SAMARA UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF COMMERCE LOGISTICS PROGRAM
TITLE: FACTOR AFFECTING PUBLIC PROCUREMENT PRACTICES (“IN
CASE OF SAMARA UNIVERSITY”)

PREPARED BY: XYZ ID NO

ADVISOR MR. BIJIGA KENESA (Mrs)

Fabruary 2021
Samara, Ethiopia

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ABSTRACT
This study is designe to assess the factors affecting the public procurement practices in case
of Samara University. It would also address the planning method of the Office with the context of
procurement practices and its effectiveness
with regard to budgetary management, leadership, transparency and timeliness in the process.
The research is conducted through the census survey. Since the population of the study is not
too large to use sampling technique, the researcher took all the population of the study, which
were68 in number. In the process of answering the basic questions, a questionnaire that include
demographic profiles, independent variables like budget management, leadership, transparency
and timelines were designed in both close ended and open ended format. Moreover, some
interviews were held with top officials of Samara University. After the collection of these
data, it is analyzed using simple statistical techniques (tables and percentages) and descriptive
statistics (mean and standard deviations).The results of the study indicated procurement does not
done in line with office budget, prices keeps on changing inflation, the office does not buy from
the suppliers ready to offer on credit and quality affects the cost of goods and services procured. The
budgets were not properly managed, there is absence of transparency, there is problems related to
timely progress on procurement practices and poor leadership affecting public procurement
practices in case of Samara University. The respondents were characterized by low
competencies, and incompetent staffs are ineffective, inefficient and do not provide solutions to the
procurement problems thus contributing to poor procurement practice for the Samara University.
Formulation of the procurement plans is poor and procurement plans can affect procurement
practice. Based on the results of the study researcher recommended that there should be
effective budget management, proper leadership, transparency and timely procurement process
by consulting all the stakeholders’ Samara University. There should be effective procurement
planning and training for competency of employees of the Samara University.

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 TABLE OF CONTENTS
Table of Contents
ABSTRACT....................................................................................................................................................2
TABLE OF CONTENTS................................................................................................................................3
LIST OF ABBREVIATIONS AND ACRONYMS........................................................................................4
CHAPTER ONE.................................................................................................................................................5
INTRODUCTION...............................................................................................................................................5
1.1 Background of the Study...........................................................................................................................5
1.2 Problem Statement.....................................................................................................................................7
1.4 Research Objectives...................................................................................................................................9
1.4.1 General Objective...................................................................................................................................9
1.4.2 Specific Objectives.................................................................................................................................9
1.5 Scope of the Study.....................................................................................................................................9
1.6. Significance of the Study..........................................................................................................................9
1.7. Organization of the Study.......................................................................................................................10
CHAPTER TWO..............................................................................................................................................11
LITERATURAL REVIEW...............................................................................................................................11
2.1 Public Procurement..................................................................................................................................11
2.2 The Procurement Process........................................................................................................................11
2.3 Public Procurement in Ethiopia...............................................................................................................11
2.4 The Legal and Regulatory Frameworks Governing the Ethiopian Public Procurement.........................13
2.4.1 The Ethiopian Federal Government Procurement and Property Administration......................14
Proclamation..................................................................................................................................................14
2.4.2 The Proclamation’s Scope of Application............................................................................................14
2.4.3 Public Procurement Supporting Documents.........................................................................................15
2.5 Development of the Public Procurement System in Ethiopia.................................................................15
2.6 Contributors to Successful Procurement Practices..................................................................................16
2.7 Conceptual Framework............................................................................................................................16
CHAPTER THREE...........................................................................................................................................21
RESEARCH METHODOLOGY......................................................................................................................21
3.1. Description of the study area..................................................................................................................21
3.2 Research Design......................................................................................................................................21
3.3 Population................................................................................................................................................21
3.4 Method of Data Collection......................................................................................................................21
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 3.5 Validity and Reliability............................................................................................................................22
3. 6 Data Analysis..........................................................................................................................................22
CHAPTER FOUR.............................................................................................................................................24
TIME AND BUDGET SCHEDULE................................................................................................................24
4.1 Time schedule..........................................................................................................................................24
4.2 Cost and budget schedule........................................................................................................................25
REFERENCES..............................................................................................................................................26

LIST OF ABBREVIATIONS AND ACRONYMS

FDRE Federal Democratic Republic of Ethiopia
FEAC Federal Ethics and Anti-Corruption Commission
FG Federal Government
FGE Federal Government of Ethiopia
GPMMCD Gov`t Procurement & Materials Mgt Control Department
HRC Human Rights Commission
MOFED Ministry of Finance and Economic Development
NAPM National Association of Purchasing Management
OFEDB Oromia Finance & Economic development bureau
PPA Public Procurement Agency
SBD Standard Bidding Documents
UN United Nations
UNDP United Nations Development Program

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 CHAPTER ONE

INTRODUCTION
1.1 Background of the Study
Globally Effective implementation of procurement practices were determined by the level of
compliance with procurement regulations, minimization of procurement expenditure,
transparency and accountability of procurement funds and quality of procured goods and services
(Goldermanet,al 2006). Effective implementation of procurement practices entails
implementation of strategies to be followed when making organization purchasing decisions.
These include building supplier relationships, team-based approaches to procurement and properuse
of technology or E-procurement (UNEP 2007). Effective implementation of procurement practices
significantly improves the effectiveness of purchasing decisions (Simpson, 2007). One of the most
important factors that promote effective implementation of procurement practices is improving
the relationship between the buyers and suppliers. Choosing a supplier based solely on pricings
often viewed as short-sighted and may be ineffective. An alternative procurement practice is to use
suppliers that offer reliable products at fair prices (Elliot 2007). A key factor that affects effective
implementation of procurement practices is making an entire organization department responsible in
some way for procurement (Simpson 2007). Making procurement practices more of a team effort
boosts employees‟ morale and improves strategic approaches to purchasing. Some practices
include designating a representative from each department to sit on a procurement committee
that consults regularly with the procurement department (McCrudden 2008). One of the most
widely discussed issue that promotes effective implementation of procurement practices is the use
of e-procurement. E-procurement is an electronic method of purchasing supplies and services.
Companies that purchase e-procurement software were able to receive products and service
payments online. E-procurement is considered as an effective procurement practice because it
can reduce overhead expenses by eliminating purchasing agent costs (Wise geek 2013).
In Africa, many public sector organizations view effective implementation of procurement
practices as an add-on or an approach that costs more. Truly, sustainable solutions can often costless
over the whole life of the purchase. Some key benefits include: value for money, protection and
enhancement of the environment, more efficient use of resources, greater social inclusion, air and

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ethical trade, support for innovation, better risk management, and lower whole-life costs improved
supplier relationships, a diverse and flexible supply chain and a competitive edge in your industry
(Talluri 2008). Effective implementation of procurement practices procurement policies and
practices were critical for good public financial management and effective budget implementation
(Zuzana 2012).
In many African countries, public procurement accounts for a substantial part of fiscal
expenditures, making sound procurement methods central not only for sound public financial
management but also for inclusive growth (Zuzana 2012). Public procurement in Ethiopia is guided
by the Public Procurement Proclamation, 2005/6 and procurement and property administration
proclamation No 649/2009 as published in Ethiopia and also Proclamation No 430/2005 determines
the procedures of public. The "MOF Directives" and the “Procurement Manual” of March 1999
describes the various procurement methods used by the Federal Government. It includes six
methods, “open tendering”, “two-stage tendering”, “requests for proposals”, “restricted tendering”,
“requests for quotations” and “single-source procurement”. Ethiopian Country Procurement
Assessment Report, June 28, 2002 Procurement planning is done at the Federal level in major
procuring entities and in parastatals, often with the help of consultants, but is weak or non-existent at
the regional and woreda levels, where much procurement would be launched in the future.
Procurement monitoring and administration is only beginning to get computerized in some IDA
Financed projects to help track delays in the process and alert managers, but is generally done
manually and not very efficient or complete. For goods and works, open tendering, with or without
prequalification, is the norm. Use of the other methods must be justified in accordance with pre-
set criteria, which were in accordance with international norms. “Two-stage tendering” is used
only exceptionally, under strict criteria. “Negotiated procurement” occurs under a two envelop
system, using sequential opening of the technical and financial proposals. Only those bids that meet
the technical criteria were opened and the contract is negotiated with the lo Samara University
finance office bid, in order to lower the price. This procedure is obviously not transparent and unfair
and should not be used. Since March 2001, the “Financial Regulations” provide for the application
of domestic preferences for local producers of goodsand contractors, when it concerns local
competition. Eligibility for the domestic preference for goods contracts requires a certified financial
report showing that the domestically added value is at least 20% of the goods value. Domestic
preference is only applicable to international competitive bidding and should preferably be
modified in the final edition of the Procurement Law. The Act defines procurement as the
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“acquisition by purchase, hire purchase, license, and tenancy or by any other contractual means of
any type of works, asset, services or goods or any combination.”The role of supervision of the
public procurement process is carried out by the Public Procurement Committee(PPC) This body
has also prepared and circulated other related guidelines to public procurement that define how the
process needs to be carried out within various entities. These guidelines were industry or
situation specific. Since this study is specifically focuses on procurement practices currently in
Samara University. Development office, procurement in such offices would be studied in relation to
the use of and adherence to the requirements of the stated regulations.

1.2 Problem Statement

Basically there may be different gaps in the study area as per the researcher came across different
literatures, these gaps were:-lack of available procurement processes, misuse of allocated
budgets, lack of on time procurement activity, lack of quality on procured materials and lack of man
power on procurement department. Armstrong as (cited in Abebe, n.d.) noted that
transparency refers to unrestricted access by the public to timely and reliable information on
public sectors‟ activities, decisions and performance. Lack of transparency in public procurement is a
major obstacle to sustained economic growth and procurement activities can be the source of
unhealthy activities such as corruption, scandal and abuse of public resources. Providing an
adequate degree of transparency throughout the entire public procurement cycle is critical to
minimizing the risk of fraud, corruption and mismanagement of public funds. The accessibility of
information, stakeholder participation in key stages of the procurement cycle, and the
possibility of review and remedy in case of dispute were essential to transparency and
accountability in public procurement (OECD, 2011). According to Arrow smith et al (2000) the
concept of transparency can be interpreted as publicity for contract opportunity, publicity for rules
governing public procurement procedures, and principles of rule based decision making that limit
the discretion of procuring entities. Barrett (as cited in Mugo and Ngugi, n.d.) noted that in public
procurement accountability shows how the public interest has been protected in the expenditure of
public funds. Maintaining integrity in public procurement is one of the most important pillars of
modern procurement systems and ensuring the accountability of procurement officials and
procurement managers is perhaps the most essential aspect of this goal. According to Schooner (as
cited in Osei-Afoakwa, 2013), accountability is the process by which officials and participants
whose actions determine public procurement input and outcomes were held responsible for such
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input and outcomes, and is a critical ingredient in public procurement corruption control. Public
procurement refers to the overall process by which public entities seek for and acquire goods,
works and/or services from the various sources where these were available. This process covers all
the activities undertaken from the period when the user expresses the need for a given item to the
point when the specific item is received and all accompanying transactions completed(Farmer
&Weele, 2000). It is a process that should always ensure efficient utilization of the available
resources so as to achieve the objective of value for money. Public Procurement in Samara University
finance office is just like in most of the other public Offices in the country which is supposed to be
carried out by the authorized procurement body as per the guidelines from (OFEDB) and the
Ministry of Finance. Major procurements especially for works and other major projects like the
Development projects were usually the responsibility of the (PPDA) together with the (MoFED).
According to the reports of Samara University finance Office (2007), the regulations of the public
rocurement had significant influence on the pricing ofproducts and services as well as lead time
in procurement. The report however found that the regulations had less significant influence on the
transparency of the process and the quality of products procured. The report also addresses that
there were malpractices in procurement in the study area. Also, a survey carried out by the Anti-
Corruption Commission of Oromia (2007) revealed that even though the Public Procurement
Regulations were in place, public procurement still facing challenges of inefficiency and lack of
transparency. In such situations the question of how procurements were done in the institutions has
always been prominent. Either government or private Finance leaders were expected to carry out
proper procurement practices when performing the procurement business. The peoples those
were demanding to conduct research on procurement, specifically to point out the important role of
procurement, their operations in the organizations, providing the necessary resources to ensure that
the organization runs smoothly. They also have to point out the difference of procurement
approaches from Organization to Organization as well as depending on the item being procured.
However, the researchers on this field of study haven‟t done more on the procurement practices in
the study area, it is important to understand the procurement practices and its‟ legal procedures within
the Finance sector with the respective of specific interests in the public institutions. The study would
seek to answer the following questions;
What type of procurement practices Samara University finance office ?
Development Office is being conducted with regard to the key procurement process?

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To what extent Purchaser competences affect public procurement practices in case of Samara
University finance office
To what extent procurement planning affects public procurement practices in case of Samara
University finance office

1.4 Research Objectives

1.4.1 General Objective

To assess the significant factors that affect public procurement practice in case of Samara University

1.4.2 Specific Objectives.

 To identify public procurement practices the Office is conducting with regard to budget
 management, leadership, transparency and timeliness?
 To identify the significant factors affecting public procurement practices with regard to
employee‟s competences in case of Samara University
 To identify the significant factors affecting public procurement practices with regard to
procurement planning in case of Samara University.

1.5 Scope of the Study

Based on the data gathered from Samara University there were about more than 4 dipartment,
which are work to gether in Samara University. So that, if the study would be conducted in all these
woredas (if possible) or on the majority of them, the study would be complete and most reliable,
furthermore, there were different issues that can be researched in relation to procurement
promotion. The study is delimited to the key factors affecting the practices of procurement in
Samara University finance office

1.6. Significance of the Study

The findings of this study would be helpful to those in the Finances‟ Management as it would help
them to improve in future in the practice of public procurement as stipulated by the law. The
findings would also benefit researcher in the area of public procurement. Thus, it would serve as a
point of reference for further study. The findings would also be useful to the auditors of the Finance
management since it would equip them with knowledge on what the kinds of advice and training

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they may offer to workers in public procurement especially in Finance and other financial
institutions so as to improve their performance in this area. For the government, through the Oromia
Finance and Economic Development Office, the findings would help to focus its supervisory role
in public procurement, plan for any necessary trainings and activities that would assist to improve
public procurement practice. On the other hand, the significance of the study would be its
contribution of reducing the knowledge gap in the area of public procurement of the Samara
University finance office development Office through how the public procurement training
might be held and in what manner and the study further tries to build effective and efficient
practice of the public procurement by analyzing the current progression in relation with the practical
and scientific approach.

1.7. Organization of the Study

This paper is composed of four chapters, the first chapter deals with introduction and background of
the stud as well as objective of the research. In chapter two also explain about review literature related
to the research. chapter three, the methodology of the study employed and reflect description of the
study area also method of data analysis.

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 CHAPTER TWO

LITERATURAL REVIEW
2.1 Public Procurement
The process by which public entities procure goods, works and/or services can be generally
referred to as public procurement. This process covers all the activities undertaken from the
period when the user expresses the need for a given item to the point when the specific item is
received and all accompanying transactions completed (Farmer &Weele, 2000). These activities
require streamlining as well as proper coordination and this basically justifies the establishment of
the PPC and all other accompanying regulations.

2.2 The Procurement Process

In general, the procurement process goes through some five main steps. The steps may vary
according to different perspectives of looking at procurement. These steps:-
The definition of the need,
Development of a procurement strategy,
Supplier evaluation and selection,
Negotiation and award of contract and
The final step is that of induction and integration (Purchasing Insight, 2012).
These steps may be clearly distinguishable or may hazily overlap each other depending on the
practice of the given organization. Based on the steps above and depending on the purchase, the
set of activities during procurement may follow one another as indicated below. The initial point
is the preparation of the specification in line with the budget. This is followed by the preparation
of the purchase requisition which is then checked and authorized by the relevant authority.
Quotations were then obtained from which a supplier is selected. This is followed by the
issuance of a purchase order after which once goods were delivered, they were received. Next
comes the receipt and checking of the invoice after which the payment is authorized and
effected.

2.3 Public Procurement in Ethiopia

Ethiopia, like most of the other countries world over, has its public procurement systems that
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were governed by an Act of parliament. This is an effort to ensure that public funds were utilized
efficiently to acquire products and/or services of high value to the institution. The role of
supervising and regulating public procurement in the country is carried out by the Public
procurement committee. However, depending on the institution, there were other assisting agents
to ensure effective supervision. Thus for Finances the ministry has its own supervisors and
auditors who would perform their duties ensure that the procurements undertaken by the Finance
done according to the laid out guidelines. Public procurement in Ethiopia is a recent
phenomenon. According to a report prepared by The Ethiopian Procurement and Property
Administration Agency, public procurement is started in 1940 EC. According to Admasu
(2009), it is especially established to procure military equipments and supplies for soldiers.
With the responsibility laid on the then Ministry of Finance the procured materials were stored at
the Ministry‟s warehouse. As I present earlier, according to the report, the improved procurement
services were started in 1942 EC. In addition to military equipments, the Ministry of Finance
is given the mandate to procure stationeries and cars for organizations which were financed by
the regular government budget. During the time, the organization is procuring public
properties with one director and few auditors. In addition, the organization has faced some
criticism as other public organizations didn‟t like to be under the management of the Ministry of
Finance. Also, due to lack of skilled and qualified employees the organization couldn‟t perform
as expected. Due to these and other setbacks an independent agency (Ministry of Public Property
Organization and Distribution) were established in 1950 under proclamation _ 19/1950. This
independent agency is responsible to procure and distribute the following materials.
Military uniforms equipments and supplies
Public vehicles
Capital equipments and stationeries
Materials which were crucial for Development and industrialization
Air water and inland transportation equipments and spare parts
The independent agency, however, didn‟t last long and dissolved in 1956 for the following
Reasons:
 The agency is established without any prior study
 There were shortage of capital
 Absence of qualified and skilled employees
 Absence of support and cooperation from other ministries
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  Absence of warehouses for the storage of procured materials
Following the dissolution of the Agency, materials which cost Birr 10,000 and above were
procured by a committee established by the Auditory General. Delivery, quality assurance and
financial records were made by individual organizations. Procurements worth less than Birr
10,000 were made by the organization itself. In 1981EC, the Provisional Military Government of
Socialist Ethiopia is issued a financial regulation under the Minister of Finance. The regulation
which has eleven chapters mainly deals with the country‟s financial rules and regulations.
However, the last two chapters (chapter ten and eleven) deal about government procurement &
materials disposal, utilization and control of government vehicles. The regulation allows any
government department to make procurements valued not more than Birr 250,000 by their own.
However, procurements more than this amount should be approved by the established Central
Tendering Review Committee (CTRC) under the Government Procurement and Materials
Management Control Department (GPMMCD). Members of the CTRC were five with all to be
elected by the GPMMCD. According to the Provisional Military Government of Socialist
Ethiopia Financial Regulation, the CTRC were given the following duties and responsibilities
among others.
1. Reviewing and approving decisions of the tender evaluation which is sent by the
concern government department.
2. Considering and approving proposals by any government department
3. reviewing in detail the purchases made by any government department
4. Considering any other matters which the Government Procurement and Materials
Management Control Department brings to it for consideration and decision.

2.4 The Legal and Regulatory Frameworks Governing the Ethiopian Public
Procurement
Following the downfall of the Dreg regime, the country promulgated a new public procurement
regulation. After the coming into effect of the new constitution in 1995, the Federal Government
of Ethiopia (FGE) drafted a new public procurement laws and regulations; namely “The Federal
Government of Ethiopia the Financial Administration Proclamation _ 57/1996” and “the Council
of Ministers Financial Regulations _17/1997.” However, according to the World Bank sponsored
Country Procurement Assessment Report (CPAR), which is released in August 1998, these
rules and regulations were not made on the basis of internationally recognized public
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procurement legal documents such as the UNCITRAL Model Law on Procurement of Goods,
Works and Services. In addition, according to the report, the federal procurement laws and
regulations were very weak and not comprehensive. Further, the regulation doesn‟t put clear
distinction between procurement of goods, works and consulting services.

2.4.1 The Ethiopian Federal Government Procurement and Property

Administration

Proclamation
Having the objective to achieve better transparency, efficiency, fairness and impartiality in
Public procurement and to enable the utilization of the large sum of public money spent on
Procurement in a manner that ensures greater economy and efficiency, the Federal Democratic
Republic of Ethiopian (FDRE) government established a public procurement proclamation under
proclamation _ 649/2009. According to a draft World Bank‟s CPAR (2010), significant public
procurement policy reforms have been made in Ethiopia. “Previously public procurement is
regulated with Financial Proclamations, not recognizing public procurement as a separate legal
area with separate legal needs. A specific procurement law, the Public Procurement
Proclamation, is introduced and in its latest revision from 2009, it contains all the essential
features of a modern procurement law.”The fifteen chapter new public procurement
proclamation has established an independent public procurement control and oversight organ i.e.
the Ethiopian Public Procurement and Property Administration Agency (PPA). The regulation
describes the basic procedures of public procurement. Also, the different methods of public
procurement and international procurement were clearly featured. The proclamation in addition,
has introduced for the first time electronic procurement and established a board which reviews
complaints on public procurement.

2.4.2 The Proclamation’s Scope of Application

Present procurement laws presently apply only to the Federal Government budget and do not
cover procurement by parastatals and other public bodies, Financed under separate budgets.
Also, since Regions have the right to implement their own procurement rules covering the
Regional, the University and Woreda budgets the procurement proclamation doesn‟t apply to them. In
addition, according to the proclamation (article 3b) “the proclamation doesn‟t apply to contracts
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a public body enters into with another public body for the provision of goods, works,
consultancy or other services at cost.” Further, the Minister (the Ministry of Finance and
Economic Development - MoFED) in consultation with the heads of the relevant public bodies
may in the interest of national security or national defense decide to use a different procedure of
procurement.

2.4.3 Public Procurement Supporting Documents

The World Bank 2002 CPAR noted the absence of suitable SBD‟s and manuals. However, since
2006 the new SBD‟s were issued both in Amharic and English languages. The documents
contain SBD‟s for consultancy, goods & services, works, pharmaceuticals, and non-consultancy
government procurement undertakings. But, according to the report, these documents were now
outdated as they do not reflect the latest revised PPP from 2009.
The PPA is currently working on an update, to be issued soon. A Federal Procurement Manual
is issued in July 2010; an English version is not yet available. At the time of data gathering
(January & February, 2011) the majorities of these supporting documents were being drafted or
had been submitted for approval. So according to the report “it can seem as if the framework is
slowly progressing, but until the documents were finalized and approved the situation is quite
severe, with the bulk of the legal framework either missing or outdated leaving a potential
legislative gap which could seriously affect practices and enforcement. The Federal Public
Procurement Directive (FPPD) has been issued in June 2010. The directive which has thirteen
chapters and 52 articles describes procurement ethics, procurement planning, procurement
methods and their applications, procedures of international procurement, contract administration,
complaints review and others in details

2.5 Development of the Public Procurement System in Ethiopia.

Public procurement in Ethiopia started as a haphazard set of activities where public entities
performed their procurement activities in whatever manner the procurement manager or those
charged with this responsibility felt is best. Changes started to be seen when the government
provided some guidelines in the Supplies Manual. These guidelines were supplemented with
circulars issued once in a while by the Treasury. The role of supervision of the implementation
of this manual is the responsibility of the Director of Government Supply Services under the
Ministry of Finance.
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Whenever public entities want to procure goods and services, they would employ different
methods that usually vary from one situation to the other. One major determinant to how the
procurement would be carried out is the kind of purchase the organization wants to undertake.
Different purchases would demand different procurement policies. Considerations here include
whether the purchase is a one-off or a repeat purchase, whether it is a low, medium or high value
purchase, budgeted or not budgeted, cash or credit purchase, whether it has grant conditions or
not, fixed asset or consumable item and also whether the purchase is a routine purchase or an
emergency purchase.

2.6 Contributors to Successful Procurement Practices

World over, the major reasons for having a law that governs the process of public procurement
were to ensure that there is uniformity in such processes, to ensure that accountability,
transparency, integrity and public confidence were maintained during the procurement process as
well as ensuring that products or services were obtained at the lo Samara University finance office
possible cost without
compromising on quality. These and others form the basic objectives of the manuals and
regulations guiding public procurement.
The legal edge (2008) lists down a number of actions considered as best practices in
procurement. These practices were constantly evolving and may also be more according to the
industry and its players. Procurement systems that engage in most of the best practices succeed
due to a number of reasons. Some of the reasons were explained here below though the
underlying contributor is the existence of industry guidelines and regulations.
Where the person charged with the role of procurement can have access to the guidelines and
regulations, they were more likely to carry out procurement as outlined by these guidelines and
regulations. This has been greatly enhanced by the growth in IT systems which have made access
to the Act possible via the internet. However, this is limited to those with the necessary facilities
to enable access, as well as the knowledge to do so. Having skilled officers undertaking the role
of procurement is also vital to the process being practiced as would be required. This is
according to Kenyanya et al (2010) who emphasize also the value of the length of experience for
the person involved in the procurement as being important in influencing his/her ability to
undertake better procurement practices.

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2.7 Conceptual Framework
To carry out the research, the researcher should identify around four variables that had a bearing
on the publicprocurement practice in case of Samara University finance office Samara zone
finance and economic
development office.
Under each of the broad variables were factors relating to the variable that were part of the
practices involved were formed the independent variables for the research. Coupled with these
there were intervening factors that though not under the direct control of the people in the
procurement practices, tended to influence to some extent the way the practices is carried out.
The dependent variable is the nature of the process and whether it constituted best practices
Independent Variables
 Budgetary management:-Budget prepared and followed, Total cost of ownership, Price
fluctuations, Credit purchase, Cost of quality goods. A plan qualified in monetary terms,
prepared and approved prior to defined period of time, usually showing a planned income to
be generated and/or expenditure to be incurred during that period and the capital to be
employed to contain a given objective (Lyson, 2001).
 Procurement Planning- This is a proactive and phased approach to management of an
organization‟s procurement process so as to achieve overall objectives of agreed
procurement policies. The process also involves reviewing of assets on annual basis to
identify those which are obsolete and should be subject to disposal. The procurement plan
comprises the description of the goods, works and services to be procured, estimated
budget for the goods or services to be procured, procurement methods and time scale
(PPA, 2004). The annual procurement plan should be approved by the Finance ommitte of
The Council (URT, 2007). Harrison and Hoek (2008) defined, procurement planning as
the system coordinating Information on key „source- make‟ - deliver processes to enable
material to flow efficiently and effectively. Three time horizons are involved, namely long
term, medium term and short term respectively. Along term planning process supports
decisions about capacity provisionand is normally a twenty years cycle, a medium term
panning process deals on how to match with supply and demand within a year and short
term planning process is a strategy to meet day to day demand as it unfolds.
 Leadership:-Active tendering committee, Written agreements, Handling complains,

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Reliance on one or two suppliers, Feedback from suppliers.
 Professionalism in public procurement. Professionalization is associated with
the development of associations that seeks to establish minimum qualification for
entrance to a professional practice or activities, enforce appropriate rules and
norms of conduct among the members of the professional group and raise the status
of the professional group in the wider society Lysons and Farrington (2006, PP: 23). In
order to ensure public accountably, yet to gain optimum impact through the use of
commercial best practice, there is a need for professional training and education of those
personnel responsible for the strategic direction and practical application of procurement
action.
 Timeliness of process: -Stage by stage timeliness, Observing deadlines, shortening the
tendering processes. Delay in service delivery will make the services to loose the
meaning and hence a service should be offered in time before it becomes irritating to the
consumer (Ssemayengo, 2005). Services which are delivered in time are said to of good
service and those that are not delivered in time are said to have poor service.
 Transparency management- Open tendering, Handling appeals, Debriefing, Political
influence, Ethical issues, Government policies. According to Sue Arrowsmith (1998),
transparency means that the rules governing the public procurement procedures are
clearly drafted and well defined, so that their implementation by procurement agents can
be easily verified. According to Arrowsmith, the concept of transparency in the context of
public procurement refers to the general idea that procurement should be conducted in
accordance with clear rules which are known to interested parties, and that some means of
verification of those rules should be provided. By ensuring procurement transparency, besides
providing for economic efficiency, countries can
enhances confidence and promotes competition amongst suppliers Effective and efficient
procurement activities require the setting up of instruments of transparency. The instruments
should build and maintain confidence and participation of both suppliers/contactors and the general
public Transparency in public procurement transactions involves: transparency of procurement
opportunities and that of contract evaluation and award procedures. Under the former, the public
procurement regulations require that tender opportunities be adequately publicizedArrowsmith
(1998) such publicity requires the provision of all necessary information that would enable
eligible suppliers/contactors to make informed decisions for the submission of their bids.
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Among other things, procurement notices should present exact details regarding date and time
for receiving bids and opening date and time of the same (which is supposed the procurement
method being sought, specifications of the required goods, works or services, recommended time
frame for bid submissions, a clear indication of the closing be the same), any fees required to be
paid to receive tender documents (this is meant for administrative and production costs ofbidding
documents). For the benefit of both the procurers and the suppliers, the standard bidding
documents provide a guide to such information Transparency in public procurement has many
goals.
According to Giraldo (2005), “it supports nondiscrimination; facilitate participation by suppliers
unfamiliar with the system; to improve information for market access negotiations; to improve
the decision making process; to widen the supply base; to expose governments decisions to
public and social scrutiny; to generate predictability of procurement decisions The Ethiopian
public procurement proclamation contains provisions which prescribe that Public procurement
should be subjected to a new regime of openness, transparency and fairness Section 5 of the
Proclamation states that “when an organ of state contracts for goods and services, it must do so
in a manner which is fair, equitable, transparent Competitive and cost effective.”
 Dependent variables: Best practices in public procurement practicein case of
Samara University finance office
Samara zone finance and economic development office.
The figure below shows the conceptual framework with relevant variables.

•Budget prepared and

followed
•Procurement planning
•Employment
comptences
•Time liness of process

•
Samara University finance office e
finance and economic
•public procurement
development office. law
•enviroment

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dependent
variable

Figure1 Source; Adopted fromfactors influencing procurement practices in

Public secondary schools in mathioya (November 2013)and modified by the researcher for this
study. (2017)

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 CHAPTER THREE

RESEARCH METHODOLOGY
3.1. Description of the study area

3.2 Research Design

The research would be conducted through the census survey, because the populations in the
study area were small and manageable to contact all of them. A complete enumeration of all
items in the „population‟ is known as a census inquiry. It can be presumed that in such an
inquiry, when all items are covered, no element of chance is left and highest accuracy is obtained
(Kothari, 2004). It would adapt explanatory research design since its concern is to explain the
conditions that exist within the whole population. This would be made possible by questioning
officials and employees of the office about their perceptions concerning public procurement in
their Office.

3.3 Population
The populations of the study in this research were all of the staff members of Samara University
procurement team As of the staff of December 2020, there were 1 3 staff members in Samara
University procurement team This means the population of the study area is about 13 peoples,
this is taken from secondary data that is collected and filed by human resource Management
Officer of the Office.

3.4 Method of Data Collection

Both primary and secondary sources of data would be used for the study. The secondary data
include information that can be obtained mainly from different reports, bulletins, websites and
literatures, which were relevant to the objective of the study, were gathered from various sources
to harmonize the analysis. The primary data collection methods were questionnaires that would
be distributed to populations in the study area, and interviews would be conducted with Samara
University procurement team Development leaders. The questionnaires that may have
two (2) parts would be prepared. The first part consist demographic profile of the respondents
which would be designed in a close ended format. The second part would be designed using
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Likert scale, address issues of key factors that affect public procurement practice in case of Samara
University procurement team
The Likert scale ranges from strongly agree‟ to „strongly disagree‟ (1=strongly agree, 2=agree,
3=not sure, 4=disagree,
&5=strongly disagree), so as to not limit the response of respondents to some limited ranges. The
questionnaire would be prepared in English language based on the literature review and some
adaptations. Validity would be enhanced through appraisal of the questionnaires and verification
by the researcher. The questionnaires would be pre-tested to detect any deficiencies in it. The
necessary improvements would be done if any.
The content validity would be used to measure the degree to which data collected using the
questionnaires represent the specific domain of indicators in the study. The questionnaires would
also be assessed for reliability.

3.5 Validity and Reliability

According to Mugenda (2003), in a research study, the reliability coefficient can be computed to
indicate how reliable data are. A coefficient of 0.80 implies that there is a high degree of data
reliability. In this study, the questionnaire‟s construction, quality control and validity would be
ensured through:
 Face validity, where the instrument would be presented to experts to check whether it
measures what it is intended to measure.
 Content validity, where the instrument would be designed according to the study variables
and their respective indicators of measurement; it would be ensured that each question
should be appropriate for a particular variable.
 Construct validity, which would be maintained through restricting the questions to the
conceptualizations of the variables and ensuring that the indicators of a particular variable
fall within the same construct.

3. 6 Data Analysis.
After the collection of important data, it would be coded and feed to excel sheet so as to simplify
further tasks. The respondents‟ scores would be summarized from the sheet and make ready for
analysis and it would be analyzed using two sets of techniques. The first technique is
descriptive statistics, where the percentages and frequencies together with the means and
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standard deviations would be computed and analyzed for each item. The demographic profiles
and items related to characteristics of study populations would be analyzed using simple
statistical tools such as tables and percentages. Descriptive statistics (mean and standard
deviations) of the respondent scores would be computed for the Likert statements and analyzed
by comparing these mean scores and deviations among respondents. The reason for using
descriptive statistics is to compare the different factors that affect the public procurement
practices of WWZFEDO by the mean and standard deviations of scores. The interview questions
would be analyzed using descriptive narrations. Finally, all these would be followed by the
necessary interpretations and discussions so as to achieve the desired goals.

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 CHAPTER FOUR

TIME AND BUDGET SCHEDULE

4.1 Time schedule
The research will take five months to complete. It will be conducted of the including preparation of studying
proposal, writing literature review, questioners design collect data, data analysis and interpretation rule and
preparation of final reports of the resulting the following table forms.
Table 4. 1:Time Schedule

No. Activity time February March April May June

1 Specifying the
area of the study
Title Selection
2 Litrature,preparin √
g the preposal
3 Data collection
Data Editing
Data Analysis
4 Conclusion and √
Recomondation of
finding
5 Reporting the √
Research and
Submitte

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4.2 Cost and budget schedule
Throughout the investigation each activities as and shop will be under take according to their relevance for
the successfulness of the study. Each activity under associated with current and market condition of our
country, it describes by the as follows:
Table 4. 2: Cost budget schedule
No. Material requirement No. of unit requirement Unit cost Total cost
1 Paper 1 pack 600 600
2 Pen 10 30 300
3 marker 5 50 250
4 Flash memory(32GB) 1 600 600
5 Telephone calls 4 month 200 1,200
6 Transports 12 day 200 2,400
7 Typing and printing 50(page) 10 500
8 Bending cost 4 50 200
9 Storage device 2 50 100
10 Internet - 1000 1,000
miscellaneous expense _ 2000 2,000
Total cost - - 9,100

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