Effect of E-Procurement Adoption on the Procurement in the Public Institutions in RwandaA Case of Three District Hospitals in Southern Province

Abstract

The purpose of this study was to analyze the effect of e-procurement adoption on the procurement in the public institutions in Rwanda. Despite, public health facilities in Rwanda, being companies like any other, are prone to similar challenges. In conducting this research, three objectives were laid out to assess the effect of e-procurement on good governance in public hospitals, to investigate the extent to which e-procurement technical skills contribute to the effectiveness of procurement in public hospitals and finally to analyze how ICT infrastructure contribute to development of markets in the public institutions. To achieve these objectives, literature was reviewed on the subject matter, and data werecollected from 96 employees of three district hospitals in Southern Province, 21 suppliers as well as 24 serviceproviders and they were chosen by using universal sampling technique. Questionnaire, interview and documentation were used as tools of data collection. The study found that the three (3) district hospital representing the public institutions, have adopted e-procurement by equipping their staff with the necessary competenciesand skills to ensure the success of their e-procurement projects. This level of commitment stems from statutory requirements for every institution to do all their procurements online. Public institutions have implemented e-requisition, supplier selection,e tendering, tender evaluation, supplier relationship management and procurement record management to very great extents. The study also found that e-sourcing, e-tendering, e-tender evaluation, supplier relationship management and procurement record management on the operational performance of public institutions have a positive and statistically significant effect on the operational performance of public institutions in the public institutions.