Student Name: Santosh Kumar Acharya Reference

Number: IIBMS-A1096-DM99

Student Name: Santosh Kumar Acharya

Reference Number: IIBMS-A1096-DM99
Course: Doctorate in Management
Studies [DMS]

Proposed Topic:
Procurement Management – Unique
roles of the materials in construction -
An impact of motivational strategies on
Procurement personnel and
organizational performance in the
Doctorate in Management Studies [DMS]
Procurement Management
 Student Name: Santosh Kumar Acharya Reference
Number: IIBMS-A1096-DM99

construction industry: Evidence from

worldwide Construction Companies.
Abstract of the topic/Summary
“Procurement Management”, the important need of any construction
projects is to complete it within the estimated cost and duration with the
desired quality of project. The procurement managers have to keep eye on
number of aspects of construction project like planning of the project,
scheduling, estimation of the project, etc.
Nowadays, it is essential to increase the productivity of the construction work
as the competition in the era is increasing like anything. Hence it is important
to emphasize on the patronized factors like material management, lead time
analysis, procurement management, waste management etc. The project
work emphasizes the activities of procurement process. It has aim to select
the best route for procurement management so as to optimize cost, duration
& quality for the construction project and also to find out the improved ways
of procurement management & advanced techniques which can be applied in
the project management.
The present conditions of vigorous competition in the construction sector give
birth to the use of software in the construction work. Also, as the software
plays an important role to reduce time required for work like planning,
estimation, scheduling etc. and also reduces errors in it. The software like
Microsoft Project (MSP), Primavera and Enterprise Resource Planning (ERP)
help in planning and scheduling of the construction project. The project also
aims towards the dependency of the working of construction sites on software
and to find the ways to increase the user friendliness of software. The survey
based on the discussion and fill questionnaire form from purchase manager
has been carried out.
Civil engineering projects routinely require procurements of materials,
machines and services. Projects need materials, equipment, consultants,
training, and many other goods and services. Procurement planning
determines whether to procure, what to procure, how to procure, when to
procure, etc. Procurement is the acquisition of goods, services or works from
an outside external source. It is favorable that the goods, services or works
are appropriate and that they are procured at the best possible cost to meet
the needs of the acquirer in terms of quality, quantity, time and location. It
generally involves making buying decisions under conditions of scarcity. If
good data is available, it is good practice to make use of economic analysis
methods such as cost-benefit analysis or cost-utility analysis.
Doctorate in Management Studies [DMS]
Procurement Management
 Student Name: Santosh Kumar Acharya Reference
Number: IIBMS-A1096-DM99

Procurement manager should have an appropriate construction procurement

method to balance the project variables and to distribute risks in procurement
activities. Also one has to consider the vital importance of the use of software
in project planning so as to get best results for strategic and timely
procurement of the goods and services required. The procurement manager
has to depend on the data to be received from planning, scheduling and
estimation department; to start the actual Procurement process. Efficient
procurement planning saves time and cost in later stages of the project, to
deliver better design and reduce waste and also ensures that client’s
requirements.
Upcoming technologies are always designed to increase the productivity of
the work and decrease the human efforts. The use of software in any case is
based on the same principle i.e. to reduce time required to analyze data,
implement it and calculate the results and to increase the efficiency of the
work to be done.
In this way, in project management the use of software like Enterprise
Resource Planning, Microsoft Project, Primavera etc. helps a lot to carry out
the project with maximum productivity in less time. Basically, ERP analysis
allows us improvement in information sharing improved transparency of
management responsibilities and also the efficiency of management.
The optimization of component and process costs - which typically amount to
80% -85% of the cost of a project - should be approached from target costing,
supported by value management, to determine the real requirement.
The key objective of procurement management is to offer better underlying
value to a client than the competition. The Procurement Management system
obtain the foremost role of a construction organization of repute. The person,
playing the dynamic role should have the basic fundamental knowledge of the
procurement management as well as the impact in the entire system.
Motivation is the single most imperative constituent in the performance of
employees in the organization since it is an iterative process that has a direct
spell on the needs of individual employees. It directs an individual towards
achieving a predetermined goal.
Success is not a destination, but it is a process towards the same. Any human
being provided with the right atmosphere and right resources capable of doing
wonders.
On this topic, the researcher will assess the effect that motivation has on the
performance of not only individual employees but also on the overall
performance of the Procurement personnel of the various construction
organizations of repute.
Doctorate in Management Studies [DMS]
Procurement Management
 Student Name: Santosh Kumar Acharya Reference
Number: IIBMS-A1096-DM99

The study will also focus on the Key personal actions are to be proactive, less
adversarial, and to learn from others. Neither partnering nor procurement
management are easy. The parties do not need to be good friends, however.
Relationships need to be fair but firm, based on a team approach which
involves regular contact and mutual respect. Learning to work in this way is
new for most construction professionals. Developing successful procurement
system will therefore be difficult and take time but the rewards will be
worthwhile of construction organizations.
The researcher shall use self-administered questionnaires to collect the
required primary data while the descriptive statistical analysis technique will
be employed to obtain useful summary of responses from the respondents.
Right Vendor, Right price, Right Qty. Right Quality in Right time is Right
sources tool is to be used to fulfil the requirements of the construction project
site.
Why this topic?
The Procurement Management system are playing vital role in the
construction industries. Moreover 80% - 85% of the project value routed
through materials. Right Vendor, Right price, Right Qty. Right Quality in Right
time is Right sources. Proper uninterrupted supply of the materials to the
construction project sites can enhance the productivity as well as the less
idling of the Man & Machine. Its impact to the organization a lot.
To improve all the activities in procurement of materials and provision of the
required services, the strategic planning of all becomes the task of highest
priority of the productivity of the construction work. Project procurement
management is the process of purchasing the products necessary for meeting
the needs of the project scope. Procurement management involves planning,
soliciting sources, choosing a source, administering the contract, and closing
out the contract. Assuming that goods or services are to be procured, then all
the processes referred to would be performed on all goods or services
required.
Lack of proper knowledge on the materials and the system, can harmful to the
construction projects as well to the organization. Time to time training to be
given for the unique role to have better control on the assigned work activities
and the system.
Procurement management is still underdeveloped area and is still developing
within developing countries. According to the current scenarios of
procurement management, main serious problems affecting the quality of the
project are: poor remuneration, lack of effective systems techniques and
operating procedures, lack of specialist procurement staff, poor focus by
Doctorate in Management Studies [DMS]
Procurement Management
 Student Name: Santosh Kumar Acharya Reference
Number: IIBMS-A1096-DM99

management on cost controls, self-interests and lack of integrity, lack of

professional development in the area of procurement management.
It is a prime importance of any construction site to complete project within
time without compromising quality and cost. To achieve this, a strategic
procurement management is necessary. As each parameters of the
construction project such as tendering, lead time, planning, inventory control
etc. have certain effect on the procurement, the procurement manager try to
improve the routes of management so as to get maximum productivity from
each activity.
Retaining motivated staff gives a competitive advantage and benefits to the
construction project site and also reduces the cost of recruitment and training.
There is evidence to show that commercial construction projects are facing
challenges in retaining performing employees because of weak motivation
and retention strategies. It doesn’t appear things will get any better in the
future.
In traditional procurement the companies may only be linked by contracts that
have been procured on lowest price against fixed specifications. The supplier
is asked to deliver the specified product or service as cheaply as possible.
There is no motivation to work in the client’s interest. In some cases the
Procurement is not even linked by contract.
Modern procurement methods are moving to the appointment of integrated
Procurement where the parties in the Procurement have a long-term objective
to work together to deliver added value to the client. These long-term
relationships enable the power of procurement management to be fully
realised.
The benefits for individual companies in the Procurement include reduced real
costs with margins maintenance, incentive to remove waste from the process,
greater certainty of out-turn costs, delivery of better underlying value to the
client, more repeat business with key clients and greater confidence in longer-
term planning.
The benefits for end-users and project clients include a more responsive
industry delivering facilities that better meet user needs, delivered to time
and cost with minimum defects. This in turn creates higher customer
satisfaction levels and an improved reputation for the industry.
Evaluate and compare potential first tier suppliers’ strengths and capabilities
in the areas of the strength of the existing relationship, technical capability
and reputation, design capability and innovation record, size and market
position and management style.

Doctorate in Management Studies [DMS]

Procurement Management
 Student Name: Santosh Kumar Acharya Reference
Number: IIBMS-A1096-DM99

The employees in the construction project Procurement dept, face problems of

feeling demotivated and overworked. The main objectives will be to establish
the effect of employee, especially in construction project site, to identify the
methods and core knowledge used to organize the assigned work activities
and lastly to evaluate the effect of training and development on employee
productivity in the construction project site Procurement management
system.
Digitalization of the various work method to be adopted to save the time as
well as the materials accountability. Which can lead the project site in a
systematic manner for the timely completion.
Being I have been serving more than 22 years in this core field, I have
observed so many lacunas between the knowledge of the Procurement
personnel and the actual system. Lack of proper knowledge can harm the
individual as well as to the organization. Proper advance materials planning is
highly appreciated for the uninterrupted supply and timely completion of the
project site.
Ipso facto, I have chosen such topic to have better innovative ideas and
system to have better control on the materials supply to the construction
project site. It will help me individually as well as to my colleagues to run the
entire project Procurement management system in a smooth manner. It’s all
about “Make Things Happen”.

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Doctorate in Management Studies [DMS]

Procurement Management