Tag Archives: Cost Reduction

The Benefits of the House-Form of Earth Building in Nigeria. Surveying Of Origbo in Ife-North of Osun State (Published)

Cultural heritage produces its own pattern of house-form, which is a reflection of history, chosen style and culture of its people. This paper focused on the pattern and the underlying factors of house-forms of rural development in the region of south western of Nigeria. Rural communities of Origbo in Ife-North Local Government were surveyed, scores on selected traditional building were used to ascertain pattern of house-form. More specifically the relationship between house-form and socio-cultural heritage were investigated to establish the significance of house-form pattern and cultural value. The potential benefits derived from the house-form pattern were identified. They include reliance on local materials for building construction, provision of affordable housing at reduced cost and simple construction techniques. The quest of this paper was what kind of traditional house-form value that should be preserved to enrich current new housing development.

Keywords: Affordable Housing, Cost Reduction, Culture, House-Form, Traditional Material

Procurement Cost Reduction Strategy: Impact on E-Procurement Performance of State Parastatals in Kenya (Published)

The objective of the study was to investigate the role of procurement cost reduction strategy on e-procurement performance of state Parastatals in Kenya. In doing this, the study adopted the transaction cost theory of (Bakker et al, 2008). The theory explains how the use of information technology (IT) has facilitated the reduction of coordination costs. The study used a cross-sectional survey research design. Both qualitative and quantitative research methodologies were used in the study. The population of this study comprised of the ICT and Procurement managers at all the 190 state parastatals in Kenya comprising of a total of 380 respondents. Since the population was highly heterogeneous, a cluster sampling was used to select 380 respondents from 190 state parastatals. Primary data was collected using a questionnaire covering the role of E-procurement in state corporation performance. The questionnaire contained both structured and unstructured questions. Secondary data was gathered from existing credible and recognized source. Quantitative data was analyzed by employing descriptive statistics and inferential analysis using statistical package for social science (SPSS) together with simple graphics analysis, descriptive statistics form the basis of virtually every quantitative analysis to data). Correlation analysis was used to establish the relationship between the independent and dependent variables. The positive (H1) hypothesis testing was done at 5% level of significance and SPSS was used for this purpose. The data was then presented using frequency distribution tables, bar charts and pie charts for easier understanding. Procurement performance in the state parastatals was regressed against the variable of the role cost reduction. The study established that, procurement cost reduction strategy had greater influence on e-procurement performance in state parastatals in Kenya.  It also revealed that, procurement cost reduction strategy has a direct relationship with e-procurement strategy and finally improving the e-procurement performance of state parastatals in Kenya. The study recommended holding of the key success for delivering cost effective services hence e-procurement performance. And also, target cost contracting (TCC), to be accompanied by a gain-share/pain share arrangement serving as a cost incentive mechanism in state parastatals in Kenya. In line with this state corporation must view the embracement of e-procurement as a tool that will support procurement cost and processes as it generally contributes partner relationships, information sharing, and supply chain integrations as e-procurement contributes to supply chain performance. 

Keywords: Cost Reduction, E-Procurement Performance

Evaluation of Mechanization in Building Production as a Way of Cost Reduction a Study of Some Construction Sites in Enugu South Local Government Area (Published)

Motivated by the need for an empirical evidence to convince local builders in Enugu south of the benefits of adopting mechanization in building production, this study evaluated the place of mechanization in building production. Survey design was adopted involving field survey, questionnaire survey and personal interviews of some registered professionals in building; civil, structural and mechanical engineers; architects; and surveyors. In verifying the impact of mechanization against voted contract sum in the bill of works, a site where activities in excavation and concrete works were mechanized was selected for case study. From the result of the analyses, it was found that the use of plants can bring about 25-35% reduction in cost of labour in excavation and concrete works where a great deal of resources usually goes down in building production. Sequel to the above findings, the study recommended the use of plants and other forms of mechanization should be explored as excellent alternatives to the use of manual labour, especially when the project is a large one. Also that contractors wanting to venture into mechanization should first consider a variety of alternatives available to them and endeavor to embark on a feasibility study and possibly a thorough cost-benefit analysis before the decision to employ mechanization is made.

Keywords: Building Production, Construction Sites, Cost Reduction, Enugu South, Local Government Area, Mechanization

Role of Strategic Sourcing On Public Procurement Performance in Kenya (Published)

The aim of strategic sourcing is to achieve large and sustainable cost reductions, long-term supply stability and minimization of supply risk. The purpose of this paper is to critically analyze the role of strategic sourcing on procurement performance in public institutions in Kenya. It has been noted that there is ineffective and non-reliable procurement procedures in public sector in Kenya, this can be attributed by the fact the there is no strategic considerations. This paper will focus on the following concepts supply management, role of IT, outsourcing and multiple sourcing strategies on procurement functions. It involved conducting a systematic review of literature papers in the field of strategic sourcing and procurement by means of content analysis to draw conclusion and recommendations. In conclusion, strategic sourcing increases an organization’s buying power to maximize the leverage it has with suppliers for the purposes of reducing cost, enhancing quality and improving supplier diversity.

Keywords: Cost Reduction, Performance, Public Procurement, Strategic Sourcing, Sustainable