Supplier management practices and public procurement performance in Tanzania: the moderating effect of contract management difficulty
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Date
2023
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
The University of Dodoma
Abstract
This study aimed at investigating the influence of supplier management practices on
public procurement performance in Tanzania and establishing the moderating effect
of contract management difficulty. Specifically, the study determined the influence
of supplier selection and evaluation, supplier monitoring, and supplier development
on public procurement performance, as well as how contract management difficulty
moderated the influence of these practices on public procurement performance
dimensions (cost reduction, lead time, and buyer satisfaction). The theoretical
framework guiding the study included the resource-based view, agency theory, and
transaction cost theory. The study utilised a quantitative approach, gathering cross-sectional data via structured questionnaires from randomly selected procuring entities
in Arusha, Dar es Salaam, Dodoma, Mbeya, and Tanga. The analysis involved
covariance-based structural equation modelling and moderation regressions using
Hayes‟ PROCESS macro. The findings demonstrated that all supplier management
practices positively and significantly influenced public procurement performance
dimensions (p < 0.05). Contract management difficulty exhibited a negative
moderating effect on the influence of supplier monitoring and supplier development
across all public procurement performance dimensions (p < 0.05), as indicated by
non-zero values within confidence intervals. Notably, contract management
difficulty did not significantly moderate the influence of supplier selection and
evaluation on public procurement performance. The study concluded that supplier
management practices are crucial determinants of public procurement performance,
and contract management difficulty negatively affects the influence of supplier
monitoring and supplier development, but not supplier selection and evaluation. The
study urges procuring entities to embrace supplier management practices in terms of
supplier selection and evaluation, supplier monitoring, and supplier development so
as to improve public procurement performance. Also, the Public Procurement
Regulatory Authority should prioritise efforts for procuring entities to effectively
controlling contract management difficulties especially in supplier monitoring and
development practices. To expand on the current study, additional research was
directed toward other supplier management practices and other moderating variables
such as behavioural uncertainty, supplier perceived value, and procurement skills.
Description
Thesis (Phd)
Keywords
Supplier management, Procurement performance, Public procurement, Tanzania, Contract management, Public procurement regulatory authority
Citation
Changalima, I.A. (2023). Supplier management practices and public procurement performance in Tanzania: the moderating effect of contract management difficulty, (Doctoral Thesis) The University of Dodoma.