Effect of Procurement Practices and Performance of Non-governmental Organizations in Rwanda a Case of SOS (Save Our Souls) Children’s Villages

Abstract

The general objective of this study was to assess the effect of procurement practices on the performance of NGOs in Rwanda, a case study of SOS Children’s Villages. The study was guided by the following specific objectives: To examine effect of procurement planning and performance of SOS Children’s Villages, Rwanda, to assess the effect of vendor selection and performance of SOS Children’s Villages, Rwanda, to assess the effect of procurement negotiations and performance of SOS Children’s Villages, Rwanda, to examine the effect of procurement contract control and performance of SOS Children’s Villages, Rwanda. The results of this study provided information to the non-governmental organization how procurement practices optimize their performance since effective procurement practices is tremendous practices making organization to achieve on objective. The results of this research are beneficial to the managers of the procurement department in the Non-governmental organization as this study provided insight on how procurement practices contribute to the institution’s performance. This study applied descriptive design to get results related to the study, the target population as well sample size was 64 respondents. Researcher utilized census as sampling technique. The source of data was primary and secondary methods. Questionnaires were adopted to collect primary data and documentary review applied for collecting secondary data. The data was obtained using descriptive statistical analysis with use of frequency, percentage, mean and standard deviation, and inferential statistics by the use of Pearson correlation (r) and multiple linear regression analysis. The presentation of results was presented using tables, the pilot test was determined to ensure the validity and reliability of instrument used in data collection. After data collection the following results were observed, basing on the Pearson correlation, procurement planning influences performance of Save Our Souls children’s villages r= 0.835 while vendor selection influence performance of Save Our Souls children’ villages at correlation coefficient of .812. On the other hand, procurement negotiations influences performance of SOS Children’s Villages in Rwanda at r=0.764 and procurement contract control effects performance of Save Our Souls children’s village at .79, the study concluded that all variables considered by researcher including procurement planning, vendor selection, procurement negotiation and procurement contract controls contribute to the performance of Save Our Souls children’s villages in different corners. The study recommended that that effective control of supplied product is needed to ensure the suppliers are supplied the quality product as planned by management. The future researchers are recommended to make research about the contribution of effective procurement practices on financial performance of organization in Rwanda using government institutions.