Effect of Sustainable Procurement Practices on Performance of Construction Projects in Homa Bay County, Kenya

The construction sector plays a central role in national development through infrastructure delivery and job creation, yet it is persistently challenged by cost overruns and procurement inefficiencies. This study investigates the effect of sustainable procurement practices, specifically cost management on the performance of public construction projects in Homa Bay County, Kenya. Guided by the Dynamic Capability Theory, the study conceptualizes cost management as a strategic procurement function involving cost-saving strategies, resource utilization, life cycle cost analysis, and value engineering. A descriptive survey design was adopted, targeting 189 participants. Data were collected using structured questionnaires and analyzed through descriptive statistics and multiple linear regression using SPSS. Results revealed that all four cost management practices had a significant and positive influence on project performance indicators such as budget compliance, timely delivery, quality, and stakeholder satisfaction. Cost-saving strategies had the greatest influence (β = 0.184, p < 0.001), followed by life cycle cost analysis (β = 0.174), value engineering (β = 0.151), and resource utilization (β = 0.144). The regression model accounted for 53.3% of the variance in project performance. These findings affirm that sustainable procurement, through effective cost management, enhances the efficiency and accountability of publicly funded construction projects. The study concludes that integrating cost management into procurement functions fosters adaptive institutional capabilities, supporting the realization of sustainable infrastructure outcomes. It recommends capacity building for procurement officers and institutional reforms that embed strategic cost tools in construction management. The findings contribute to procurement policy and project governance under Kenya’s devolved system.

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Publication Details

Journal
Open Journal of Business and Management
Published
2025-01-01
DOI
https://doi.org/10.4236/ojbm.2025.135164
Primary Topic
Public Procurement and Policy
Type
article
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article

Effect of Sustainable Procurement Practices on Performance of Construction Projects in Homa Bay County, Kenya

Stephen Okelo Lucas, Simon Nyakwara, Robert Okello Kongere
Open Journal of Business and Management
Public Procurement and Policy
article

Effect of Sustainable Procurement Practices on Performance of Construction Projects in Homa Bay County, Kenya

Stephen Okelo Lucas, Simon Nyakwara, Robert Okello Kongere
article en

Abstract

The construction sector plays a central role in national development through infrastructure delivery and job creation, yet it is persistently challenged by cost overruns and procurement inefficiencies. This study investigates the effect of sustainable procurement practices, specifically cost management on the performance of public construction projects in Homa Bay County, Kenya. Guided by the Dynamic Capability Theory, the study conceptualizes cost management as a strategic procurement function involving cost-saving strategies, resource utilization, life cycle cost analysis, and value engineering. A descriptive survey design was adopted, targeting 189 participants. Data were collected using structured questionnaires and analyzed through descriptive statistics and multiple linear regression using SPSS. Results revealed that all four cost management practices had a significant and positive influence on project performance indicators such as budget compliance, timely delivery, quality, and stakeholder satisfaction. Cost-saving strategies had the greatest influence (β = 0.184, p < 0.001), followed by life cycle cost analysis (β = 0.174), value engineering (β = 0.151), and resource utilization (β = 0.144). The regression model accounted for 53.3% of the variance in project performance. These findings affirm that sustainable procurement, through effective cost management, enhances the efficiency and accountability of publicly funded construction projects. The study concludes that integrating cost management into procurement functions fosters adaptive institutional capabilities, supporting the realization of sustainable infrastructure outcomes. It recommends capacity building for procurement officers and institutional reforms that embed strategic cost tools in construction management. The findings contribute to procurement policy and project governance under Kenya’s devolved system.

Open Journal of Business and ManagementVol. 13(05)
Monterey Bay Aquarium Foundation (US)
Openalex Percentile: Top 67%
Public Procurement and Policy
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Effect of Sustainable Procurement Practices on Performance of Construction Projects in Homa Bay County, Kenya — Stephen Okelo Lucas, Simon Nyakwara, et al. · Open Journal of Business and Management (2025) | TGRS Research Map | TGRS