The contribution of spend analysis to effective strategic procurement for sustainable business practices
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Date
2026-04-28
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Uganda Christian University
Abstract
This paper has explored the importance of spend analysis in enhancing strategic procurement
decision making. To sustainable business practices within the Ugandan organizations. The
primary goals were to: (1) study the benefits of spend analysis in improving strategic and
sustainable procurement decisions; (2) study. The obstacles which curtail successful application
of spend analysis; and (3) measure it’s. Add value to cost efficiency and sustainability
effectiveness. The research design involved a descriptive research design and used both
quantitative and qualitative. Methods. The respondents were procurement officers and
procurement (there were 109 respondents altogether). through questionnaires and interviews,
managers, accountants and stores officers. Quantitative data were evaluated by the use of
Statistical Package of Social Sciences (SPSS) and qualitative. thematic interpretation of
responses was done to justify and explain the findings. The results indicated that the use of spend
analysis remains minimal.
The majority of organizations do not. Periodically check procurement spending and use manual
or semi-digital monitoring. Difficulties like poor analytical abilities, missing or incomplete data,
absence of digital resources, spend analysis is impeded by budget constraints, and lack of proper
management support. Irrespective of these hurdles, spend analysis is moderately effective in cost
optimization in procurement. By finding cost-saving opportunities, minimizing wasteful
expenditure and assisting in. supplier contract negotiations.
It has an effect on sustainability performance, though. Relatively low, because sustainability
considerations are not incorporated in procurement considerations in full. The conclusion of the
paper is that. Spend analysis is a valuable strategic and sustainable procurement tool, yet it
requires well. Skilled people, quality data, good ICT networks, sufficient. finance and good
management. Back-up. It proposes the investment in digital tools, staff training and increased
leadership engagement to harness all spend analysis to achieve cost efficiency and sustainable
procurement practices.
Keywords: Strategic Procurement, Spend Analysis, Cost Optimization, Uganda, Sustainability.
Description
Undergraduate