Procurement process and works contracts performance in Busia Municipal Local Government in Uganda

Abstract

The study examined the relationship between procurement process and contracts performance in BMC. Specifically the study investigated the relationship between procurement planning supplier selection and administrative reviews and contract performance in BMC. The study adopted a descriptive cross sectional research design where both quantitative and qualitative approaches were used. The data was collected using questionnaires and interviews and analysis was done using regression analysis and correlations. Qualitative analysis was done using content analysis. In this study 64 questionnaires were distributed and 61 returned making a response rate of 95.3%. Findings revealed that there is a positive significant relationship between procurement planning and contract performance in BUMC (r=.452**, p value=0.04<0.05), secondly, there is a positive significant relationship between supplier selection and contract performance in BUMC (r=.639**, p value=0.00<0.05) and thirdly there is a positive significant relationship between administrative reviews and contract performance in BUMC (r=.358*, p value=0.032<0.05). Conclusion: there is a well-defined procurement processes and a clear procurement plan in BUMC, with a focus on outputs and a ‘whole life’ approach to performance. Interventions in the procurement process mainly through administrative reviews and investigations are not common in BUMC. It was observed that the few administrative reviews were on failure by the entities to properly interpret what is a minor omission or material deviations in the bids during evaluation. It was recommended that: there is need to introduce best value planning. The bid evaluation process should be purely executed on merit if it is to yield fruits. There is need to ensure proper bid evaluation so as to eliminate bidders who bid claiming to poses experience, equipment and qualifications which they donot actually possess.