Author: 1Makafui R. A. Ackah
1Accra Polytechnic, School of Business, Department of Purchasing & Supply
Abstract
This research investigates the impact of modern procurement practices on organizational transactions. As an introduction, it defines the concept of information and communications technology (ICT), sustainability or green procurement, ethical purchasing practice, code of conduct and corporate social responsibility and how manufacturing companies such as Volta Aluminum Company (VALCO) can integrates manufacturing operations, purchasing, transportation and logistics plans, strategies into a unified action to enhance the link between customer and supplier and other value chain partners such as stakeholders, shareholder and achieve customer satisfaction. First it establishes a general view of connotations made by different researchers with respect to modern procurement practices. In this study, we will address and eliminate the various procurement misalignments such as corruption, bribery, inducement, fraud, theft, pilfering, favoritism, partialities, errors, misunderstandings, unnecessary cost, delays and unethical issues which leads to poor procurement practice within the supply chain management and an organization as a whole. To ensure flexibility, fairness, accountability, transparency, value for money, wealth creation and unique procurement process in the procurement environment or landmark, the practices of sustainable procurement, ethical procurement practices, code of conduct and corporate social responsibility must be considered and the relationship between supply chain players, such as suppliers, customers and focal firms or buyers has been investigated to reveal the degree of impact of modern procurement practices on organizational transactions. An individual opinion of Volta Aluminium Company concerning modern procurement practices has been analyzed to obtain personal data on the subject of (The impact of modern procurement practices on organizational transactions). This study details the results of a questionnaire survey of modern procurement practices applied to Volta Aluminium Company randomly selected among the numerous manufacturing industries in the country. From the results obtained, some solutions were proposed for the effective use of modern procurement practices for optimum organizational performance as well as emphasizing on some crucial points preventing the achievement of optimum efficiency and productivity in the secondary sector.
Keywords: Modern Purchasing Practice, Procurement Practices, Procurement Ethics
