Procurement Performance Research Articles

ROOT CAUSE ANALYSIS (RCA) OF E-CATALOGUE PROCUREMENT OF MEDICINE USING E-PURCHASING IN PUBLIC HEALTH CENTER IN KLATEN REGENCY OF CENTRAL JAVA

E-catalogue procurement of medicine is a method of electronic procurement using a particular website developed by the Government to increase the effectiveness, efficiency, and transparency of medicine procurement. In Klaten Regency, e-catalogue procurement of medicine in the Public Health Center (PHC) experiences obstacles. The study aimed to evaluate performance of e-catalogue procurement of medicine, analyze the root problem and formulate strategies to improve the performance based on the root problems. This descriptive study involved seven PHCs with data on medicine procurement in 2021. Quantitative data analysis was conducted by evaluating six performance indicators of medicine procurement. Qualitative data analysis was conducted by interviewing 17 respondents, analyzing root problems, and formulating improvement strategies The study showed that all PHCs had good medicine availability at 87.71% average, but low realization of e-catalogue procurement occurred in two PHCs. Lead time beyond the contract period occurred in two PHCs. All PHCs experienced low suitability of procurement funds and percentage of procurement through e-catalogue. Percentage of budget allocation for medicine procurement varied between 1.59% to 7.29%. Analysis of the root problem showed obstacles in human resources, mechanism of procurement, policies, system, budget, and environment aspect. It was concluded that the obstacles rooted on the lack of team role and synergy of PHC, District Pharmacy Unit, and District Health Office according to their authority, the lack of pharmaceutical industry and distributor commitments in the provision of e-catalogue medicine for PHC, and also the urgent needs of system and regulatory improvement by the Government.

Cause – effect relationship of trust of buyer – suppliers' integration on procurement performance in large manufacturing firms in Tanzania

PurposeThe purpose of this study was to establish the cause-effect relationship between determinants of trust in the buyer–supplier integration and the procurement performance of large manufacturing firms in Tanzania.Design/methodology/approachThe study surveyed 52 firms from Temeke Municipality, Tanzania using questionnaire subjected to one procurement manager and one stores manager tallying a sample size of 104 respondents. Explanatory design was employed due to the presence of cause–effect relationship and the null hypotheses were tested using binary logistic regression technique at p values < 0.05 and ExpB > 1.FindingsMutual goals, geographical vicinity among partners, and supplier reliability are significant for the procurement performance of the manufacturing firms in Tanzania, whereas interpersonal and inter-organizational trusts and perceived buyers’ confidence are of no significant impact.Research limitations/implicationsBuyer–supplier integration is a recently embraced and paramount practice for the manufacturing firms in Tanzania. Therefore, longitudinal study would further add value. The presence of the causality from the tested hypothesis appeals for the necessity of progress tracking.Practical implicationsCausality has been established, and a framework has been developed for the performance of large manufacturing firms using trust of buyer–supplier integration.Social implicationsThere shall be creation of more employment opportunities and timely availability of materials from large manufacturing firms in Tanzania.Originality/valueAnchored on transaction cost economics and resource dependency theories, the study disclosed the root cause of procurement performance in the context of manufacturing firms in Tanzania whilst considering trust as a resource advantage of buyer–supplier integration.

Buyer–supplier collaboration's commitment. An antecedent for procurement performance of large manufacturing entities in Tanzania

PurposeThis study was steered to establish how buyer–supplier collaboration's commitment attributes serve as an antecedent for procurement performance in large manufacturing entities in Tanzania.Design/methodology/approachA parallel, concurrent, mixed method was used in the study. Quantitatively, 52 firms were surveyed from Temeke Municipality, Tanzania, using questionnaire that specified 1 procurement manager and 1 store manager from those firms, totaling a sample size of 104 respondents. Qualitatively, expressive opinions to supplement the numeric data were gathered from supply chain managers using the saturation principle. Explanatory design analyzed the existing cause–effect relationship, and the null hypotheses were tested using binary logistic regression at p values < 0.05 and ExpB > 1.FindingsFidelity and enthusiasm to suggest improvements to suppliers and the duration of the collaboration antecede the procurement performance of the manufacturing firms in Tanzania, while devotion to invest resources and initiatives on joint problem solving have no significant impact.Research limitations/implicationsThe causality between buyer–supplier collaboration and procurement performance has been revealed. Since there might be third party logistics in collaborations, future research should center on their moderating effect.Practical implicationsA framework has been developed for liberating procurement performance in the context of large manufacturing firms in Tanzania.Originality/valueBased on Transaction Cost Economics and Resource Dependency Theories, the study revealed the root cause of procurement performance in the context of Tanzanian manufacturing firms, while also considering commitment to buyer–supplier collaboration as a prerequisit for the commendable target.

Effect of Supplier Evaluation on Procurement Performance of West Pokot County in Kenya

Effect of Supplier Evaluation on Procurement Performance of West Pokot County in Kenya

Factors Influencing Procurement Performance: Moderating Role of Ethical Leadership: A Case of Home Textile Industry of Pakistan

Procurement performance has been under reflection for past few decades due to its ever-swap measurements with the passage of time. Resource based theory explained the communication and relationship of Procurement Planning, Staff Competency, Procurement Procedures, Resource allocation along with moderator of Ethical Leadership on Procurement Performance. In this study, these variables were examined for the Home Textile Industry of Pakistan. The data was collected from 402 respondents working in Procurement sector of home textile industry of Pakistan. The data gathered was further analyzed through multiple regressions in SPSS. The results indicate that Procurement Planning, Staff Competency, Procurement Procedures, Resource allocation along with moderator of Ethical Leadership has positive impact on Procurement Performance. Practical and theoretical implications have also been discussed.

The effects of political interference on procurement performance in the parastatal organizations in Dar es Salaam Region

The study aimed to examine the effect of political interference on procurement performance in Tanzania's parastatal organization. It was specifically intended to investigate the impact of political interference on the contract award, project allocation, and legal framework implementation on procurement performance and make some recommendations for improvement. The data were collected from heads of departments at 93 parastatal organizations in Dar es Salaam using structured questionnaires. The study's population consisted of 712 respondents, with a sample size of 256 randomly selected, but only 241 questionnaires were returned, completed, and used for analysis. The data were descriptively and inferentially analyzed using a multiple regression analysis with the help of SPSS version 26. The finding shows that political interference in contract award and legal framework implementation negatively influences procurement performance. In contrast, political interference in project allocation positively impacts procurement performance. The study implied that the procuring entity should ensure that politicians were not involved in the procurement process and that only authorized officers were allowed to participate.

Impediments to procurement performance in the parastatal organizations of Tanzania

This study aimed to examine the factors that affect the procurement performance of Tanzania’s parastatal entities. It examined the impact of political interference and staff competency on procurement performance. The questionnaire was used to collect data from heads of departments from 93 state-owned organizations in the Dar es Salaam Region as part of an explanatory research approach. The sample of 258 respondents was randomly selected from the population of 712 heads of departments. However, 241 questionnaires were collected from the respondents. The data were descriptively evaluated to establish the mean and standard deviation. The data were compiled using frequency distribution tables before being analyzed using multiple regression analysis. This study shows that political interference has a negative influence on procurement performance, whereas staff competency has a positive impact on procurement performance. The study implied that political influence in the procurement process should be avoided to the greatest extent possible because of its adverse effects and that staff competency should be stressed to give staff members the new skills and competencies needed to solve procurement difficulties.

An Assessment of the Level of Impacts of Corruption as Risk on Public Procurement Performance: A Case Study of Selected Record Systems in Nigeria

Many researchers have revealed that corruption is associated with adverse effects on the sustainable development of the country. However, the rapid increase in measures to combat corruption globally portrays a picture of the losses due to corruption. Corruption, especially in developing countries, mainly manifests in the public procurement sectors due to the large amount of money involved. The emergence of covid-19 has also amplified corruption cases in the procurement of medical supplies in West Africa and the world. This conference paper examined the extent of corruption in public procurement in Nigeria, particularly the record systems. The paper was guided by various research questions, including; To what extent does corruption affect the performance of public procurement in Nigeria?, What are the various ways in which corruption affect the public procurement record systems in Nigeria?, What are the most effective methods of combating corruption in the public procurement systems in Nigeria?. The study employed a qualitative research method using a systematic review of the literature to answer these research questions. The study revealed that the systemic corruption in Nigeria could be combated using non-state approaches as compliments to the state-based plans. It also provides the reasons why corruption has persisted in Nigeria. Keywords: Corruption, Public Procurement, Performance

Assessment of Factors Affecting Public Procurement Performance in Case of Wollega University

Assessment of Factors Affecting Public Procurement Performance in Case of Wollega University

Corruption, accountability, and discretion of procurement officials: An analysis of selection Preferences for Performance-based Evaluation Criteria (PBEC) in PPP procurement.

Performance-based evaluation criteria (PBEC) are vital for selecting high-quality suppliers and achieving a PPP procurement performance. Through theoretical and institutional analysis, we found that the selection of PBEC centered on operations depends on the discretion of the purchaser. However, in an emerging and transforming PPP market, many factors have affected the scientific exercise of the purchaser's discretion. This means that PPP projects must focus on construction and neglect operation in a certain period. Furthermore, to explore the influencing factors of the definition of PBEC, based on data of 9082 PPP projects between 2009 and 2021 in China, we adopted Ordinary Least Squares to empirically analyze two factors that influence the level of attention that is paid to the operation plan: corruption and accountability. The results indicate that the attention paid to the operation plan significantly increased with the reduction in corruption and the improvement in accountability. Robustness tests demonstrate the robustness of the results. A further heterogeneity analysis shows that the above factors have a more significant impact on non-state demonstration projects and projects with large investments. The contributions of this study are as follows: (1) Theoretically, this paper supplements the relevant research on evaluation criteria and provides new evidence on the impact of corruption and accountability on the defining PBEC. (2) Institutionally, it provides specific paths to limit the discretion of procurement officials when defining evaluation criteria. (3) In practice, it helps procurement officials to scientifically define PBEC and promote the realization of procurement performance.

Assessment of Effectiveness of Procurement Planning on Procurement Performance of Public Organizations in Tanzania: A Study of Babati District Council

Assessment of Effectiveness of Procurement Planning on Procurement Performance of Public Organizations in Tanzania: A Study of Babati District Council

Influence of Contract Relationship Management on Procurement Performance of State Corporations in Energy Sector, Kenya

Influence of Contract Relationship Management on Procurement Performance of State Corporations in Energy Sector, Kenya

Influence of E-Tendering Process on Procurement Performance in Geothermal Development Company in Nakuru, Kenya

Influence of E-Tendering Process on Procurement Performance in Geothermal Development Company in Nakuru, Kenya

Influence of Supplier Development Practices on Procurement Performance in Food and Beverage Manufacturing Firms in Nakuru East Sub- County, Kenya

Influence of Supplier Development Practices on Procurement Performance in Food and Beverage Manufacturing Firms in Nakuru East Sub- County, Kenya

Accountability, Corruption and the Attention Paid to User Satisfaction in PPP Specifications: Evidence from China

Defining output specifications is a prerequisite for achieving Public-Private Partnership (PPP) procurement performance. Theoretically, user satisfaction is vital for output specifications, but it has received insufficient attention in theoretical research and practice. To explore the factors that influence the definition of output specifications, we took 6714 PPP projects as a sample and used the logit regression model to discuss the links between accountability and corruption in the definition of user satisfaction. We found the following: the stronger the accountability, the more emphasis the purchaser attaches to user satisfaction, whereas the higher the level of corruption, the less attention the purchaser places on user satisfaction. Robustness tests demonstrate the reliability of the effects of accountability and corruption on the attention paid to user satisfaction. The contributions of this study are as follows: (1) Theoretically, it provides a basis for user satisfaction as an important aspect of output specifications and new evidence on the impact of accountability and corruption on defining output specification; (2) institutionally, it provides advice for the optimization of output specifications in PPP procurement; and (3) practically, these findings are insightful for improving the definition of output specifications of PPP projects that can enhance performance in PPP projects.

Predictors of strategic procurement performance metrics adoption in county governments: empirical evidence from Kakamega county government, Kenya

PurposeAmidst the scarcity of resources, it is undisputable that an effective public procurement performance measurement system (PMS) is required particularly in county governments, especially for Kenya to realize its ambitions in devolved governance system. County governments cannot be effectively evaluated on their performance if the long-term, strategic impact of public procurement processes and projects is not captured. Arising from this backdrop, this study aims to determine the predictors of strategic procurement performance metrics (SPPM) adoption in public procurement PMS of county governments.Design/methodology/approachAnchored on institutional theory and public sector scorecard model, a survey research design was adopted where data were collected through census from 115 respondents working in procurement, finance and stores department of Kakamega county government. Data were collected using questionnaire (75.56% response rate) and key informant interviews, and analyzed by using multiple regression model and ordinal logistic regression models.FindingsMultiple regression model and ordinal logistics regression revealed that national government support negatively and significantly, and regulatory framework positively and significantly affects the adoption of SPPM.Practical implicationsThere is need for formal mechanism that will enable the national government in partnership with the council of governors to be proactively involved in developing procurement performance measurement capacity of county governments. This study’s findings also provide suggestions for a working regulatory framework required for the adoption of SPPM by county governments.Originality/valueThis work adds value to the prevailing body of knowledge on public procurement PMS in the public sector.

Procurement Contract Management and Procurement Performance in Parastatal Organisations in Tanzania

Despite a lot of initiatives being undertaken by the United Republic of Tanzania to improve public procurement, the performance of many of the contracted projects is not satisfactory since a significant amount of public money is lost through procurement contract management. The aim of this study was to determine the role of procurement contract management in Tanzania's parastatal entities. The study examined the impact of contract preparation, the competence of the contract management team, and the contract allocated budget on procurement performance and made recommendations for improving it. The study used a quantitative approach with an explanatory research design whereby data were collected by using a close-ended questionnaire. Simple random sampling technique was used to select 241 respondents who were heads of departments from the 93 parastatal organizations. The data were analysed descriptively by computing descriptive statistics and inferentially using a multiple regression model. The findings indicated that contract preparation, competence of contract management teams, and contract allocated budget had significant positive relationships with procurement performance at p&lt;0.05. The study recommends that parastatal organizations' management should ensure that there is proper contact preparation, each contract being managed by a competent contract management team, and there is enough budget allocation for every project before it is started.

Internal audit effectiveness as a boon to public procurement performance: a multi mediation model

As part of Governments of Ghana efforts to deal with misappropriation of public sector resources, the Internal Audit Agency Act, 2003 (Act 658) was established to ensure probity, accountability, and transparency in the management of public sector resources, yet there is a high Corruption Perception Index in Ghana as asserted by the Transparent International 2021 release. To address this concern, our paper is aimed to develop a new model to explain the extent to which internal audit effectiveness (IAE) could be used to build strong organizational resilience as a mechanism through which efficiency in public procurement could be achieved while reducing public sector corruption incidence. Data have been collected from a cross-section of public sector workers. The structural equation modeling approach has been used to analyze the survey data. Our results have shown that cultural, and strategic resilience dimensions of organizational resilience significantly mediate the relationship between IAE and procurement performance. These results have implications for re-enforcement of audit regulations to ensure transparency in managing public sector resources with a focus on reducing negative public sector corruption perception.

Supplier monitoring and procurement performance in the public sector in Tanzania: the moderating role of contract management difficulty

PurposeThis study aims to examine the effect of supplier monitoring on procurement performance in the Tanzanian public sector, as well as how contract management difficulty moderates the effect of supplier monitoring on procurement performance.Design/methodology/approachIn this paper cross-sectional data were collected from 179 Tanzanian public procuring organizations using a structured survey questionnaire. Confirmatory factor analysis (CFA) and the PROCESS macro were used to analyse the collected data.FindingsSupplier monitoring has a positive and significant relationship with procurement performance in terms of cost reduction, lead times and buyer satisfaction. Furthermore, contract management difficulty has a negative moderating effect on the relationships between supplier monitoring and procurement performance dimensions.Research limitations/implicationsBecause public procurement is governed by laws and procedures, generalization of results should be done with caution. This is because the study is currently limited to Tanzanian public procurement. Apart from contract management difficulty, future research can look at other factors that may be needed to moderate the link between supplier monitoring and procurement performance.Practical implicationsProcurement practitioners must monitor major suppliers’ timeliness, product quality and order accuracy in order to improve procurement performance. Furthermore, proper contract management is required, which necessitates effectively reinforcing procurement contract managers’ responsibilities and providing contract management training for practitioners in order to control anomalies when suppliers and contracts are involved.Originality/valueBy adding a moderating variable, the study adds to the literature on supplier monitoring in public procurement and the on-going debate on supplier monitoring and performance.

Keprok tangerine supply chain management in Batu City and Malang Region East Java

Changes in the strategic environment in the form of economic globalization, urbanization, and market segmentation, as well as consumer preferences, require changes in the approach to operating business organizations. This study aims to analyze the performance of keprok tangerine commodity supply chain management in Batu City and Malang, East Java. The research method was conducted with a survey method by conducting interviews with 60 respondents of the citrus commodity supply chain from upstream to downstream. Citrus commodity supply chains from production centers to consumption centers are classified as moderate involving four to five supply chain actors. The keprok tangerine marketing system in Batu City and Malang Regency is not yet efficient, which is reflected in the price share received by farmers (42.28%-57.94%) with marketing margins (42.06%-57.72%) respectively. Supply chain management performance in the planning aspect is at a moderate to very good level, procurement performance is at a moderate to good level, delivery performance is at a moderate to very good level, and the performance of receiving goods is at a lesser level. The keprok tangerine commodity development strategy can be done by building an integrated supply chain management from upstream to downstream with agricultural, post-harvest, and marketing infrastructure.