FINANCIAL PLANNING ON EFFICIENT PROCUREMENT: AN EMPIRICAL INVESTIGATION OF SELECTED ORGANIZATIONS

AbstractThis study examines the impact of financial planning on procurement efficiency in selected organizations across multiple sectors, including manufacturing, healthcare, and the public sector. The research highlights the integration of budgeting, financial planning, and procurement strategies to optimize resource allocation, control costs, and enhance supplier relationships. Utilizing a quantitative research methodology, structured surveys and questionnaires were distributed to procurement professionals to gather insights into financial practices such as formal budgeting, the use of financial tools, and zero-based budgeting (ZBB). The findings reveal a strong correlation between financial planning and procurement efficiency, with zero-based budgeting (ZBB) playing a critical role in strategic procurement decision-making. Based on these findings, the study offers practical recommendations, including the adoption of ZBB to improve cost control, leveraging financial planning tools such as ERP systems for better procurement management, fostering cross-functional collaboration between finance and procurement teams, and regularly reviewing procurement budgets to adapt to market conditions. These recommendations aim to enhance procurement efficiency, cost savings, and resource utilization across both public and private sectors, contributing to long-term financial stability and improved procurement outcomes..Keywords: financial planning, procurement efficiency, zero-based budgeting, resource allocation, budgeting strategies