THE EFFECTIVENESS OF LEAD-TIME SUPPLIES ON PROCUREMENT PERFORMANCE IN TANZANIA

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 viii be emergence alternatives to get the commonly used items, especially when the delay occurs in times with high demand of the items.