Assessing the Impact of E-Procurement on Effective Procurement Performance in Public Sector

Abstract

Electronic procurement has been adopted by many organizations in Tanzania including public organization. Several studies have been conducted on its influence on procurement performance. However, no literature exist that paid attention to the impact of e-procurement on procurement performance in the context of public sector in Tanzania. The main purpose of this study was to assess the impact of e-procurement on procurement performance in public sector with a case of TANESCO Lake zone. Specifically, to determine the impact of e-tendering, e- sourcing, e-payment on procurement performance. The study was anchored on the TAM and UTAUT theories because they both explain the reasons for adoption and usage of new technology. The study employed descriptive research design to give it a holistic approach and the research approach was mixed approach to get the benefits of both qualitative and quantitative approaches. By the use of Slovin’s formula the determined sample size was 92 from a target population of 119. The stratified random sampling technique was employed to get the required sample size. The data were gathered by the questionnaires instruments with both closed ended and open ended questions. The multiple regression analysis was the technique to analyze quantitative data while qualitative data were analyzed by thematic analysis. Research findings revealed that e-tendering, e-sourcing and e-payment has statistical significance in influencing procurement performance. The study showed that electronic procurement has the benefits of reducing costs, saving time, easy to connect with suppliers, enhances transparency and encourage suppliers to engage in public procurement. The study recommends that the electronic procurement system should be improved to fully online – including contract signing, having a strong internet that is reliable and a backup