A Dissertation Submitted in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Science in Procurement and Supply Chain Management (MSc-PSCM) of Mzumbe University.Since evolution of PMS many attempts have been to measure organizational and not inter-organizational performance. The purpose of this study was to empirically explore intangible performance measures of 3PL service providers in public organizations. The author study the impact of independent variables such as service quality, relationship management and organizational effectives on dependant variable; high performance measurement. A case study was deployed and both questionnaires and check list were used to collect primary data from 70 sample size. The data were analyzed using statistical Package for Social Science (SPSS). The study findings revealed poor service quality, poor relationship management and poor organizational effectiveness by 3PL service provider which suggest customer dissatisfactions. The findings were inconsistent with most of previous studies conducted in Europe and Asia. The author recommended that a selection of appropriate performance measurement system suitable for public organizations' strategies is critical and the use of Information technology is an ideal in the future.