The Procurement Function And Performance Of Non-governmental Organisations In Uganda Case Study: Medical Research Council

ABSTRACT The purpose of the research study was to assess the impact of the Procurement Function and the performance ofNGO's a case study of Medical Research Council and objectives of the study were to assess the effect of disposal of stock, to explore how supplier management affects perfonnance and to establish the effect of sourcing on perfonnance in Medical Research Council and the researcher used simple random and purposive sampling method to collect data. f-listorical procurement used to be focused on certifying suppliers, issuing tenders, transactional tasks - raising and approving orders, managing quality disputes, negotiating over volume and price and reactive suppmt to business problems like shortages. Effective procurement function is a growing concern for management as it has been under looked by certain organizations due to the costs of implementation associated in the short run. An analytical descriptive design was employed with both qualitative and quantitative approaches in this study. The study involved 50 Staff out of 120 staffs and a self-administered Questionnaire with both open ended and stmctured questions supplemented by interviews. There is a significant relationship between disposal of stock, sourcing and perfonnance where all the questions under here scored highly in frequencies and percentages compared to those who disagreed. The findings indicate however, there is a weak relationship between supplier management and the perfonnance of an organization as there is a small difference between total agreement and disagreement. Sourcing is an important activity in procurement as noted by the most respondents agreeing to this compared to a few disagreeing to the questions under this activity. The 2 tailed CotTelations which were each significant at 0.05 level have a coefficient correlation of 82% for disposal exercise influencing departmental targets, MRC perfonnance improves due to influence by update of suppliers by 94%, MRC improvement is influenced by multi sourcing to a degree of 71% Handling the procurement function well will lead to a positive perfonnance of an organization but attention needs to be put on the challenges faced.

TABLE OF CONTENTS

Declaration .................................................................................... ii Approval.. ......................................................................................... .iii Dedication ........................................................................................... iv Acknowledgments .............................................................. .IV Abstract .................................................................................................. vi Table of contents ................................................................................ vii List of tables .......................................................................................... x List of figures ............................................................................ xi Abbreviations ........................................................................................ xii CHAPTER ONE: GENERAL INTRODUCTION .................................. ! 1.2 Background to the study .......................................................... I 1.3 Problem statement ...................................,,,,,,,,,,.................... .4 1.4 Purpose of the study ................................................................ 5 1.5 Objectives of the study were; .................................................. 5 1.6 Research questions .................................................................... 5 1. 7 Scope of the study .................................................................. 5 1.8 Significance of the study ........................................................... 6 1.9 Conceptual framework ................................................................ 7 CHAPTER TWO: LITERATURE REVIEW ........................................ 9 2.1 Introduction ................................................................................... 9 2.2 Theoretical framework .............................................................. 9 2.3 Actual review ................................................................................. 9 2.3 .1 Disposal of stock and organizational perfmmance .............................................................................................................. 9 2.3.2 Supplier management and organizational perfonnance ............................................. l4

2.3 .3 Sourcing and organizational pe1fonnance .................. 17 2.3 .4 Purchasing and organizational performance .............. 18 2.3.7 Performance measurements ............................................... 20 2.3.8 Perfonnance in public and nonprofit organization..... 20 CHAPTER THREE: ........................................................................... 23 3.1 Introduction ............................................................................. 23 3.2 Study design .................................................................................. 23 3.3 Study population ......................................................................... 23 3.4 Area of study ................................................................................ 24 3.5 Sample size and selection ....................................................... 24 3.6 Sampling teclmiques ................................................................. 24 3.7 Methods of data collection ................................................... 25 3.8 Data management and analysis .......................................... 26 3.9 Validity and reliability .............................................................. 27 3.10 Ethical considerations ............................................................ 27 3 .II Limitations in the study; ......................................................... 28 CHAPTER FOUR: DATA PRESENTATION AND DISCUSSION ........................... 29

4.1 Introduction .................................................................................. 29 4.2 Demographics .............................................................................. 29 4.3 Findings in line with the research question....................... 29 4.4 Disposal of stock. ...................................................................... 29