REVISITING RESOURCE OPTIMIZATION AND PROJECT PERFORMANCE: A THEORETICAL AND EMPIRICAL SYNTHESIS ON THE MODERATING ROLES OF GOVERNMENT POLICY AND DONOR PRIORITIES
Abstract
This literature review offers a comprehensive synthesis of theoretical and empirical scholarship on the relationship between resource optimization practices and project performance, with particular attention to the moderating roles of government policy and donor priorities. While resource planning, allocation, and utilization are widely acknowledged as critical determinants of project success, existing studies report mixed and often contradictory findings. These inconsistencies stem largely from varying institutional environments, regulatory constraints, and divergent donor agendas that shape how resources are deployed in development projects. Anchored in Contingency Theory, Stakeholder Theory, the Resource-Based View, and Dynamic Capability Theory, this paper critically examines how government policy frameworks and donor priorities either strengthen or weaken the effectiveness of resource optimization efforts. By integrating evidence from African and global development contexts, the review highlights significant methodological and conceptual gaps, including limited application of moderation analysis, inadequate theorization of external institutional pressures, and insufficient attention to rural community-based project settings. The paper further develops a refined conceptual model that positions government policy and donor priorities as essential institutional moderators influencing the translation of resource optimization into improved project performance. Overall, the review advances a clearer understanding of how external governance structures interact with internal resource practices, offering substantive implications for policymakers, development practitioners, and funding agencies seeking to enhance the performance and sustainability of community-based development initiatives.
Keywords: Resource Optimization, Project Performance, Government Policy, Donor Priorities
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