ENHANCING PROCUREMENT PERFORMANCE IN HUMANITARIAN ORGANIZATIONS: THE ROLE OF INFORMATION INTEGRATION, INTERNAL CONTROLS, AND STANDARDIZED PROCEDURES

Abstract

Objective: Relief efforts often allocate over 65% of their costs to the procurement of goods and services, posing a significant challenge for humanitarian organizations (HOs). This study examines how material and purchasing procedure standardization, procurement internal controls, and information integration influence procurement performance.

Methodology: Data from 170 HOs were analyzed using structural equation modeling (SEM) with partial least squares (PLS) and multigroup analysis to test the proposed relationships.

Results: Findings indicate that the relationship between information integration and procurement performance is fully mediated by procurement internal controls and the standardization of materials and purchasing procedures.

Implications for Future Research: The study focuses solely on humanitarian organizations. Given the long-term nature of procurement projects, understanding the sustained effects of information integration, internal controls, and standardization on procurement performance remains challenging. Future longitudinal research will depend on available funding.

Implications for Practice: Managers can enhance procurement performance by standardizing materials and purchasing procedures and by integrating information within existing internal control frameworks.

Originality: The study demonstrates that in humanitarian contexts, systematic improvements in procurement performance can be achieved through the combined effect of standardization and information integration within procurement controls.