V3I6P74

Effect of E-Procurement Systems on Performance Levels of Selected Agencies in Akure, Ondo State, Nigeria

Adebiyi T. A.^1*, Omonori, A.O.²

Abstract

Digital procurement systems have increasingly been positioned as strategic mechanisms for improving transparency, efficiency, and service delivery within public sector agencies. However, empirical evidence on the specific pathways through which e-procurement system dimensions affect organizational performance levels in Nigerian subnational contexts remains limited. This study examined the effect of e-procurement systems on performance levels of selected public agencies in Akure, Ondo State, Nigeria. Five independent dimensions of e-procurement system effectiveness were examined: adoption level, system quality, feature utilisation, staff training, and integration level. Performance levels were operationalized through a composite of four dimensions: transparency, user satisfaction, service delivery, and operational efficiency. Using a quantitative descriptive-correlational research design, structured questionnaires were administered to 234 respondents drawn from seven purposively selected public agencies in Akure Metropolis, of which 211 valid responses were retained (90.2% response rate). Data were analysed using descriptive statistics, Pearson Product-Moment Correlation, multiple linear regression with heteroskedasticity consistent (HC) robust standard errors, and comprehensive diagnostic tests in SPSS version 27. The Pearson correlation between the composite e-procurement index and performance levels was r = 0.782 (p < 0.001), confirming a strong positive relationship. Multiple regression results revealed that the full model explained 74.1% of variance in performance levels (Adjusted R² = 0.735; F(5,205) = 117.84; p < 0.001). All five e-procurement dimensions were significant independent predictors: Adoption Level (β = 0.284, p < 0.001), System Quality (β = 0.198, p = 0.002), Feature Utilisation (β = 0.173, p = 0.005), Staff Training (β = 0.149, p = 0.021), and Integration Level (β = 0.212, p < 0.001). All five null hypotheses were rejected. Results were robust to bootstrapping, VIF multicollinearity diagnostics, Ramsey RESET functional form tests, and sub-sample validation. The study concludes that integrated, well-trained, and comprehensively utilized e-procurement systems significantly enhance organizational performance in Nigerian public agencies, with adoption level and integration serving as the strongest performance drivers. Practical recommendations are provided for procurement policy, digital infrastructure investment, and capacity building in Ondo State.

Keywords:

E-Procurement Systems, Performance Levels, Adoption Level, System Quality