Factors Affecting Implementation of Procurement Framework Agreements for Commonly Used Items in Selected Local Government Authorities in Northern Zone’s, Tanzania

Abstract

In Tanzania Framework Agreements are used mostly for Procurements of CUIS and it is mandatory for Government institutions to procure CUIS from approved suppliers but some of LGAs procure CUIS from unapproved suppliers. Previous research did not fully address Factors Affecting the Implementation of Procurement Framework Agreements for Commonly Used Items in the Selected Northern Zone Local Government Authorities. This study analysed supplier performance, information exchange mechanism, employee’s competency, and Public Procurement Legal Frameworks compliance. The study adopted cross-sectional research designs. Simple random and purposive sampling techniques were used to collect data from 233 respondents. Data were analysed using descriptive statistics and Structural Equation Modelling. The study findings revealed that supplier performance influence on the implementation of framework agreements (deliver goods on time, local purchase order, right quality, right quantity, provide corrective action, and technical support) has significant influence on implementation of framework agreements at P=0.001<0.05; information exchange mechanism (information exchange between Pe and supplier, absence of technological adaptation, adaptation of information exchange mechanism, adjustment of new technology, use of TANePS, and supplier participation on TANePS) has significant influence on implementation of framework agreements at P= 0.000<0.05; employee competency (staff awareness, knowledge, skills, training and support respectively) has significant influence on implementation of framework agreements at P=0.000<0.05; and Public Procurement Legal Frameworks has significant influence on implementation of framework agreements at P=0.000<0.05. The study concluded that there is still a problem on supplier performance, information exchange mechanism, and employee competency. The study recommended that PPRA should allow the PE to come together with GPSA to form a cluster to discuss with their supplier, also on the Information exchange mechanism PPRA should provide training programs based on and to provide training to staff and suppliers on FA.