Supplier Management Practices and Procurement Performance in Kyenjojo District Local Government

The common market scenario today for many firms: is dependence on their suppliers to satisfy their internal production needs and market demands. This means that the role of suppliers in any firm’s operations cannot be underrated, however some firms have evidently failed to manage the unique part of external relations that directly influence quality of service delivery. This study was conducted purposely to examine the effect of supplier management practices on procurement performance of Kyenjojo District local government. The study had three specific objectives: to examine the influence of supplier selection on procurement performance; to assess the effect of supplier relationship management on procurement performance and lastly, to determine the influence of supplier development on procurement performance. Given the time constraints, a cross-sectional survey design was adopted to collect quantitative data from different categories of officers (i.e accounting officers, suppliers’ committee staff, procurement and disposal unit staff, technical planning committees staff and service providers) and qualitative data from the senior procurement officers, the heads of human resource department, the heads of stores, heads of the production department and the heads of finance). The study used multiple linear regression technique to analyse quantitative data whereas content analysis was used to process interview data into quotations to supplement the quantitative findings. Findings revealed that supplier selection has a significant positive relationship with procurement performance (Beta= .132, p < 0.05). A similar positive significant relationship was observed between supplier relationship management and procurement performance (Beta =.304, p < 0.05) and also between supplier development and procurement performance (Beta= .395, p < 0.05). Previous studies paid less attention to the predictive power of supplier management practices on procurement performance in a local government context. The present study provides evidence on the extent to which supplier management practices influence procurement performance in local governments. It therefore means that supplier selection, supplier relationship management and supplier development should be maximized to enhance procurement performance outcomes.

Procurement Performance, Supplier, Supplier Management, Local Governments, Kyenjojo District, Uganda

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