Factors Affecting Procurement
Performance at Wollo University
A Thesis Presentation by Hamelmal
Abate
March 2025
Background of the Study
• Procurement is vital in service delivery and
economic development.
• Public procurement accounts for a large share
of GDP.
• Ethiopia has initiated reforms, but challenges
remain.
• Focus: Wollo University.
Statement of the Problem
• Inefficiencies and weak systems plague
Ethiopian procurement.
• Wollo University lacks trained staff, planning,
and transparency.
• No prior focused studies on this university.
General Objective of the Study
• To examine factors affecting procurement
performance in Wollo University.
Specific Objectives of the Study
• - Evaluate effect of procurement planning
• - Determine effect of supplier selection
• - Assess contract administration
• - Examine employee competency
Significance of the Study
• Useful to:
• - University management
• - Policymakers
• - Researchers
• Provides insights to improve efficiency and
transparency.
Scope of the Study
• - Geographic: Wollo University
• - Thematic: Factors affecting procurement
performance
• - Temporal: Cross-sectional data
• - Methodological: Explanatory research design
Limitations of the Study
• - Reluctance to provide information
• - Busy schedules of respondents
• - Mitigated via university introduction letter
and flexible methods
Definitions and Key Terms
• - Employee Competency
• - Procurement Planning
• - Supplier Selection
• - Contract Administration
Theoretical Framework
• Concepts from Resource-Based View (RBV)
• Performance tied to internal resources and
competencies
Research Methodology
• - Design: Descriptive and explanatory
• - Approach: Mixed (quantitative + qualitative)
• - Tools: Questionnaire and interview
Types and Sources of Data
• - Primary: Questionnaires, interviews
• - Secondary: Document review
Sampling Design
• - Population: 287 staff
• - Sample Size: 174 using Yamane’s formula
• - Sampling Method: Simple random and
purposive
Data Collection Tools
• - Structured questionnaires
• - Unstructured interviews
Method of Data Analysis
• - Descriptive stats
• - Pearson Correlation
• - Regression Analysis
• - Hypothesis testing
Data Cleaning
• 157 out of 174 questionnaires returned (91%
response rate)
• Ensured consistency and completeness.
Reliability Test
• Cronbach’s Alpha: 0.936 - 0.959
• High reliability for all variables.
Validity Test
• KMO = 0.658, Bartlett’s test sig. = 0.000
• Principal Component Analysis confirms
construct validity.
Procurement Performance
• Assessed using Likert scale.
• Indicators: competency, planning, supplier
selection, contract administration.
Employee Competency
• Mean = 2.91
• Low satisfaction
• Staff lack training and procedural knowledge
Procurement Planning
• Mean = 2.86
• Planning is weak, reactive rather than
proactive
• Lack of clear guidelines and linkage to
budgeting
Supplier Selection
• Mean = 2.60–3.35
• Poor evaluation and monitoring
• Lack of established supplier criteria
Regression and Correlation
Analysis
• All four factors significantly influence
procurement performance
• R² = 94.5%
Hypothesis Testing
• All null hypotheses rejected
• Each factor has significant positive effect on
performance
Summary & Conclusion
• - Key factors: Competency, planning, selection,
administration
• - Recommend training and structured planning
• - Improve supplier evaluation
• - Policy and process reforms
