Comparative Analysis of E-Procurement Adoption in Public and Private Sectors

Thesis Abstract

The adoption of electronic procurement (e-procurement) systems has become a critical factor in enhancing procurement efficiency, transparency, and competitiveness in both public and private sector organizations; however, disparate rates of adoption and implementation challenges persist, raising concerns about comparative effectiveness and strategic alignment. This study aims to conduct a comprehensive comparative analysis of e-procurement adoption in public and private sectors, identifying key determinants, implementation barriers, and performance outcomes associated with these systems. Specifically, the research investigates the influence of organizational size, technological readiness, regulatory environment, and stakeholder engagement on e-procurement adoption, as well as the resultant impacts on procurement cycle time, cost efficiency, and transparency. Employing a cross-sectional descriptive survey research design, the study targets a population of procurement professionals, ICT managers, and regulatory officials within manufacturing firms and government procurement agencies. A stratified random sampling technique is used to select a total sample size of 400 respondents, ensuring adequate representation from both sectors. Data collection is conducted through structured questionnaires validated for content and construct validity, with reliability established via Cronbach’s alpha coefficient exceeding 0.80. Supplementary qualitative data are gathered through semi-structured interviews with key informants to enhance contextual understanding. Quantitative data are analyzed using descriptive statistics, inferential techniques including multiple regression analysis to ascertain predictors of e-procurement adoption, and t-tests for comparative analysis between sectors. The qualitative data are subjected to thematic analysis, enabling the identification of common themes, perceptions, and barriers that influence e-procurement practices. The study grounds its theoretical framework in the Technology Acceptance Model (TAM) and Institutional Theory, which elucidate factors influencing technology adoption within organizational contexts. Preliminary findings are anticipated to reveal higher levels of e-procurement implementation in private firms, driven primarily by competitive pressures and technological agility, whereas public entities face more complex regulatory constraints and institutional inertia. Organizational size and technological capacity are expected to emerge as significant predictors of adoption levels, with regulatory environment serving as a mediating factor. Furthermore, the analysis predicts a positive correlation between e-procurement maturity and procurement performance indicators such as cycle time reduction, cost savings, and increased transparency in both sectors, albeit at differing magnitudes. This research contributes to the extant knowledge by providing an empirical, comparative perspective on factors influencing e-procurement adoption, highlighting sector-specific challenges and success factors. It extends existing frameworks by integrating technological, organizational, and institutional dimensions, offering a nuanced understanding of implementation dynamics. The findings aim to inform practitioners and policymakers about strategic interventions needed to accelerate e-procurement adoption and optimize procurement outcomes across sectors. The study concludes with evidence-based recommendations emphasizing tailored capacity-building initiatives, reforming regulatory and institutional barriers in the public sector, and fostering stakeholder engagement for enhanced technology acceptance. It advocates for continuous monitoring and evaluation frameworks to adapt e-procurement systems to evolving organizational needs and technological advancements. Future research is suggested to explore longitudinal impacts of e-procurement implementation on organizational performance and to assess emerging disruptive technologies in procurement practices.