The legal regime and the compliance façade in public procurement in Ghana

Abstract

PurposeThe extant literature posits several claims about the equitable resources allocation through compliance in public procurement management. Notwithstanding, there are hardly any empirical studies that explore the link between the causes and extent of compliance on one hand and value for money (VfM) on the other hand. The purpose of this paper is to investigate the efficacy of public procurement laws in ensuring VfM in a developing country context.Design/methodology/approachThe study employs a qualitative case study approach involving three local government agencies in Ghana. Purposive and stratified random sampling strategies were used in selecting respondents who were interviewed through focused group discussions, semi-structured and open-ended questionnaires. The study utilizes an interpretivist/constructivist paradigm which allows for the co-creation of knowledge and subjectivity in knowledge acquisition.FindingsThe study finds that the presence of a legal and regulatory framework does not ipso facto guarantee compliance and VfM. Additionally, a possible reason why even reported cases of compliance do not translate into VfM is that evidence of compliance, especially in a developing country setting, is often a façade.Practical implicationsPublic procurement entities in developing countries stand little chance of achieving accountability and VfM gains if they continue to rely on compliance as a micro-management tool.Originality/valueThe paper challenges the dominant assumptions in the public procurement management discourse by drawing attention to the quality of reported compliance and its implication for VfM.