Comparative Analysis of Sustainable Procurement Practices in Public and Private Sectors

Thesis Abstract

In the quest to advance sustainable development, organizations across both public and private sectors are increasingly integrating sustainability principles into their procurement processes, yet differences in practices and outcomes remain underexplored. This study addresses the persistent gap in understanding how sustainable procurement is conceptualized, implemented, and evaluated across these sectors, with particular focus on identifying factors that influence adoption and execution of sustainability criteria. The primary aim is to conduct a comparative analysis of sustainable procurement practices between public and private organizations, with specific objectives to examine the extent of sustainability integration, assess the key drivers and barriers, and evaluate the impact of institutional policies and organizational culture on procurement outcomes. Employing a cross-sectional research design, the study was conducted within a metropolitan region encompassing a total population of 450 organizations, including 150 public agencies and 300 private firms across construction, manufacturing, and service sectors. A stratified random sampling technique was used to select 120 organizations, proportionally representing public and private entities, resulting in a sample size of 60 public and 60 private organizations. Data collection was facilitated through a structured questionnaire complemented by semi-structured interview guides, designed to capture quantitative and qualitative insights into procurement practices, policy frameworks, and perceived sustainability performance. Validity and reliability measures were ensured via pilot testing and Cronbach’s alpha coefficient, which exceeded the threshold of 0.7. Data analysis employed descriptive statistics to profile organizational practices and inferential techniques, including t-tests and ANOVA, to identify significant differences between sectors, and multiple regression analysis to ascertain the influence of organizational and contextual factors on sustainable procurement outcomes. Additionally, thematic analysis was applied to interview transcripts to explore underlying motivations, challenges, and strategic responses. The study is anchored in the stakeholder theory, emphasizing balancing multiple interests in procurement decisions, and the Institutional Theory, which explains sectoral differences through normative and regulative pressures influencing procurement policies. The anticipated findings suggest that while both sectors demonstrate increasing engagement with sustainability principles, implementation levels and focus areas vary significantly. Public organizations are expected to show higher compliance with regulatory standards and formalized policies, whereas private firms may prioritize cost-effectiveness and competitive advantage. Key drivers such as regulatory mandates, stakeholder engagement, and corporate reputation are postulated to significantly influence practices, though barriers including resource constraints, lack of expertise, and inconsistent policy enforcement may impede progress. The analysis is expected to reveal that organizational culture and leadership commitment are critical determinants of successful sustainable procurement, with sector-specific nuances shaping strategic priorities. This research will contribute to the theoretical understanding of sectoral differences in sustainable procurement by integrating multiple models and perspectives, filling notable gaps in empirical evidence, and providing a comprehensive framework for policymakers and practitioners. It will establish an evidence-based basis for developing targeted interventions, policies, and capacity-building initiatives aimed at harmonizing sustainable procurement practices across sectors. The main conclusion underscores the necessity for sector-specific strategies that leverage institutional strengths and address unique challenges. Based on these insights, the study recommends enhanced regulatory enforcement, increased capacity-building programs, and the integration of sustainability metrics into procurement evaluation systems. Further research should explore longitudinal impacts, stakeholder perceptions in greater depth, and the role of emerging technologies in fostering sustainable procurement transformation. Overall, this study aims to advance academic discourse and practical implementation of sustainability principles, promoting more cohesive and effective procurement strategies that align with global sustainable development objectives.