Strategic public procurement regulatory compliance model with mediating effect of ethical behavior

Abstract

The paper proposes and validates the strategic public procurement regulatory compliance model with mediation effect of ethical behavior. It expands the socio-economic theory of regulatory compliance to explore the mediating effect of ethical behavior on the influence of professionalism, familiarity, enforcement, resistance to political pressure and compliance with public procurement regulation. A quantitative research design was deployed using 125 procurement officers as a sample group. The data from the sample was analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results validated the hypotheses for the strategic public procurement regulatory compliance model with mediation effect of ethical behavior. The study not only confirmed the earlier findings on the direct effects of professionalism, familiarity, enforcement, resistance to political pressure and ethical behavior on compliance, but also established the mediating effect of ethical behavior on compliance on all the predictors except resistance to political pressure. The study implied that ethical behavior of public procurement officers should be a strategic point of concern by both policymakers and professional bodies. Theoretically, the studyexpands thesocio-economic theory of regulatory compliance within the context of procurement literature through mediation effects of ethical behavior via structural analysis.

Procurement planning as a strategic tool for public procurement effectiveness: Experience from selected public procuring entities in Dodoma city, Tanzania

“…There are other areas of procurement that require regulatory compliance in general, but compliance of procurement laws and regulations is an area of interest. Studies centred on the compliance of procurement laws and regulations including but not limited to Eyaa and Oluka (2011), Mwelu et al (2018, 2020), Osei-Tutu et al (2011), Pastory (2019), Sarawa and Mas’ud (2020). This is because procurement regulatory compliance enhances the performance of procurement in procuring entities (Athumani and Minja, 2017).…”

Technological Approach to Ensure Ethical Procurement Management

“…Regulatory compliance to public procurement is largely dependent on ethical behaviour where ethics is a pre-requisite for reducing non-compliance. Sarawa and Mas'ud [35] developed a mediation model that identifies four determinants that impacts on public procurement regulatory compliance. The first determinant being 'professionalism' is closely related to cognitive development of an individual whereby training and professional development will manifest itself through moral obligation [ethical behaviour] which will ultimately direct an individual to comply with public procurement regulations.…”

“…The second determinant for compliance is 'familiarity' which can be achieved through on the job learning and reading of procurement regulations. According to Sarawa and Mas'ud [35] the third determinant, enforcement' "will make public procurement officers behave ethically and consequently comply with public procurement regulations." The fourth and last determinant is 'resistance to political pressure' .…”

“…They are of the opinion that public procurement officers should evaluate the legitimacy of instructions from powerful forces and resist any pressure towards violation. Persistent ethical behaviour will eventually ensure compliance with prescribed regulations [35].…”

Percepatan Penanganan Covid-19 Di Bali: Konteks Pluralisme Hukum

“…Senada dengan hal tersebut, sebagai upaya untuk percepatan penanganan Covid-19 di Bali, Desa Adat melalui Pararem dapat menerapkan sanksi adat bagi masyarakat di Desa Adat. Hal ini senada dengan teori Regulatory Compliance yang dikemukakan oleh Sutinen dan Kuperan (Sarawa & Mas' ud, 2020). Merujuk pada teori ini, kepatuhan masyarakat pada hukum dipengaruhi oleh berbagai faktor, antara lain faktor psikologi dan faktor sosiologi dari masyarakat itu sendiri (Sarawa & Mas' ud, 2020).…”