Assessing the Implementation Challenges of the Procurement Act of Ghana: The Newmont Ghana Experience

Abstract

The Public Procurement Act of 2003 was initiated to address the weaknesses which were impregnated in the Public Financial Management Reform Programme (PUFMARP). The goals of the Acts among others were to harmonise public procurement processes, practices, and secure judicious economic and efficient use of state funds and to possibly ensure that public procurement is fair, transparent and non-discriminatory. The research therefore assessed the challenges influencing the implementation of the Public Procurement ACT 663 and its Amended Act 914 on procurement practitioners, where the main variables included strategic planning, regulation enforcement and organizational culture. Through a survey research design, the study targeted procurement officers’and contractor bodies working with Newmont Ghana Gold Ltd. Convenience sampling technique was used to select a sample of 50 respondents. Interviews and questionnaires were used in the data collection. Quantitative data collection was analyzed by the use of descriptive statistics using Microsoft Excel and presented through frequencies and percentages. The findings revealed that 75% of the respondent believed that Newmont’s strategic plan has the relevant performance pillars. The study showed that 47.5% said the impact of regulation enforcement on Newmont’s procurement activities is moderate. The findings also revealed that 47.5% of the respondent strongly agreed on the issue that Newmont’s culture favors good procurement procedures. In conclusion, the outcome suggested that, the Public Procurement Act can be carried out effectively if the strategic plan, regulation enforcement and organizational culture support the procurement systems in place. On recommendation, the researcher observed that Procurement process should uphold integrity and ensure that there are no malpractices and there is informed decision-making