Effect of Pricing on Centralizing Procurement Activities under Procurement Department in Etihad Airways - Research Paper Example

The paper “Effect of Pricing on Centralizing Procurement Activities under Procurement Department in Etihad Airways” is an excellent example of a finance & accounting research paper. The purpose of this study was mainly to establish the factors affecting the centralization of all the procurement activities under the procurement department in the airways industry in Qatar with a case study of Etihad Airways. The main objectives of this study are;

• To find out the advantages of centralizing procurements in all the procurement departments
• To assess challenges on centralizing of procurements in all the procurement departments
• To find out how material specification affects centralizing procurements in all the procurement departments.
• To find out how quality affects centralizing procurements in all the procurement departments.
• To find out the risks associated with the aspect of centralizing procurements in all the procurement departments and providing diverse recommendations on this particular aspect of centralizing procurements in all the procurement departments.

The descriptive research design was used in this research study. The target population was 50 respondents from all the levels of management. The researcher used a random sampling procedure to select a sample size of 40 respondents. Questionnaires were used for collecting data which was then analyzed using statistical tools and presented using pie charts and tables while qualitative data were analyzed by use of descriptive notes. According to the study findings, 72% of the total respondents admitted that centralizing procurements in all the procurement departments affect the quality of products against 27%. 80% against 20% said that centralizing procurements in all the procurement departments influence the aspect of pricing.

Additionally, 77% of the total respondents accepted that material specification had a huge impact on centralizing procurements in all the procurement departments this was against 23% of the respondents. On whether diverse challenges affect centralizing procurements in all the procurement departments 80% of the total respondents said yes against 20% who said it doesn’t affect. Based on the findings it was concluded that the above four analyzed variables affect centralizing procurements in all the procurement departments in one way or the other.