Title: Outsourcing Strategy And Organisational Performance Of Construction Firms In Rivers State
Authors: Etim, Glory Emmanuel, Prof. Edwinah Amah
Volume: 9
Issue: 10
Pages: 83-91
Publication Date: 2025/10/28
Abstract:
This research investigates the link between outsourcing strategy and organizational performance in selected construction enterprises in Rivers State, Nigeria. It specifically analyzes the impact of knowledge process and financial outsourcing on service quality as a measure of organizational success. The research is based on the Resource-Based View (RBV) and Transaction Cost Economics (TCE) theories, which give a theoretical framework for understanding how strategic outsourcing choices improve organizational efficiency and service delivery. A survey study approach was used, and data were obtained using standardized questionnaires sent to workers at eleven construction businesses. The accessible population consisted of 220 workers, and Taro Yamane's formula yielded a sample size of 142. The data were examined using Spearman Rank Order Correlation to test the hypotheses. The findings demonstrated a considerable beneficial association between knowledge process and financial outsourcing, as well as service quality in construction enterprises. The research indicates that successful outsourcing methods increase organizational performance by allowing businesses to concentrate on core skills while using external knowledge for non-essential operations. It proposes that construction businesses take a strategic approach to outsourcing by aligning outsourcing choices with organizational objectives and continually monitoring service providers' performance.