Assessment Of the Determinants of Financial Performance in Tanzania’s Public Sector: A Case Study of Tanzania Telecommunications Company Ltd (Ttcl)

Abstract

This study examines the determinants of financial performance in Tanzania's public sector, focusing on a case study of Tanzania Telecommunications Company Ltd (TTCL). The objective is to identify key factors that influence the financial performance of TTCL and provide insights into strategies for improving financial outcomes in the public sector. The sample size employed was 30 respondents. The study utilizes a mixed-methods approach, combining quantitative analysis of financial data and qualitative interviews with key stakeholders. The findings reveal several determinants that impact TTCL's financial performance, including revenue generation, cost management, investment in infrastructure, and regulatory environment. Furthermore the study findings shows the majority of respondents agreed or strongly agreed (64.2%, 48.3%, 60.8%, 58.3%, and 60.0% respectively) with the positive influence of the accrual-based accounting system on performance improvement, easy follow-up, promotion of accountability, financial responsibility, and compliance with government standards, with mean values ranging from 3.6667 to 3.7250; agreed or strongly agreed (57.5%, 62.5%, 60.0%, 57.5%, 67.5%, 52.5%, 51.7%, and 40.8% respectively) with the positive effects of bureaucratic reformation on creating a good environment for financial performance, increasing the effectiveness and efficiency of social welfare, redesigning and organizing government functions, creating a clean and efficient process, implementing an accountable and transparent process, improving the scope of public services, improving financial performance, and promoting autonomy of administration, with mean values ranging from 3.4750 to 3.9250; and overall financial performance were rated positively (with mean values of 4.2, 4.4, and 4.3 respectively), while communication and coordination among departments and performance measurement and analysis received slightly lower but still favorable ratings (with mean values of 3.8 and 4.1 respectively), with standard deviations ranging from 0.5 to 0.9. The study highlights the importance of effective revenue diversification, efficient cost control measures, and strategic investment in infrastructure to enhance financial performance. Additionally, the regulatory environment plays a crucial role in shaping financial outcomes for public sector organizations. The study concludes by providing practical recommendations for TTCL and other public sector entities to improve their financial performance, such as enhancing revenue streams, implementing cost-saving measures, and advocating for favorable regulatory policies. These findings contribute to the existing literature on financial performance management in the public sector and provide insights for policym