Procurement Process and Project Performance of International Non-Governmental Organizations in Hargeisa, Somaliland

ABSTRACT This study had the main objective to establish the role of procurement process in improving the performance of projects run by International Non-Governmental Organizations in Hargeisa, Somaliland. The main problems which needed to be addressed in the projects were poor performances as evidenced by poor efficiency, quality of service and effectiveness. The study had three objectives which were 1) to examine the procurement process as implemented in International NGOs of Hargeisa, Somaliland 2) to d~termin.~ the level of proj~cLp.er p.@pce in International NGOs of Hargeisa, Somaliland and 3) to establish a relationship between procurement process and project performance in International NGOs of Hargeisa, Somaliland. The study employed descriptive correlational design which involved both qualitative and quantitative approaches. Using this method, the researcher used a structured questionnaire (close ended) and an interview guide (for qualitative responses). A research population of 150 was identified and a sample size of 109 respondents was computed using the Slovene’s formula. In selecting the respondents the researcher used purposive sampling technique. From the findings it was found that procurement process was poorly implemented and so was the performance of the projects. Relationship wise, it was found that there was a significant relationship between procurement process and projects performance as it was computed at a Pearson correlation coefficient of 0.844. Regression analysis gave an R Squared value of 0.712. As recommendations, the researcher suggests synchronization of the procurement processes with the budget, soliciting suggestions and opinions of end users, allowing for competitive bidding, minimizing lead times, and setting up a special contract award committee.

TABLE OF CONTENTS

FOREPAGES ERROR! BOOKMARK NOT DEFINED.

DECLARATION

APPROVAL II

DEDICATION iii

ACKNOWLEDGMENT

TABLE OF CONTENTS v

LIST OF TABLES vu

LIST OF FIGURES vm

LIST OF EQUATIONS ix

LIST OF ACRONYMS x

ABSTRACT xi

CHAPTER ONE 1

THE PROBLEM AND ITS SCOPE 1

1.0 INTRoDuCTION 1

1.1 BAcKGRouND OFThE STUDY 1

1.2 PRoBLEM STATEMENT 5

1.3 PuRPosE OF THE STUDY 6

1.4 REs~RcH OBJECTIVES 6

1.5 REsEARcH QuESTIoNs 6

1.6 HYPOTHESIS 7

1.7 SCOPE OFThE STUDY 7

1.8 SIGNIFIcANT OF ThE STUDY 8

CHAPTER TWO 9

LITERATURE REVIEW 9

2.0 INTRODuCrI0N 9

2.1 CONCEPTUAL REVIEW 9

2.2 THEOR~rIc~L REVIEW 13

2.3 CONCEPTUAL FI~ME WORK 13

2.4 RELATED STUDIES 14

2.5 EMPIFuc~.L REVIEW 19

CHAPTER THREE 21

RESEARCH METHODOLOGY 21

3.0 INTRODUCTION 21

3.1 RESEARcH DESIGN 21

3.2 POPULATION SIZE 21

3.3 SAMPLE SIZE 21

3.4 S~r~ur~ PROCEDURE 22

3.5 RESEARCH INSTRUMENTS 22

3.6 VAUDm’ AND REUABILm’ OF THE INSTRUMENT 23

3.7 DATA GAmEIUNG PROCEDURE 23

3.8 DATA ANALYSIS 24

3.9 EmIc~L CONSIDERATION 25

3.10 LIMITATIONs OFThE STUDY 25

V

CHAPTER FOUR .26

DATA PRESENTATION, INTERPRETATION AND ANALYSIS 26

4.0 INTRODUCTION 26

4.1 DEMoG~PHIc CHAr~crErusrIcs OF RESPONDENTS 26

4.2 PROcUREMENT PROCEss OF INTERNATIONAL NGOs’ PROJECTS IN HARGEIsA 30

4.3 PRo~Ecr PERFORMANCE OF INTERNATIONAL NGOs’ PROJEcrs IN HARGEISA 34

4.4 REL~nONsHIPs BETWEEN PROCUREMENT PROCESS AND PROJEct PERFoRMANCE 38

4.5 SUMMARY OF MAIN FINDINGS 42

CHAPTER FIVE 43

DISCUSSION OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS 43

5.0 INTRODUCTION 43

5.1 DISCUSsIoN OF FINDINGS 43

5.2 CONCLUSIONS 47

5.3 RECOMMENDATIONS 48

5.4 A~E~s FOR FURThER RESEARCH 49

REFERENCES so

APPENDICES I

APPENDIX I: Tr~NsMmAL LETrER I

APPENDIX III: RESEARCH INSTRUMENTS II

APPENDIX IV: MEAN RANGE OF INTERPRETATION VI

APPENDIX 1V STUDY BUDGET vii

APPENDIX V: TIME FRAME OF THE STUDY VIII