Dissertation Submitted to Mzumbe University Dar es Salaam Campus College (MUDCC) in Partial Fulfillment of the Requirements for Award of the Degree of Master of Business Administration in Corporate management (MBA-CM.) of Mzumbe University
This study explores stakeholders' perspective on the practicability in terms of efficiency, effectiveness, and economy of the bulk procurement of petroleum products and its proposed bulk storage (single receiving point). The specific objectives of the study were to examine the efficiency and applicability of the Bulk Petroleum Procurement and bulk storage process in Tanzania, to determine the effectiveness of the bulk procurement process and storage of petroleum product in Tanzania, and to analyze the economic benefit of the bulk procurement of petroleum product on a single receiving point. In order to obtain information regarding the problem under study, the researcher used three research approaches namely; Questionnaires, interview and documentary sources. Primary and secondary data collection was conducted from various sources that exist within various stakeholders and from internet sources. The data collected was analyzed by using statistical package for social sciences (SPSS). Findings show that the Bulk Procurement System (BPS) of petroleum products has to a greatest extent helped in reducing tax evasion, reducing loses and no demurrages. Petroleum products are used across the entire economy in every country. Also, findings show stakeholders’ agree on the time used to change from one terminal to another affect the efficiency of the bulk procurement system and its intended purpose due to multiple terminal receptions which results into delays of products unloading according to the contractual time agreed, and hence demurrage charges. Adequate and reliable supply of transport services and electricity in turn are essential for economic development. Due the fundamental role of petroleum product in the economy of a country Bulk Procurement System of petroleum product on single receiving point is inevitable. It is a time for the Ministry of energy to send a bill to the parliament on establishment of bulk procurement of petroleum product on single receiving point.