EFFECT OF RISK MANAGEMENT STRATEGIES ON PROCUREMENT PERFORMANCE IN FEDERAL MEDICAL CENTRE MAKURDI, BENUE STATE

Abstract

The paper examined the effect of Risk Management Strategies on Procurement Performance in the Federal Medical Center (FMC) Makurdi, Benue State. A cross-sectional survey research design was adopted, with a target population of 361 employees of the hospital. Census technique was adopted and purposive sampling was used to select the sample size from among top management staff, procurement unit, account and finance and internal audit departments of FMC Makurdi. Data collection involved the use of structured questionnaire. Regression analysis was used to achieve the study objectives while t-test and p-values were used to test the hypotheses at 0.05 significance level. Findings revealed that risk avoidance (RAV), risk reduction (RRE), risk transfer (RTR) and risk acceptance (RAC) as risk management strategies all have significant positive effect on procurement performance in FMC Makurdi. Based on the findings, the study recommended amongst others that management of FMC Makurdi should strictly adhere to procurement regulations and conduct thorough supplier evaluations to avoid risks associated with unreliable vendors.