Assessing The Impact of Information and Communication Technology (ICT) Development on Revenue Collection Efficiency in Tanzania

Abstract

The primary aim of this study was to evaluate how Information and Communication Technology (ICT) influences revenue collection efficiency within the Arusha Urban Water Supply and Sanitation Authority (AUWSA). It wanted to explore the current state of ICT integration within AUWSA, assess the effectiveness of existing revenue collection processes, and determine how advancements in ICT are correlated with revenue collection efficiency in the authority's water sector. The study used a mixed method approach of a combination of interviews and questionnaire to conduct surveys with total targeted population of 416 and the desired sample size of 81 calculated by using Yamane’s formular. Findings reveal a high degree of satisfaction among respondents about the current state of ICT. This satisfaction is rooted in the innovation and functionality of ICT tools and the presence of a dedicated management team. Opinions vary regarding the alignment of AUWSA's ICT with global best practices. In the realm of the Current Efficiency of Revenue Collection within AUWSA, a majority view the organization's revenue collection processes as efficient, highlighting strengths in system streamlining and tracking. Nonetheless, there are concerns about the effectiveness of ICT tools and the consistency in meeting revenue targets, suggesting an unequal distribution of benefits within the organization. The study concludes that there is a significant positive correlation between ICT development and revenue collection efficiency at AUWSA. ICT infrastructure is crucial in enhancing the revenue collection process, reducing errors, and increasing transparency and accountability. However, the varied experiences across different departments suggest the need for AUWSA to adopt a more uniform and inclusive approach towards ICT development, maintenance, and strategy communication.