Assess The Effect of Electronic Procurement on The Procurement Performance in Public Organisation

Abstract

This study sought to assess the impact of e-procurement on the procurement performance at TANESCO HQ Dar es Salaam. Specifically, this study aimed to assess the effect of e-tendering, e awarding, e-ordering and e-invoicing on procurement performance. Technological acceptance model and the principal-agency theory were employed in this study. The study was conducted at TANESCO as one of the public organizations. A descriptive research design was used. The population of the study comprised of 90 TANESCO employees of the finance and procurement staff where 73 of them were purposely sampled. The study employed questionnaire as a data collection tool and the analysis of the collected data was done through descriptive and multiple linear regression analysis. The study found that e-tendering have a significant improvements in the speed and efficiency of the procurement process, reduced administrative burden, and enhanced transparency. In this study, e-awarding demonstrated positive outcomes in consistency, reliability in vendor selection, and improvements in contract compliance, while reduced time requirements for awarding contracts showed statistical significance. Also, e-ordering unveiled positive effects on reducing processing times, improving accuracy, enhancing communication with suppliers, and increasing stakeholder satisfaction. For e-invoicing, the study found substantial improvements in reducing errors, expediting payments, increasing transparency, and improving overall financial management. The regression model exhibits a strong explanatory capacity for procurement performance at TANESCO, as indicated by a high correlation coefficient of 0.877. The study advises TANESCO to enhance electronic processes, focusing on streamlined administration and increased transparency. It also suggests future research to explore integrating sustainability practices into electronic systems for socially and environmentally compliant procurement.