threefold. Firstly, it identified

the factors essential for constructing a conceptual framework, with the legal, regulatory, and

policy framework being a key dependent variable for hypothesis testing within the

assessment framework. Secondly, the study aimed to devise a proposed e-procurement

assessment model to rectify deficiencies and facilitate the development of a robust e- procurement system. The novelty lies in the theoretical design of a new conceptual

framework and model for e-procurement implementation specifically tailored for

Bangladesh's RHD. Lastly, a hypothesis test was conducted to assess the fitness of the

proposed model.

LITERATURE REVIEW

After an extensive exploration of existing literature, the researcher formulated a conceptual

framework, as detailed in the work of Rashid and Uddin (2019). The classification of variables

into independent and dependent categories is illustrated in Table 2.1 and Figure 2.1. The

establishment of Critical Success Factors (CSFs) provides organizations with a recognised

benchmark for analysing business performance and attaining objectives, as highlighted by

Kevin in 2016. To construct the conceptual framework for this research, the researcher

delved into the literature to identify various lists of CSFs that could potentially serve as

variables, drawing on the insights of Rashid and Uddin (2019).

Table 2.1: Proposed Conceptual e-Procurement Assessment Framework

Dependent Variable Independent Variables Source

Y= procurement governance X1: capacity development

X2: integrating principles

X3: free from after contracts awarding

X4: annual procurement planning

X5: quality of government tendering

process

X6: get rid of red-tapism

(World Bank 2002);

(Mapsinitiative 2018); (ADB

2004); (Gardenal 2013); (Kevin

2016); (CPTU 2011); (MoF and

NIC 2017)

Data Source: Literature Review Survey, 2020

Figure 2.1: Proposed Conceptual e-Procurement Assessment Framework