Abstract:
The study assessed the effectiveness of lead-time supplies on procurement performance in
Tanzania, a case of Arusha City Council. The specific objectives were to describe factors
affecting procurement lead-time, to explore the effects of procurement lead-time on product
availability and to find out the relationship between procurement lead-time and procurement
performance. The guiding theories were Lead-time theory and Queuing theory. This study
employed a descriptive research design. The population constituted of 40 respondents'. Data
were collected from 36 respondents who were employees of ACC and some suppliers. The
study also used both primary and secondary data to gather information from the respondents.
Qualitative data were analysed using content analysis. Quantitative data were analysed using
descriptive statistics such as frequencies, percentages, mean and standard deviation and
inferential statistics. The study findings concluded that there were a number of factors, both
internal and external, that affect procurement lead-time was discovered. Among them are;
institutional policies, communication, procurement staff quality, tendering methods, supplier
management techniques and market environment were factors that affect procurement lead
time. The study concludes that the effect of procurement lead-time on products resulted in
ineffective operation, thus reducing customer satisfaction. In the third objective, the study
concluded that there is a relationship between procurement lead-time and procurement
performance. It is recommended that the government should put efforts into the integration of
procurement with ICT based systems so as to facilitate the process, thus reducing the lead
time. The government through its respective authorities, should review the procurement policies,
especially in local government authorities, so as to reduce the delay in the procurement process.
Procurement staff training should be strengthened so that expertise is used in the whole process
of procurement so as to reduce effects that can be caused by procurement staff. There should
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be emergence alternatives to get the commonly used items, especially when the delay occurs
in times with high demand of the items.