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Developing Material Procurement Strategy to Improve Project Performance in Engineering, Procurement and Construction Onshore Pipeline Project in Indonesia: A Conceptual Study

Onshore Gas pipeline project is one of infrastructure modes aiming to deliver natural gas resulting from its source to fulfilling purpose supply to industries, households as well as transportations. Some gas pipeline infrastructures in Indonesia experience delays due to ineffective
 procurement strategy during the projects. In most Engineering, Procurement and Construction (EPC) projects, the procurement process lies on the projects critical path and therefore it is essential to set up the process using the approach of strategic procurement. Setting the right strategy
 shall affect the efficiency of procurement process hence will bring positive influence to project schedule performance. Company A is one of Engineering, Procurement and Construction (EPC) Pipeline contractor in Indonesia that experience deteriorated schedule performance in the last five years
 according to the company secondary data. It also shows that procurement schedule performance index has been affecting the whole project schedule performance and hence this study has been initiated to solve this problem. This study proposes a conceptual integrated research model to identify
 how procurement activities can be managed effectively to reduce delays by setting the right procurement strategy by examining the correlation between procurement process and schedule performance with moderation of strategic procurement in the gas pipeline project in Indonesia.