Measures of Ensuring Value for Money in Public Procurement: A Case of Selected Polytechnics in Ghana

Value for money (VFM) is derived from the optimal balance of benefits and costs on the basis of total cost of ownership. The nature of public procurement is such that it involves discretionary decision-taking on behalf of government at all levels. Value for money is therefore not a choice of goods or services which is based on the lowest bid price but a choice based on the whole life costs of the project or service. The aim of the study is to find out ways of ensuring value for money in public procurement. The objectives of the study among others include; identify the challenges in ensuring value for money and measures to ensure value for money in the procurement of goods and services. The main data collection instrument employed in this study is the structured questionnaire. The study employed the purposive and stratified sampling technique. The finding revealed that inadequate skilled personnel in the procurement sector and inadequate measures for monitoring and evaluation of the procurement policy to ensure VFM are major challenges in the public procurement. It was recommended that to ensure value for money, Management supports for VFM programme at all levels of administration should be encouraged and procurement regulatory authorities in collaboration with public entities (Polytechnics) must ensure compliance through rigorous monitoring and evaluation of the procurement policy to ensure VFM.