Home / Current Issue / Paper 1724647
Developing an Integrated Procure-to-Pay and Source-to-Contract Digital Framework for Construction Supply Chain Efficiency in Saudi Arabia
Subject area: Science,Engineering and Technology · Area of research: Supply Chain Efficiency
Abstract
Procurement in construction in Saudi Arabia is a highly fragmented process operating across project organisations, specialist contractors and a wide range of dispersed suppliers. This fragmentation means that there is a significant disconnect between the strategic sourcing decisions and the actual transactions that take place in the delivery and payment of materials, equipment and services. This review proposes an integrated digital framework that links Source-to-Contract (S2C) with Procure-to-Pay (P2P), with construction-specific evidence, contractual authority and supplier involvement being the key design constraints. The framework is the result of a structured integrative review of 30 journal papers from the period 2020 to 2025, which were analysed thematically with respect to e-procurement, construction supply chains, information interoperability, payment governance and digital adoption. The review identifies five recurring integration failures: inconsistent master data, separation of contract and operational records, poor linkage of physical progress, fragmented exception handling and uneven levels of organisational readiness. The proposed framework addresses these through the use of a governed supplier and contract register, project coded requisition controls, evidence linked receipt and valuation, invoice reconciliation and an auditable analytics layer. It clearly distinguishes between deterministic control rules and optional advanced technologies (including model based quantity extraction and distributed verification). Performance is assessed in terms of traceability, procurement lead time, first pass match, payment predictability, supplier access and disruption response rather than on the basis of any assumed cost savings. The contribution is a process to data architecture and a staged implementation methodology which is appropriate for Saudi construction programmes, with the boundaries of the approach being clearly defined by procurement regulations, contract provisions and information quality. As the framework is based on a review of the published literature rather than on a live implementation it provides a set of testable design propositions rather than any unproven operational results.
Keywords
procure-to-pay; source-to-contract; construction procurement; digital supply chain; e-procurement; Saudi Arabia
References
[1] Liao L, Yang C, Quan L. Construction supply chain management: A systematic literature review and future development. Journal of Cleaner Production. 2023;382:135230. https://doi.org/10.1016/j.jclepro.2022.135230
[2] Singh N, Ashish DK, Dixit A. Construction supply chain: A systematic literature review with bibliometric analysis. Journal of Global Operations and Strategic Sourcing. 2025;18(3):471–497. https://doi.org/10.1108/JGOSS-04-2023-0032
[3] Yu ATW, Yevu SK, Nani G. Towards an integration framework for promoting electronic procurement and sustainable procurement in the construction industry: A systematic literature review. Journal of Cleaner Production. 2020;250:119493. https://doi.org/10.1016/j.jclepro.2019.119493
[4] Yevu SK, Yu ATW, Darko A. Barriers to electronic procurement adoption in the construction industry: A systematic review and interrelationships. International Journal of Construction Management. 2023;23(6):964–978. https://doi.org/10.1080/15623599.2021.1946900
[5] Gurgun AP, Kunkcu H, Koc K, Arditi D, Atabay S. Challenges in the integration of e-procurement procedures into construction supply chains. Buildings. 2024;14(3):605. https://doi.org/10.3390/buildings14030605
[6] Yevu SK, Yu ATW, Darko A. Digitalization of construction supply chain and procurement in the built environment: Emerging technologies and opportunities for sustainable processes. Journal of Cleaner Production. 2021;322:129093. https://doi.org/10.1016/j.jclepro.2021.129093
[7] Chan APC, Owusu EK. Evolution of electronic procurement: Contemporary review of adoption and implementation strategies. Buildings. 2022;12(2):198. https://doi.org/10.3390/buildings12020198
[8] Al Azmi N, Sweis G, Sweis R, Sammour F. Exploring implementation of blockchain for the supply chain resilience and sustainability of the construction industry in Saudi Arabia. Sustainability. 2022;14(11):6427. https://doi.org/10.3390/su14116427
[9] Zhao N, Ying FJ, Tookey J. Construction procurement selection criteria: A review and research agenda. Sustainability. 2022;14(22):15242. https://doi.org/10.3390/su142215242
[10] Babaeian Jelodar M, Wilkinson S, Kalatehjari R, Zou Y. Designing for construction procurement: An integrated decision support system for building information modelling. Built Environment Project and Asset Management. 2022;12(1):111–127. https://doi.org/10.1108/BEPAM-07-2020-0132
[11] Ben Mahmoud B, Lehoux N, Blanchet P. Integration mechanisms for material suppliers in the construction supply chain: A systematic literature review. Construction Management and Economics. 2024;42(1):70–107. https://doi.org/10.1080/01446193.2023.2239381
[12] Donyavi S, Flanagan R, Assadi-Langroudi A, Parisi L. Understanding the complexity of materials procurement in construction projects to build a conceptual framework influencing supply chain management of MSMEs. International Journal of Construction Management. 2024;24(2):177–186. https://doi.org/10.1080/15623599.2023.2267862
[13] Yevu SK, Yu ATW, Nani G, Darko A, Tetteh MO. Electronic procurement systems adoption in construction procurement: A global survey on the barriers and strategies from the developed and developing economies. Journal of Construction Engineering and Management. 2022;148(1):04021186. https://doi.org/10.1061/(ASCE)CO.1943-7862.0002213
[14] Das M, Luo H, Cheng JCP. Securing interim payments in construction projects through a blockchain-based framework. Automation in Construction. 2020;118:103284. https://doi.org/10.1016/j.autcon.2020.103284
[15] Hamledari H, Fischer M. Construction payment automation using blockchain-enabled smart contracts and robotic reality capture technologies. Automation in Construction. 2021;132:103926. https://doi.org/10.1016/j.autcon.2021.103926
[16] Nanayakkara S, Perera S, Senaratne S, Weerasuriya GT, Bandara HMND. Blockchain and smart contracts: A solution for payment issues in construction supply chains. Informatics. 2021;8(2):36. https://doi.org/10.3390/informatics8020036
[17] Sigalov K, Ye X, König M, Hagedorn P, Blum F, Severin B, et al. Automated payment and contract management in the construction industry by integrating building information modeling and blockchain-based smart contracts. Applied Sciences. 2021;11(16):7653. https://doi.org/10.3390/app11167653
[18] Li J, Mao L, Cao J. Process model for claim and payment management in a construction supply chain based on smart contracts. Journal of Construction Engineering and Management. 2025;151(11):04025172. https://doi.org/10.1061/JCEMD4.COENG-16292
[19] Pino Álvarez TE, Barkokebas B, Prieto Ibáñez AJ, Bastos Costa D. BIM and procurement data integration in industrialized construction using artificial intelligence. Revista Ingeniería de Construcción. 2024;39(3). https://doi.org/10.7764/RIC.00113.21
[20] Li X, Lu W, Xue F, Wu L, Zhao R, Lou J, et al. Blockchain-enabled IoT-BIM platform for supply chain management in modular construction. Journal of Construction Engineering and Management. 2022;148(2):04021195. https://doi.org/10.1061/(ASCE)CO.1943-7862.0002229
[21] Hijazi AA, Perera S, Calheiros RN, Alashwal A. A data model for integrating BIM and blockchain to enable a single source of truth for the construction supply chain data delivery. Engineering, Construction and Architectural Management. 2023;30(10):4645–4664. https://doi.org/10.1108/ECAM-03-2022-0209
[22] Elkliny A, Mahmoudi A, Deng X. Big data-driven implementation in international construction supply chain management: Framework development, future directions, and barriers. Buildings. 2025;15(13):2167. https://doi.org/10.3390/buildings15132167
[23] Baghalzadeh Shishehgarkhaneh M, Moehler RC, Fang Y, Aboutorab H, Hijazi AA. Construction supply chain risk management. Automation in Construction. 2024;162:105396. https://doi.org/10.1016/j.autcon.2024.105396
[24] Iqbal M, Ullah I, Abdou H, Alzara M, Yosri AM. Blueprint for progress: Understanding the driving forces of BIM adoption in Kingdom of Saudi Arabia (KSA) construction industry. PLOS ONE. 2025;20:e0313135. https://doi.org/10.1371/journal.pone.0313135
[25] Badkoubeh M, Ghannadpour SF. Designing a construction supply chain model using backup supplier aiming at optimizing resiliency against disruption. Journal of Civil Engineering and Management. 2024;30. https://doi.org/10.3846/jcem.2024.21450
[26] Awaad S, Mansour DM, Mahdi I, Abdelrasheed I. Impact of material supply chain on the productivity optimization for the construction of roads projects. Scientific Reports. 2024;14:3294. https://doi.org/10.1038/s41598-024-53660-6
[27] Lohmer J, Bugert N, Lasch R. Analysis of resilience strategies and ripple effect in blockchain-coordinated supply chains: An agent-based simulation study. International Journal of Production Economics. 2020;228:107882. https://doi.org/10.1016/j.ijpe.2020.107882
[28] Tezel A, Papadonikolaki E, Yitmen I, Hilletofth P. Preparing construction supply chains for blockchain technology: An investigation of its potential and future directions. Frontiers of Engineering Management. 2020;7(4):547–563. https://doi.org/10.1007/s42524-020-0110-8
[29] Ye X, Zeng N, König M. Systematic literature review on smart contracts in the construction industry: Potentials, benefits, and challenges. Frontiers of Engineering Management. 2022;9:196–213. https://doi.org/10.1007/s42524-022-0188-2
[30] Heydari M, Shojaei A. Blockchain applications in the construction supply chain. Automation in Construction. 2025;171:105998. https://doi.org/10.1016/j.autcon.2025.105998
How to cite this paper
@article{1724647,
author = {Mohammed Abdul Samad Quadri},
title = {Developing an Integrated Procure-to-Pay and Source-to-Contract Digital Framework for Construction Supply Chain Efficiency in Saudi Arabia},
journal = {Iconic Research And Engineering Journals},
year = {2026},
volume = {10},
number = {5},
pages = {178-191},
issn = {2456-8880},
url = {https://www.irejournals.com/formatedpaper/1724647.pdf},
abstract = {Procurement in construction in Saudi Arabia is a highly fragmented process operating across project organisations, specialist contractors and a wide range of dispersed suppliers. This fragmentation means that there is a significant disconnect between the strategic sourcing decisions and the actual transactions that take place in the delivery and payment of materials, equipment and services. This review proposes an integrated digital framework that links Source-to-Contract (S2C) with Procure-to-Pay (P2P), with construction-specific evidence, contractual authority and supplier involvement being the key design constraints. The framework is the result of a structured integrative review of 30 journal papers from the period 2020 to 2025, which were analysed thematically with respect to e-procurement, construction supply chains, information interoperability, payment governance and digital adoption. The review identifies five recurring integration failures: inconsistent master data, separation of contract and operational records, poor linkage of physical progress, fragmented exception handling and uneven levels of organisational readiness. The proposed framework addresses these through the use of a governed supplier and contract register, project coded requisition controls, evidence linked receipt and valuation, invoice reconciliation and an auditable analytics layer. It clearly distinguishes between deterministic control rules and optional advanced technologies (including model based quantity extraction and distributed verification). Performance is assessed in terms of traceability, procurement lead time, first pass match, payment predictability, supplier access and disruption response rather than on the basis of any assumed cost savings. The contribution is a process to data architecture and a staged implementation methodology which is appropriate for Saudi construction programmes, with the boundaries of the approach being clearly defined by procurement regulations, contract provisions and information quality. As the framework is based on a review of the published literature rather than on a live implementation it provides a set of testable design propositions rather than any unproven operational results.},
keywords = {procure-to-pay; source-to-contract; construction procurement; digital supply chain; e-procurement; Saudi Arabia},
month = {November},
}