Abstract:
Local Government Authorities (LGAs) in Tanzania are facing procurement problems such as
inability to comply with procurement contracts and procuring of low quality goods and services.
In attempt to address such problems, the government introduced e-procurement system called
Tanzania National e-Procurement System (TANePS). This study assessed the role of e-
procurement on the performance of public institutions in Monduli District Council. The study
sought to achieve three specific objectives. The first specific objective of the study was to find
out the e-procurement processes used in Monduli District Council. The second specific objective
of this study was to assess organizational capacity to use e-procurement in Monduli District
Council. The third specific objective of this study was to establish the contribution of the e-
procurement processes on organizational performance in Monduli District Council. The study
applied quantitative research approach which constituted of descriptive research design. The
study was based on the population of 314 respondents of Monduli District Council. A sample
size of 114 respondents was involved for data collection. Data were collected through closed
ended questionnaire. Data were analyzed on SPSS version 21. Analysis was done by using
descriptive statistics that composed frequencies, percentage and mean values. This study found
that Monduli District Council slightly uses e-procurement processes such as e-tendering, e-
contracting and e-invoicing. The study also found that Monduli District Council does not have
sufficient capacity to operate e-procurement. The organization does not have sufficient
employees, and equipment for e-procurement. The study found that e-procurement has
contributing role in organizational performance in terms of transparency, efficiency,
effectiveness, competitiveness and dematerialization of procurement processes in Monduli
District Council. This study concludes that despite slight usage of e-procurement system, the
technology have significant role on improvement of procurement functions of Monduli District
Council.
