Assessing Impact of Technical Competencies of Indirect Employee' on Contract Management

Abstract

The extractive industry has evolved over a few decades with major emphasis on its core activities with the sole purpose of maximising profit. The major concern has been focusing on their key departments, such as mining and maintenance. Until recently, little emphasis was placed on the other service areas as they were not directly involved in the core activities within the industry. However, a major shift to focus on other service delivery areas confirmed that the extractive industry can greatly reduce costs and maximize profit if efficiently managed. Among the service areas which were given prominence is the supply chain function. Supply Chain Management is one of the key components responsible for balancing demand and supply along the entire value-adding chain, including contract management. Workers’ skills are the most important asset that contributes to market growth. Many companies have established their contracting forces without investing in qualified and competent contract management. This study seeks to assess the technical competencies of indirect employees involved in the contract management cycle and its impact on contract management at Abosso Goldfield Limited. The primary objective of the research was geared towards assessing the existing indirect employee’s technical competencies and their impact on the contract management cycle, as well as strategies to improve deviations in the contract management cycle. The primary data collected was analysed using Excel and SPSS for statistical and inferential analyses respectively. The research established that indirect employee technical competencies significantly impact contract management. Therefore, it is paramount that cogent reforms such as effective recruitment processes and specific training such as on the job training are implemented to enhance their competencies.