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EFFECT OF PROCUREMENT PLANNING ON SERVICE DELIVERY IN MUKONO

LOCAL GOVERNMENT

BY

MUZOORA JOSEPHINE

15/U/10447/PLE/PE

A RESEARCH REPORT SUBMITTED TO THE SCHOOL OF MANAGEMENT


AND ENTREPRENUERSHIP IN PARTIAL FULFILLMENTOF THE
REQUIREMENTS FOR THE AWARD OF THE BACHELOR
OF PROCUREMENT AND LOGISTICS MANAGEMENT
DEGREE OF KYAMBOGO UNIVERSITY

AUGUST 2018
DECLARA TION
I, MUZOORA JOSEPHINE, declare that to the best of my knowledge, the research report is
my original work and has never been submitted for any degree award in any University or for
MUZOORA JOSEPHINE 15/U/10447/PLE/PE

SIGNATURE…………………………………

DATE………………………………………….

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APPROVAL
This is to certify that the study entitled EFFECT OF PROCUREMENT PLANNING ON
SERVICE DELIVERY IN MUKONO LOCAL GOVERNMENT has been done under my
supervision and the report is now ready for submission to the Department of procurement and
marketing with my approval.

SIGNATURE…………………………………

MADAM MBEKEKA WINNIEFRED

DATE………………………………………..

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DEDICATION

This research is dedicated to my parents Mr. Muzoora Joseph and Ms. Muzoora Janestar who
have been such a great influence morally, financially and spiritually towards my studies.

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ACKNOWLEDGEMENT

Above all, I acknowledge God Almighty for the gift of life, Love and Grace as my hopes lay
upon his hands. It is by His grace that this research report has been accomplished. Glory and
praise be to God.

I wish to extend my heartfelt gratitude to my University supervisor Madam Mbekeka Winifred


Godfrey for his commitment to me in the course of the study more so for his professional and
academic guidance that enabled me to complete the research work.

I am deeply indebted to my parents Mr. Muzoora Joseph and Ms. Muzoora Janestar who have
brought me up and have been there for me in all financial, physical, social support and all the
assistances needed in my education and all day to day needs in my life, may the almighty Father
bless them accordingly.

I wish to extend my heartfelt feeling to my brother Muzoora James for his tireless financial
support, love care and moral support. I thank him for being there for me all the time I needed
him during my academics.

My special gratitude goes to kushemererwa Monica for all the support, love care and guidance
that has helped me to complete my academics. Thank you indeed for the trust and cooperation
you placed in me that enabled me to come up with this piece of work.

I acknowledge the co-operation, assistance and support of my friends Leticia, Brenda, Basam,
pius and George whose advice was of greater importance in accomplishing this task. You have
been a great force to reckon with, during my time of study.

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TABLE OF CONTENTS

DECLARA TION.............................................................................................................................i

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

DEDICATION...............................................................................................................................iii

ACKNOWLEDGEMENT..............................................................................................................iv

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

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

LIST OF TABLES...........................................................................................................................x

LIST OF ACRONYMS.................................................................................................................xii

ABSTRACT.................................................................................................................................xiii

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

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

1.0 Introduction................................................................................................................................1

1.1 Background to the study............................................................................................................1

1.2 Statement of the problem...........................................................................................................4

1.3 Purpose of the study...................................................................................................................4

1.4 Objectives of the study..............................................................................................................4

1.5 Research questions.....................................................................................................................5

1.6.0 Scope of the study...................................................................................................................5

1.6.1 Content Scope.........................................................................................................................5

1.6.2 Geographical Scope................................................................................................................5

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1.6.3 Time Scope.............................................................................................................................5

1.7 Significance of the study...........................................................................................................6

CHAPTER TWO.............................................................................................................................7

LITERATURE REVIEW................................................................................................................7

2.0 Introduction................................................................................................................................7

2.1 Definition of Procurement Planning..........................................................................................7

2.2 Definition of Service Delivery...................................................................................................7

2.3Roles under taken by the different stakeholders during Procurement Planning.........................8

2.3.1 Preparing a multi annual work plan:.......................................................................................9

2.3.2 Defining procurement requirements for an entity:.................................................................9

2.3.3 Aggregation of Requirements for the Procuring Entity..........................................................9

2.3.4 Dividing Requirements Allocated to a Single Procurement Process:..................................10

2.3.5 Integration of Diverse Decisions:.........................................................................................10

2.3.6 Estimating the Value of the Works, Services or Supplies Required :..................................10

2.3.7 Specific Role of the Accounting Officer:.............................................................................10

2.3.8 Ensuring availability of Sufficient Fund...............................................................................11

2.4 Role of Citizens in Procurement Planning...............................................................................11

2.4.1 Assisting the Town Council to Accurately Decide...............................................................11

2.4.2 Developing of proposals:......................................................................................................11

2.4.3 Evaluation of Potential Service Providers:...........................................................................11

2.5Factors affecting service delivery.............................................................................................12

2.6 Relationship between Procurement Planning and Service Delivery.......................................14

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CHAPTER THREE:......................................................................................................................16

METHODOLOGY........................................................................................................................16

3.0 Introduction..............................................................................................................................16

3.1 Research Design......................................................................................................................16

3.2 Study Population and Sample Size..........................................................................................16

3.3 Sampling Procedure.................................................................................................................17

3.4 Sampling Design and Procedure..............................................................................................18

3.5 Data Sources and Types...........................................................................................................18

3.6 Methods of Data Collection.....................................................................................................18

3.6.1 Questionnaire Method..........................................................................................................18

3.6.2 Measurement of Variables....................................................................................................19

3.6.3 Interviews:............................................................................................................................19

3.6.4 Secondary data/ Documentary review..................................................................................19

3.7 Procedure of data collection....................................................................................................19

3.7 Data Processing, Analysis and Presentation............................................................................20

3.8 Problems encountered..............................................................................................................20

CHAPTER FOUR.........................................................................................................................21

PRESENTATION, ANALYSIS AND DISCUSSION OF THE FIELD RESULTS....................21

4.0 Introduction..............................................................................................................................21

4.1. Background Characteristics of the Respondents....................................................................21

4.1.1 Gender of the respondents....................................................................................................21

4.1.2 Age distribution of the respondents......................................................................................22

4.1.3 Marital status of the respondents..........................................................................................23

4.1.4 Education level of the respondents.......................................................................................23

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SECTION A: Roles Undertaken by the Different Stakeholders...................................................24

SECTION B: Factors Affecting Service Delivery.........................................................................29


SECTION C: Relationship between procurement planning and service delivery.........................33
CHAPTER FIVE...........................................................................................................................36

SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS..........................36

5.0 Introduction..............................................................................................................................36

5.1.0 Summary of Findings...........................................................................................................36

5.1.1 General Findings...................................................................................................................36

5.1.2 The roles undertaken by different stakeholders....................................................................36

5.1.3 Factor Affecting Service Delivery........................................................................................37

5.1.4 Relationship between Procurement Planning and Service Delivery....................................37

5.2 Conclusion...............................................................................................................................37

5.3 Recommendations of the Study...............................................................................................38

5.4 Suggested Further Research....................................................................................................39

REFERENCES..............................................................................................................................40

APPENDICES...............................................................................................................................42

APPENDIX I: QUESTIONNARE................................................................................................42

APPENDIX II: TIME FRAME WORK 2017/2018......................................................................46

APPENDIX III: BUDGET FOR THE STUDY............................................................................47

APPENDIX IV: LETTER OF INTRODUCTION........................................................................48

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LIST OF FIGURES
Figure 1: Showing the sex distribution of the respondents............................................................21

Figure 2: Showing the Age distribution of the respondents..........................................................22

Figure 3: Showing Marital status of the respondents....................................................................23

Figure 4: Showing Education level of the respondents.................................................................23

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LIST OF TABLES
Table 1: Showing the Number and Type of Respondents.............................................................17

Table 2: Showing preparation of a multi annual work plan based on the approved budget..........24

Table 3: Showing Each Entity in the LG Defines its Procurement Requirements........................25

Table 4: Showing Dividing of Requirements Allocated to a Procuring entity..............................25

Table 5: Showing Integration of the Diverse Decision and Activities..........................................26

Table 6 : Showing the Accounting Officer’s Role........................................................................26

Table 7: Showing Citizens Assist the Town Council to decide on Services to be provided.........27

Table 8: Showing Citizens also Work With NGOs, CBOs and Political Parties to Develop
Proposals........................................................................................................................................28

Table 9: Showing Evaluation of Potential Service Providers........................................................28

Table 10: Showing Corruption Hampers the Provision of Services..............................................29

Table 11: Showing the Town Council Lacks Finances to Buy the Services.................................30

Table12: Showing getting the right service provider is a challenge..............................................30

Table 13: Showing Poor communication with communities in Mukono Local Government.......31

Table 14 : Showing the Town Council Faces a Challenge of Limited Skilled Personnel.............31

Table 15 Showing Projects are done according to or as demanded by the People........................32

Table 16: Showing Procurement Planning sets in motion the Process of Acquiring Services......33

Table 17: Showing Procurement Planning Facilitates Efficient and Effective Service Delivery. 33

Table 18: Showing Procurement Planning achieves Maximum Value for Expenditures on
Services..........................................................................................................................................34

Table 19 : Showing Relationship between Procurement Planning and Service Delivery.............34

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Table 20: Showing Pearson Correlation between Procurement Planning and Service Delivery.
Correlations....................................................................................................................................35

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LIST OF ACRONYMS
AG Attorney General

AIDS Acquired Immune Deficiency Syndrome

AO Accounting Officer

BOD Board of Directors

CBOs Community Based Organizations

CIPS Chartered Institute of Purchasing and Supply

CPAR Country Procurement Assessment Report

DPP Director of Public Prosecution

EAC East African Community

GCPC Government Central Purchasing Corporation

HIV Human Immune Deficiency Virus

IGG Inspector General of Government

LG Local Government NGOs Non-Government Organizations

MoFPED Ministry of Finance, Planning and Economic Development

NSDS National Service Delivery Survey

OECD Organization for Economic Co-operation and Development

PDES Procuring and Disposal Entities

PDU Procuring and Disposal Unit

PPDA Public Procurement and Disposal of Public Assets Authority

PPDAA Public Procurement and Disposal of Public Assets Act

RCTB Reformed Central Tender Board

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ABSTRACT

This research studied the effect of procurement planning on service delivery in Local
government, a case study of Mukono Local government. The findings of the study revealed that
there is a strong positive relationship between procurement planning and service delivery. Most
of the respondents strongly agreed with it. It explored to examine the roles under taken by the
different stakeholders during Procurement Planning in Mukono Local government, to establish
the factors affecting service delivery in Mukono Local government and to establish the
relationship between Procurement Planning and Service Delivery. The study will be of great
importance to the people of Mukono Local government and stakeholders that involved
themselves in the procurement planning process and service delivery of Mukono Local
government and the entire nation at large as the study unveiled procurement planning and tasks
management problems that has all along not been observed in the organization. The study
employed self-closed end questionnaires to collect data. Data was collected using self-
administered questionnaires. The study used stratified and purposive sampling techniques to
draw representative samples and 50 respondents were involved in the study. This was done using
relevant computer packages like Microsoft excel to derive at good tables and charts for easy and
quick interpretation. Also the study undertook to examine the roles of different stakeholder in
procurement planning and the following were found out; defining procurement requirements,
dividing requirements allocated to a single procurement process into separate lots, integration of
the diverse decision and activities, ensuring availability of sufficient funds to run the plans,
developing of proposals and evaluation of potential service providers. Some factors were found
to be affecting service delivery and these included the following corruption, lack of finances, the
challenge of getting the right service provider, limited skilled personnel, also poor
communication. The study also recommends the following; Corruption should be reduced by
enforcing of strict rules and giving penalties, training the recruited workers, the procurement
team should carryout research so as to find out a reliable service.

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CHAPTER ONE

INTRODUCTION

1.0 Introduction

This chapter includes the following; back ground to the study, statement of the problem, purpose
of the study, objective of the study, research questions, scope of the study which includes the
content scope, geographical scope and time scope and finally the significance of the study.

1.1 Background to the study

The world of procurement is changing fast. Organisations aim at getting the best value product or
service by encouraging openness, developing the relationships with potential suppliers, engaging
with service users and marketing opportunities widely. The purchasing profession has been
gaining recognition in developed countries faster than in the developing countries
(Matechak,2009). In public service, many developing countries Uganda inclusive have not
managed to advance the purchasing profession either because of lack of managers (supervisors)
to recognize the profession or because top management does not support and fully understand the
required competences for effective development of the purchasing and supply chain function
(Msimangira, 2003).

According to Arowsmith and Trybus (2003) the procurement officer must inspire confidence and
give the stakeholders feelings of credibility and trustworthiness. The various stakeholders must
feel that the procurement officer competently selects a supplying company that has the capacity
and competence to deliver the service requested. Yet such attributes have been highly violated
within the central government, poor services have been common as rated by the IGG at 9.1 % of
the mismanagement and misappropriation of the public resources in Uganda (Mugerwa,
2010).This calls for Self-efficacy of procurement officers in addition to required operant
competencies for exhibiting accountability and perceived service quality (Bandura, 1997).
Demonstrated accountability and transparency reduces the likelihood of unethical behavior,
reassures and instills confidence in all stakeholders concerning the integrity of decisions in the
procurement process (Queens Land Purchasing guide, 2006). However the procurement field is

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full of complex competitive environment which give rise to accountability problems that relate to
neglect, poor personal loyalty and advanced selfinterest (Barrett, 2000). This is reflected in a
report by IGG that rated conflict of interest as 2.4% and abuse of office at 17.8% of
mismanagement and misappropriation of public funds in Uganda (Mugerwa, 2010). Making the
roles and responsibilities of the participants in the procurement process difficult and not clear.

Van Wheel (2005) defines procurement planning as the process of determining the procurement
needs and the timing of their acquisition and funding such that the entire operations are met as
required in an efficient way. He adds that it generates power that propels the engine of the
procurement process. Thus a mistake in procurement planning may culminate into diverse
implications in the organization that may deter its progress.

In Uganda, procurement planning is part and parcel of the traditional planning already familiar in
local governments: - notably, development planning and budgeting. The mandate for planning in
local governments is derived from Regulation 62 of the Local governments (PPDA, 2006): user
department prepare an annual work plan for procurement based on the approved budget, which
shall be submitted to the procurement and disposal unit to facilitate orderly execution of annual
procurement activities. It is also states that a procurement plan should be integrated into the
annual sector expenditure program to enhance financial predictability, accounting and control
over procurement budgets. The combined work plan for the procuring and disposing entity will
include details of activities of works, services or supplies to be procured, a schedule of
procurement requirements in order of priority, a statement of required resources supported by a
schedule of the projected funding.

Article 190 of the Ugandan constitution states that district councils shall prepare comprehensive
and integrated development plans incorporating the plans of lower level governments for
submission to the National Planning Authority and Article 194 of the constitution mandates the
central government to transfer funds in form of grants to local governments in order to
implement decentralized services. As part of the efforts to adopt a long term and strategic view
of their procurement needs and management, most countries have resorted to turning to their
annual procurement plans as a possible 'problem-solver.' However procurement plans are

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hindered by corruption which diverts decision-making and the provision of services from those
who need them to those who can afford them (Langseth, Kato, Kisubi& Pope, 1997).

According to National Service Delivery Survey (2008), the government has the obligation to
provide services to its citizens and to steer economic growth and development through the
provision of public services. The public service is the main implementing machinery for national
development programmes and specifically, the delivery of public services. It is therefore very
important for the public service to monitor and evaluate the delivery of public services and to
obtain feedback from service recipients, regarding their efficiency and effectiveness. The
National Service Delivery Survey (NSDS) has been institutionalized by Government as a key
instrument to that effect. Under the Public Service Reform Programme, surveys are conducted in
the sectors of education, health, road infrastructure, water and sanitation, agriculture and
governance among others. In service delivery, the system of delivery must view tax payers as
customers, this therefore calls for placing “a high priority on delivery of personalized efficient
customer service (Mourney1991).” He further noted that attitudes exhibited by service providers
employees and managers must be aimed at developing good working relations and ensuring that
customers (tax payers/citizens) are handled well while being served.

Mukono District local government is faced with different challenges related to ineffective
procurement planning and these have resulted into poor service delivery in terms of
infrastructures like poor roads among others, all these are partly attributed to political
interference. Substantial resources have been committed towards improving service delivery in
areas such as infrastructure development and maintenance, rural development, human
development and governance, among others. In particular, it is noted that households do not only
need income but also require adequate community infrastructure such as schools, health
facilities, clean water, roads, energy, security, law and order (National Service Delivery Survey
2010).The researcher therefore seeks to examine the effect of procurement planning on service
delivery in Mukono district local government.

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1.2 Statement of the problem

The ultimate goal of procurement planning is coordinated and integrated action to fulfill a need
for goods, services or works in a timely manner and at a reasonable cost. Early and accurate
planning is essential to avoid last minute, emergency or ill-planned procurement, which is
contrary to open, efficient and effective and consequently transparent procurement. Ntayi et
al., (2012) asserts that, most potential savings in the procurement process are achieved by
improvements in the planning stages. Procurement planning is necessary for better
procurement performance which in turn leads to better service delivery by ensuring
efficient acquisition of resources for service delivery. However, procurement planning alone
may not contribute to better service delivery. Other factors such as organizational structure,
tendering process, corruption, resource availability and bureaucracy among others greatly impact
service delivery.(Agaba and Shipman, 2013).A number of studies relating to procurement
planning and service delivery have been done and they identified several critical problems
with Uganda’s procurement system; weak oversight institutions, poor linkages between
procurements and expenditures, delays and inefficiencies and poor records management.
Despite the numerous studies on procurement planning, the aspect of service delivery in relation
to procurement planning has been largely neglected therefore this study was intended to
bridge the knowledge gap and seeks to examine the effect of procurement planning on
service delivery in Mukono Local Government.

1.3 Purpose of the study

The study aimed at establishing the effect of procurement planning on service delivery in
Mukono Local Government.

1.4 Objectives of the study

1. To examine the roles under taken by the different stakeholders during Procurement Planning
in Mukono Local Government.

2. To establish the factors affecting service delivery in Mukono Local Government.

3. To establish the relationship between Procurement Planning and Service Delivery.

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1.5 Research questions

1. What are the roles undertaken by the different stakeholders during Procurement Planning in
Mukono Local Government?

2. What are the factors affecting Service Delivery in Mukono Local Government?

3. Is there any relationship between Procurement Planning and Service Delivery?

1.6.0 Scope of the study


The proportion of the research covered the content scope, geographical scope, and the time
scope.

1.6.1 Content Scope


The study focused on the three objectives of the study which include, examining the roles under
taken by the different stakeholders during Procurement Planning in Mukono Local Government,
to establish the factors affecting service delivery in Mukono Local Government and to establish
the relationship between Procurement Planning and Service Delivery.

1.6.2 Geographical Scope


The study was carried out at Mukono municipality in Mukono district. It is bordered by Kalagi to
the north, Kira Town to the west, Lake Victoria to the south, and Lugazi to the east. The town is
27 kilometres (17 mi) east of the central business district of Kampala, Uganda's capital and
largest city. The town occupies approximately 31.4 square kilometres (12.1 sq mi) of land area.
The coordinates of the town of Mukono are 00 21 36N, 32 45 00E (Latitude: 0.3600; Longitude:
32.7500).

1.6.3 Time Scope


The study took period of 6 months that is from March to August 2018 while covering the years
of 2014 to 2018 because that period enabled the researcher to get current information about the
study.

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1.7 Significance of the study
Given the fact that procurement irregularities still exist in public procurement and yet the public
procurement reforms are intended to improve financial accountability, increase transparency,
value for money, maximize competition and detect and stop any form of procurement
irregularities. Therefore the study findings may be of value to different authorities like
procurement professionals, non professionals, the local government and all those involved in
public procurement as illustrated below.

The findings of the study will specifically help the local government of Mukono Local
Government to revisit her procurement planning if they are to improve on service delivery.

The study conclusions and recommendations envisaged at the end of the study will help local
authorities, contract committees, procurement staff and all those involved in public procurement
to improve and appreciate the public procurement function.

In addition, the study findings are hoped to identify and suggest ways to fill gaps in Public
Procurement planning Reforms to enhance value for money, efficiency, transparency,
competition and accountability in Public procurement.

The study will also help policy makers to formulate ways on how to improve the service delivery
in the economy.
The study will also act as a basis for further research to other researchers in field of Public
Service Delivery and procurement in Uganda

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CHAPTER TWO

LITERATURE REVIEW

2.0 Introduction
This chapter reviews the related literature on effect of procurement planning on service delivery
in Mukono Local Government. The literature is got from various sources such as text books,
journals, newspapers, magazines and the internet.

2.1 Definition of Procurement Planning

According to Agaba& Shipman, (2007), procurement planning is the process used by companies
or public institutions to plan purchasing activity for a specific period of time. This is commonly
completed during the budgeting process. Each year, departments are required to budget for staff,
expenses, and purchases. This is the first step in the procurement planning process.

Economic commission of Africa (2003) defines procurement planning as the purchasing function
through which organization obtain products and services from external suppliers. A good
procurement plan will go one step further by describing the process you will go through to
appoint those suppliers contractually. Whether you are embarking on a project procurement or
organizational procurement planning exercise, the steps will be the same. First, define the items
you need to procure. Next, define the process for acquiring those items. And finally, schedule the
timeframes for delivery.

Procurement is thus one part of the commissioning process. It refers to a specific method of
purchasing services which involves tendering for a contract. Sometimes it is more appropriate for

a public body to fund a service through the provision of a grant, but then it will have less control
over the precise outcomes to be delivered.

2.2 Definition of Service Delivery

Oboth (2001) noted that in as far as the Local Government Act, the constitution and any other
statutes that are studied, there is no definition of the phrase (service delivery) either deliberately
or ignorantly. However he said, Service is a system or arrangement that supplies public needs.

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Whereas delivery is periodical performance of a service. Therefore service delivery is a system
or arrangement of periodical performance of supplying public needs. Helmsing (1995) in his
study defines service delivery as a deliberate obligatory decision by the elected or appointed
officials to serve or deliver goods and services to the recipients. Heskett (1987) defines service
delivery as an attitudinal or dispositional sense, referring to the internationalization of even
service values and norms.

According to Agaba& Shipman, (2007), procurement planning is the process used by companies
or public institutions to plan purchasing activity for a specific period of time. This is commonly
completed during the budgeting process. Each year, departments are required to budget for staff,
expenses, and purchases. This is the first step in the procurement planning process.

Economic commission of Africa (2003) defines procurement planning as the purchasing function
through which organization obtain products and services from external suppliers. A good
procurement plan will go one step further by describing the process you will go through to
appoint those suppliers contractually. Whether you are embarking on a project procurement or
organizational procurement planning exercise, the steps will be the same. First, define the items
you need to procure. Next, define the process for acquiring those items. And finally, schedule the
timeframes for delivery.

Procurement is thus one part of the commissioning process. It refers to a specific method of
purchasing services which involves tendering for a contract. Sometimes it is more appropriate for

a public body to fund a service through the provision of a grant, but then it will have less control
over the precise outcomes to be delivered.

2.3Roles under taken by the different stakeholders during Procurement Planning


There is now very limited doubt among policy makers, managers, professionals and
academicians about the role of public procurement planning in facilitating government
operations in both developed and developing countries (Goh, Lau & Neo, 1999). Public
procurement is increasingly recognized as a profession that plays a significant role in the
successful management of public resources. According to PPDA Regulations (2006), the
following should be undertaken during Procurement Planning in local government in Uganda

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2.3.1 Preparing a multi annual work plan: Each user department should prepare a multi-
annual rolling work plan for procurement based on the approved budget, which is submitted to
the procurement and disposal unit to facilitate orderly execution of annual procurement
activities. A procurement plan is integrated into the annual and multi-annual sector expenditure
programme to enhance financial predictability, accounting and control over procurement
budgets. A procurement and disposal unit uses the combined work plan to plan, organize,
forecast and schedule the procuring and disposing entity's procurement activities for the financial
year, section 96 of the PPDA regulations (2006).

2.3.2 Defining procurement requirements for an entity: It is the role of each entity in the local
government to define its procurement requirements, identify all of the items they need to procure
(Agaba& Shipman, 2007). Creating a sound financial justification for procuring them, listing all
the tasks involved in procuring their services, scheduling those tasks by allocating timeframes
and resources. Through a Procurement Plan template, the procuring entity can quickly and easily
define its procurement requirements, the method of procurement and the timeframes for delivery
(Basheka, 2008).
2.3.3 Aggregation of Requirements for the Procuring Entity. The aggregation of requirements
takes into account, the market structure for the items required, items which are of a similar nature
and which are likely to attract the same potential bidders, the optimum size and type of contract
to attract the greatest and most responsive competition or the best prices, items which are subject
to the same method of procurement and bidding conditions, items which shall be ready for
bidding at the same time, items which shall be subject to the same conditions of contract,
potential savings in time or transaction costs, the appropriate size of contract to facilitate the
application of any preference and reservation schemes, and the optimum: number and size of
contracts to facilitate management and administration of contracts by the procuring and
disposing entity.

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2.3.4 Dividing Requirements Allocated to a Single Procurement Process: It is the role of the
procuring entity to divide requirements allocated to a single procurement process into separate
lots if it is anticipated that the award of several separate contracts would result in the best overall
value for the procuring and disposing entity. Where a number of lots are to be procured under the
same procurement process, the solicitation documents shall clearly state; the number of lots
included in the procurement process, the nature and size of each lot, the minimum and maximum
number of lots, if any, for which a bidder may bid, the proportion of each lot for which a bidder
may bid, or whether a bid shall be for complete lot and the method of evaluating multiple lots.

2.3.5 Integration of Diverse Decisions: (Mawhood, 1983) contends that during procurement
planning, the procuring unit brings about effective integration of the diverse decisions and
activities of members on the technical planning committee not only at a point of time but also
over a period of time. It is by reference to the framework provided by planning that members on
the technical planning committee make major decisions on local government activities, in an
internally consistent manner.

2.3.6 Estimating the Value of the Works, Services or Supplies Required : In estimating the
value of the works, services or supplies required and confirming the availability of funds, a
procuring entity shall ensure that the estimate is realistic and that- the estimate is based on up-to-
date information, technical advice is sought, where required, and the confirmation of availability
of funding takes into account the total acquisition cost in accordance with regulation 227 of the
PPDA Regulations (2006).

2.3.7 Specific Role of the Accounting Officer: During procurement planning the accounting
officer ensures that the public entity establishes a procurement unit, appoints members of the
tender committee, procurement committee and other, structures in accordance with Act and the
Regulations. Appointing members of the tender committee, appointing members of tender
evaluation committees, Ensuring procurement plans are prepared, Ensuring proper
documentation of procurement proceedings.

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2.3.8 Ensuring availability of Sufficient Fund. Where payment to a service provider is
anticipated to last more than one financial year, it is the role of the accounting officer to ensure
that financial provision is made in the budget estimates for the appropriate year to support the
procurement during the subsequent years. The accounting officer also ensures that sufficient
funds are budgeted for framework contracts every financial year, to cover the full cumulative
cost of call off orders anticipated for each year for a framework contract.

2.4 Role of Citizens in Procurement Planning.


Citizens and their organizations also have very important roles to play in the procurement
planning for their local governments and some of these are:
2.4.1 Assisting the Town Council to Accurately Decide. Assisting the town council to
accurately decide on which services are to be expanded and improved, particularly during the
planning stages and insisting that the council consults citizens during decision-making (Basheka,
2008).

2.4.2 Developing of proposals: Chuan&Leu (2009) noted that Residents also work with Non-
Governmental Organizations (NGOs), Community Based Organizations (CBOs) and political
parties to develop proposals for the council to consider during planning. Communities can also
request the town council to appoint a committee of community representatives to monitor
processes as well as to advise the town council on priorities for service extension and
improvement.

2.4.3 Evaluation of Potential Service Providers: Communities or their representatives can also
play some role in the evaluation of potential service providers, the involvement of communities
in service provision and monitoring of the performance of service providers is vital in planning.
This kind of involvement of citizens ensures that procurement planning and decision-making
process reflect their needs and priorities and lead to the types of decisions that will make an
effective services delivered in an open, fair and democratic local government (Livingstone &
Charlton, 2001).

11
2.5Factors affecting service delivery

Infrastructure affects greatly on service delivery. For instance, in Kenya, the provision of better
infrastructures has lagged being over years. There are poor roads and inadequate electricity
supply and hence Kenya still stands in need of better infrastructures (Proceedings of National
Investment Conference, 2003).

Public procurement, at the local government level, is believed to be one of the principle areas
where corruption in Kenya takes place ("National Public Procurement Integrity Baseline
Survey," 2006). Corruption is disastrous to the sound functioning of any government department.
Corruption has been an intractable problem in many developing countries; especially where it
has become systematic to the point where many in government have a stake. It diverts decision-
making and the provision of services from those who need them to those who can afford them
(Langseth, Kato, Kisubi& Pope, 1997).

Lawal (2000) further asserts that corruption has been rampant among the senior civil bureaucrats
to whom the public funds meant for developmental purposes are entrusted. Generally, wide-scale
embezzlement by officials of the grassroots has made the needed development of the grassroots a
tall dream and has rendered them financially incapable to discharge their constitutionally
assigned responsibilities hence compromising service delivery.

At every stage of public procurement, there are risks of integrity. During the pre-bidding period;
starting from needs assessment, common risks include lack of adequate needs assessment,
planning and budgeting of public procurement, requirements that are not adequately or
objectively defined, an inadequate or irregular choice of the procedure and a timeframe for the
preparation of the bid that is insufficient or not consistently applied across bidder s (OECD,
2007). All these concern the function of procurement planning. Should local government's
procurement system fail to manage these risks, accountability and eventual service delivery is
seriously threatened.

Despite the increase in the total amount of funds available to local government in Kenya, its
economic and financial profile is still poor as compared to the development programme it is
expected to carry out. This situation is not unconnected to the mismanagement and
embezzlement of these funds by the local councils (Bailey, 1998).
12
Ahmed (2005) further noted that many local governments in Kenya, however, are unable to
deliver services to residents. He said this might be because of lack of finances or lack of capacity
to provide a good service at an affordable price. So local governments should find other ways to
ensure that the services are improved and reach the people most in need of them.

In the provision of public services, it is a challenge to get the actual providers to be accountable
for quality and efficiency as well as to have the resources and management authority to do the
job well. The general feeling in the hotspots is that political leadership lacks responsiveness to
issues raised by communities, incompetent, prone to corruption and with high degree of
disregard for the communities which also compromises the delivery of services in local
governments.

The other contributing factor is that local ward committees are not fully operational, resulting in
poor communication with communities. Ward committees have been the focus of considerable
attention by government as well civil society, with substantial investment already made in an
attempt to ensure that these structures have the necessary capacity and resources required for
them to fulfill their envisaged roles as the voices of communities (Langseth, 1997). At the same
time, questions that are often asked are how effective are these institutions; whether they are
useful conduits for community involvement in local governance; whether, as created space for
public participation, they are inherently capable of playing the critical role expected of them
towards service delivery.

The local government Act requires all local governments to “take reasonable steps to ensure that
their resources are used effectively, efficiently and economically”. Good financial management
is the key to local delivery. It is quite disturbing to note that most local governments are
generally associated with the worst form of financial management. Corruption, financial
mismanagement and non-compliance with financial legislation are common. Consequently, this
result to poor performance thus the delivery of social services is compromised.

Parasuraman et al (1996) points that skills deficit within local governments remains a major
challenge. A significant number of local governments do not have the managerial,
administrative, financial and institutional capacity to meet the rising needs of local people. This
situation is exacerbated by the decline of municipal professional and poor linkages between local

13
government and tertiary education sector. As a result these local governments cannot meet their
required performance standards hence impacting adversely on the delivery of services.

Indiscipline is rampantly perceived and well pronounced among the workers in local government
(Hernon& Whitman, 2001). They further said that senior officers who travel to their families
away from their offices on Friday return very late the following Monday or may decide to stay
back till Tuesday; and the junior members of staff who directly or indirectly observe this more
often than not are in the habit of playing truant with their jobs. Little or no commitment to duty
has become a rule rather than an exception.

Hard-earned and limited resources accrued to and raised by local government are always
mismanaged. Priorities are misplaced; projects are done not according to or as demanded by the
people but regrettably in tune with the selfish end and aggrandizement of the political leadership
in collaboration with the senior bureaucrats at the local government level of administration
(Johan, 2006).

2.6 Relationship between Procurement Planning and Service Delivery

Johan (2006) further came up with some important service delivery improvement slogans. He
said he who fails to plan for service delivery, plans to fail delivering services to the public. And
if it cannot be measured, it cannot be improved. If we only plan to comply with regulations, we
are not managers, we are robots. What we plan we must implement. What we implement, we
must monitor. We should not be afraid to ask the customer (citizens). They really do know best
what they need and what they get. It is not always the same thing.

Basheka (2004) argues that procurement planning is one of the primary functions of procurement
with a potential to contribute to the success of local government operations and improved service
delivery. It is a function that sets in motion the entire acquisition/procurement process of acquiring
services in local governments. Increasing the effectiveness, efficiency and transparency of public
procurement systems is an on-going concern of governments in Developing Countries and the
international development community. It has been widely recognised that increasing the
effectiveness of the use of public funds, including funds provided through official development
assistance (ODA) requires the existence of a national procurement system that meets international
standards and that operates as intended (Mawhood, 1983).

14
Mullins (2003) asserts that the contribution of procurement planning in facilitating an efficient
and effective service delivery in public sector organizations is generally undisputed in both
developed and developing countries. Its contribution can be at both central and local government
levels of public sector management. His findings revealed a significant positive relationship
between procurement planning and service delivery in local government procurement systems in
Kenya. These results are compared to international research findings, and suggestions are offered
for management, policy making, and future research.

Procurement Policy Manual (2009), procurement planning drives different expected results
which are different from business as usual such as: reduction in the number of o verall contract
awards, understanding and managing total cost of ownership, more purchasing options (lease vs.
buy), data-driven decision making, improved risk mitigation prior to award, more identification
of opportunities where suppliers can add value, improved relationships with suppliers which
leads to improved service delivery

Mawhood (1983) further adds that effective procurement planning is an important route towards
securing the right service to be delivered to the public, and also maximizing the level of service
provision which can be achieved within the local Supporting People. A procurement plan helps
Procuring Entities to achieve maximum value for expenditures on services to be delivered and
enables the entities to identify and address all relevant issues pertaining to a particular
procurement before they publicize their procurement notices to potential suppliers of goods, works
and services.

15
CHAPTER THREE:

METHODOLOGY

3.0 Introduction

This chapter shows a description of research design, study population, sampling design which
included the sampling method, sampling procedure and sample size, sources of data collection,
data collection methods, data processing, analysis, and presentation, and the limitations
encountered by the researcher.

3.1 Research Design

Both case cross section study and description designs were employed to collect primary and
secondary data. Data was collected using focus group discussion and observation whereas
descriptive was used to collect primary data using interviews and questionnaires. These designs
enabled the researcher to describe the topic as well as giving the description of a unit sample in
depth. Therefore qualitative description of procurement planning and services delivery were
ensured. It combined both qualitative and quantitative approaches. Qualitative approaches
included use of interviews, documentary review and observations. These provide details that
come from direct quotations from the exact words said by respondents as suggested by Kakooza
(2002). Quantitative approaches involved use of descriptive statistics generated with frequency
tables and pie charts. These approaches were adopted to enable the researcher collect and
analyze relevant information concerning peoples’ opinions about the impact of procurement
planning toward service delivery in Mukono district local government Local government

3.2 Study Population and Sample Size

Mugenda (2003) defines population as an entire group of individuals, events, objects having a
common observable characteristic. A target population is defined as that which the researcher
wanted to generalize the results of the study. Brinker (2006) says that, a target population is a
large population from whom the sample population is selected from. The population studied
include the staff from Mukono district and residents of Mukono district who are the beneficiaries
of the services provided. A sample of 50 respondents out of the total of 100 of the study

16
population will be selected and approached by the use of simple random sampling method and
interviewed at different levels.

The sample size consisted of 50 respondents from the study area and this selected as in table1
below.

Table 1: Showing the Number and Type of Respondents

Category of respondents Study Population Sample size Percentage (%)

Local government officials 10 5 10.0


Budget committee members 5 3 6.0
Service providers 10 5 10.0

Beneficiaries (residents) 75 37 74
Total 100 50 100
Source: Primary Data 2014 (Mukono district Local government)

The study used a sample size of 50 respondents because it was large enough compared to the
study population. In addition, the study determined the sample size of the respondents by using
the following formulae.

P= F/N x n. Where; F= Number in the category

N = Total population.

P = Number of respondents in the category to be obtained from the group

n = Total number of the respondents needed by the study.

3.3 Sampling Procedure

Kothari (2011) defines a sampling procedure as a definite plan for obtaining a sample from a
given population. Simple random sampling was used for this study. The study used purposive
during the process of data collection from the study respondents. The study used purposive
sampling technique since it allowed the researcher to select a sample with experience and
knowledge about the study variables.

17
3.4 Sampling Design and Procedure

The sampling procedures that were used were stratified random sampling and purposive
sampling where respondents who conform to the purpose of the study was selected from
different sections of the Mukono district local government. This was done in order to select
respondents with the required information.

3.5 Data Sources and Types.

The study used both Primary and Secondary Data. Primary data was collected by use of
questionnaires in the field while secondary data was collected from available published records
such as textbooks, journals, magazines, manuals, internet and Kyambogo University library
among others.

3.6 Methods of Data Collection

3.6.1 Questionnaire Method

The researcher used closed ended questions. They were administered to 50 respondents. This
helped to obtain the required data. The questionnaires were answered by respondents and were
later collected by the researcher. Quite a lot of information in a relatively short period of time.

The questionnaires collected data from procurement planning and non professionals as well as
Municipality authorities working hand in hand with the procurement department and selected
staff from the Town management selected from the study population. The questionnaire was
chosen because it’s relatively cheap to administer to respondents scattered over a large area. In
addition, the method provides information with minimum errors and ensures a high level of
confidentiality.

Though the information is necessarily more limited, it can still be very useful. For example,
where certain clearly defined facts or opinions have been identified by more qualitative methods,
a questionnaire can explore how generally these apply, if that is the matter of interest.

However questionnaires sometimes limit respondents on information to be given, in case of poor


interpretation, respondents may give non corresponding answers which may affect the findings.

18
3.6.2 Measurement of Variables

The study will use a 5-point linkert scale to measure the variables which are procurement
planning and service delivery to come up, with findings. This ranged from strongly agree to
strongly disagree (strongly agree, agree, not sure, disagree, and strongly disagree).

3.6.3 Interviews:

Interviews helped the researcher to obtain more information from the respondents as the
researcher was able to make interactions with the respondents by asking questions. During this
time the researcher was using an interview guide that enabled her to collect information related
to the study objectives.

In addition to interview guides, informal interviews were also used to solicit responses and these
were conducted by the researcher. These provided confidence and protection to the respondents
and will thus open up for more information. This tool further helped in the respondents who were
not able to write and read and also helped the researcher to make observations as she takes note
in his notebook. They provided guidance about what to do or say next after the interviewee has
answered the last question. A guide was necessary because the study population is very
sentimental and therefore requires appropriate approach. However interview guides are time
consuming both in terms of data collection and analysis.

3.6.4 Secondary data/ Documentary review

This includes data collected from different sources such as the internet, newspapers, text books,
magazines and journals. This provided information helpful during the study and opened up the
researcher’s mind in understanding the study variables of Procurement planning and services
delivery in Uganda Local Government in depth and helped him to make analysis of the past
trends of various authors in relation to the topic under study.

3.7 Procedure of data collection

After the approval of the research proposal by the University research supervisor, a letter of
introduction was obtained from the department of Procurement and Marketing of Kyambogo
University which was presented to the management of Mukono district Local government
19
asking for permission to carry out the research in their area. The researcher then distributed
questionnaires among the selected groups for filling. Later, interviews were given to selected
groups and answers received were used in writing the final reports. Finally, the researcher
collected the filled questionnaires; which were statistically analyzed and interpreted to make a
valid conclusion in the final analysis.

3.7 Data Processing, Analysis and Presentation

After collecting the data, it was recorded manually. This involved editing, coding, classifying
and tabulating the data to a representative level for analysis. Editing was done by selecting the
valid and useful information from the study respondents’ responses that were in relation to the
study objectives. Coding was done for proper analysis, noting the relationship among the data
given by the respondents. The researcher classified the data categorically to ensure that every
respondent was able to bring out their essential pattern.

The data collected was processed and analyzed using Statistical Package for Social Sciences
(SPSS) in order to come up with frequencies and percentages and the relationship between the
variables was established and tested using Pearson correlation. Micro soft word and excel was
used in drawing tables so as to clearly present the findings.

3.8 Problems encountered


While carrying out the study the researcher may face the following problems;
 Financial problems in terms of photocopying, secretarial services, transport costs may be
faced. However the researcher solicited funds from relatives and friends.
 The researcher also faced problems of unresponsive respondents in conducting the research.
This was dealt with by giving them ample time to fill the questionnaires during their free
time.
 Time frame in which the researcher was required to produce a final report was not enough.
This was dealt with by using the project schedule accurately.

20
CHAPTER FOUR

PRESENTATION, ANALYSIS AND DISCUSSION OF THE FIELD RESULTS

4.0 Introduction

This chapter presents analyses and discusses the study results obtained from the field regarding
the impact of procurement planning on service delivery in Mukono Local Government. It was
based on the study objectives which were to examine the roles under taken by the different
stakeholders during Procurement Planning in Mukono Local Government, to establish the factors
affecting service delivery in Mukono Local Government and to establish the relationship
between Procurement Planning and Service Delivery. The study was localized Mukono Local
Government.

4.1. Background Characteristics of the Respondents

The background characteristics of the respondents were composed of age bracket, marital status,
education level and marital status of the respondents. Background characteristics like Gender,
marital status, age and education level were very important parameters that can have a bearing on
any phenomenon in any society. It can indicate how informed the society is including having
implications on the study. These were looked at in relation to the procurement planning and
service delivery in Mukono Local Government.

21
4.1.1 Gender of the respondents
Figure 1: Showing the sex distribution of the respondents

sex of the respondents

62

38

Male Female

Source Field data 2018

From the figure 1 above, study findings revealed that the number of respondents in the study area
by gender. Demographic data on the general respondent’s revealed unequal distribution as the
majority of the respondents were males with 62% as opposed to the females with 38%. The study
findings indicate that males had a bigger share of participation than females in the study.
Although the proportions of women is more than that of men in terms of population of the
communities, in the world of work there are generally fewer females compared to males because
males are considered to be more powerful and strong compared to female and that is why they
more males in the work world..

22
4.1.2 Age distribution of the respondents
Figure 2: Showing the Age distribution of the respondents

Age bracket of respondents

64

20
16

15-30 30-40 41 above

Source Field data 2018

Figure 2 above shows that 64% of the respondents were between 30-40 years, 20% were between
15-30years and 16% were 41years and above. This indicates that the respondents in all
categories sampled that is to say (staff in the tender board, public and tenderers from the Mukono
Local Government were mature respondents with a diverse of data about issues that concern the
world of work and have responsibility in the Town Council local government tender board,
(contract awarding and management) has knowledge of the procurement planning and service
delivery in the Municipality.

23
4.1.3 Marital status of the respondents
Figure 3: Showing Marital status of the respondents

Marital status of respondents


80

14
6
0

Single Married Widowed Separated

Source Field data 2018

Figure 3 above shows that 6% of the respondents were single, 80% were married, 14% were
widowed. These findings show that a big percentage of the respondents sampled were married.
These were of mature age with experience in the world of work and the Municipality service
commission gives responsibilities because they are considered responsible and understand the
impact of procurement planning and service delivery in the Municipality.

4.1.4 Education level of the respondents


Figure 4: Showing Education level of the respondents

Education level of respondents


50

18 18
10
4

Certificate Diploma Degree Masters Non of the above

24
Source Field data 2018

From the table above, the highest percentage that is 50% of the respondents had not attained any
level of education and these were found among the beneficiaries of the services provided, these
were followed by 18% who had attained diplomas and degrees, 10% with certificates and lastly
4% with masters these were mostly the workers in the town council. This implies that the
workers had acquired some skills to work in local government.

SECTION A: Roles Undertaken by the Different Stakeholders


Table 2: Showing preparation of a multi annual work plan based on the approved budget.

Response Frequency Percent (%)

Strongly agree 17 34.0

Agree 33 66.0

Not sure 0 4.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From the table above, 66% and 34% of the respondents agreed and strongly agreed respectively
that each user department prepares a multi annual work plan based on the approved. This implies
that each user department is responsible for preparing its work plan so that it can be integrated
into the annual and multi-annual sector expenditure programme to enhance financial
predictability, accounting and control over procurement budgets. This is also supported by
Section 96 of the PPDA regulations 2006.

25
Table 3: Showing Each Entity in the LG Defines its Procurement Requirements

Response Frequency Percent (%)

Strongly agree 22 42.0

Agree 24 48.0

Not sure 3 6.0

Disagree 1 2.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 3 indicates that 48% and 42% of the respondent agreed and strongly agreed respectively
that each entity in the LG defines its procurement requirements, 6% of the respondents were not
sure whether each entity in the LG defines its procurement requirements, and on 2% disagreed.
Basing on the highest percentage (48%) of the respondents the study concludes that it is the role
of each entity in the local government to define its procurement requirements so as to create a
sound financial justification for procuring them. This is also similar to findings of Agaba and
Shipman, (2007) who said that it is the role of each entity in the LG to define its procurement
requirements.
Table 4: Showing Dividing of Requirements Allocated to a Procuring entity.

Response Frequency Percent (%)

Strongly agree 19 38.0

Agree 27 54.0

Not sure 3 6.0

26
Disagree 1 2.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From table 4 above, the highest percentage of the respondents that is 54% agreed that the
procuring entity is responsible for dividing requirements allocated to a single procurement
process into separate lots, these were followed by 38% who strongly agreed, 6% who were not
sure and only 2% who disagreed. Management indicated that this is done where they anticipate
that the award of several separate contracts would result in the best overall value for the
procuring department.

Table 5: Showing Integration of the Diverse Decision and Activities.

Response Frequency Percent (%)

Strongly agree 26 52.0

Agree 24 48.0

Not sure 0 0.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From the table 5 above, 52% and 48% strongly agreed and agreed respectively that a procuring
unit brings about integration of the diverse decision and activities during procurement planning.

27
Mawhood (1983) said that the integration of diverse decision helps to come up with an
acceptable decision for implementation.

Table 6 : Showing the Accounting Officer’s Role

Response Frequency Percent (%)

Strongly agree 18 36.0

Agree 28 56.0

Not sure 3 6.0

Disagree 1 2.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 6 indicates that 56% and 36% of the respondents agreed and strongly agreed respectively
that the accounting officer ensures availability of sufficient funds to run the plans and that it is
budgeted for, only 6% were not sure and only one person disagreed. This therefore shows that
the accounting officer ensures that sufficient funds are budgeted for the planned framework
contracts every financial year, to cover the full cumulative cost of call off orders anticipated for
each year for a framework contract.

Table 7: Showing Citizens Assist the Town Council to decide on Services to be provided.

Response Frequency Percent (%)

Strongly agree 22 44.0

Agree 23 46.0

28
Not sure 2 4.0

Disagree 2 4.0

Strongly disagree 1 2.0

Total 50 100.0

Source Field data 2018


From table 7 above, 46% and 44% of the respondents agreed and strongly agreed respectively
that the citizens assist the town council to accurately decide on which services to expand and
provide, 4% were not sure and only 2% strongly disagreed. Basing on the highest percentage of
respondents it implies that this kind of involvement of citizens ensures that procurement
planning and decision-making process reflect their needs and priorities and lead to the types of
decisions that will make an effective services delivered in an open, fair and democratic local
government, Basheka (2008) also found that the council consults citizens during decision
making.

29
Table 8: Showing Citizens also Work With NGOs, CBOs and Political Parties to Develop
Proposals.

Response Frequency Percent (%)

Strongly agree 21 42.0

Agree 27 54.0

Not sure 2 4.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 8 above indicates that 54% and 42% of the respondents agreed and strongly agreed
respectively that the citizens also work with NGOs, CBOs and political parties to develop
proposals for the council to consider during planning, and only 4% were not sure. This implies
that the town council is assisted by other organizations to monitor processes as well as to advise
it on priorities for service extension and improvement as stated in the proposal developed. This is
in agreement with what Chaun and Len (2009) found out, that is residents work with NGOs,
CBOs and political parties to develop proposals.
Table 2: Showing Evaluation of Potential Service Providers.

Response Frequency Percent (%)

Strongly agree 25 50.0

Agree 21 42.0

Not sure 4 8.0

30
Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


As shown in the table above, 50% and 42% of the respondents strongly agreed and agreed
respectively that citizen representatives also play a great role in the evaluation of potential
service providers and only 8% were not sure whether citizen representatives also play a great
role in the evaluation of potential service providers. This also implies that service providers are
evaluated by both the citizen representatives and town council officials during planning so as to
select the best service providers, Livingstone & Charlton, (2001).

SECTION B: Factors Affecting Service Delivery


Table 10: Showing Corruption Hampers the Provision of Services

Response Frequency Percent (%)

Strongly agree 24 44.0

Agree 26 52.0

Not sure 0 0.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


As per the above table, 52% and 44% of the respondents agreed and strongly agreed respectively
that corruption hampers the provision of services since funds meant for these services are
embezzled. This shows that embezzled funds by officials render the town council financially

31
incapable to discharge its constitutionally assigned responsibilities hence compromising service
delivery. Lengseth et al, (1997) also found out that corruption affects the delivery of services
since money meant for them is embezzled.

32
Table 11: Showing the Town Council Lacks Finances to Buy the Services.

Response Frequency Percent (%)

Strongly agree 21 42.0

Agree 24 48.0

Not sure 2 4.0

Disagree 2 4.0

Strongly disagree 1 2.0

Total 50 100.0

Source Field data 2018


Table 11 indicates that the highest percentage that is 48% and 42% of the respondents agreed and
strongly agreed respectively that the town council is unable to deliver services to residents
because of lack of finances to buy the services. 4% were not sure, 4% and 2% disagreed and
strongly disagreed respectively and still believe that money is there but the way it is used is the
problem. Basing on the highest percentage of respondents, this implies that the funds available
are not enough to help in buying of services hence hampering the delivery of services. Ahmed
(2005) also found out that most local governments in developing countries suffer from limited
finance to fund their projects.
Table12: Showing getting the right service provider is a challenge

Response Frequency Percent (%)

Strongly agree 20 40.0

Agree 25 50.0

Not sure 3 6.0

33
Disagree 1 2.0

Strongly disagree 1 2.0

Total 50 100.0

Source Field data 2018


From the table above, 50% and 40% which are the highest percentages of respondents agreed
and strongly agreed respectively that the town council faces a challenge of getting the right
service provider with the equipments to do the job well. 6% were not whether it is a challenge
and only 2% disagreed. This therefore implies that some of the services provided are not of the
expected quality since some of the service providers do not have all the equipments to do the job
well.

Table 13: Showing Poor communication with communities in Mukono Local Government

Response Frequency Percent (%)

Strongly agree 9 18.0

Agree 25 50.0

Not sure 3 6.0

Disagree 13 26.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 13 indicates that 50% and 18% of the respondents agreed and strongly agreed respectively
that poor communication with communities in Mukono local government has also hampered the
delivery of services in the area, these were followed by 26% who disagreed, and only 6% were

34
not sure whether poor communication is a factor hampering the delivery of services. This
therefore implies that in some departments communication is still a problem.

Table 14 : Showing the Town Council Faces a Challenge of Limited Skilled Personnel

Response Frequency Percent (%)

Strongly agree 24 48.0

Agree 18 36.0

Not sure 3 6.0

Disagree 5 10.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From table 14 above, the highest percentage of respondents that is 48% and 36% strongly agreed
and agreed respectively that the town council faces a challenge of limited skilled personnel to
meet the rising needs of local people. These were followed who disagreed and only 6% were not
sure whether the town council faces a challenge of limited skilled personnel to meet the rising
needs of local people or not. Basing on the highest percentage of respondents (48%), the study
concludes that the town council cannot meet their required performance standards due to limited
skilled personnel hence impacting adversely on the delivery of services. This was also found out
by Parasuraman et al (1996) that the town councils face a challenge of limited skilled personnel.

Table 3 Showing Projects are done according to or as demanded by the People.

Response Frequency Percent (%)

Strongly agree 4 8.0

35
Agree 5 10.0

Not sure 8 16.0

Disagree 27 54.0

Strongly disagree 6 12.0

Total 50 100.0
Source Field data 2018
Table 15 above shows that 54% and 12 % of the respondents disagreed and strongly disagreed
respectively with the view that projects are done according to or as demanded by the people.
16% of the respondents were not sure, 10% and 8% of the respondents agreed and strongly
agreed respectively that projects are done according to or as demanded by the people. Basing on
the highest percentage (54%), the study concludes that some projects are not done according to
peoples demand.

36
SECTION C: Relationship between procurement planning and service delivery
Table 16: Showing Procurement Planning sets in motion the Process of Acquiring Services.

Response Frequency Percent (%)

Strongly agree 19 38.0

Agree 31 62.0

Not sure 0 0.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 19 above indicates that 62% and 38% of the respondents agreed and strongly agreed
respectively that procurement planning sets in motion the entire procurement process of
acquiring services in local government. Since procurement planning is one of the primary
functions of procurement process, it implies that there is need for procurement planning in order
to acquire quality services in local governments, Basheka (2004).
Table 17: Showing Procurement Planning Facilitates Efficient and Effective Service
Delivery.

Response Frequency Percent (%)

Strongly agree 23 46.0

Agree 26 52.0

Not sure 1 2.0

37
Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


Table 17 shows that the highest percentage 52% and 46% of the respondents agree and strongly
agree respectively that Procurement planning facilitates efficient and effective service delivery in
public sector organization and only 2% were not sure about this. This implies that with a good
plan, Mukono local government can efficiently and effectively enjoy improved delivery of
services to its citizens hence improving on standards of living.

Table 4: Showing Procurement Planning achieves Maximum Value for Expenditures on


Services.

Response Frequency Percent (%)

Strongly agree 22 44.0

Agree 26 52.0

Not sure 2 4.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From table 18 above, 52% and 44% of the respondents agreed and strongly agreed respectively
that Procurement planning helps to achieve the maximum value for expenditures on services to
be delivered. 4% of the respondents were not sure whether Procurement planning helps to
achieve the maximum value for expenditures on services to be delivered. Basing on the highest
38
percentage of respondents, it implies that a procurement plan enables the entities to identify and
address all relevant issues pertaining to a particular procurement before they publicize their
procurement notices to potential suppliers of goods, works and services.
Table 19 : Showing Relationship between Procurement Planning and Service Delivery.

Response Frequency Percent (%)

Strongly agree 31 62.0

Agree 19 38.0

Not sure 2 4.0

Disagree 0 0.0

Strongly disagree 0 0.0

Total 50 100.0

Source Field data 2018


From table 19 above, 62% of the respondents strongly agreed that there is a relationship between
procurement planning and service delivery, these were followed by 38% who also agreed.
Therefore the study concludes that there is a relationship between procurement planning and
service delivery. This is in agreement with Johan, (2006) who came up with slogans like; “he
who fails to plan for service delivery, plans to fail delivering services to the public.”
Table 20: Showing Pearson Correlation between Procurement Planning and Service
Delivery. Correlations

Procurement Planning Service Delivery

Procurement planning Pearson 1.000 .715*


Correlation

Sig. (2-tailed) . 000

39
N 60 60

Service delivery Pearson .715* 1.000


Correlation

Sig. (2-tailed) 000 .

N 60 60

Source Field data 2018


* Correlation is significant at the 0.05 level (1-tailed).
Using the rating level of;
0 to -+0.3= Weak Relationship
-+0.4 to -+0.6= Moderate/ Average Relationship
-+0.7 to -+0.9= Very Strong Relationship

Table 20 indicates that there is a very strong positive relationship between procurement planning
and service delivery at r= 0.715 and at level of significance 0.05, this implies that the good
procurement planning improves on service delivery in the society. Therefore in order to improve
on service delivery, there is need to develop a procurement plan. Mullins (2003) also found out
that there is strong positive relationship between procurement planning and service delivery.

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.0 Introduction.

This chapter summarizes all findings reported in chapter four according to questions of the study,
draws conclusions, suggests recommendations and also proposes some areas for further study.

40
5.1.0 Summary of Findings

5.1.1 General Findings

The study was comprised of 50 respondents of whom 62% were male and 38% were female.
Their level of education included 50% of the respondents had not attained any level of education
and these were found among the beneficiaries of the services provided, these were followed by
18% who had attained diplomas and degrees, 10% with certificates and lastly 4% with masters
these were mostly the workers in the town council. The services delivered included Garbage
collection, Security lights, Road rehabilitation and maintenance, Water provision, electrification,
new roads.

5.1.2 The roles undertaken by different stakeholders

The study found out that the following roles; each user department prepares a multi annual work
plan based on the approved budget, each entity in the LG defines its procurement requirements,
the procuring entity is responsible for dividing requirements allocated to a single procurement
process into separate lots, the procuring unit brings about integration of the diverse decision and
activities during procurement planning, the accounting officer ensures availability of sufficient
funds to run the plans and that it is budgeted for, the citizens assist the town council to accurately
decide on which services to expand and provide, the citizens also work with NGOs, CBOs and
political parties to develop proposals for the council to consider during planning and also Citizen
representatives play a great role in the evaluation of potential service providers.

5.1.3 Factor Affecting Service Delivery.

A number of factors were found to be affecting service delivery in Mukono Local Government
and these included the following among other factors; corruption, lack of finances to buy the
services, the challenge of getting the right service provider with the equipments to do the job
well. The town council also faces a challenge of limited skilled personnel to meet the rising
needs of local people, Projects are done not according to or as demanded by the people, and also
poor communication with communities in Mukono Local Government has also hampered the
delivery of services in the area.

41
5.1.4 Relationship between Procurement Planning and Service Delivery.

In addition to Mullins (2003) findings that procurement planning affects service delivery, this
study also found out that there is a strong positive relationship between procurement planning
and service delivery at r= 0.715 and at level of significance 0.05. Furthermore the study found
out that Procurement planning sets in motion the entire procurement process of acquiring
services in local government (Table 19), it also facilitates efficient and effective service delivery
in public sector organization (Table 4.20). Also findings revealed that procurement planning and
service delivery of products procured is highly related and that unethical practices of staff is a
contributing factor to poor quality products being procured and that bidders practices in
procurement should also be checked.

5.2 Conclusion

In conclusion, regarding the roles undertaken by the different stakeholders, the preparation of a
multi annual work plan based on the approved budget was identified as the major role,
corruption hampers the provision of services was identified as the major factor affecting service
delivery and relationship between procurement planning and service delivery it was pointed out
that there is a strong positive relationship between procurement planning and service delivery at
r=0.715 at level significance 0.05, this implies that a better procurement plan leads to better
delivery of services while poor planning hampers the delivery of services. Therefore
procurement planning is one of the primary functions of procurement with a potential to
contribute to the success of local government operations and improved service delivery.

5.3 Recommendations of the Study

Government should increase funding for the maintenance of community and feeder roads.
Corruption should be reduced by enforcing of strict rules, giving penalties on those involved and
also increasing of salaries of the civil servant can also reduce on corruption.

Concerning limited skilled personnel, the local government should train the recruited workers so
as to equip them with the necessary skills, and also encourage them to go for further studies.

42
They should first provide projects which are highly demanded by the local people, this will not
only help them to know that their views are considered but also will help to improve on public
confidence in the local government. The procurement team should carryout research so as to find
out which service providers are able and have the equipment to perform the required work in the
given time possible. Therefore, organizations with established performance measures for their
procedures, processes, and plans experience lower customer dissatisfaction and employee
turnover than those which do not have. The issue is to ensure that measures are being
implemented and measure what they were intended to measure. Implementing purchasing
measures is not as easy as it may sound. It requires preparation, coordination, team work,
constant communication and feedback.

To ensure entities maximize purchasing efficiency and effectiveness, loss of professional


turnover should be reduced. This can be done through establishing clear roles and procedures
within the procurement processes. To ensure value for money, there should be continuous
improvement in the efficiency of internal processes and systems and public entities should
maintain structures that avoid unnecessary costs. This was also adopted by The Government of
Malawi (2008) a developing country in the Sub-Sahara Africa. As much as quality of procured
goods and services featured the most preferred measure of procurement performance, other
intangible measures like timely delivery of orders, customer satisfaction, dependability,
flexibility and quality of employees should not be ignored.

Findings also showed that self-efficacy relates to accountability and as well predicts perceive
service quality. Based on this, the PPDA should train procurement officers in acquisition of self-
efficacy: it’s necessary for officer to possess skills in self-mastery, role-modelling and even
verbal persuasion to be considered as self efficiency. This in turn will lead to perceived service
quality

Whereas competences of procurement officers have been linked to accountability by a number of


authorities in European and USA, the Ugandan context brings in variables such as transparency
and ethics as most important in determining value for money and perceived service quality rather
than accountability.

43
It is important to offer ethics education to employees of the organization in order to ensure they
serve in ultimate objectivity, accountability, and non discrimination. The organization code of
ethics should be well put in place and adhered to; in order to guide the daily operations of
employees and to provide them with guiding principles.

The organization should train suppliers / bidders on the proper procurement procedures and
practices so as to create consistency and to reduce cost. The government should look into
improving payment and working conditions of its employees so as to deter them from potential
malpractices.

5.4 Suggested Further Research

The study particularly focused on Mukono Local Government and therefore further research
should be carried out on other local governments. Further research should also be carried out on
the quality of services delivered for the public. There is also need to consider procurement
perceived service quality by considering attributes of value for money, effectiveness and
efficiency that are characterized by procurement officers as perceived by user departments within
the PDE’s in central government. There is also a need to investigate and ascertain why key
personal competences are significantly related to accountability and perceived service quality yet
operant competences are not significantly related to accountability and perceived service quality.

44
REFERENCES

Agaba, E & Shipman, N. (2007). "Public Procurement Reform in Developing Countries: The
Ugandan Experience." Boca Raton, FL: Academics Press.

Ahmed, J., Devarajan, S., Khemani, S., & Shah, S. (2005). Decentralization and Service
Delivery (World Bank Policy Research Paper 3603). Washington, DC: World Bank.

Assistance Committee (2005). Harmonizing Donor Practices for Effective Aid Delivery. Vol. 3.
Strengthening Procurement Capacities in Developing Countries. Paris, France:

Bailey, P; Farmer, D; Jessop, D; & Jones, D. (2012). Purchasing Principles and Management,
eight edition. Prentice Hall. Financial Times: Great Britain

Balunywa, m. (2004). Decentralization and Service Delivery in Uganda: The Case of


Contracting out Road Construction Services in Jinja District. Kampala. Makerere
University Library.

Basheka, B. (2004). Procurement Planning and Local Governance in Uganda: A Factor


Analysis Approach. Organisation: Uganda Management institute.

Basheka, B. C. (2008). "Procurement Planning and Local Governance in Uganda: A Factor


Analysis Approach." Paper Presented at the 2008 International Research Society for
Public Management Conference, from 26-28 March 2008, in Brisbarne, Australia.
Development

Government of Uganda (2003). The Public Procurement and Disposal of Public Assets Act, 1,
2003. [Online]. Available at www.ppda.go.ug.

Helmsing, A. H. J. (1995). Local Government Central Finance. An Introduction: New York


USA.

Hernon, P. & Whitman, J. R. (2001). Delivering Satisfaction and Service Quality: a Customer-
based Approach for Libraries. Chicago: American Library Association.

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IDASA (2010), the State of Local Government and Service Delivery In South Africa: Issues,
Challenges And Solutions Local Governance Unit (LGU)

Johan, N. (2006). Planning for Service Delivery Improvement. S D R Vol. l 5 No. 2 pages
106- 109.

Kabaj, O. (2003). The Challenge of African Development. Oxford, UK: Oxford University
Press.

Langseth, P.; Kato,D. ; Kisubi, D. ; & Pope, J.(2014). Good Governance in Africa. A Case study
from Uganda. EDI Working Papers, Economic Development Institute of the World Bank.

Lawal, S. (2000) “Local Government Administration in Nigeria: A Practical Approach”.

Ministry of Finance, Planning and Economic Development (2006). Uganda Poverty Status
Report2005, Kampala.

National Service Delivery Survey, (2008). Ministry of Public Service: Kampala.

Oboth, M. J. (2001). Decentralization and Service Delivery: Constraints and Controversies.


Kampala: Makerere University Library.

OECD Economic Commission of Africa (2003). Public Sector Management Reforms in Africa.
Addis Ababa, Ethiopia: Author.

Parasuraman, A., Berry, L. Leonard, & Zeithaml ,A. Valarie. (2015). The behavioral
Consequences of service quality. Financial Times.

Procurement Policy Manual (2009). IT Procurement Planning and Strategic Sourcing. Vaginia
Information Technologies Agency.

Sasser, W.E., Olsen, R.P. and Wyckoff, D.D. (2016) Management of Service Operations Text,
case, and Reading. Boston, NY: Allyn and Bacon, Inc.,

The Public Procurement and Disposal of Public Assets Act, (2003). Uganda Bureau of
Statistics (2005).

46
APPENDICES

APPENDIX I: QUESTIONNARE
Dear respondents,
I am MUZOORA JOSEPHINE a bachelor of Procurement and Logistics student of Kyambogo
University of science and technology carrying out a study on the Procurement Planning and
service delivery in Mukono local government. I humbly request you to spare some few minutes
of your time and answer these questions below. The study is strictly for academic purposes and
will be treated with utmost confidentiality. Your cooperation is highly appreciated.

SECTION A (Tick the right alternative where necessary)


Back ground of the respondent.
1. Name ……………………………………………………….(Optional)
2. Sex
Male Female
3. Age of the respondent
15 – 30
30 – 40
41 and above
Any other specify……………………………………………

4. Marital status
Single
Married
Widowed
Separated

5.Educational level
Certificate
diploma
Degree
Post graduate
Other................................................................................

47
SECTION B: ROLES UNDER TAKEN BY THE BY DIFFERENT STAKE HOLDERS.

What do you understand by the concept procurement planning?


………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
Is procurement planning practices in your organisation?
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
How often is procurement planning done in your organisation?
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
The following abbreviations will be used:
Strongly agree (SA), Agree (A), Not Sure (NS), Disagree (D), and Strongly Disagree (SDA)
Statements SA A NS D SDA
A
Each user department prepares a multi annual work plan based on
the approved budget.
Each entity in the LG defines its procurement requirements.
The procuring entity is responsible for dividing requirements
allocated to a single procurement process into separate lots.
The procuring unit brings about integration of the diverse decision
and activities during procurement planning.
. The accounting officer ensures availability of sufficient funds to
run the plans and that it is budgeted for.
The citizens assist the town council to accurately decide on which
services to expand and provide.
The citizens also work with NGOs, CBOs and political parties to
develop proposals for the council to consider during planning.
Citizen Representatives also play a great role in the evaluation of
potential service providers.
SECTION C: FACTORS AFFECTING SERVICE DELIVERY

48
How do you rate the service delivery in your organisation?
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
Which people in your organisation are responsible for ensuring service delivery in your
organisation?
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
The following abbreviations will be used:
Strongly agree (SA), Agree (A), Not Sure (NS), Disagree (D), and Strongly Disagree (SDA)
The following factors affect the delivery of services in Mukono local government;
Statements SA A NS D SDA
A
Corruption hampers the provision of services since funds meant for
these services are embezzled.
In Town, the provision of better infrastructures such as roads and
electricity has lagged being over years.

The town council is unable to deliver services to residents because


of lack of finances to buy the services.
It is a challenge to get the right service provider with the
equipments to do the job well.
Poor communication with communities in Mukono local government
has also hampered the delivery of services in the area.
The Mukono local government faces a challenge of limited skilled
personnel to meet the rising needs of local people.
Priorities are misplaced because projects are done not according to
or as demanded by the people.

49
SECTION D: RELATIONSHIP BETWEEN PROCUREMENT PLANNING AND
SERVICE DELIVERY
In your own view, is there a relationship between procurement planning and service delivery
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
Apart from procurement planning, what other factors affect service delivery in organisation?
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………

The following abbreviations will be used: Strongly agree (SA), Agree (A), Not Sure (NS),
Disagree (D), and Strongly Disagree (SDA)
Statements SA A N D SDA
S A
Procurement planning sets in motion the entire procurement
process of acquiring services in local government.
Procurement planning facilitates efficient and effective service
delivery in public sector organization.
Procurement planning helps to achieve the maximum value for
expenditures on services to be delivered.
There is a relationship between procurement planning and service
delivery.

50
APPENDIX II: TIME FRAME WORK 2017/2018

Activity Time of the year

OCT NOV DEC JAN FEB MAR APR May JUN JULY AUG

Proposal
writing

Data
collection

Data
analysis

First draft
submission

Handing in

51
the last
collected
draft.

APPENDIX III: BUDGET FOR THE STUDY

ITEMS QUANTITY UNIT COST TOTAL

Flash 1 30,000 30,000

Internet 1,500 20,000

Stationary

 Papers 1 ream 15,000 15,000

 Book 1 1,000 1,000

 Pencil 1 300 300

 pens 4 500 2,000

Binding 2 books 10,000 20,000

Typing and printing 1 book 35,000 35,000

Final draft 2 books 35,000 70,000

Photocopying questionnaires and interview 60 copies of 4 200 60,000


guides pages each

Transport 20,000

TOTAL 128500 273300

52
APPENDIX IV: LETTER OF INTRODUCTION

53

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