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University Of Gondar

College Of Business and Economics


Department Of Marketing Management

The Effect of Tendering Practice on Organizational Performance: The Case of


Gondar City Administration Finance and Economic Cooperation Office

BY: KININET LIJMELKAM

ADVISOR: ASCHALEW ADANE (Asst. Prof)

Sep. 2023
Gondar, Ethiopia

i
The Effect of Tendering Practice on Organizational Performance: The Case of
Gondar City Administration Finance and Economic Cooperation Office

A Thesis Submitted to Department of Marketing Management, for the Partial


Fulfillment of the Requirement for the Award of Master Arts Degree in
Department of Marketing Management College of Business and Economics

BY: - KININET LIJMELKAM

ADVISOR: ASCHALEW ADANE (Asst. Prof)

Sep. 2023

GONDAR, ETHIOPIA
Approval sheet
University Of Gondar

College Of Business and Economics

Marketing Management Post Graduate Program

The Effect of Tendering Practice on Organizational Performance: The Case of Gondar City
Administration Finance and Economic Cooperation Office

Approved by Board of Examiners

Internal Examiner Signature

External Examiner Signature

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Declaration

I, Kininet Lijmelkam, hereby declare that this Master thesis entitled “The Effect of
Tendering Practice on Organizational Performance: The Case of Gondar City Administration
Finance and Economic Cooperation Office” is my original work and has not been presented for a
degree/certificate in any other university and that all sources of material used for the thesis have
been duly acknowledged.

K ininet Lijmelkam _______________

Student’s Name Signature

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Certification

This is to certify that Mr. Kininet Lijmelkam has completed his thesis work entitled “the
effect of tendering Practice on organizational performance: The Case of Gondar city
administration finance and economic cooperation office”. As a principal advisor, this paper is
appropriate to be submitted as a partial fulfillment for the requirement of the award of
master’s degree in marketing management.

ASCHALEW ADANE (Asst. Prof) ________________

Thesis Advisor Signature and Date

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Acknowledgements
First and for most, I would like to thank the Almighty God who supported me to complete my paper
successfully.

My most sincere and heartfelt thanks go to Mr. Aschalew Adane, my advisor, for his unreserved
scholarly support, for their helpful guidance, valuable support and in general for the professional
support for the success of this paper. Similarly, my sincere gratitude should also go to Gondar
university marketing management instructors and to my friends for their support
throughout my thesis preparation.

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Acronyms
PPDA--------------------------------------------Public Procurement and Disposal Act

PPOA--------------------------------------------Public Procurement Oversight Authority

PPARB------------------------------------------Procurement Administrative Review Board

GDP-----------------------------------------------Gross Domestic Product

PPD------------------------------------------------Public Procurement Directorate

PPCRAB------------------------------------------Public Procurement Complaints Review and Appeals Board

PPAB---------------------------------------------Public Procurement Advisory Board

ICT-------------------------------------------------Information, Communication and Technology

PPOAB-------------------------------------------Public Procurement Oversight Advisory Board

IMF------------------------------------------------International Monetary Fund

PPDR----------------------------------------------Public Procurement and Disposal Regulations

MLRM---------------------------------------------Multiple Linear Regression Model

SCM-----------------------------------------------Supply chain management

SPSS-----------------------------------------------Statistical Package for Social Science

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Table of Contents

Approval...................................................................................................................................................i
Declaration...............................................................................................................................................ii
Certification.............................................................................................................................................iii
Acknowledgements.................................................................................................................................iv
Acronyms..................................................................................................................................................v
Table of Contents.....................................................................................................................................vi
List of figures........................................................................................................................................viii
List of tables............................................................................................................................................ix
Abstract.....................................................................................................................................................x
CHAPTERONE...............................................................................................................1
1. INTRODUCTION......................................................................................................1
1.1 Back ground of the study....................................................................................................................1
1.2 Problem statement..............................................................................................................................3
1.3 Research questions..............................................................................................................................5
1.4 Objective of the study.........................................................................................................................5
1.5 Hypothesis..........................................................................................................................................6
1.6. Scope of the study..............................................................................................................................6
1.7 Importance of the study......................................................................................................................7
1.8 Definition of key terms.......................................................................................................................8
1.9 Organization of the study....................................................................................................................9
CHAPTERTWO.............................................................................................................10
1. REVIEWOFRELATEDLITRATURE.......................................................................10
2.1 Introduction.......................................................................................................................................10
2.2 Theoretical framework......................................................................................................................10
2.3 Empirical framework........................................................................................................................13
2.4 Conceptual framework......................................................................................................................19
CHAPTERTHREE.......................................................................................................21
3. RESEARCH METHODOLOGY................................................................................21
3.1. Introduction......................................................................................................................................21
3.2 Research design................................................................................................................................21
3.3 Source of data...................................................................................................................................22
3.4 Population of the study.....................................................................................................................22
3.5 Data Gathering Instruments..............................................................................................................23
3.6 Data Collecting Procedures..............................................................................................................23
3.7 Data Collection Methods..................................................................................................................24
3.8 Data analysis.....................................................................................................................................25
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3.9 Research Variables...........................................................................................................................27
3.10 Pilot Test.........................................................................................................................................27
3.11 Reliability and Validity of the Instrument......................................................................................28
3.12 Ethical Consideration......................................................................................................................31
CHAPTER FOUR.........................................................................................................32
4. RESULTS AND DISCUSSIONS................................................................................32
4.1 Introduction.......................................................................................................................................32
4.2 Data survey response rate.................................................................................................................32
4.3 Descriptive analysis..........................................................................................................................32
4.3.1 Demographic profile of Respondents............................................................................................32
4.3.2 Tendering practice tools................................................................................................................34
4.4 Model Acceptability Checking.........................................................................................................44
4.5 Pearson Correlation, Regression Results and Discussions...............................................................47
4.5.1 Correlation Analysis of tendering practice on organizational performance..................................47
4.5.2 Multiple Linear Regression Analysis............................................................................................50
4.6 Hypotheses That Were Developed and Tested under This Study....................................................54
CHAPTER FIVE..............................................................................................................59
5. SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS........59
5.1 Introduction.......................................................................................................................................59
5.2 Summary...........................................................................................................................................59
5.3 Conclusion …...................................................................................................................................62
5.4 Recommendations.............................................................................................................................63
5.5. Limitation and Directions for Future Research...............................................................................65
Bibliography..................................................................................................................67
Appendix I: English version questionnaire.....................................................................71
Appendix II: Amharic version questionnaire..................................................................80

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List of Figures
Figure 1: Conceptual Framework..........................................................................................................20
Figure 2: Histogram for Model Adequacy Checking................................................................................44
Figure 3: Normal P-P Plot of Regression Standardized............................................................................45
Figure 4: scatter plot on organizational performance of Gondar city administration finance...................46
List of tables
Table 1: the employees of Gondar city administration finance and economic cooperation office in
Gondar city................................................................................................................................23
Table 2: Factor Analysis for Independent Variables of tendering practice Dimension............................29
Table 3: Reliability test..............................................................................................................................29
Table 4: KMO and Bartlett's Test..............................................................................................................30
Table 5: Survey Response Rate.................................................................................................................32
Table 6: Demographic Profile of the Respondents....................................................................................33
Table 7: Tendering procedures..................................................................................................................35
Table 8: Tendering Committees................................................................................................................36
Table 9: Ethical Practice............................................................................................................................37
Table 10: Record management..................................................................................................................38
Table 11: Contract awards.........................................................................................................................39
Table 12: Evaluation Practice....................................................................................................................40
Table 13: Bidding Practice........................................................................................................................41
Table 14: Gondar city administration Finance Organization Performance...............................................42
Table 15: The mean value of each dimension of tendering practice and organizational performance is
given below.................................................................................................................................43
Table 16: The Correlation between Dependent and Independent Variable...............................................47
Table 17: organizational performance and tendering practice Dimension in Gondar city administration
finance in Gondar city Administration Model Summery...........................................................50
Table 18: Organization performance and tendering practice dimension ANOVA...................................51
Table 19: Organization performance and Tendering practice Dimension Coefficients............................52

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Abstract
Tendering is the practice whereby governments and financial institutions invite bids for projects that
must be submitted within a finite deadline. Tendering is the function that costs an organization a great
deal of money and thus has to be performed correctly in order to maximize effectiveness and minimize
costs. The research sought to evaluate the effect of tendering practice on organizational performance:
the case of Gondar city administration finance and economic cooperation office. The research aims to
achieve how the following variables of tendering practice (that is tender procedure, tendering
committees; ethical practice, record management, contract award; evaluation practice and bidding
practice) affect or influence public organizational performance. Descriptive and explanatory research
designs were used in the study. Data was collected from Gondar city administration finance and
economic cooperation office. Census survey sampling technique was used to select the respondents of
the study, due to total population is small. The data collection instrument used was Questionnaire,
before the actual data collection a pilot study was done. The data was analyzed in descriptive statistics
such as, mean, standard deviation, frequency, and percentages and the inferential statistics of study was
used correlation and regression model using SPSS version 20. From 52 total populations of the
organization, only 49employees have returned the questionnaires (i.e. representing 94.23% of response
rate) among them 47 (90.4%) were fully answered questionnaires. Thus, 90.4% questionnaires analyzed
using descriptive and inferential statistics (Correlation analysis and multiple regressions). The result of
the findings of the study indicates that tendering procedure, tendering committee, contract award, and
evaluation practice and bidding practice dimensions of tendering practice have a significant effect to
organizational performance whereas ethical practice and record management has positive relationship
but no significant effect on organizational performance. Therefore, it is recommended that, the Gondar
city administration finance and economic cooperation office should increased customer satisfaction with
the adoption of centralized purchasing, the manager should attain of least-cost suppliers is due to the
procurement evaluation, quality should be realized due to a prequalified supplier base, employees
should trained on standard procedures of procurement process, the manager should understand that
training/workshops on tender procedures improve performance.

Keywords: tendering committee, Public procurement, bidding practices, Tendering procedure,


regulations, contract award, ethical practices, and organizational performance.

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CHAPTER ONE
1. INTRODUCTION
1.1 Back ground of the study
There are different components of tendering practice used for enhancing organization performance.
Some of the dimensions of tendering practice are tendering committees, the tender procedure, ethical
practices of tendering, automated tendering and record management of tender documents (KISURKAT
(2016)). The types of tendering used by public organizations are open tendering, restricted tendering and
negotiated tendering (Yarmukhamedov 2020). Open tendering system is a tendering where potential
suppliers are invited to compete for a contract advertised in the press. The lowest tender in terms of
price is commonly awarded the tender. Although the individual states that, they are not bound to accept
the lowest bidder at all times. Restricted Tendering is an alternative method of procurement other than
Open Tendering. The public entity is required to obtain prior approval from its Tender Committee. The
public entity seeking approval must record in writing the reasons for using the alternative procedure.
Particular conditions have to be stated and satisfied for approval to use this alternative method of
procurement to be established. Contest for contract and its difficulty or specialized nature limited to
prequalified contractors; Time and costs required to examine & evaluate a large number of tenders
would be disproportionate to the value of the procurement. There are only a few known suppliers for a
particular type of procurement. Negotiated tendering is similar to restricted tendering, but the practice
allows the terms of contract to be negotiated with in strict guiding principle prior to awarding of a
contract. This practice is used in exceptional circumstances where the organization is the solitary source
of supply.

Ethical practices are also necessary if there is to be good governance in public organization tendering
process (Williams (2003)). In cases where records are, poorly managed companies have lost revenue
through business claims or poor governance. In addition, surveys shows that many companies still have
poor management record practices which results in claims if they are taken to courts. (AhmedI. (1998): )
(Ahmed I. (1998)) According to PPDA 2005 Procurement, records shall be kept by all public
procurement organizations i.e. for each procurement records shall be kept for at least six years after the
resulting contract was entered in to or if no contract resulted after the procurement was terminated.

The influence of regulatory center of attention on the number of alternatives auctions selected may
translate into lower final bid prices for promotional paying attention of buyers (John R. Drake (2012)).

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Evidence shows that cross bidders on average pay a lower winning price than non-cross bidders bidding
behavior in competing auction. (M. M. Anwar S. (2006)). The strategy of cross bidding is one where
buyers put bids in more than one auction at the same time in hopes of landing the lowest bid in at least
one of them. This policy of bidding in multiple auctions parallels the strategy of promotionally paying
attention individuals who approach problems by attempting many different options and avoiding errors
of omission (Higgins 1997.).This practice may lead to lower winning prices.

The concern for controlling bidding information in auctions arises from the problem, that is on one hand,
bidding information can assist bidders in estimating the value of the auctioned items and increase
auction revenue (GOLDBERG 1997.). However, on the other hand, bidding information can facilitate
and sustain collusive outcomes, especially in multi-object environment. In fact, this was exactly the
major concern when the federal communications commission (FCC) was considering whether to
disclose bidding information (M. M. Anwar S. (2006)).

Tendering committees are very essential as far as tendering in public institutions is concerned. The
position of this committee is to evaluate bids in accordance with the specifications as set out in the
original tender document and to conduct such an evaluation under a point system as stipulated in the
Supply Chain Management Policy of the organ of state (Phythian (1992)).

An evaluation is set for each procurement’s within the threshold of the tender practice for the purposes
of carrying out the technical and financial evaluation of tenders (KISURKAT (2016)). He also stated
that under no circumstance may any member of an evaluation practice be it a financial evaluation or
technical evaluation committee enter into straight communication with any of the tenderer participating
in a tender. This committee prepares a report of the analysis of the tenders received and final ratings
assigned to every tender and submit the report to the tender committee. There is an inspection and
acceptance committee, which inspects and reviews the goods works or services in order to ensure
fulfillment in the terms and specifications of the contract. It may accept or rejection behalf of the
procurement entity the procured goods works or services (PPDA2005 and PPDR2006).

(Chegugu N. Rasto (2017)) Defined organizational performance in terms of how well an organization
accomplishes its objectives, and point out that performance refers to the quality and quantity of
individual or group work achievement. However, look at organizational performance from the
perspective of organizational performance. (KIPKEMOI (2017)) Rightly pointed out that although
organizational performance is measured by both financial and market criteria, the short-term objectives

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of tendering practice of SCM are to enhance productivity and reduce inventory and lead time for the
better organizational performance measures.

1.2 Problem statement

(Agaba, "Public Procurement Reformin Developing Countries: in the Experience." (2007).) affirm that
the tendering practice is operated under the public procurement and disposal of assets authority (PPDA)
act 2003, with an objective of achieving organizational performance. As regards to efficiency, product
chain and lead time via effective bidding practices, evaluation and contract award. But, the district has
been observed with several weaknesses like personal interest, bribery, funds embezzlement that
generally affect its performance through delayed tendering practices, failure to accomplish the projects
tendered (D. Drew 2008). (Agaba (2007)) Despite of the law governing the operations of tendering, and
one wondering why given all the years the district has been in existence. (GORDON, Tendering process
and organizational performance: 2015) Could it be as a result of organizational policies, political, social
and economic factors and factors personal interests? Therefore, this forms the gap that the researcher
wishes to investigate in the district as a major area of interest.

The purpose of the study was to determine if regulatory dispositions affect the selection of auctions in
online market places (Walczak 2010.). From a sample of over 100 participants, they found that two
dispositions, regulatory focus and trusting disposition, affect the number of auctions selected when
searching for products in an online auction marketplace, but contextual factors, online auction self-
efficacy and perceived risk in the community of sellers, were not significant in predicting the number
selected (Wood 2005.). They also found that the construct trusting disposition might be more complex
than originally formulated.

The low bid award system fosters competition amongst contractors attempting to secure the project. This
competition can have both positive and negative effects for the client. As the public sector client is
accountable to the public, an open competitive bidding process that is awarded based only on price is
highly transparent. However, selecting a contractor based only on price greatly diminishes the
significance of important things such as criteria, time and quality. Low bid price as the sole award
criterion encourages unqualified contractors to submit bids (Jung, et al. 2019) along with bidders that
submit a very low bid with the intent of recovering their losses through change orders and claims, also
known as predatory bidding (Kreye (2014)). Therefore, low bids have some limitations.

(GORDON, Tendering process and organizational performance: 2015) argued that selective (Closed)
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Tendering, a method of tender invitation where select the group of tenderer, selected normally through a
scientific practice of prequalification, that are invited to submit a tender is known as selective tendering.
Selective tendering is widely used since it is proven effective and quicker to award contracts to the right
companies i.e. experienced and qualified companies. It is also effective when clients have a pool of
experienced contractors or where the client expects a high level of interest from tenders. Under selective
tendering, competitive tendering has been found to be the most effective among all methods in getting
best value for money and hence widely adopted. So, what happened in Gondar city study area? Was the
main point of the study.

(Cheaitou, Larbi and Al Housani 2019) Assess that a request for tender from more than one tenderer, in
competition with other tenderer, is known as competitive tendering. The tenderer invited to tender could
either be selected through a prequalification practice or could be selected from a client's own internally
developed list of registered companies. The factors that determine, if a prequalification is required or not
varies from situation to situation (Yarmukhamedov 2020).
Different researchers studied that the influence of independent variable on the performance of the
organization varies. (D. Drew 2008) investigated that contract award is one of the main factors that affect
the construction project. (John R. Drake (2012)) investigated that ethical practice is one of the main focus
of tendering practice for organizational performance. (KIM (2014) ) investigated that record
management is the main method to award the bidders. So, record management mainly affects the project
performance. Bahadur (2019) investigated that tendering procedure of bidding practice affects the
building project. (FAITH 2016) investigated that evaluation practice is the main factors for the
performance of construction industry. AKELLO SHEILA FAITH (2016) investigated that evaluation
practice; award of contract has strong effect on public procurement in competitive bidding. The public
perception of the tender evaluation confidentiality is low. There is a need for an increased emphasis on
ensuring improvement in confidentiality perception on not only evaluation but also the entire public
procurement. NTUNGIRE GORDON (2015) investigated that bidding practice affect organization
performance in Kiruhura district positively according to 78% of the respondents agreed. bidding
practices was found providing a positive avenue to the operation of the organization. Evaluation practice
affect organization performance in Kiruhura district through complying with the legal framework and
attaining value for money 82%. contract award enhances the organizational operations through
providing legal framework, contract award enhances service delivery time and improves the operational
scale of preferences, Provides a guidelines on the execution of organizational undertakings. (Kisurkat
2016) investigated that tendering committees; the tender procedure; ethical practices of tendering;
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automated tendering; and record management of tender documents are significant. In addition, tendering
committees play a vital role in the activities of the tendering process. Thus, the researcher wants to
identify the main effect of tendering practice for organizational performance.

Therefore, the purpose of this study is to fill the gap by examining the effects of tendering practice on
organization performance of Gondar city administration finance and economic cooperation office,
Which are providing suggestions to the organization how they can make their work to be committed and
work hard on their job by formulating some hypothesis and analysis to increase the organizational
performance.

1.3 Research questions

Accordingly, this study was conducted with the intention of seeking answers for the following basic
research questions:

 How does the tendering procedure affect public organizational performance?

 What is the influence of tendering committees on public organizational performance?

 How bidding practice affect organization performance?

 What is the effect of evaluation practice on organization performance?

 How does record management of tender documents influence public organizational performance?

 How do ethical practices influence public organizational performance?

 Evaluate the relationship between contract award and organization performance?

1.4Objective of the study

1.4.1 General objectives

The general objective of this study was to assess the effect of tendering practice on organizational
performance, the case of Gondar city administration finance and economic cooperation office.

1.4.2 Specific objectives


 To identify the extent to which tendering procedures affect public organizational performance in
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Gondar city.
 To assess the influence of tendering committees on public organizational performance.
 To determine the effect of ethical practices of tender documents on public organizational
performance.
 To examine the effect of record management of tender documents on public organizational
performance.
 To determine the effect of contract award and organization performance Gondar city.
 To determine the effect of evaluation practice on organization performance in Gondar city.
 To examine the effect of bidding practice on organization performance in Gondar city.
1.5Hypothesis
Thehypothesisdesignedforthispaperisbasedonthefollowingassumptions:
 There are positive and significant relationship between tendering procedures connect public
organizational performance in Gondar city.
 There are positive relationship and significant effect between tendering committees on public
organizational performance.
 There are positive relationship and significant effect between ethical practices of tender documents
on organizational performance.
 There are positive relationship and significant effect between record management of tender
documents on organizational performance.
 There are positive relationship and significant effect between contract award and organization
performance Gondar city.
 There are positive relationship and significant effect between evaluation practices on organization
performance in Gondar city.
 There are positive relationship and significant effect between bidding practice on organization
performance in Gondar city.
1.6. Scope of the study
For purposes of classifying, the Scope of the study would be broken into three, which includes.
Geographical Scope
This particular research study was conducted in the geographical area of Gondar city administration
finance and economic cooperation office. This town is 765 km far from the capital city of the country.

Time Scope

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There searcher would be taken time while conducting the study which was started from July 2022 and
end July 2023.

Content Scope

The study was focused on the tendering practice as the independent viable the components of this
independent variable (tendering procedures, tendering committees, bidding practice, evaluation practice
ethical practices, record management and contract award) and organization performance aspects such as
the dependent variable.

1.7 Importance of the study

 The study findings are helpful in identifying some factors which hinder effective tendering
practice on organization performance.

 The study may help to recommend solutions to the factors affecting tendering process on
organization performance in Gondar city administration finance and economic cooperation office.

 Some of the aspects addressed herein were essential in availing answers to questions of how to
maximally take advantage of the opportunity of accessibility in the tendering practice in order to attain
maximum yield for reinvestment.

 These study findings serve as reference points for future tendering and procurement practice
researchers by providing some literature information about other factors affecting the organizational
performance.

 The research was provided information regarding to tendering and mechanisms for their effective
improvement in Gondar city. The research explored other parameters that can enhance organizational
performance in Gondar city.

 Enables the researcher to acquire basic experience and knowledge about the effect of tendering
practice on organizational performance.

 Help policy makers and higher managerial and educational administrator levels.

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 Initiate future researchers to study the issue more deeply.

 The research result was helpful for the award of second degree in marketing management, up on
its submission to the University of Gondar.

1.8 Definition of key terms

The Act: Means Public procurement disposal act 2005

Tendering: The practice whereby governments and financial institutions invite bids for large projects that
must be submitted contained by a fixed dead line (D. Drew 2008).

Open tendering: a bidding process that is open to all qualified bidders and where the preserved bids are
opened in public for inspection and are chosen on the basis of price and quality; also called competitive
tendering or public tendering (GORDON 2015).

Public procurement: the process by which public entities contract for acquisition/supply of goods
services or wants and disposal of public goods in accordance to the current legal framework of Public
Procurement and Disposal Act (PPDA 2005) (Victor Imbanga TSUMA 2017).

Organizational performance: the performance of the organization (Chegugu N. Rasto (2017)).

Disposal: means the divestiture of public assets, including intellectual and proprietary rights and
goodwill and other rights of a procuring entity by any means including sale, lease, rental, franchise,
auction or any combination however classified, other than those regulated by any other written law
(GORDON2015).

Goods: includes raw materials, electricity and services that are incidental to the supply of the goods, and
things in liquid or gas form (H. Avent , 2006.).

Services: means any objects of procurement or disposal other than works and goods and includes
professional, non-professional and commercial types of services as well as goods and works which
incidental are to but not exceeding the value of those services (H. Avent , 2006.)

Public entity: the Government or any office of the Government; the courts; the commissions established

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under the Constitution; a local authority under the Local Government Act; a state corporation within the
meaning of the State Corporations Act; the Central Bank of Kenya established under the Central Bank of
Kenya Act; a cooperative society established under the Co-operative Societies Act; a public school
within the meaning of the Education Act; a Public university within the meaning of the Universities Act;
a college or other educational institution maintained or assisted out of public funds; an entity prescribed
as a public entity for the purpose of this description (Agaba (2007)). Procuring entity: means a public
entity making a procurement proceeding to which the PPDA 2005 applies (Agaba(2007)).

Public funds: has the meaning assigned to it in the Audit Act and includes monetary wealth appropriated
to procuring entities through the budgetary process, as well as extra budgetary funds, including aid
grants and credits, put at the disposal of procuring entities by foreign donors, and revenues (CHAPMAN
2000. ).

Regulations: means regulations made under the PPDR 2006 (D. Drew 2008).

Tendering committees: means the committees that are involved during the tendering practice and
include; tender committees, procurement committees, tender evaluation committees, user offices,
inspection committees and disposal committees (Shash 1993).

1.9 Organization of the study

The paper arranged into five chapters. The first chapter contains the background of the study followed
by a discussion on the statement of the problem. Then, some research questions are stated, research
objectives, the significance of the research, scope and restrictions of the study are incorporated. Chapter
two comprises literature reviews mainly include theoretical study, empirical study, and conceptual
study, which in forms the reader of what is already known in this study. The third chapter discusses on
the methodology that has been engaged in the study, including, research design and procedures of the
data collection and statistical processing techniques. The fourth chapter briefly discusses the
presentation of the data analysis with a discussion of the findings. In the final chapter, conclusions and
recommendation a represented and gives some highlight the areas for future research.

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CHAPTERTWO

1. REVIEWOFRELATEDLITRATURE
2.1 Introduction
This chapter shows what other scholars have written about the tendering practice, organization
performance, relationship between contract award and organization performance, and other indicating
factors. This section shows all the literature that would be used in the study. This helped the researcher
in data compilation and making the analysis in the research. In this literature review, several materials
for example journals, textbooks, magazines, pamphlets, newspapers and the internet was consulted.

2.2 Theoretical framework


International Competitive tendering

In International Competitive tendering or International bidding, is a procuring entity shall invite


suppliers, contractors, service providers or assets buyers regardless of their nationality by means of a
tender notice that shall be advertised nationally or international to submit priced tenders for goods,
works or services or purchase of public assets. In this method, payment may be in whole or in the
foreign currency or the estimate; cost of the goods or works exceeds the threshold for such tenders (M.
M. Anwar S. (2006)).

National competitive tendering

In this method a procuring entity shall invite supplier’s services provider’s contractors or asset buyers
regardless of their national by means of a tender notice advertised in the United Republic of Kenya to
submit priced tenders for goods, service, works or purchase of public assets (FAITH, competitive
bidding and service delivery in public procurement: a case study of 2016). This method is applied when
the payment is made wholly in Kenyan shillings, the goods, services and works are available in local at
price below the international market, works or services are scattered geographical or spread over time.

Restricted tendering

Procuring entity may restrict the issue of tender documents to a limited number of specific suppliers,
contractors or service providers. This method is applied when the goods, works or services required are
of a specialized nature or can be obtained from a limited number of specialized contractors, service
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providers or reputable source or if there is urgent need for the goods, works or service such that there
would be insufficient time for a procuring entity to engage in open national or international tendering,
provided that the circumstances giving rise to the urgency could not have been foreseen by a procuring
entity and have been caused by dilatory conduct on its part (Cheaitou, Larbi and Al Housani 2019).

Bid Gap

Therearedefiniterisksassociatedwiththelowbidawardsystem.Anumberofstudieshaveshownthatthelowestbi
d does not guarantee the lowest cost. Also, the lowest bidder is subject to the winner’s curse; the
contractor with the lowest bid is the one most likely to have underestimated the cost of the project. They
are required to complete a construction project that no one else was willing to do at that price (D. Akalp
(2016)).

If a contractor submits a bid that is significantly lower than the client’s estimate and the other bidders, it
is difficult to understand how that contract or could complete the job profitably. The European Union
defines those bids as Abnormally Low Tenders (Bedford (2009)). The EU introduced legislation to
allow public sector clients the option of awarding a construction project using either the traditional low
bid or the Economically Most Advantageous Tender (EMAT). (Kisurkat 2016) The legislation allowed
public sector clients to reduce their exposure to some of the adverse effects of abnormally low tenders
(ALT), including:

• Unsatisfactory quality through the need to reduce construction costs;

• Predatory pricing and unfair competition that distorts the market, negatively affecting the other bidders.

Researchers have summarized the long list of factors that can influence a contractor’s decision to bid
and the price they submit. In addition to the many factors involved in determining a price, there are a
number of reasons that the bid submitted could be considered abnormally low (Bedford (2009)).
Imprecise and ambiguous contract documentation (including incomplete drawings) may cause a
contractor to make a serious omission in calculating costs. Errors may also arise due to insufficient time
to prepare the bid (FAITH 2016).

Impact of Low Bidding

There are definite benefits and drawbacks to the low-bid award system. Promoting competition amongst
contractors, compelling contractors to lower their costs, usually through innovation are clear benefits to
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the practice. In addition, the process is beneficial specifically to the public sector because of the
transparency, an important criterion of public policy (Bedford (2009)). Low bidding forces contractors
to continuously lower the costs by adopting cost saving technological and managerial innovations
(Yarmukhamedov 2020). These savings are then passed to the owner through the competitive process.

However, allowing projects to be awarded based on the least price has inherent flaws. Delays in meeting
the contract duration, increment of the final project cost due to high variations, tendency to compromise
quality, and adversarial relationship among contracting parties are the major drawbacks associated with
the process (Walczak 2010.) Such low bids are submitted seldom accidentally and more often
deliberately to win the contract. It is seen to encourage cost cutting measures instead of quality
enhancing measures. So it is likely that contractors that deliver best quality construction would not be
awarded the contracts. This leads to excessive claims and disputes and results in increased cost and
schedule delays (Williams (2003)). The use of bid prices as the basis for contractor selection is the major
critique of current selection practice in many countries (Drew D. (2001)).

(Jarkas A. (2014)) states that accepting the lowest price is the basic cause of the project completion
problems due to very often lowering the price means lowering the quality. Although the lowest bidder
system protects the public from improper practices, it has certain significant disadvantages including
extensive delay, cost overrun, quality problems and increased number of disputes.

Factors Affecting contractors’ bidding Price

(Jaakko Lemberg (2013)) States that the bidding price / decision considerations of contractors are vary
from one country to others. The projects in developing countries are very different to developed
countries. The projects in developing country have extra consideration on living standard; level of
productivity; policies such as requirements on import; availability of qualified staff, materials and heavy
equipment; also the stability of the country and the client information. Those factors are grouped under 6
categories as following:

 Need for Work

 Strength of Firm

 Project Conditions Contributing to Profitability

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 Risk of the Project

 Competition

 Strategic Considerations
Organizational performance
(Chegugu N. Rasto (2017)) Assesses that organization performance is a function of employee
performance. Organization effectiveness depends on constantly improving the performance of
organizational members and developing and maintaining the human potential that serves as the
backbone of the organization.

Reasons for managing organizational performance


A review of the literature identifies a host of reasons for managing organizational performance falling in
to the following categories (Chegugu N. Rasto (2017)). Strategy formulation determining what the
objectives of the organization are and how the organization plans to achieve them ( (Chegugu N. Rasto
(2017)). Manage the strategy implementation process, by examining whether an intended strategy is
being put into practice as planned (Chegugu N. Rasto (2017)). In order to obtain good Governance and
promote democratic participatory. Leads to proper plans, develop and sustain infrastructures (Bahadur
(2019)).

2.3 Empirical framework


(D. Drew 2008) on the title of “the effect of bidding on construction project”. The research states that
tendency of contractors to bid lowering the bid price is high in road construction projects and found that
such tendency is even higher in the case of new construction type road projects in comparison to other
types like rehabilitation, maintenance etc. Most of the contractors bid with the bidding price 25 % - 40%
low with respect to engineers estimate and try to manage their overhead and profit with price escalation,
variation and claims. Contract award is one of the main factors that affect the construction project. They
have also tendency to extend contract period with some justification in order to achieve more price
adjustments.

(Drake 2012) Stated, “The main form of collusion is bid rigging behavior”. Bid rigging is firstly a
competition law violation in which bidders illegally agree on a price for goods and services or agree not
to bid in a tender. Through the bid rigging behavior, the government was played artificially high prices
for goods or services. It affects not only the national level, but also the international level (Chowdury,

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2008). The impact of collusive bidding at the international level involves domestic cartels attempting to
preserve a narrow domestic procurement market by obstructing foreign firms from participating in
bidding in the domestic market. For example, during 1990s the construction cartel in Japan known as
Dango obstructed construction firms from the US to compete in the tendering of a new international
airport project in Japan. Finally, the US government pressured the Japanese government to eliminate the
Dango behavior in order to encourage fair competition. Thus, ethical practice is one of the main focus of
tendering practice for organizational performance. (Woodall, 1996: 19) Likewise, (Drake 2012)
described the context of collusive bidding occurring in EU procurement markets. This restrictive
practice contradicts the goal of EU public procurement policy which is aimed at integrating these
markets in order to allow public procurers to obtain the benefits of the common market (Bista, 2015).

(KIM (2014) ) On “Project Bidding Strategy Considering Correlations between Bidders”. The data
available for over 7,000 Michigan Office of Transportation highway projects that can be used to
calculate correlations between the different contractors. This study began with the hypothesis that bids
on construction projects for state DOTs are not necessarily independent, but instead are correlated. This
hypothesis is supported by the MDOT data analysis, which illustrates actual bids correlated over a wide
range of correlations, from 0 to 0.9. Before investigating how correlations affect the probability of
winning, the characteristics of winning bids are examined using the following two hypotheses: winning
bids divided by the EE is normally distributed and a larger number of bidders is associated with a lower
winning bid price. With the shape of the Q-Q plot and cumulative distribution function, the hypothesis
that the distribution of the winning bids divided by the EE follows a normal distribution is proven. In
addition, the results of the regression analysis between the number of bidders per bid and low bids have
demonstrated that the higher the number of bids, the lower is the winning bids divided by EE. It is
advantageous for the DOT to have more bidders per project to decrease the awarded bid prices. The
record management is the main method to award the bidders. So, record management affects the project.
In conclusion, in the case that a contractor’s estimated bid price is lower than his/her average bid price,
it is better to bid with a high variance in the bidding price and to bid with less correlated contractors.
Conversely, it is advantageous for a contractor to set the bid price with a low variance and to bid with
highly correlated contractors, if the contractor has estimated bid price is lower than the average bid
price.

(Hanák 2021) on the title of “low bidding as result showed that trend of low bidding was higher”. The
frequency of bid ranging 30% to 50% low with respect to engineers estimate was the higher. Bidding

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practice highly influences the project performance. On the other hand low bidding trend suffers the
project which is recommended by (Bahadur 2019) as the research reveals that there is low level of time
and cost performance of DUDBC construction projects awarded to the lowest responsive bidders. He
also concluded the impact of low bidding in time and cost. Competitive low bidding believes to give
everyone an equal chance to bid, eliminates collusion, and optimally utilizes tax-payers money. It fosters
honest competition in order to obtain the best work and supplies at the lowest price. It is also necessary
to guard against favoritism, imprudence, extravagance, fraud and corruption (M. M. Anwar S. (2006))

(Bahadur 2019), on the title of “low bidding projects occur less frequently than normal bidding in the
public building project”. Contrary to popular belief, low bidding projects occur less frequently than
normal bidding in the public building project as the 81.42% of the project under five division office in
Central Development Region of office of Urban Development and Building Construction (DUDBC) in
the fiscal years from 2014/015 to2016/017 are normally bided projects. This shows a tendency of
contractor bidding in a normal range in public building project under DUDBC which is contrary to the
belief of public client organizations in majority that there are low bided projects in their organizations.
The tendering procedure of bidding practice affects the building project. It is also seen from the analysis
of reviewed projects by Kadariya (2011) that contractors generally feel that 5%-15% lower amount than
the original engineers estimate is normal range for bidding to obtain nominal profit in building projects
and below that range bid is considered as a low bid (Bahadur(2019)).

(FAITH 2016) on “competitive bidding practice on performance of construction industry”. Competitive


bidding is widely applied in many sectors besides construction. The different forms of bidding are; open
bidding or sealed bidding or combination of these two. Open bidding employs an iterative negotiation
practice, whereby each contractor independently negotiates a contract price with the client. The
evaluation practice is the main factors for the performance of construction industry. Consultation among
competing contractors is allowed, and contractors are allowed to revise their bid for as long as the client
has not come to a decision on which bid to accept. The open form of bidding is widely used in the
commercial sector. Sealed bids on the other hand, are more typical of the construction and civil
engineering sector. In sealed bids, each contractor is allowed to submit only one bid, and negotiation
between the client and competing contractors is barred. Equally, discussion pertaining to the project
under bid between the competing contractors is not allowed. Each contractors bid is submitted by a
specified date, and once submitted (usually in a sealed envelope) cannot be revised. The practice of
strategic decision making in bidding incorporates some factors: Internal, external and environmental

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factors. Internal factors are those related to the company such as the expertise, experience, resources,
capabilities, etc. Externals factors, outside the company, include the number of bidders, bidding risk,
type of project, cash flow requirements, bid related factors etc. environmental factors, social and
economic condition, include availability of other projects, availability of qualified labor, availability of
qualified staffs, availability of qualified subcontractor, availability of equipment. These three factors
interactively affect the strategic decisions of competitive bidding in construction industry.

AKELLO SHEILA FAITH (2016): on “ (A. S. FAITH, competitive bidding and service delivery in
public procurement: a case study of 2016)”. Competitive bidding is most often used by government
agencies that are required by law to periodically open all contracts to bid and must award business to the
lowest bidder. The study considered a combination of both descriptive and case study design because
detailed information about competitive bidding and service delivery was able to be attained involving
qualitative and quantitative approaches. Primary and secondary sources of data, to make valid
conclusions. The study was also cross-sectional survey. Population is the complete collection of all the
elements that are of interest in a particular investigation (Amin, 2004). In light of these the study used a
population 32 (human resource manual) procurement office (3), User office officers 17, accounting
officers (2), selected service providers (II) requested to gather information from the respondents.
Evaluation practice, Award of contract has strong effect on public procurement in competitive bidding.
Public Perception of tender Evaluation Confidentiality. The public perception of the tender evaluation
confidentiality is low. There is a need for an increased emphasis on ensuring improvement in
confidentiality perception not only on evaluation but the entire public procurement.

(T. AMINAH 2016) on “Negotiation management and organizational performance in local government.
A case study of Hoima district local government”. Relationship between Negotiation Management and
Organizational performance. The study findings indicate that performance is highly influenced by the
skills and experience, it was found that a function of effective performance and value for money
attainment. The findings of Robert (2007) which requires the determination of the ability to question any
assumptions and set expectation, create a methodology to ask and understand the suppliers which helps
in differing the proclaimed relationship. The PPDA also requires negotiators with good and report
writing with high standards of integrity and interpersonal skills plus team orientated this helped in
improving the performance level of Hoima District Local Government. During the impact of
Negotiation identified that whenever there is no planning under taken the set goals and good quality
won’t be achieved since they didn’t know what to consider during the negotiation process therefore the

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district should put much emphasize on the planning procedures for the negotiation. The negotiation
techniques should be in line with the PPDA, Act of negotiation and aiming at ensuring good relationship
and accountability at the district. Recognition of negotiators identify those who perform their jobs well
during negotiation in Hoima District Local Government should therefore consider adding more value to
its negotiation system to include all factors of negotiation such as techniques.

(GORDON, tendering process and organisational performance: 2015) on “Tendering process and
organizational performance: a case study of Kiruhura district local government, western Uganda”. The
research was set to assess the effect of tendering process on organizational performance and the
relationship between the two variables in Kiruhura district create the effect of bidding practice on
organization performance in Kiruhura district, study the effect of evaluation practice on organization
performance in Kiruhura district, found the relationship between contract award and organization
performance in Kiruhura district. Bidding practice affect organization performance in Kiruhura district
confidently according to 78% of the respondents decided through provided that a lean supply base for
successful management, it was also recognized that bidding enhances value for money 70%, bidding
practices was found provided that a positive possibility to the function of the organization. Evaluation
practice affect organization performance in Kiruhura district throughout complying with the official
framework and attaining value for money 82%, enabling the preference of adequate and consistent
suppliers in the district according to 77% of the respondents that there is administration of the
organizations attains confirmation of value for money. It was recognized that there is strong connection
between contract awards and organization performance in Kiruhura district throughout providing carry
services for the organizational function along with other issues were that contract award increases the
organizational operations throughout providing lawful structure, contract award improves service
deliverance time and enhances the operational degree of preferences, Provides a strategy on the
implementation of organizational activities.

(KISURKAT (2016)) on the “Effect of tendering on organizational performance; a survey of public


institutions in kajiado county”. The research required to assess the effect of tendering on the
performance of organizations in the case of unrestricted entities in Kajiado County. Tendering is the
practice whereby governments and financial institutions attract bids for huge projects that must be
submitted within a limited closing date. Tendering is the purpose that overheads the organization a great
deals of wealth and in consequence has to be performed appropriately in order to exploit efficiency and
reduce cost. The study aims to realize how the following variables influence or affect public

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organizational performance: tendering committees; the tender procedure; ethical practices of tendering;
automated tendering; and record management of tender documents. explanatory research design would
be used in the study. Records were collected from three procurement professionals per individual in
Kajiado County. The illustration of the study be obtained all the way through simple random sampling
technique and the sample size was five public entities and consequently fifteen questionnaires were
administered. This study depends on primary data, which was collected throughout the use of
prearranged questionnaires, which were planned to capture quantitative data. Questionnaires had close-
ended questions and statistics was processed through Microsoft Excel and statistical package for social
sciences (SPSS). From the result, it is clear that how entities perform their tendering procedures affects
the performance of the organization activities. It also establishes that Tendering committees play a
crucial task in the activities of the tendering process. It also shows that Ethical behaviors, programmed
tendering and well administration of tendering papers put in to the accomplishment of the performance
in the division as well as the whole organization. Based on the result; Tendering is used frequently, and
many entities obey the rules to the procedures as set in the act. Moreover numerous agreed that training
employees on tender procedures would develop their performance. A larger amount recognized the
performance of their division to the tendering process they undertook. This concludes that, entities that
conduct tendering procedures for each act improve the performance of their branch.

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2.4 Conceptual framework
A conceptual framework is a formation of concepts and or theories, which are put collectively as a
diagram for the study, and it shows the connection of study variables Ntungire Gordon (2015).

The conceptual framework to study in this study are illustrated in Figure 1 which are together with in
examination of the study gap mentioned in the precise goal, the hypotheses and on analysis of literature
concerning tendering practice and Organization Performance.

Independent variable dependent variable


Tendering procedures
(Dimensions of tendering practice)
Tendering Committee

Ethical practices
Organization
Organization
performance
performance
Record management

Contract award

Evaluation practice

Bidding practice

Organizational policies
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Political, social and economic factors
Factors (personal interest)
Interference variable

Figure 1: Conceptual Framework

Source: Adapted from Ntungire Gordon (2015) & Parori Emmanuel Kisurkat (2016).

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CHAPTERTHREE
3. RESEARCH METHODOLOGY
3.1. Introduction

This study was designed and carried out at, the case of Gondar city administration finance and economic
cooperation office with regard to the effect of tendering practice on organizational performance to get
the relevant and pertinent information for the study.

This chapter was provided and discussed the research design and methodology that was used to conduct
the study. The chapter was focused on the following, research design, population, data collection
methods, research procedures, and data analysis methods.

3.2 Research design

The purposes of this research was assessed the effect of tendering practice on organizational
performance, the case of Gondar city administration finance and economic cooperation office. The study
was helpful to investigate the effects between dependent variable and independent variable of the study.
The study relied majorly on primary data collected from respondents’ response through questionnaire
and the secondary data is from textbooks, e-sources, journals.

In this study, a mixed (or quantitative and qualitative) approach of doing research would be employed.
The study would be employed a survey design administered through adopted questionnaire in order to
generalize from the sample to population. This method would be preferred because of its high-speed in
data collection and its being economical.

Moreover, the study utilizes cross-sectional survey in the sense that all relevant data was collected at a
single point in time. The reasons for preferring a cross-sectional study is due to the vast nature of the
study. In addition to this, obtaining information from a cross-section of a population at a single point in
time is a reasonable strategy for pursuing many researches (Kothari (2010)).

The research design for this study is descriptive and explanatory to know the effect of tendering practice
on organizational performance to analyze cause-effect relationship.

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3.3 Source of data

Data collections for the study were through primary source and secondary source.

3.3.1 Primary Source of Data Collection

The primary source of data collection for this study is through adopted questionnaire. This is a research
instrument that extracts or obtains data and information from the respondents. The questionnaire would
be consisting of three Parts.

Part one deals with the introduction of the researcher, the research topic and the purpose of the
data/research. Part two deals with personal Demographic data of respondents, which were age, gender,
marital status, Experience, department and level of education. Part three deals with structured questions
on the problems of the study. The adopted questions was required the respondents to check or; sign their
choice of answers based on individual differences and character. The respondents indicate their degree
of agreement on each item. 5- Scale Likert type of questioners would be used. They would be allowed to
freely tick in the line with how the items appeal to them. Validity and reliability test was made for
administering the questionnaire; the respondents would be chosen randomly to avoid any possible biases
and the questionnaire.

3.3.2 Secondary Source of Data collection

Secondary data from document analysis (files), pamphlets, office manuals and brochures would be used
to provide additional information where appropriate. Besides, library books, e-books, journals/articles,
websites, reports and newsletters were reviewed to make the study fruitful.
3.4 Population of the study
According to Gondar city administration finance and economic cooperation office, there are 52 (fifty-
two) Gondar city administration finance and economic cooperation office employs; hence, the total
population of this research is small. The researcher was used census survey sampling technique, which
means all employees of Gondar city administration finance and economic cooperation office employs
are contained in the study.

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Table 1: the employees of Gondar city administration finance and economic cooperation office in
Gondar city

the
Category of Accountants Audit Purchasing dep. Budget Sub

respondents total

Total number of respondents 25 8 9 10 52

Source: Gondar city administration finance and economic cooperation office 2023

3.5 Data Gathering Instruments


In this study, data would be gathered through questionnaires as primary data collecting instruments, and
document reviewing and others as secondary data gathering tool.

Questionnaire: Some items of the questionnaire would be prepared by the researcher himself, and most
questionnaires was adopted from literature such as Ntungire Gordon (2015) & Parori Emmanuel
(Kisurkat 2016), (KIPKEMOI (2017)), Akello Sheila Faith (2016) which would be containing closed-
ended and open-ended items that was prepared for the target population (employs of Gondar city
administration finance and economic cooperation office). The questionnaire was closely contact to
respondents to avoid communication barriers. The researcher intended to use the questionnaire because
of its advantage to obtain varieties of opinion from more target population within a short period as the
above-mentioned researchers agree.

Then, the questionnaire copies would be distributed to the respondents. After the respondents fill in the
items in the questionnaire, all questionnaire copies was collected and returned to the researcher by
himself for tabulation. Besides, data collected from each item was tallied and tabulated to make the
analysis simpler.

Document Reviewing: To strengthen the validity of the study or to cross check the data obtained using
the above-mentioned instruments, documents such as the annual reports, brochures, pamphlets and
magazines would be reviewed by the researcher himself as secondary data sources.
3.6 Data Collecting Procedures
The items in the instruments were communicated closely to the respondents to avoid communication

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barriers. In order to check the reliability of the items in the instruments and to make necessary
rearrangements following the feedbacks would be given, a pilot test was conducted on 12 employs of
Gondar city administration finance in Gondar city Administration and economic cooperation office,
which the result would be expected to be excluded during the actual data collection for the main study.
Thus, items that are found incomplete was totally rejected or modified due to some redundancies or
related problems that might be seen in the data collecting instruments. The reliability coefficient of the
items in the questionnaire for the pilot test was found using a Chronbach alpha. Following the
questionnaire administration for pilot testing, the reliability coefficient was obtained, and the reliability
of the items in the instruments was checked if it enables to provide the valid data for the main study.
3.7 Data Collection Methods
All the necessary data for this study would be collected using primary source of data from the
respondents through adopted questionnaire. The questionnaire was prepared by English language for the
respondents. The researcher would be seated the questionnaire in closed and open-ended forms.

Under the closed ended questionnaire, the respondents can only answer from a given alternative which
limit them from further explanation of their feeling regarding to the title of the study, even if, it is easier
and quicker for the research to analyze it. This is why the researcher would be adjusted the questionnaire
in closed ended from. On the other hand, open-ended questionnaires are questionnaires, which have
been given to the respondents’ freedom to express their opinion or attitude towards the organizational
performance without any limitation. This has great importance for the researcher to extract important
issues, which would not be included under the closed ended questionnaire.

The questionnaire was designed in the above form and the questionnaire would be distributed to the
respondents. When the questionnaire was distributed to the respondents, the researcher has been given
the clarification to each respondent’s for how to answer the question in the questionnaire. The researcher
tries to encourage the respondents to take time for replying answer to each question in calm situation.
This was helpful to assure customers’ response, which kept confidential by the researcher. The
researcher was also be collected those questionnaires from the respondents. But if it is distributed by the
researcher and collected by another person the respondents could be confused and it is difficult to get
real information. So, to protect this confusion the questionnaires would be distributed and collected by
the researcher. The collection of data would be taken place from March. 15/2023 to April10/2023 in
Gondar city administration finance and economic cooperation office.

Malhotra and Das (2009) as cited by (Jarkas A. (2014)) define the survey Method as a methodology of
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obtaining information based on questioning respondents. For the Quantitative measure, in conjunction
with five-point Likert scale (1= strongly disagree, 2=disagree, 3= neutral, 4=agree and 5= strongly
agree), was utilized to quantify reactions of members to overview items.

Document Reviewing: To strengthen the validity of the study or to cross check the data obtained using
the abovementioned instruments, documents such as the organization’s annual reports, brochures,
pamphlets and magazines would be reviewed by the researcher himself as secondary data sources.
3.8 Data analysis
A descriptive statistical analysis method and SPSS version 20 would be used to analyze the data.
Different gathered data was analyzed using SPSS software. The effect of tendering practice on
organizational performance would be analyzed using tables.

As a statistical tool, correlation and regression would be employed to analyze the collected data and to
find out the relationship and effect of tendering practice with that of organizational performance.

Different data, which are collected using closed ended questionnaire, was analyzed using statistical tools
like regression and correlation. Additionally, demographic and some other factors would be analyzed in
descriptive. According to (Yarmukhamedov 2020) Correlation would be used to measure the degree of
association between variables while regression is concerned about finding the effect between variables
and forming with in a model. The data collected from questionnaire are summarized using SPSS
software version 20 presented by descriptive (percentage, frequency, mean & standard deviation) &
inferential (correlation & multiple linear regression) statistics.

Regression analysis and correlation analysis would be used to determine the association between
dependent and each of the in dependent variables.

Some inferential statistics that was used in the study are multiple linear regression model and correlation
analysis. The reason why multiple linear regressions are used is that the dependent variable is
continuous and independent variables are greater than one. The formality of the model is as follow.

Equation1: Regression formula

YB0B1X 1 B2X2.................BKXK

Where,

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Y = organization performance

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Βo = constant parameter (intercepts of the dependent variable)

X1 = tendering procedures

X2 = tendering committees

X3 = ethical practices

X4= contract award

X5 = evaluation practice and

X6 = bidding practice are explanatory variableeo

e0 = Error term

3.8.1 Assumption of Multiple Linear Regression Model

 Dependent variable is required to be continuous.

 The relationship between dependent variable and independent variable is linear.

 Multicollinearity exists when at least two of the explanatory variables are extremely related.

 The residuals should be normally distributed.

 Error terms are uncorrelated (no auto correlation).

 Error term has mean zero and constant variance (homoscedasiticity).

 Explanatory variables and error terms are independent.

Regression analysis results suggest the significance of the foreseen impact of independent variables on
dependent variables, in which significance (p-value) less than 0.05 ought to be viewed as supporting the
theory.

3.8.2 Correlation

Correlation measures the strength of the linear relationship between dependent and independent
variables. Thus, Pearson’s correlation is used to identify whether there are relationships between the
variables and to describe the strength and the direction of the relationship between two variables.
According to Berndtet.al (2005) cited from (D. Akalp (2016)) the association as measured by Pearson’s
co-efficient falls between -1.0 and +1.0, which indicates the strength and direction of association
between the dependent and independent variables. The interpretation of the result is as follows; a
correlation result between 0 to 1 implies positive relationship, 0 (zero) for no relationship, 1 for perfect
positive relationship, -1 for perfect negative relationship and between-1 to 0 indicate the existence of
negative relationship. Though it indicates the existence of a positive or negative relationship, the
strength of such a relationship is no thigh when the results fall between ±0.61. It is also supported by
Berndtet.al (2005) cited in (KIM (2014) ), the rules of thumb proposed (KIM (2014) ) suggests that
“moderate” ends at ±0.60, and “strong” starts at ±0.61. When the correlation is close to zero implies that
no correlation between the two variables. Pearson Correlation outcome shows the cross-relation of all
variables, in which p-value less than 0.05 can be consider strongly correlated (KIM (2014) ).
3.9 Research Variables
Variables are things that we can measure, control or manipulate in the research. They differ in many
respects, most notably in the role they are given in the research and in the type of measures that can be
applied to them. Independent variables are those that are manipulated whereas dependent variables are
only measured or registered.

In this research, organizational performance have been taken as dependent variable and tendering
practice including (tendering procedures, tendering committees, bidding practice, evaluation practice
ethical practices and contract award) was considered as independent variable. All the independent
variables are proposed to have positive effect on the dependent variable.
3.10 Pilot Test
Baker and Crompton (2000) cited from (Thomas (2009)); noted that “a pilot study is often used to pre-
test or try out are search instrument”.

Individuals often think that testing a survey takes a long time. They think they do not have the time or
assets for it, and so they end up just running the survey without any testing. This is a big mistake. Even
testing with one person is better than no testing at all. So if you do not have the time or assets to do
everything in this guide, just do as much as you can with what you have available.

As a rule, you should aim to pretest all your surveys and forms with at least five people. Even with this
small number of people, you’ll be surprised how many improvements you can make. Piloting is only
really needed for large or complex surveys, and it takes significantly more time and effort (Baker and
Crompton) as cited from (Jung, et al. 2019).

Baker found that a sample size of 10% - 25% of the sample size for the actual study is a reasonable
number of participants to consider enrolling in a pilot. Although a pilot study does not guarantee success
in the main study, it greatly increases the possibility (Creswell (2008)).

A pilot study was conducted with the sample size of 12 and pre-test questionnaire would be distributed
to some of employs of Gondar city administration finance and economic cooperation office.

A pilot study was conducted with the sample size of 12 and pre-test questionnaire were distributed to
some employs of the Gondar city administration finance and economic cooperation office.

3.11 Reliability and Validity of the Instrument

These two important concepts should keep in mind while writing a report: validity and reliability.
Validity is the ability of a chosen instrument to measure what it is supposed to measure.

Reliability of the Instrument

Reliability is the degree to which the measure of a construct is consistent or dependable. There are many
ways of estimating reliability, of which internal consistency reliability is one. Internal consistency
reliability is a measure of consistency between different items of the same construct. If a multiple-item
construct measure is administered to respondents, the extent to which respondents rate those items in a
similar manner is a reflection of internal consistency. This reliability measure can be estimated more
commonly in terms of Cronbach ‟salpha (Bahadur 2019). Therefore, the Cronbach’s alpha coefficient
would be used to check the scale reliability of the instruments.

George and Mallery (2003) cited from (Tomáš Hanák (2021)) provide the following rules of thumb: ≥ .9
Excellent, ≥ .8 Good,≥ .7 Acceptable, ≥ .6 Questionable, ≥ .5 Poor, and < .5 Unacceptable.

In the table 3 bellow, alpha score of all variable with complete response of 12 employs are given. Taking
all the tendering practice dimensions, in the Gondar city administration finance and economic
cooperation office the questionnaires were tested and the Cronbach’s alphas were 0.967.
Table 2: Factor Analysis for Independent Variables of tendering practice Dimension

Cronbach’s No of Computed correlation Consistence Accepted or


items rejected
alphas Value

Tendering Procedures .680 6 .663 Consistent Accepted

Tendering Committees .828 5 .643 Consistent Accepted

Ethical Practices .658 7 .963 Consistent Accepted

Record Management .874 9 .905 Consistent Accepted

Contract Awards .879 6 .763 Consistent Accepted

Evaluation Practice .652 6 .834 Consistent Accepted

Bidding Practice .910 7 .643 Consistent Accepted

Organization .782 9 1.000 Consistent Accepted


Performance

Source: own survey 2023

Hence, the measure techniques are consistent and reliable, so it is better to proceed for distributing the
questionnaire for the sample respondents of the study.
Table 3: Reliability test

Cronbach's Alpha Cronbach's Alpha Based on Standardized N of Items


Items

0.963 0.967 8

Source: own survey, 2023

According to the Cronbach alpha test of Gondar, city administration finance is highly reliable.
Validity of the instruments

Validity refers to the degree to which a proportion effectively signifies the essential concept that it is
supposed to measure (Walczak 2010.). Validity can be evaluated using hypothetical or realistic methods
and should ideally be measure. Moreover, it is believability or credibility of the research. Even though
there are different types of validity, however the researcher was employed content validity in which the
questionnaire that would be designed based on the specific objectives of the study using KMO and
bartlett’s test. Prior to presenting the result of factor analysis, the factorability of variables would be
checked using the Bartlett‘s test of sphericity. The Bartlett‘s test of sphericity showed that the variables
would be grouped into certain factors/dimensions.

Prior to presenting the result of factor analysis, the factorability of variables was checked using the
Bartlett‘s test of sphericity. The Bartlett‘s test of sphericity showed that the variables could be grouped
into certain factors/dimensions. The values of Gondar city administration finance and economic
cooperation office are (Chi square 155.259, df=28, and p=0.000). KMO (Kaiser-Meyer-Olkin) value
was 0.736. It indicated that the degree of common variance among the 7 dimensions of variables is
adequate.
Table 4: KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .736

Approx. Chi-Square 155.259

Df 28
Bartlett's Test of Sphericity

Sig. .000

Source: Own survey, 2023

According to the Kaiser-Meyer-Olkin Measure of Sampling Adequacy test of Gondar city


administration finance and economic cooperation is highly adequate.

Thus, from the pilot study the validity and reliability of the data indicates that the questionnaire can
proceed to the main study.
3.12 Ethical Consideration
The aim of this research was to investigate the practice of tendering practice and its effect on
organizational performance in case of Gondar city administration finance and economic cooperation
office in Gondar city administration finance and economic cooperation office. When the researcher
would be collected the data from the respondents, I was asked them their permission and assures the
confidentiality. Since the research was used purely academic purpose, there is no any risk bearing to the
respondent.
CHAPTER FOUR
4. RESULTS AND DISCUSSIONS
4.1 Introduction
This chapter begins with a description of the presentation; analysis and interpretation of findings were
made in line with the study objectives. This study examined the relationship between tendering practice
and organizational Performance using correlation analysis and multiple regression analysis analyzed the
effect of tendering practice (TP) independent variable on organizational Performance (OP) as dependent
variable. The data was analyzed using SPSS (Statistical Package for the social Science) software version
20.

4.2 Data survey response rate


A questionnaire was developed and distributed to all 52 targeted respondents identified from Gondar
city administration finance and economic cooperation office. Those who filled and returned the
questionnaire were 47 respondents making a response rate of 90.4% as shown in the table below.
Table 5: Survey Response Rate

Unit No %Study

Sample size 52 100%

Distributed questionnaire 52 100%

Not returned questionnaire 3 5.8%

Incomplete question 2 3.8%

Completed and returned questionnaire 47 90.4%

Source: Survey Data (2023)

4.3 Descriptive analysis


4.3.1 Demographic profile of Respondents
The demographic profile of the respondents was presented in this section. The employees sample
personal profile of the respondents was analyzed as per their Gender, Age, educational level and work
experience in the organization. Descriptive statistics was performed on the demographic variables as a
means of describing the respondents.
Table 6: Demographic Profile of the Respondents

Back Frequency Percentage

Male 15 31.9%

Female 32 68.1%

Total 47 100%

Single 13 27.7%

Married 27 57.4%

Divorced 4 8.5%
Marital Status
Widowed 3 6.4%

Total 47 100%

Below 25 years old - -

25–34year 19 40.4%

35–44year 20 42.6%
Age
Above 44 years 8 17.0%

Total 47 100%

Certificate and diploma 6 12.8%

Degree 37 78.7%
Educational level
Masters 4 8.5%

Total 47 100%

Accountant 21 44.7%

Audit 7 14.9%

Budget 8 17.0%
Department
Purchase 11 23.4%

Total 47 100%
Birr 4,000 and below 9 19.1%

Birr 4001 – Birr 8,000 16 34.0%

Birr 8,001 – Birr 12,000 19 40.0%


Monthly income/salary

Above Birr 12,000 3 6.4%

Total 47 100%

Source: Survey data (2023)

From table 6 above the respondents 32 respondents (68.1%)were femalesand15 respondents (31.9%)
were males and results of analysis of marital status of 13 (27.7%) of respondents were single, 27
(57.4%) of the respondents were married, 4 (8.5%) of the respondents were divorced and the rest 3
(6.4%) of respondents were widowed. The age category indicate that 19respondents(40.4%respondents)
were within the age group of25to 34 year, 20 respondents (42.6 %respondents) were within the age
group o f 35 to 44 year and the rest 8respondents (17.0%) were above 44 years. And also the 6
(12.8%) respondents certificate or diploma holder,37 (78.7%) respondents were degree holders, the
other 4 (8.5%) of respondents were master and above. The department of the respondents are 21(44.7%)
of the respondents were Accountants, 7 (14.9%) of the respondents were Audit, 8 (17.0%) of the
respondents were Budget, the rest 11(23.4%) of the respondents were Purchase. From the monthly
income or salary of respondents 9 (19.1%) of the respondents income were Birr 4,000 and below, 16
(34.0%) of the respondents income were Birr 4,001 – Birr 8,000. The monthly income of 19 (40.0%) of
the respondents income were Birr 8,001 –Birr 12,000, the monthly income of 3 (6.4%) of the
respondentsincomewereaboveBirr12,000.
4.3.2 Tendering practice tools
In line with the first objective of the study, it is measured on responses on the extent to which the
participants agreed or disagreed with tendering practice tools and their level of organizational
performance to the presented descriptive measurement instruments to measure the existing
implementation of tendering practice tools.
Table 7: Tendering procedures

TENDERINGPROCEDURES SD D N A SA

St.Dev
f % F % F % f % F %

1 Training/workshops on tender procedures - - 1 2.1 10 21.3 36 76.6 - - 3.74 0.49


improve performance.

2 The conformity to tender process as - - 7 14.9 5 10.6 35 74.5 - - 3.40 0.74


stipulated in the PPDA2005.

3 Continuously Gondar city administration 5 10.6 6 12.8 4 8.5 31 66.0 1 2.1 3.36 1.09
finance use open tendering is so essential.

4 Continuously Gondar city administration 7 14.9 14 29.8 13 27.7 13 27.7 - - 2.68 1.04
finance use negotiated tendering is so
essential

5 Continuously Gondar city administration 5 10.6 6 12.8 12 25.5 21 44.7 3 6.4 3.23 1.11
finance use restricted tendering is so
essential

Source: own survey result 2023

From the table 7 above Most respondents replied for the question training/workshops on tender
procedures improve performance, the conformity to tender process as stipulated in the PPDA 2005,
Continuously Gondar city administration finance use open tendering is so essential, Continuously
Gondar city administration finance and economic cooperation office use restricted tendering is so
essential are agree. According to the respondents of the questionnaire continuously Gondar city
administration finance and economic cooperation office use negotiated tendering is so essential are
neutral. Generally, the mean value of tendering procedure is agreed on those questionnaires.

Accordingtothestandarddeviationofthedataforthetraining/
workshopsontenderproceduresimproveperformance is less dispersed responses and the data for the
continuously Gondar city administration finance and economic cooperation office use restricted
tendering is so essential is more dispersed. The maximum average/mean value in the component
questions of tendering process is Training/workshops on tender procedures improve performance with
mean value of 3.74 and the minimum average/mean value is 2.68 in Continuously Gondar city
administration finance and economic cooperation office use negotiated tendering is so essential.
Table 8: Tendering Committees

II Tendering Committees SD D N A SA

Mean
f % f % f % f % f %

1 Gondar city administration finance tendering 2 4.3 6 12.8 7 14.9 31 66.0 1 2.1 3.49 0.91
committee meet regularly within a short period of
time.

2 Gondar city administration finance has enough - - 9 19.1 2 4.3 35 74.5 1 2.1 3.60 0.83
numbers of committee members.

3 Numerous committees have its own effects in the 4 8.5 6 12.8 4 8.5 31 66.0 2 4.3 3.44 1.06
whole tendering practice.

4 There is a lot formal training for tendering 8 17.0 15 31.9 12 25.5 12 25.5 - - 2.60 1.06
committee on tendering practices.

Source: own survey result 2023

From the table 8 above according to the respondents of the questionnaire on the questions Gondar city
administration finance tendering committee meet regularly within a short period of time, Gondar city
administration finance in Gondar city Administration has enough numbers of committee members, and
Numerous committees have its own effects in the whole tendering practice, in the tendering committee
those respondents agree on those questions, and most respondents on the question there is a lot formal
training for tendering committee on tendering practices disagree.

According to tendering committee component questions the standard deviation of tendering committee
for the question Gondar city administration finance has enough numbers of committee members is less
dispersed. The question there is a lot formal training for tendering committee on tendering practices and
the question numerous committees have its own effects in the whole tendering practice these two
questions response from the respondents are more dispersed responses. The maximum average/mean
value in the component questions of tendering committee is Gondar city administration finance has
enough numbers of committee members withmeanvalueof3.60 and the minimum average/mean value is
2.60 in there is a lot formal training for tendering committee on tendering practices.

Table 9: Ethical Practice


ETHICAL PRACTICES SD D N A SA

St.Dev
Mean
F % f % f % f % f %
There are a lot complaints received in Gondar city 5 10.6 5 10.6 12 25.5 24 51.1 1 2.1 3.23 1.05
administration finance.
There’s confidentiality in dealing with supplier 12 25.5 9 19.1 19 40.4 - - 2.85 1.12
information.
Conflicts of interest are quickly declared by 4 8.5 11 23.4 17 36.2 15 31.9 - - 2.91 0.95
members of staff.
Limits of authority to commit departmental funds - - 2 4.3 7 14.9 36 76.6 2 4.3 3.81 0.58
are adhered in the procurement department.
Punishing of corrupt behavior contributes to higher - - 9 19.1 2 4.3 36 76.6 - - 3.57 0.80
performance by purchasing staff.
Strict codes of conduct ensure purchasing 4 8.5 4 8.5 2 4.3 37 78.7 - - 3.53 0.97
procedures are followed.

Source: own survey result 2023

From the table 9 above according to the responses of ethical practice component questions except the
question Conflicts of interest are quickly declared by members of staff, on each question most
respondents agree. But, on the question Conflicts of interest are quickly declared by members of staff
most respondents are neutral responses.

The standard deviation of Ethical practice on the question Limits of authority to commit departmental
funds are adhered in the procurement department the responses of the respondent is less dispersed and
on the question there’s confidentiality in dealing with supplier information the responses of the
respondents are more dispersed. The maximum average/mean value in the component questions of
ethical practice is Limits of authority to commit departmental funds are adhered in the procurement
department with mean value of 3.81 and the minimum average/mean value is2.85 in there’s
confidentiality in dealing with supplier information.
Table 10: Record management

IV RECORD MANAGEMENT SD D N A SA

Mean
f % F % f % f % F %

1 Gondar city administration finance and economic - - 2 4.3 9 19.1 33 70.2 3 6.4 3.78 0.62
cooperation office regularly keeps tendering records.

2 Tendering records are kept for a long time in Gondar - - 4 8.5 9 19.1 34 72.3 - - 3.64 0.64
city finance.

3 All files maintained by the unit are retained in - - 11 23.4 1 2.1 35 74.5 - - 2.87 1.15
accordance with the Records Retention schedule.

4 All files placed in correct file folders. 4 8.5 3 6.4 4 8.5 34 72.3 2 4.3 3.19 0.97

5 Break your files at the end of each year and start new 8 17.0 12 25.5 11 23.4 14 29.8 2 4.3 3.66 0.79
files.

6 Procurement records are counter checked to ensure 4 8.5 2 4.3 12 25.5 26 55.3 3 6.4 3.66 0.73
accuracy

7 Gondar city administration finance uses both manual - - 4 8.5 8 17.0 35 74.5 - - 3.36 1.03
and automated procurement record systems.

8 Gondar city finance regularly conduct an audit of - - 9 19.1 2 4.3 35 74.5 1 2.1 2.89 1.13
procurement record

Source: own survey result 2023

From the table 10 above according to the record management component questions Gondar city finance
regularly keeps tendering records, tendering records are kept for a long time in Gondar city finance, all
files maintained by the unit are retained in accordance with the records retention schedule, break your
files at the end of each year and start new files, procurement records are counterchecked to ensure
accuracy, Gondar city administration finance uses both manual and automated procurement record
systems, Gondar city administration finance and economic cooperation office in Gondar city
administration finance and economic cooperation office regularly conduct an audit of procurement
record most respondents replied that Agree on each questions.

39
According to the standard deviation of each component questions of record management for the question
Gondar city administration finance and economic cooperation office regularly keeps tendering records
are less dispersed and for the question all files maintained by the unit are retained in accordance with the
Records Retention schedule the data is more dispersed. The maximum average/mean value in the
component questions of record management is Gondar city administration finance and economic
cooperation office regularly keeps tendering records with mean value of 3.78 and the minimum
average/mean value is 2.87 in all files maintained by the unit are retained in accordance with the
Records Retention schedule.
Table 11: Contract awards

V CONTRACT AWARDS SD D N A SA

St.Dev
Mean
f % f % f % f % F %

1 Contract award enhances Gondar city finance 5 10.6 4 8.5 12 25.5 26 55.3 - - 3.25 1.01
operations by providing a legal frame work.

2 Improved response to Gondar city administration 7 14.9 11 23.4 8 17.0 21 44.7 2.91 1.14
finance activities and accomplishments.

3 Contract award enables the provision of support 4 8.5 11 23.4 18 38.3 14 29.8 - - 2.89 0.94
services for Gondar city administration finance
operation.

4 Providing measures for the advancement of the - - 2 4.3 10 21.3 35 74.5 - - 3.70 0.55
contractual terms in the Gondar city administration
finance.

5 Contract award enhances service delivery time. 1 2.1 10 21.3 5 10.6 31 66.0 - - 3.40 0.90

Source: own survey result 2023

From the table 11 above on those component questions of contract award most respondents replied that
they agree on each component questions. But, most respondents replied neutral response for the question
contract award enables the provision of support services for Gondar city administration finance and
economic cooperation office operation.

According to the standard deviation of the contract award component question the question providing

40
measures for the advancement of the contractual terms in the Gondar city administration finance and
economic cooperation office in Gondar city administration finance and economic cooperation office is
less dispersed and for the component questions of improved response to Gondar city administration
finance and economic cooperation office activities and accomplishments is more dispersed. The
maximum average/mean value in the component questions of contract award is Providing measures for
the advancement of the contractual terms in the Gondar city administration finance and economic
cooperation office with mean value of 3.70 and the minimum average/mean value is 2.89 in Contract
award enables the provision of support services for Gondar city administration finance and economic
cooperation office.
Table 12: Evaluation Practice

VI EVALUATION PRACTICE SD D N A SA

St.dev.
f % f % F % f % f %

1 Enables the choice of sufficient and reliable - - 2 4.3 9 19.1 36 76.6 - - 3.72 0.54
suppliers in the district.

2 The management of the Gondar city - - 7 14.9 4 8.5 36 76.6 - - 3.62 0.74
administration finance attains evidence of
value for money.

3 Evaluations enhance the adoption of skilled 4 8.5 6 12.8 4 8.5 32 68.1 1 2.1 3.43 1.04
service providers.

4 Provide an adequate and competitive 8 17.0 10 21.3 13 27.7 16 34.0 - - 2.79 1.10
environment for a variety of qualities for
Gondar city administration finance
collaboration.

5 Attainment of least-cost suppliers is due to 4 8.5 4 8.5 13 27.7 23 48.9 3 6.4 3.36 1.03
the procurement evaluation.

Source: own survey result 2023

From the table 12 above the component questions most respondents agree on each component questions.
According to the standard deviation of the evaluation practice of tendering practice of the question

41
Enables the choice of sufficient and reliable suppliers in the district the respondents response is less
dispersed and the question Provide an adequate and competitive environment for a variety of qualities
for Gondar city administration finance and economic cooperation office collaboration the respondents
response is more dispersed. . The maximum average/mean value in the component questions of
evaluation practice is Enables the choice of sufficient and reliable suppliers in the district with mean
value of 3.72 and the minimum average/mean value is 2.79 in Provide an adequate and competitive
environment for a variety of qualities for Gondar city administration finance and economic cooperation
office collaboration.
Table 13: Bidding Practice

VI BIDDINGPRACTICE SD D N A SA
I

Mea

St.D
F % f % f % f % f %

1 Bidding enhances value for money. 7 14.9 15 31.9 8 17.0 17 36.2 - - 2.74 1.11

2 There is effective information sharing due to a 4 8.5 13 27.7 18 38.3 12 25.5 - - 2.81 0.92
limited number supply base.

3 Selected suppliers can be easily called up on to 1 2.1 1 2.1 14 29.8 31 66.0 - - 3.60 0.65
provide emergency services.

4 We easily train and develop our suppliers for - - 11 23.4 6 12.8 30 63.8 - - 3.40 0.85
easy Gondar city administration finance
operation.

5 Quality is realized due to a prequalified supplier 5 10.6 6 12.8 8 17.0 28 59.6 - - 3.25 1.05
base.

6 The services rendered as easily supervised due to 7 14.9 9 19.1 14 29.8 17 36.2 2.87 1.08
pre qualification indicating usual interaction.

Source: own survey result 2023

From the table 13 above on the bidding practice of the tendering practice on most respondents agree on
each component questions of bidding practice. However, for the component question there is effective
information sharing due to a limited number supply base most respondents replied that neutral.

42
According to the standard deviation of bidding practice on the question selected suppliers can be easily
called up on to provide emergency services the respondents response is less dispersed and on the
questions bidding enhances value for money the respondents’ response is more dispersed. The maximum
average/mean value in the component questions of bidding practice is Selected suppliers can be easily
called up on to provide emergency services with mean value of 3.60 and the minimum average/mean
value is 2.74 in Bidding enhances value for money.
Table 14: Gondar city administration Finance Organization Performance

VI Gondar city administration Finance SDA DA N AG SAG


II

St.Dev
Mea
Organization Performance F % f % f % F % f %

1 There is potential to improve and integrate various 4 8.5 - - 14 29.8 29 61.7 - - 3.45 0.88
functions within Gondar city administration finance.

2 Continuous training opportunities have been created 8 17.0 13 27.7 7 14.9 19 40.4 - - 2.79 1.16
for employees

3 The profit margins of Gondar city administration 4 8.5 10 21.3 20 42.6 13 27.7 - - 2.89 0.91
finance and economic cooperation office have been
increasing since adoption of centralized purchasing.

4 There is increased customer satisfaction with the - - - - 9 19.1 38 80.9 - - 3.81 0.40
adoption of centralized purchasing.

5 Gondar city administration finance follows specified - - 10 21.3 - - 37 78.7 - - 3.57 0.83
ethical procedures in procurement process.

6 Employees are trained on standard procedures of 4 8.5 4 8.5 3 6.4 36 76.6 - - 3.51 0.98
procurement process.

7 Gondar city administration finance has an elaborate 8 17.0 12 25.5 14 29.8 13 27.7 - - 2.68 1.07
purchasing policy in place.

8 Gondar city administration finance formulates 4 8.5 3 6.4 14 29.8 22 46.8 4 8.5 3.40 1.04
purchase guidelines that support better evaluation
and selection of suppliers.

Source: Own survey result (2023).

43
From the table 14 above on the organization performance the component questions The profit margins
of Gondar city administration finance and economic cooperation office have been increasing since
adoption of centralized purchasing and for the questions Gondar city administration finance and
economic cooperation office has an elaborate purchasing policy in place most respondents response is
neutral. Most respondents response is agree on the rest component questions of organizational
performance.

According to the standard deviation of organizational performance on there is increased customer


satisfaction with the adoption of centralized purchasing the respondents’ response is less dispersed and
on the question Continuous training opportunities have been created for employees the respondents
response is more dispersed. The maximum average/mean value in the component questions of
organizational performance is There is increased customer satisfaction with the adoption of centralized
purchasing with mean value of 3.81 and the minimum average/mean value is 2.68 in Gondar city
administration finance and economic cooperation office has an elaborate purchasing policy in place.
Table 15: The mean value of each dimension of tendering practice and organizational performance is given below.

Statistics
TENDERING TENDERING ETHICAL RECORD CONTRACT EVALUATION BIDDING ORGANIZATION
PROCEDURES COMMITTEES PRACTICES MANAGEMENT AWARDS PRACTICE PRACTICE PERFORMANCE
Mean 3.3234 3.3723 3.3191 3.3830 3.2340 3.3830 3.1135 3.2633
Std. Deviation .55569 .52614 .55910 .44949 .60046 .58507 .59497 .61028
Skewness -.524 -.394 -.544 -.174 -.388 -.625 .172 -.510
Kurtosis -.648 -1.120 -.799 -.996 -.551 -.694 -1.263 -.567

44
Source: own result survey 2023

According to table 15 the highest mean value is registered in record management and evaluation
practice. Thus, record management and evaluation practice is so essential for the performance of the
organization. The standard deviation of the data shows all are below one. So, the response of the
respondents is not dispersed. Tong (2006) stated skewness and kurtosis should be within the absolute
value of 2 (+2 to -2 range) to conclude the data are normally distributed cited in Tomáš Hanák et al.
(2021). The skewness and kurtosis is good which is in between – 2 and 2.

4.4 Model Acceptability Checking


Figure 2: Histogram for Model Adequacy Checking

The easiest and simplest graphical plot is the histogram. The frequency distribution in which the
observed values are plotted against their frequency, states a visual estimation whether the tendering
practice is bell shaped or not. Data that can be represented by this type of ideal, the figure above is more
likely bell-shaped Curve as shown in the graph are said to have a normal distribution or to be normally
distributed, and also due to the best initial indicator rule of thumb.

The histogram graph shows that the data is almost normal and indicates that the data satisfy the
normality assumption.

45
Figure 3: Normal P-P Plot of Regression Standardized

Normal Probability Plot: the data points do not deviate far from the straight line, so we can assume the
distribution is normal.

The figure indicates that the linear relationship between the residuals and the response variable of
organizational performance of the Gondar city administration finance and economic cooperation office
tendering practice. Hence, the data is normally distributed with the regression residuals.

46
Figure 4: scatter plot on organizational performance of Gondar city administration finance

The figure shows the linear relationship between the organizational performance in Gondar city
administration finance and economic cooperation office and regression standardized residual.

As stated the assumption of linear regression in chapter three the regression standardized predicted value
has linear relationship between the dependent variable and independent variable.

47
4.5 Pearson Correlation, Regression Results and Discussions
4.5.1 Correlation Analysis of tendering practice on organizational performance
This study is to assess the nature of the relationship that exists between independent and dependent
variables. To determine the relationship amongst the tendering practice dimensions and the
organizational performance, Pearson correlations were used.
Table 16: The Correlation between Dependent and Independent Variable

Correlations

Organization Tendering Tendering Ethical Record Contract


Evaluatio Bidding
Procedures Committee Practice Managemnt Awards Practice Practice
Performance
s

Organizati Pearson 1
on correlation
Performan
sig.(2-tailed)
Ce
N 47

Tendering Pearson .876** 1


correlation
Procedures
sig.(2-tailed) .000

N 47 47

Tendering Pearson .765** .832** 1


Committee correlation

sig.(2-tailed) .000 .000

N 47 47 47

Ethical Pearson .786** .768** .760** 1


Practices correlation

sig.(2-tailed) .000 .000 .000

48
N 47 47 47 47

Record Pearson .864** .792** .826** .815** 1


correlation
Manageme
nt sig.(2-tailed) .000 .000 .000 .000

N 47 47 47 47 47

Contract Pearson .601** .589** .657** .709** .665** 1


Awards correlation

sig.(2-tailed) .000 .000 .000 .000 .000

N 47 47 47 47 47 47

Evaluation Pearson .847** .828** .808** .775** .784** .658** 1


practice correlation

sig.(2-tailed) .000 .000 .000 .000 .000 .000

N 47 47 47 47 47 47 47

Bidding Pearson .888** .798** .774** .755** .860** .735** .768** 1


Practice correlation

sig.(2-tailed) .000 .000 .000 .000 .000 .000 .000

N 47 47 47 47 47 47 47 47

**.Correlation is significant at the 0.05 level (2-tailed).

Source: Own survey result, 2023

49
The table 16 indicate that tendering procedure correlation value is (r = 0.876, p = .000), less than (< 0.05)
and (<0.01), hence, it is found to be strongly significant positive Correlation between tendering
procedure and organizational performance. This is as tendering procedure increases organizational performance
also increases.

The table 16 indicate that tendering committee correlation value is (r = 0.765, p = .000), is less than (<
0.05), hence, it is found to be strongly significant positive correlation between tendering committee and
organizational performance. This is as tendering committee increases organizational performance also
increases.

The table 16 indicate that ethical practice correlation value is (r = 0.786, p = .000), is less than (< 0.05),
hence, it is found to be strongly significant positive correlation between ethical practice and
organizational performance. This is as ethical practice increases organizational performance also increases.

The table 16 indicate that record management correlation value is (r = 0.864, p = .000), Less than (<.05)
and (0.01), Hence it is found to be strongly significant positive Correlation between record management
and organizational performance.

The table 16 indicate that contract award correlation value is (r = 0.601, p = .000), Less than (<.05),
Hence it is found to be strongly significant positive Correlation between contract award and
organizational performance.

The table 16 indicate that evaluation practice correlation value is (r = 0.847, p = .000) is less than (<
0.05), hence, it is found to be strongly significant positive correlation between evaluation practice and
organizational performance. This is as evaluation practice increases organizational performance also
increases.

The table 16 indicate that bidding practice correlation value is (r = 0.888, p = .000) less than (< 0.05)
and (<0.01), hence, it is found to be strongly significant positive Correlation between bidding practice
and organizational performance which is as bidding practice increases organizational performance also
increases.

Thus, between each components of tendering practice and organizational performance are positively
correlated and are each correlation value is greater than 0.70 except contract award. In addition, the p-
value of tendering practice are all zero in which the p value is below 0.05 (5%). Thus, tendering

50
practices of the Gondar city administration finance and economic cooperation office are significant and
positive correlation to the organizational performance. This means moderate organizational performance
with dimensions of tendering practice from the Gondar city administration finance and economic
cooperation office. So, to have large (very large) organizational performance with tendering practice
needs high effort by different concerned bodies.
4.5.2 Multiple Linear Regression Analysis
Here the regression used to estimate the effect of explained in the organizational performance by
dimensions of tendering practice. The dimensions of tendering practice are tendering procedures,
tendering committees, ethical practices, record management, contract awards, evaluation practice and
bidding practice were included in the regression model.

The regression coefficients and the contribution of each predictor for the regression model
Based on the un standardized ß value of the variables it is possible to determine the individual
contribution of each predictor to the model. If the value is positive it tells that there is a positive
relationship between the predictor and the response variable, whereas a negative coefficient
represents a negative relationship and more over the un standardized ß values tell us what degree
each predictor affects the response if the effects of all other predictors are held constant Creswell, J.
(2008).

In order to determine the aggregate Effect of tendering practice on Organizational related with the
objective that is to examine the effect tendering practice on organizational as presented below.
Table 17: organizational performance and tendering practice Dimension in Gondar city administration
finance Model Summery
b
Model Summary

Model R R Square Adjusted Std. Error of Change Statistics


R Square the Estimate
R Square Change F Change df1 df2 Sig. F Change

1 .955a .912 .897 .19607 .912 58.092 7 39 .000


a. Predictors:(Constant), Bidding Practice, Contract Awards, Evaluation Practice, Ethical Practices,
Tendering Committees, Tendering Procedures, Record Management.
b. Dependent Variable: Organization Performance

Source: Own survey, 2023

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From the table 17, it has been seen that R value is 0.955. Therefore, R value 0.955 for the all tendering
practices suggested that, there is a strong effect of those independent variables on the organizational
performance. It can also have observed that the coefficient of determination.

i.e. the adjusted R-square value is 0.897, which representing that 89.7% variation of the organizational
performance has been significantly explained by the factors of tendering practices and the rest 10.3%
variation of organizational performance are explained by other factors which in fact, the independent
variables the researcher used have a strong explanatory power of regression.
Table 18: Organization performance and tendering practice dimension ANOVA
a
ANOVA

Model Sum of Squares Df Mean Square F Sig.

Regression 15.633 7 2.233 58.092 .000b

1 Residual 1.499 39 .038

Total 17.132 46

a. Dependent Variable: Organization Performance

b. Predictors: (Constant), Bidding Practice, Contract Awards, Evaluation Practice, Ethical Practices,
Tendering Committees, Tendering Procedures, Record Management

Source: Own survey, 2023

ANOVA is used to shows the overall significance/acceptability of the model from a statistical
perspective. Analysis of variance is a perfectly descriptive name of what is actually done to analyze
sample data acquired to answer problems An ANOVA test is a way to find out if survey or experiment
results are significant.

From the table 18, it is recognized that the value of F is 58.092 and is significant as the level of
significance is 0.000, which is less than 5%. This shows that, the model was reasonably fit and there was
a statistically significant association between component of tendering practice and Organization
performance. Additionally, this also indicated that the null hypothesis is rejected and alternative
hypothesis is accepted. Since the null and alternative hypotheses are contradictory, you must examine

52
evidence to decide if you have enough evidence to reject the null hypothesis or not. The evidence is in
the form of sample data. Hence, from the data above it can be concluded that dimensions of
tendering practice have significant impact on Organization performance for Gondar city administration
finance and economic cooperation office.
Table 19: Organization performance and Tendering practice Dimension Coefficients
a
Coefficients

Model Unstandardized Standardized t Sig. Correlations Collinearity


Coefficients Coefficients Statistics

B Std. Beta Zero- Partial Part Toler VIF

Error order ance

(Constant) -.269 .239 -1.122 .269

Tendering procedures .353 .117 .321 3.004 .005 .876 .433 .142 .196 5.098

Tendering committees -.248 .119 -.214 -2.075 .045 .765 -.315 -.098 .212 4.723

1 Ethical practices .092 .104 .084 .884 .382 .786 .140 .042 .246 4.058

Record management .303 .158 .223 1.923 .062 .864 .294 .091 .166 6.009

Contract awards -.177 .079 -.174 -2.232 .031 .601 -.337 -.106 .369 2.711

Evaluation practice .291 .102 .279 2.858 .007 .847 .416 .135 .235 4.247

Bidding practice .466 .114 .454 4.099 .000 .888 .549 .194 .183 5.477

a. Dependent Variable: Organization Performance Source: Own survey result 2023

From the result presented in the above table 19, from the seven tendering practice Bidding practice
dimension appeared to be the strongest explanatory variable to predict organizational performance,
Bidding practice (Beta = 0.454, t = 4.099, p = 0.000), followed by Tendering procedures (Beta = 0.321, t
= 3.004, p = 0.005), the third Evaluation practice (Beta = 0.279, t = 2.858, p = 0.007).

53
The fitted model is as follows.

Y=0.353X1−0.248X2−0.177X5+0.291X6+0.466X7

Where

Y = organizational performance;

X1 = Tendering procedures

X2 = Tendering committees

X3 = Ethical practices

X4 = Record management

X5 = Contract awards

X6 = Evaluation practice

X7 = Bidding practice

When the explanatory variables become zero the response variable organizational performance is equal
to zero.

When tendering procedures is changed in a unit and the other variables remains the same, then the
Gondar city administration finance and economic cooperation office organizational performance
changes by its coefficient 0.353. When tendering committees is changed in a unit and the other variables
remain constant, the Gondar city administration finance and economic cooperation office organizational
performance changes by its coefficient – 0.248. When a contract award is changed in a unit and the other
variables remain constant, the Gondar city administration finance and economic cooperation office
finance organizational performance changes by its coefficient–0.177. When the evaluation practice is
changed in a unit and the other variables remain constant, the Gondar city administration finance and
economic cooperation office organizational performance changes by its coefficient 0.291. When the
bidding practice is changed in a unit and the other variables remain constant, the Gondar city
administration finance and economic cooperation office organizational performance changed by its
coefficient 0.466.

54
4.6 Hypotheses That Were Developed and Tested under This Study
H1 : There are positive and significant relationship between tendering procedures and organizational
performance in Gondar city administration finance and economic cooperation office.

The p-value of the test of tendering procedures of tendering practice is 0.005, which is less than 0.05and
the standardized coefficient is 0.321. Indicating that tendering procedures of tendering practice is
significantly influencing the organizational performance. Tendering procedures of tendering practice
from Gondar city administration finance and economic cooperation office is positively correlated to the
organizational performance, as shown in the table 19.

Thus, tendering procedures of tendering practice has positive relationship and significantly influencing
the organizational performance.

These findings are supported by the researcher Bahadur (2019) and Parori Emmanuel (2016) the
researcher study that tendering procedures have significant effect to organizational performance.

Hence: reject null hypothesis and accept alternate hypothesis.

H2: There are positive relationship and significant effect between tendering committees and

organizational performance.

As shown in the table 19. The p value is 0.045 and standardized coefficient beta value is – 0.214, shows
that there is a significant change in tendering committee organizational performance and tendering
committees are positively correlated to the organizational performance in the Gondar city administration
finance and economic cooperation office.

Thus, it can be concluded that tendering committees of tendering practice has a positive relationship and
significantly influencing the organizational performance.

This finding is supported by the researcher Parori Emmanuel (2016) the researcher study that the
tendering committees have significant effect to organizational performance.

Hence: accept alternate hypothesis and reject null hypothesis.

H3 : There are positive relationship and significant effect between ethical practices of tender documents
on organizational performance.

55
Table 19 Demonstrates that ethical practices has p value of 0.382, and the standardized coefficient beta
value is 0.084. These shows that ethical practices dimension of tendering practice have positively
correlated to organizational performance. But, not significantly influencing the organizational
performance.

Thus, ethical practices dimension of tendering practice has positive relationship but not significantly
influencing the organizational performance.

This finding is not supported by the researcher (John R. Drake (2012)) and Parori Emmanuel (2016) the
researcher study that ethical practices have significant effect to organizational performance.

Hence : reject alternate hypothesis and accept null hypothesis.

H4 : There are positive relationship and significant effect between record management of tender
documents on organizational performance.

Table 19 demonstrates that record management has p value of 0.062, and the standardized coefficient
beta value is 0.223. Shows that record management has positively correlated to organizational
performance. But, not significantly influencing the organizational performance.

Thus, record management has positive relationship to organizational performance, but insignificantly
influencing the organizational performance.

This finding are not supported by the researcher (KIM (2014) ) and Parori Emmanuel(2016) the
researcher study that record management have significant effect to organizational performance.

Hence: reject alternate hypothesis and accept null hypothesis.

H5 : There are positive relationship and significant effect between contract award and organization
performance Gondar city administration finance and economic cooperation office.

The results of table 19. Demonstrated that the standardized coefficient of the P contract award beta value
is – 0.174 and the p value are 0.031, which is less than 5%. This indicates that contract award has a
positive relationship to organizational performance and significantly influencing the organizational
performance.

This finding are supported by the researcher Ntungire Gordon (2015), (D. Drew 2008) and Akello Sheila

56
(2016), the researcher study that contract award have significant effect to organizational performance.

Hence: accept alternate hypothesis and reject null hypothesis.

 H6: There are positive relationship and significant effect between evaluation practices on
organization performance in Gondar city administration finance and economic cooperation office.

The p-value of the test of evaluation practices is 0.007, which is less than 0.05 and the standardized
coefficient is 0.279. Indicating that evaluation practices has significantly influencing the organizational
performance. The tendering practice dimension of evaluation practices from Gondar city administration
finance and economic cooperation office is positively correlated to the organizational performance, as
shown in the table 19.

Thus, it can be concluded that evaluation practices has a positive relationship and significantly
influencing the organizational performance.

This finding are supported by the researcher (FAITH 2016), Akello Sheila (2016) and Ntungire Gordon
(2015) the researcher study that evaluation practices have significant effect to organizational
performance.

Hence: accept alternate hypothesis and reject null hypothesis.

 H7: There are positive relationship and significant effect between bidding practice on organization
performance in Gondar city administration finance and economic cooperation office.

The p-value of the test of evaluation practices is 0.000, which is less than 0.05 and the standardized
coefficient is 0.454. Indicating that bidding practice has significantly influencing the organizational
performance. The tendering practice dimension of bidding practice from Gondar city administration
finance and economic cooperation office is positively correlated to the organizational performance, as
shown in the table 19.

Thus, it can be concluded that bidding practice of tendering practice has a positive relationship and
significantly influencing the organizational performance.

This finding are supported by the researcher Ntungire Gordon (2015) and Tomas Hanak (2021), the
researcher study that bidding practice have significant effect to organizational performance.

57
Hence: accept alternate hypothesis and reject null hypothesis.

Open ended questionnaires also guides (or in line with the closed ended questions). But, some of the
points raised in open ended questionnaires was some of the complaints were frequently winning
customers the same peoples, the tender is not clearly received to all customers even if it is clearly issued.

To sell the document the organization do not have different centers or techniques, it is difficult to buy
documents in terms of distance, time etc.

According to the prescribed specification and the average of the mentioned mark was by the skilled
individuals and by establishing a legal quality committee. So, quality, quantity, delivery, and reliability are
not a matter in the government organization.

There are six committee members in Gondar city finance cooperation office. On the other hand,
numerous committees’ members have a positive effect on the tendering process. Which it makes
transparent bidding and minimizes the workload of the committee. The committee members meeting
when they are announced to be a committee member for orientation. After orientation the committees do
not have normal meeting time. There is meeting when it is necessary.

In general, if there is a clear procedure for the public and the government, the government tenders
should have a single database that can be monitored online using a smart phone or computer from
anywhere and can be downloaded and bought from there, involving many people and selling a lot of
documents and quality items using a small amount of money. Use different social media is so essential
for addressing the bidding anywhere.

According to the interference variables, the respondent replied a lot thing like organizational policies
procurement Directive No. 1/2003 money economy office august 2003 bahrdar in Article 20 of the
ruling, there are the following six procurement methods. These are open tender, limited tender,
proforma/price submission, direct, request for proposals, and two stages tender.

It is clear that the tender practice announced by Amiko Bekur Newspaper/Electronic Media, but this is
not qualified. How many Ethiopian people receive the newspaper?

According to the economic factor the procurement guidelines, 65-70% of the country's budget is used
for procurement, so unwise use of economy and it takes time is seen when it is wasted randomly In fact,
when government funds are falling and starting everywhere, everyone is distressed.

58
According to the respondents replied that political factors have brought differences between the people
and the government. It separated the people and the government. Thus, it slows down the development
of a country. Failure to answer people's development questions in time creates a peace crisis.

From the social factors, also have greatest effects to win in the bidding. Due to this factor, the bidding is
winning by the same persons anytime.

59
CHAPTER FIVE

4. 5. SUMMARY OF FINDINGS, CONCLUSION AND


RECOMMENDATIONS

5.1 Introduction

This part comprises summary of findings, conclusion and recommendations. After collecting and
analyzing data, they can finally finish the effect of tendering practice on organizational performance in
Gondar city administration finance and economic cooperation office. The purpose of this thesis is to
analyze the factors that have influenced organizational performance through the tendering practice, and
to investigate the effect of the dimensions of tendering practice with organizational performance at the
Gondar city administration finance and economic cooperation office. Moreover, techniques have been
studied.

5.2 Summary

 Out of 47 respondents, 68.1 % (32) of the respondents are female whereas the remaining 31.9% (15)
are male. The majority of the respondents’ age falls at an age category of from 25 – 34 years
accounted for the percentage of 42.6% (20) respondents. The majority of educational level the
respondents’ were degree holder in the percentage of 78.7% (37) respondents. Themajority of
marital status of the respondents’ was married with percentage of 57.4% (27) respondents. The
majority of the respondents’ they work is in Accountant department with percentage of 44.7% (21)
respondents. The majority of monthly income level of the respondents was in Birr 8,000 to Birr
12,000 with percentage of 40.0% (19) respondents.

 According to the standard deviation of the data, for the training/workshops on tender procedures
improve performance is less dispersed responses and the data for the continuously Gondar city
administration finance and economic cooperation office use restricted tendering is so essential is more
dispersed. The maximum average/mean value in the component questions of tendering process is
Training/workshops on tender procedures improve performance with mean value of 3.74 and the
minimum average/mean value is 2.68 in Continuously Gondar city administration finance and
economic cooperation office use negotiated tendering is so essential.

60
 According to tendering committee component questions the standard deviation of tendering
committee for the question Gondar city administration finance and economic cooperation office has
enough numbers of committee members is less dispersed. The question there is a lot formal training
for tendering committee on tendering practices and the question numerous committees have its own effects
in the whole tendering practice these two questions response from the respondents are more dispersed
responses. The maximum average/mean value in the component questions of tendering committee is Gondar
city administration finance and economic cooperation office has enough numbers of committee members with
mean value of 3.60 and the minimum average/mean value is 2.60 in there is a lot formal training for tendering
committee on tendering practices.

 According to the standard deviation of organizational performance on there is increased customer


satisfaction with the adoption of centralized purchasing the respondents’ response is less dispersed
and on the question Continuous training opportunities have been created for employees the
respondents response is more dispersed. The maximum average/mean value in the component
questions of organizational performance is There is increased customer satisfaction with the
adoption of centralized purchasing with mean value of 3.81 and the minimum average/mean value is
2.68 in Gondar city administration finance and economic cooperation office has an elaborate
purchasing policy in place.

 According to the standard deviation of each component questions of record management for the
question Gondar city administration finance and economic cooperation office regularly keeps tendering
records are less dispersed and for the question all files maintained by the unit are retained in
accordance with the Records Retention schedule the data is more dispersed. The maximum
average/mean value in the component questions of record management is Gondar city administration
finance and economic cooperation office regularly keeps tendering records with mean value of 3.78 and
the minimum average/mean value is 2.87in all files maintained by the unit are retained in accordance
with the Records Retention schedule.

 According to the standard deviation of the contract award component question the question
providing measures for the advancement of the contractual terms in the Gondar city administration
finance and economic cooperation office is less dispersed and for the component questions of improved
response to Gondar city administration finance and economic cooperation office activities and
accomplishments is more dispersed. The maximum average/mean value in the component questions

61
of contract award is Providing measures for the advancement of the contractual terms in the Gondar
city administration finance and economic cooperation office with mean value of 3.70 and the minimum
average/mean value is 2.89 in Contract award enables the provision of support services for Gondar
city administration finance and economic cooperation office.

 According to the standard deviation of the evaluation practice of tendering practice of the question
Enables the choice of sufficient and reliable suppliers in the district the respondents response is less
dispersed and the question Provide an adequate and competitive environment for a variety of
qualities for Gondar city administration finance and economic cooperation office collaboration the
respondents response is more dispersed. . The maximum average/mean value in the component
questions of evaluation practice is Enables the choice of sufficient and reliable suppliers in the
district with mean value of 3.72 and the minimum average/mean value is 2.79 in Provide an
adequate and competitive environment for a variety of qualities for Gondar city administration
finance and economic cooperation office.

 According to the standard deviation of bidding practice on the question selected suppliers can be
easily called upon to provide emergency services the respondents response is less dispersed and on
the questions bidding enhances value for money the respondents’ response is more dispersed. The
maximum average/mean value in the component questions of bidding practice is Selected suppliers
can be easily called upon to provide emergency services with mean value of 3.60 and the minimum
average/mean value is 2.74 in Bidding enhances value for money.

 The standard deviation of Ethical practice on the question Limits of authority to commit
departmental funds are adhered in the procurement department the responses of the respondent is
less dispersed and on the question there is confidentiality in dealing with supplier in formation the
responses of the respondents are more dispersed. The maximum average/mean value in the
component questions of ethical practice is Limits of authority to commit departmental funds are
adhered in the procurement department with mean value of 3.81 and the minimum average/mean
value is 2.85 in there’s confidentiality in dealing with supplier information.

 The model adequacy checking shows that the data is normally distributed and the dependent
(organizational performance) and independent (tendering practice) variables have linear relationship.

 The correlation between organizational performance and tendering procedure is positive correlated

62
at (0.876), the correlation between organizational performance and tendering committee is positive
correlated at (0.765), the correlation between organizational performance and ethical practice is
positive correlated at (0.786), the correlation between organizational performance and record
management is positive correlated at (0 .864), the correlation between organizational performance
and contract award is positive correlated at (0 .601),the correlation between organizational
performance and evaluation practice is positive correlated at (0 .847), the correlation between
organizational performance and bidding practice is positive correlated at (0 .888).

 The model summary results showed that, a linear combination of all the independent variables
considered under the study predicts (R2=0.912), and adjusted R2 is 0.897
whichrepresentsthat89.7%variationoftheorganizationalperformancehasbeensignificantlyexplained by
the factors of tendering practices and 10.3% variation of the organizational performance has been
significantly explained by other factors, which in fact tendering practices have strong explanatory
power of regression.

 The ANOVA test result showed that, the value of R and R obtained under the model summary part
was statistically significant at (F=58.092), (P<0.005).

 The standardized beta coefficient of each independent variables is; tendering procedure (𝛽=0.321),
tendering committee (𝛽= - 0.214), ethical practice (𝛽= .084), record management (𝛽=0.223),
contract award (𝛽=-0.174), evaluation practice (𝛽=0.279), bidding practice (𝛽=0.454).

5.3 Conclusion

 Based on the analysis of the data and the summary the following conclusions were made.

 The study was conducted to examine the effect of tendering practice on organizational performance
in Gondar city administration finance and economic cooperation office.

The findings of this study also indicated that bidding practice is the most important factor to have a
positive and significant effect on organizational performance. In addition to this, except ethical practice
and record management the five tendering practice dimensions significantly explained the variations in
organizational performance.

63
The descriptive statistics result gathered from the respondents showed that tendering procedure scored
(66.47%), tendering committee (67.45%), ethical practice (66.38%), record management (67.67%),
evaluation practice (67.66%) and bidding practice (62.27%) found effective to induce organizational
performance.

The result of the study brings out the fact that tendering practice is predictor of organizational
performance. Enhancing of tendering practice is vital for effective functioning of an organization, and to
make the organization grow and expand at a faster pace.

Success or failure of the organization depends on its employees so it is required to integrate all the
determinants of tendering practice in a way that should lead to high productivity and profitability. This
study identified the finance and economic cooperation office organization performance of the tendering
practice depends more upon the tendering procedure, tendering committee and tendering practice.

If the tender document is sells online in all social media Facebook, telegram, tweeter, Gmail, LinkedIn
etc… People can get it wherever they want and buy the documents from anywhere, they save their time
and do their work free of transportation, and the government gets income by selling more bidding
documents and the competition is better than less competitors are.

Therefore, the effective implementation of tendering practice tools led to increase in organizational
performance. The positive relationship between tendering practice tools and organizational performance
agreed with the study’s hypothesis and theoretical framework. The overall research question was; do the
tendering practice tools have significant effect on organizational performance. The general answer to the
research question was: the presences of bidding practice, evaluation practice, contract award, tendering
committee and tendering procedure have significant effect on organizational performance.

5.4 Recommendations

Based on the findings and conclusions of the study, the researcher forwards the following
recommendations to the management of Gondar city administration finance and economic cooperation
office and suggestion for other researchers.

Bidding practice dimension was considered as one of the most important factors influencing
organizational performance. However, the respondents were stated that there was less average value of

64
tendering practice.

One way of addressing bidding practice could be by bidding enhances value for money, there is
effective information sharing due to a limited number supply base, selected suppliers can be easily
called upon to provide emergency services, we easily train and develop our suppliers for easy
organization operation, quality is realized due to a prequalified supplier base, the services rendered as
easily supervised due to prequalification indicating usual interaction.

Furthermore, tendering procedure dimension was considered as one of the most important factors
influencing organizational performance.

The study was conducted to investigate, describe and report the relations between tendering practice
elements and organizational performance of Gondar city administration finance and economic
cooperation office. The study found out that bidding practice, tendering procedure, tendering committee,
contract award and evaluation practice had a significant impact on Gondar city administration finance
and economic cooperation office organizational performance.

Based on the result of this study, the following recommendations were given:

 The manager should use mainly bidding practice and tendering procedure type of tendering practice
techniques to achieve the desire results.

 The organization should increase customer satisfaction with the adoption of centralized purchasing.

 Selected suppliers should be easily called upon to provide emergency services.

 They should easily train and develop our suppliers for easy Gondar city administration finance and
economic cooperation office.

 Quality should be realized due to a pre-qualified supplier base.

 Employees should trained on standard procedures of procurement process

 The government should also give training to managers about the implementation of tendering in the
organization.

 The manager should attain of least-cost suppliers is due to the procurement evaluation.

65
 The manager should provide measures for the advancement of the contractual terms in the Gondar city
administration finance and economic cooperation office.

 The manager should understand that contract award enhances Gondar city administration finance and
economic cooperation office operations by providing a legal framework.

 The manager should understand that training/workshops on tender procedures improve performance.

 The manager should understand that continuously Gondar city administration finance and economic
cooperation office use open tendering is so essential.

 The manager should give more infancy on ethical practice and record management dimensions of
tendering practice.

 Future research efforts could also explore the effects of other tendering practice dimensions not included
in the study.

 A document should sell online in all social media like Facebook, telegram, tweeter, Gmail, LinkedIn
etc… is so essential to get many competitors.

5.5. Limitation and Directions for Future Research

Since the study was conducted in a single organization, the results may not represent the tendering
practice effects in other organizations. Besides, the nature of the study, which was cross-sectional
survey, indicated only the prescribing performance that was predominant at the time of the study.
However, the study would have been in best if done by longitudinal study. In addition, the study focused
on the effect of tendering practice on organizational performance of Gondar city administration finance
and economic cooperation office, so it did not represent the activities of other finance and economic
cooperation office organizations. Therefore, in the future the researcher wants recommend conducting
study on two or more finance organizations by considering those internal and external variables of
tendering practice tools like internal and external environment, demographic variables and many more
dimensions.

In the study the result shows that all the tendering practice dimensions are positively correlated to
Organization Performance and all the tendering practice dimensions have significant effect on
Organization Performance but two which was ethical practice and contract award was positively related

66
and has no significant effect on organization performance according to the finding in case of the study,
so it needs further research.

In the study the major source of data was questionnaire survey method, so that the researcher
recommend that further study should have to be conducted using multiple source of data i.e.
questionnaire, interviews, observation and other secondary source in order to triangulate the finding and
to collect complete and genuine response about the proposed research problem.

67
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Appendix I: English version questionnaire

UNIVERSITY OF GONDAR
COLLEGE OF BUSINESS AND ECONOMICS
DEPARTMENT OF MARKETING MANAGEMENT
Dear Respondents:
This survey is part of the research course for master’s program in Marketing Management on “the effect of
tendering practice on organizational performance, the case of Gondar city finance and economic cooperation
department”. Through this survey, I wish to analyze the determinants factors of organizational performance. The
survey is anonymous and all the information provided will be kept confidential and will not be shared with any
other party in any case. I greatly appreciated your help in completing the survey! Please complete the following
by placing "‫ "ﮮ‬mark on the appropriate choice that best represent your level of agreement or disagreement.
Thank you very much in advance.
Section I: Demographic Profile.
1. Sex
Male  Female 
2. Age
Below 25  25-34  35 - 44  45 and above 
3. Educational level
Secondary  Certificate and Diploma  1st Degree  MSC and above 
4. Marital status:
Single  Married  Divorced  widowed 
5. Business status:
Accountants  Audit  Budget  Purchasing 
6. Monthly Salary/Income
Birr 4,000 and below Birr 4,001-8,000 Birr 8,001-12,000  Above 12,000 Birr 

72
Section II: Determinant of organizational performance

Please rate your level of agreement/disagreement to the following questions by placing "√" mark on the
appropriate box for the number of your choice. Adopted from other researchers and self-developed.

1. Strongly Disagree (SD), 2.Disagree (D), 3. Neutral (N),

4. Agree (A), 5. Strongly Agree (SA)

NO TENDERINGP RACTICE TOOLS SD D N A SA

I TENDERING PROCEDURES

1 Training/workshops on tender procedures improve performance.

2 The conformity to tender process as stipulated in the PPDA 2005.

3 Continuously your organization use open tendering is so essential.

4 Continuously your organization use negotiated tendering is so essential.

5 Continuously your organization use restricted tendering is so essential.

II TENDERING COMMITTEES

1 The organization is tendering committee meet regularly within a short period


of time.

2 Your organization has enough numbers of committee members.

3 Numerous committees have its own effects in the whole tendering practice.

4 There is a lot formal training for tendering committee on tendering practices.

III ETHICAL PRACTICES

73
1 There are a lot complaints received in your organization.

2 There’s confidentiality in dealing with supplier information.

3 Conflicts of interest are quickly declared by members of staff.

4 Limits of authority to commit departmental funds are


adhered in the procurement department.

5 Punishing of corrupt behavior contributes to higher

Performance by purchasing staff.

6 Strict codes of conduct ensure purchasing procedures are


followed.

IV RECORD MANAGEMENT

74
1 Your organization regularly keeps tendering records.

2 Tendering records are kept for a long time in your organization.

3 All files maintained by the unit are retained in accordance with the Records
Retention schedule.

4 All files placed in correct file folders.

5 Break your files at the end of each year and start new files.

6 Procurement records are counter checked to ensure accuracy

7 The organization uses both manual and automated procurement record


systems.

8 The organization regularly conduct an audit of procurement record

V CONTRACT AWARDS

1 Contract award enhances organizational operations by providing a legal

Framework.

2 Improved response to organizational activities and accomplishments.

3 Contract award enables the provision of support services for

The organizational operation.

4 Providing measures for the advancement of the contractual terms in the


organizations.

5 Contract award enhances service delivery time.

VI EVALUATION PRACTICE

75
1 Enables the choice of sufficient and reliable suppliers in the district.

2 The management of the organizations attains evidence of

Value for money.

3 Evaluations enhance the adoption of skilled service

providers.

4 Provide an adequate and competitive environment for a


variety of qualities for organizational collaboration.

5 Attainment of least-cost suppliers is due to the procurement evaluation.

VII BIDDING PRACTICE

76
1 Bidding enhances value for money

2 There is effective information sharing due to a limited

Number supply base.

3 Selected suppliers can be easily called upon to provide

Emergency services.

4 We easily train and develop our suppliers for easy

Organization operation.

5 Quality is realized due to a prequalified supplier base.

6 The services rendered as easily supervised due to

Pre-qualification indicating usual interaction.

VIII ORGANIZATION PERFORMANCE

1 There is potential to improve and integrate various functions within the


organization.

2 Continuous training opportunities have been created for employees

3 The profit margins of the organization have been increasing since adoption of
centralized purchasing.

4 Thereisincreasedcustomersatisfactionwiththeadoptionofcentralized

purchasing.

5 The organization follows specified ethical procedures in procurement

process.

77
6 Employees are trained on standard procedures of procurement process.

7 The organization has an elaborate purchasing policy in place.

8 The organization formulates purchase guidelines that support better

Evaluation and selection of suppliers.

78
III. Open-ended questionnaires
1. What kind of complaints and grievances have you experienced?
____________________________________________________________________________________
______________________________________________________________________
2. How often does the organization’s tendering committee meet?
____________________________________________________________________________________
______________________________________________________________________
3. How do you rate the goods and services supplied in your organization in terms of quality, delivery,
reliability, and cost?
____________________________________________________________________________________
_____________________________________________________________________
4. Do numerous committees have any effects on the whole tendering process? If yes explain
____________________________________________________________________________________
_____________________________________________________________________
5. How many committees does your organization have?
6. If training on tender procedures improves performance briefly explain how?
____________________________________________________________________________________
____________________________________________________________________
7. What are the methods of record keeping used in your organization?

8. Tendering records are kept for how long in your organization?


____________________________________________________________________________________
__________________________________________________________________________
9. Others?
____________________________________________________________________________________
___________________________________________________________________

Thank you for filling out my questionnaire correctly.

79
Appendix II: Amharic version questionnaire

ጎንደር ዩኒቨርስቲ
ንግድ ስራ ኮሌጅ የገበያ አመራር ትምህርት ክፍል
በደንበኞች የሚሞላ መጠይቅ
ውድ ምላሽ ሰጪ፡
መጠይቁ በጎንደር ዪኒቨርስቲ ንግድ ስራ ትምህርት ቤት የገበያ አመራር የትምህርት ክፍል ለ2ኛ ዲግሪ መመረቂያ
የሚውል ነው፡፡ መጠይቁ በሁለት ክፍሎች የተዋቀረ ነው፡፡ የምላሽ ሰጪ የግል መረጃ እና የአጭር ጊዜ የጨረታ አሠራሩ
በጎንደር ዞን ፋይናንስ አፈጻጸም ላይ ያለው ተጽእኖ፣ የጎንደር ከተማ ፋይናንስና ኢኮኖሚ ትብብር መምሪያ ጉዳይ፡፡
ስለዚህ የእርሶዎ አስተያየት በጣም ጠቃሚ መሆኑን በመግለጽ የሚሰበሰበው መረጃ ለጥናቱ አላማ ብቻ የሚውልና
በጥብቅ ሚስጢር የሚጠበቅ ነው፡፡
ስለትብብርዎ በቅድሚያ አመሰግናለሁ፡፡ ጥናቱን ማጠናቀቅም ላደረጉት እገዛ በጣም ምስጋናዬ ላቅ ያለ ነው፡፡
ክፍል 1 - የምላሽ ሰጪ የግል መረጃ እባክዎ ምላሼ ነው ብለው በሚያምኑት ሰንጠረዥ ውስጥ ይህን "‫"ﮮ‬
ምልክት ያስቀምጡ፡፡
1. ጸታ :- ወንድ  ሴት 
2. እድሜ :- ከ 25 በታች  ከ 25-34  ከ 35-44  45 እና በላይ 
3. የትምህርት ደረጃ:- 2ኛ ደረጃ  ሰርተፊኬት እና ዲፕሎማ  የመጀመሪያ  2ኛ ዲግሪ እና በላይ
4. የጋብቻ ሁኔታ:- ያገባ  ያላገባ  የፈታ  የሞተበት 
5. የስራ ሁኔታ፡- አካውንታንት ኦዲት በጀት ግዥ
6. ወርሃዊ ገቢ፡ 4,000 ብር እና በታች  ከ4,001-8,000 ብር ከ8,001-12,000 ብር  ከ12,000 ብር በላይ

ክፍል --2- ጎንደር ዞን ፋይናንስ አፈፃፀምን የሚወስን


የአጭር ጊዜ የጨረታ አሠራሩ በጎንደር ዞን ፋይናንስ አፈጻጸም ላይ የሚያሳድረው ተጽዕኖ፣ የጎንደር ከተማ ፋይናንስና
ኢኮኖሚ ትብብር መምሪያ ጉዳይ ላይ ዳሰሳ መጠይቅእባክዎን የእርስዎ ምርጫ የሆነውንና የሚስማሙበትን ወይም
የማይስማሙበትን "‫ " ﮮ‬ምልክት በማድረግ ሃሳብዎን ይግለጹ፡፡
በፍፁም አልስማማም (በፍአ)፤ አልስማማም (አል)፤ ገለልተኛ (ገለ)፤ እስማማለሁ (እስ)፤ በጣም
እስማማለሁ (በእ)
ቁጥር የጨረታ ልምምድ መሳሪያዎች (መመዘኛዎች) በፍአ አል ገለ እስ በእ

I የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የጨረታ ሂደቶች


1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በጨረታ አሠራሮች ላይ
ስልጠና/ዎርክሾፖች አፈጻጸሙን ያሻሽላሉ።
2 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ PPDA 2005 በተደነገገው
መሠረት ከጨረታው ሂደት ጋር መጣጣም።
3 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ያለማቋረጥ ክፍት ጨረታን
መጠቀም በጣም አስፈላጊ ነው።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ያለማቋረጥ በድርድር ላይ
የተመሰረተ ጨረታን መጠቀም በጣም አስፈላጊ ነው።

80
5 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ያለማቋረጥ ጎንደር ዞን
ፋይናንስ የተገደበ ጨረታን መጠቀም በጣም አስፈላጊ ነው።
II የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የጨረታ ኮሚቴዎች
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ጨረታ ኮሚቴ በአጭር ጊዜ
ውስጥ በየጊዜው ይሰበሰባል።
2 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በቂ ቁጥር ያላቸው የኮሚቴ
3 አባላት አሉት።
የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በርካታ ኮሚቴዎች በጨረታ
አሠራሩ ላይ የራሳቸው ተጽእኖ አላቸው።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በጨረታ አሠራሮች ላይ ብዙ
መደበኛ ሥልጠና ለጨረታ ኮሚቴ አለ።
III የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የስነምግባር ልምዶች
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስጥ ብዙ ቅሬታዎች
2 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ከአቅራቢዎች መረጃ ጋር
በተያያዘ ሚስጥራዊነት አለ።
3 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የፍላጎት ግጭቶች በፍጥነት
በሠራተኞች አባላት ይታወቃሉ።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የመምሪያ ገንዘቦችን
ለመፈጸም የስልጣን ገደቦች በግዥ ክፍል ውስጥ ይከበራሉ.
5 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ብልሹ ባህሪን መቅጣት
ሰራተኞችን በመግዛት ሂደት ለከፍተኛ አፈፃፀም አስተዋፅኦ ያደርጋል።
6 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ጥብቅ የስነምግባር ህጎች
IV የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ መዝገብ አስተዳደር
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በየጊዜው የጨረታ
2 የጨረታ መዝገቦች በማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስጥ
ለረጅም ጊዜ ተቀምጠዋል።
3 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በክፍሉ የተያዙት ሁሉም
ፋይሎች በሪከርድ ማቆያ መርሃ ግብር መሰረት ይቀመጣሉ።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ሁሉም ፋይሎች
5 በትክክለኛው
የማዕከላዊ የፋይል
ጎ/ዞን አቃፊዎች
የጎንደር ከተማ ውስጥ ይቀመጣሉ.
ፋይናንስ መምሪያ በየአመቱ መጨረሻ
ፋይሎችዎን ያስወግዱ እና አዲስ ፋይሎችን ይጀምራሉ።
6 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ግዢ መዝገቦች
ትክክለኝነትን ለማረጋገጥ በተደጋጋሚ ይረጋገጣሉ።
7 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ሁለቱንም በእጅ እና
አውቶሜትድ የግዥ መዝገብ ስርዓቶችን ይጠቀማል።
8 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በየጊዜው የግዥ መዝገብ
V ኦዲት ያደርጋል።
የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የኮንትራት ሽልማቶች
1 የኮንትራት ሽልማት የህግ ማዕቀፍ በማቅረብ ማዕከላዊ ጎ/ዞን የጎንደር ከተማ
ፋይናንስ መምሪያ ስራዎችን ያሻሽላል::
3 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ እንቅስቃሴዎች እና
ስኬቶች የተሻሻለ ምላሽ አለ::
4 የኮንትራት ሽልማት ለማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ
አሠራር የድጋፍ አገልግሎቶችን ለማቅረብ ያስችላል::
5 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስጥ የውል ስምምነቶችን
ለማራመድ እርምጃዎችን መስጠት::

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6 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የኮንትራት ሽልማት
የአገልግሎት አሰጣጥ ጊዜን ያሻሽላል::
VI የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ግምገማ ልምምድ
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስጥ በቂ እና አስተማማኝ
አቅራቢዎችን መምረጥ ይቻላል::
2 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ አስተዳደር ለገንዘብ ዋጋ
3 ያለው ማስረጃ
የማዕከላዊ ይገኛል
ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ግምገማዎች የሰለጠነ
አገልግሎት አቅራቢዎችን ተቀባይነት ያሳድጋል::
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ትብብር ለተለያዩ ጥራቶች
በቂ እና ተወዳዳሪ ከባቢን ይፈጥራል::
5 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ አነስተኛ ወጪ
አቅራቢዎችን ማግኘት በግዥ ግምገማ ምክንያት ይሆናል።
VII የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ መጫረቻ ልምምድ
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ጨረታ ለገንዘብ ዋጋን
2 ይጨምራል፡፡ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስን የቁጥር አቅርቦት
የማዕከላዊ
መሰረት ምክንያት ውጤታማ የመረጃ መጋራት አለ።
3 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የተመረጡ አቅራቢዎች
የአደጋ ጊዜ አገልግሎት እንዲሰጡ በቀላሉ ሊጠሩ ይችላሉ።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ለቀላል አደረጃጀት አሠራር
5 አቅራቢዎቻችንን በቀላሉ እናሠለጥናለን።
የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የስራ ጥራት በቅድመ-ብቃት
ባለው የአቅራቢ መሠረት ምክንያት እውን ይሆናል።
6 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የተለመደው መስተጋብርን
በሚያሳይ ቅድመ ብቃት ምክንያት የሚሰጡት አገልግሎቶች በቀላሉ ቁጥጥር
ይደረግባቸዋል::
VIII የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ አፈጻጸም ብቃት
1 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ውስጥ የተለያዩ ተግባራትን
የማሻሻል እና የማዋሃድ አቅም አለን፡፡
2 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ለሰራተኞች ተከታታይ
ስልጠና እድል ተፈጥሩዋል፡፡
3 ማዕከላዊ ግዥን ከተቀበለ በኋላ የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ
መምሪያ የትርፍ ህዳጎች እየጨመረ መጥቷል።
4 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የተማከለ ግዢ በመቀበል
የደንበኞች እርካታ ይጨምራል።
5 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ በግዥ ሂደቱ ውስጥ
የተወሰኑ የስነምግባር ሂደቶችን ይከተላል::
6 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ ሰራተኞች በግዥ ሂደቱ
መደበኛ ሂደቶች ላይ የሰለጠኑ ናቸው.
7 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የተራቀቀ የግዢ ፖሊሲ
8 የማዕከላዊ ጎ/ዞን የጎንደር ከተማ ፋይናንስ መምሪያ የተሻለ ግምገማ እና
የአቅራቢዎችን ምርጫ የሚደግፉ የግዢ መመሪያዎችን ያዘጋጃል።
III. ክፍት የሆኑ መጠይቆች
1/ ምን ዓይነት ቅሬታዎች በተደጋጋሚ አጋጥሞዎታል?
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2/ በጎንደር ዞን ፋይናንስ ውስጥ የሚቀርቡትን እቃዎች እና አገልግሎቶች በጥራት፣ በአቅርቦት፣ በአስተማማኝነት እና

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በዋጋ እንዴት ይገመግማሉ?
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3/ ብዙ ኮሚቴዎች በአጠቃላይ የጨረታ ሂደት ላይ ተጽእኖ አላቸው? አዎ ከሆነ ያብራሩ
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4/ ጎንደር ዞን ፋይናንስ ስንት ኮሚቴ አለው? ___________________________________________________________________
5/ የጎንደር ዞን ፋይናንስ ጨረታ ኮሚቴ ምን ያህል ጊዜ ይሰበሰባል? ____________________________________
6/ በጨረታ አሠራሮች ላይ ሥልጠና አፈጻጸሙን የሚያሻሽል ከሆነ እንዴት እንደሆነ በአጭሩ ያብራሩ?
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7/ በጎንደር ዞን ፋይናንስ ውስጥ የመዝገብ አያያዝ ዘዴዎች ምንድ ናቸው?
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8/ የጨረታ መዝገቦች በጎንደር ዞን ፋይናንስ ውስጥ ለምን ያህል ጊዜ ይቀመጣሉ?
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9/ የሚጨምሩት ካለ?
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መጠይቄን በትክክል ስለሞሉልኝ ከልብ አመሰናለሁ!!

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