Benchmarking accountability of local government authorities in public procurement in Tanzania

Abstract

PurposePublic management work has tended to ignore the application of benchmarking accountability of local government authorities (LGAs) in public procurement. To that effect, the purpose of this paper is to present the applicability of a benchmarking model as an instrument for improving accountability of procuring entities such as LGAs in public procurement practices.Design/methodology/approachA case study from United States Agency for International Development funded Chemonics International’s Program—Pamoja Twajenga in Tanzania has been used to effectively showcase the efficacy of the benchmarking model in increasing compliance and improve accountability of LGAs as procuring entities. Performance assessment of eight Tanzania LGAs’ internal public procurement practices was conducted using the benchmarking model. Benchmarking Framework of Compliance Standards and Performance Indictors in Public Procurement (FCSPIPP) was developed and applied in conducting a benchmark assessment of the LGAs. The methodology of a benchmark assessment encompassed number scoring of perceived performance of each LGA for each indicator of a compliance standard.FindingsThe case study has conceded that the benchmarking model is an instrument which can be applied for improving the accountability of LGAs in public procurement practices. Looking at the scale of LGAs’ purchases, the case study reveals that monitoring compliance may greatly benefit from the methodological approach of benchmarking. The benchmark assessment adopted in this case study offers a collective instrument for LGAs in developing countries to measure, compare and learn to improve in public procurement practices. The model offers public procurement entities, such as LGAs, with an opportunity to learn based on performance and improvement of peers. The FCSPIPP presented in this case study is the main pillar of the benchmark assessment in public procurement.Research limitations/implicationsThe major limitation of this case study is that it relies only on the findings and lessons learnt from the benchmarking of eight LGAs in Tanzania. Presumably, it would be useful to would have been more useful if more countries from developing economies were included in the case study; it could have increased the plausibility of the applicability of the model at the local government levels.Practical implicationsImplicitly, public procurement and regulatory authorities in developing countries need to learn, improve its role and develop capacity in the application of benchmarking for enforcing compliance in public procurement practices. Since the approach is based on listening from the procuring entities, the model provides the procurement Authority to work on policy challenges affecting the procuring entities to comply with what the procurement process requires. Deliberate efforts are needed to strengthen the capacity of developing countries to put in place policies and reforms that pave the way for the use of process benchmarking in public procurement at the LGAs level.Social implicationsSince benchmarking encourages active participation of the user department and community in the procurement process, presupposes curbing corruption red flags and improved value for money contracts for improved social services. The methodological approach of monitoring procuring entities, using process benchmarking, provides public procurement and regulatory agencies and LGAs a collegial, participative and self-discovering on what constitutes compliance. This may enhance the sense of answerability of procurement officers to citizens.Originality/valueThis study confirms the efficacy of the benchmarking model as an alternative and complementary instrument to traditional compliance audit in public procurement. The application of an FCSPIPP means that benchmarking results may be used to improve public procurement practices.