Dissertation submitted to Mzumbe University in Fulfillment of the Requirement for the Award of Degree of Master of Science in Procurement and Supply Chain Management (MSc. PSCM) of Mzumbe UniversityThe main objective of the present study was to assess the effectiveness of public procurement procedures on ensuring value for money in the parastatal organization in Tanzania. The specific research objectives were; to identify the measures for ensuring value for money at TTCL, to examine how procurement procedures ensure value for money at TTCL, to examine the role of Procurement Management Unit (PMU) on ensuring value for money at TTCL, and to identify challenges facing TTCL on ensuring value for money. The study involved 80 respondents. Both primary and secondary data collection methods were employed. The present study employed both simple random sampling and non-probability sampling (purposive sampling) techniques to get the respondents. Simple random sampling was used for TTCL management in which the population is more homogenous and thus random sampling was the most appropriate. Purposive sampling was used to select the top management of TTCL from each section who provided valid information relevant to this study. Data obtained were analyzed through Statistical Package for Social Science (SPSS) software program. Findings from the study revealed that measures for VFM were achieved at TTCL as most of the factors which ensure VFM were observed. This included economy, effectiveness, efficiency, ethical standards, and competition. It was further revealed that the said procurement procedure ensures value for money simply because they ensure and minimize unnecessary costs which might be incurred if the procurement is done without following the proper procedures. The major challenges include lack of appropriate bidding process techniques among the procurement practitioners, incompetence among TTCL managers and staff responsible for procurement within an organization, the problem of non-compliance with the VFM objectives of the Institution, and lack of procurement professional experts. However, inadequate measures for monitoring and evaluation of the procurement policy to ensure VFM are the least ranked challenge.