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Ways to improve the project management efficiency in a centralized public procurement system: A structural equation modeling approach

Yang Wang (School of Civil Engineering, Wuhan University, Wuhan, China)
Jing Liu (School of Civil Engineering, Wuhan University, Wuhan, China)
Jian Zuo (School of Architecture and Built Environment, The University of Adelaide, Adelaide, Australia)
Raufdeen Rameezdeen (School of Natural and Built Environments, University of South Australia, Adelaide, Australia)

Engineering, Construction and Architectural Management

ISSN: 0969-9988

Article publication date: 30 August 2019

Abstract

Purpose

The purpose of this paper is to investigate driving factors that improve the project management efficiency (PME) in centralized public procurement systems.

Design/methodology/approach

Employees in four public-sector organizations in China were surveyed. The structural equation modeling was employed to examine the relationship amongst those variables.

Findings

Organizational culture (OC) is an effective method to improve PME, and employee quality is the most critical factor of OC in this system. Job satisfaction (JS) is another significant contributor to PME and satisfaction with fairness of salary in this system being the key factor of JS. Job analysis (JA) has indirect influence on PME through JS and OC, whereas the job structure in this system is the most critical factor for JA.

Practical implications

An operational way to improve PME is to implement it from the perspectives of employee, organization and technique. At the organizational level, it is imperative to strengthen the OC by a well-structured recruitment system and to improve PME via well-design training. At the person level, both financial (i.e. income and welfare) and career incentives (i.e. promotion opportunities and a sense of belonging) are proposed to achieve employees’ JS to improve PME. At the technique level, JA approach (i.e. job rotation) is recommended to enlarge the positive influence of OC and JS on PME. These can not only ensure the management professionalism in a centralized public procurement system but can also motivate employees and maximize PME.

Originality/value

PME in a centralized public procurement system will be improved by addressing these key factors and their interrelationships. This provides detailed pathways for the centralized public procurement system to achieve better PME via optimal OC and JS and reasonable JA in China. In addition, the institutional and administrative traditions may vary significantly across cities, regions and countries. Therefore, such contextual differences should be taken into consideration for the improvement of PME in a centralized public procurement system.

Keywords

Acknowledgements

The research was sponsored by National Natural Science Foundation of China (Grant No. 71373190).

Citation

Wang, Y., Liu, J., Zuo, J. and Rameezdeen, R. (2019), "Ways to improve the project management efficiency in a centralized public procurement system: A structural equation modeling approach", Engineering, Construction and Architectural Management, Vol. 27 No. 1, pp. 168-185. https://doi.org/10.1108/ECAM-12-2018-0560

Publisher

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Emerald Publishing Limited

Copyright © 2019, Emerald Publishing Limited