PROCUREMENT OUTSOURCING STRATEGIES AND SUSTAINABILITY OF INDIGENOUS OIL AND GAS COMPANIES IN SOUTH/SOUTH NIGERIA

Akinrinlola, O. E.

Department of Business Administration, Faculty of Administration and Management, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt, Nigeria.

Email: phemmy247@yahoo.com

and

Hamilton, D. I.  

Department of Business Administration, Faculty of Administration and Management, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt, Nigeria.

ABSTRACT

The study examined the relationship between procurement outsourcing and sustainability of indigenous oil and gas companies in South/South, Nigeria. The aims were discovering the link between procurement outsourcing and sustainability. The correlation design was used in the study. An organized survey was used to collect primary data. Using the census sample approach, the study’s population comprised the 33 operational and registered indigenous oil and gas businesses in South and South Nigeria, comprising five managers in each of the 33 enterprises. Outsourcing and a sustainability questionnaire were used to gather data. Supervisors’ approval and screening of the research instrument validated it, and the Cronbach Alpha coefficient was used to determine the instrument’s dependability, with all of the items scoring higher than 0.70. The analysis revealed strong and positive relationships between procurement outsourcing and all three dimensions of sustainability. The findings indicate that firms leveraging procurement outsourcing are better positioned to improve their operational processes, enhance cost-effectiveness, foster innovation, and strengthen compliance with local content expectations, all of which contribute to long-term organizational sustainability. The study concludes that procurement outsourcing serves as a strategic approach that enhances the sustainability profile of indigenous oil and gas companies. The study recommends the adoption of environmentally conscious procurement outsourcing practices that promote resource efficiency and ecological responsibility and the implementation of inclusive procurement strategies that engage local suppliers, promote workforce development, and reinforce corporate social responsibility to support social sustainability.

Keywords: Economic Sustainability, Environmental Sustainability, Procurement Outsourcing, Social Sustainability, Organisational Sustainability


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *