Risk Assessment and Procurement Management in Government Parastatals Case Study of Mulago, Teaching Research and Referral Hospital Kampala Uganda

ABSTRACT The study was undertaken under the topic risk assessment and procurement management. With the aim of establishing the impact of risks in ensuring effective procurement. Chapter one, describes an overview of risk assessment and procurement management. In Mulago hospital (UG), the statement of the problem, research objectives, research questions, significance of the study and the conceptual frame work which describes the relationship between the two variables. Chapter two has an overview of the related literature review on the risk assessment and procurement management. Various scholars have written about risk assessment and this enables us to analyze its impact on procurement management. Chapter three contains the methodology used to collect data. The study used qualitative and quantitative design so as a researcher can get indepth information by being close to the respondents through the use of focus group discussion, questionnaires and interviews. Data analysis and presentation has been described in chapter four. This gives an overview on how collected data or findings are analyzed and presented. The information collected from the respondents through questionnaires and interview guide questions are used in order to answer the objectives of the study. Chapter five contains the summary of the findings, conclusions, recommendation, and the areas for further studies on risk assessment and procurement management.

TABLE OF CONTENTS

DECLARATION ................................................................................................................ i

APPROVAL. ...................................................................................................................... ii

TABLE OF CONTENTS ................................................................................................. v

LIST OF ABBREVIATIONS ....................................................................................... vii

LIST OF TABLES ........................................................................................................ viii

LIST OF FIGURES ........................................................................................................ ix

ABSTRACT ....................................................................................................................... X

CHAPTER ONE ............................................................................................................... 1

INTRODUCTION ............................................................................................................. 1

1. 1 Back ground of the study .................................................................................... 1

1.3 General objective .................................................................................................... 4

1.3.1Specific objectives ............................................................................................... .4

1.4 Research Questions .............................................................................................. .4

1.5 The Purpose of the Study .................................................................................... 5

1. 6 Scope of the Study ................................................................................................. 5

1. 7 Significance of the Study ..................................................................................... 5

1.8 Conceptual framework. ......................................................................................... 6

CHAPTER TWO ............................................................................................................... 8

LITERATURE REVIEW ................................................................................................. 8

2.0 Introduction ............................................................................................................. 8

2.1 Risk Management Overview ................................................................................ 9

2.2 Risk Management Process ................................................................................. 10

2.3 Risk Perception ..................................................................................................... 12

2.4 Risk Assessment ................................................................................................... 13

2.5 Risk Monitoring ..................................................................................................... 14

2.6 Methods of identifying risks .............................................................................. 14

2.7 Managing procurement risks ........................................................................... 15

2.7.1 Influencers of Risk ........................................................................................... 16

2.7.2 Phases of Risk Management ......................................................................... 17

2.8 Quality Assurance and Risk Assessment ..................................................... 20

2.9 The various definitions of procurement ........................................................ 21

2.9.1 Explanations of the various incoterms ..................................................... 23

CHAPTER THREE: ...................................................................................................... .31

RESEARCH METHODOLOGY ................................................................................. .31

3.0 Introduction .......................................................................................................... .31

3 .1. Research Design ................................................................................................. .31

3.2 The Study Population .......................................................................................... 31

3.3 Sampling Design ................................................................................................... 32

3.3.1 Sample Size ........................................................................................................ 32

3.4 Methods of Data Collection ............................................................................... 32

v

3.4.1. Questionnaires ................................................................................................ .32

3.4.2. Interviews ........................................................................................................... 33

3.5 Data Analysis and Presentation ...................................................................... 33

3.6 Limitations of the study .................................................................................... .33

CHAPTER FOUR ........................................................................................................... 35

RESEARCH FINDINGS AND DATA ANALYSIS .................................................. .35

4.0 Introduction .......................................................................................................... .35

4.1 Demographic Characteristics .......................................................................... .35

4.2 Risks faced by the supplies and procurement department ................... .39

4.3 Training of Employees on Risk Identification ............................................ .40

4.4 Existence of a Risk management Committee ............................................ .41

4.5 management's perception on the major causes of risks ........................ .42

4.7 The existing Risk Assessment measures in the Procurement

department ................................................................................................................... .44

4.8 Risk measurement Methods ............................................................................ .47

4.8.1 Steps in the risk management process .................................................... .47

4. 9 Causes of Risks .................................................................................................... .48

4.1.0. Perception towards Mulago Hospital Risk assessment policies for

the procurement department .................................................................................. .49

4.1.1 User departments Role in Risk Assessment ............................................ 50

4.1.3 The Effect of poor Risk Assessment ........................................................... 53

4.14 The consequences of poor Risk management .......................................... 53

CHAPTER FIVE ............................................................................................................. 55

RECOMMENDATION AND CONCLUSION ........................................................... 55

5.0 Introduction ............................................................................................... , .......... .55

5.1. Summary ............................................................................................................... 55

5.2 Conclusions ............................................................................................................ 57

5.3 Recommendations ................................................................................................ 58

5.4 Areas for Further Studies .................................................................................. 59

BIBLIOGRAPHY ........................................................................................................... 60

APPENDICES ................................................................................................................ 62

APPENDIX 1: INSTRUMENTS ................................................................................ 62

A. RESEARCH QUESTIONNAIRE ........................................................................... 62

B. INTERVIEW GUIDE ............................................................................................... 66

APPENDIX 11 ................................................................................................................. 67

PROPOSED TIME TABLE .......................................................................................... 67

APPENDIX III ............................................................................................................... 68

PROPOSED BUDGET ................................................................................................. 68