The Influence of Collaborative Procurement on Innovation and Competitive Advantage: Perspectives of Agriculture Stakeholders in Guyana

Abstract

This research project investigated the perceptions of Agriculture stakeholders on the influence of Collaborative Procurement on Innovation and Competitive Advantage. The advancement of technology leads to rapid innovation, and increased competitiveness.  This has resulted in agricultural organizations facing greater competition from local, regional and international markets. The agricultural sector in Guyana is plagued with ineffective procurement practices that resulted from fragmented sourcing strategies, inconsistent supplier partnerships, and lack of available low-cost procurement approaches. This study aims to provide practical tools based on best practices that Guyanese agriculture enterprises can use to improve their collaborative procurement practices in a more efficient manner, resulting in more strategic supplier relationships and more long-term sustainability. This study employed a Qualitative Approach with a Case Study Design. A Digital Structured Interview Schedule was the research tool that was utilized to gain insights from Agriculture stakeholders from eight different agriculture organizations. The participants included procurement officers and suppliers. Findings revealed that some organizations were already engaged in collaborative procurement; some organizations were at the initial stage of the implementation of collaborative procurement while two organizations were not in a state of readiness and had not considered collaborative procurement. Collaborative procurement influences innovation and competitive advantages by aligning technological advancements through networking, adaptation to change, increased organizational recognition and profit generation. The enabling factors to collaborative procurement and its influence on innovation and competitive advantage are; collaborating with organizations that are actively engaged in collaborative procurement, leveraging the purchasing power of organizations, provision of high-quality goods and services and human capacity building. It is recommended that there should be more training and collaboration with agricultural organizations that are actively involved in collaborative procurement and the opportunity for collaborative procurement should be open to all agricultural organizations.