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The study assessed the effectiveness of Framework Agreement for common use items and services (CUIS) in public procurement, a case of procuring entities in Arusha Urban District Council. Both quantitative and qualitative research design were applied in this study. In this study, 100 respondents were selected by using purposive and random sampling techniques. Primary sources were used to collect data with the help of structured questionnaires with mainly closed ended and open ended questions as well as from interviews. The findings revealed that suppliers in framework agreement deliver goods on time upon a written request and the capacity of the supplier to deliver all the requested goods at a time is in doubt. The study found a positive relationship between framework agreement effectiveness and information exchange mechanisms among suppliers, suppliers’ performance execution follow-up tools, supplier’s capacity as well as public bodies annual procurement plan. It was also found that suppliers’ capacity has an impact on ensuring effective public procurement process particularly on the use of framework agreement, suppliers in FA either have no clear information about their capacity measurement or the information known is very little. The study also found that inaccurate procurement plan has impact on organizational performance. The study also found that information communication technologies have an impact on ensuring effective public procurement particularly on the use of FA; public procurement has ICT system to exchange information with suppliers and public bodies. The study also found that information exchange between service providers and public bodies do not take few days, there is delay of information exchange and this brings a barrier to the framework agreement performance. Owing to the findings, researcher recommends the following; firstly, it is recommended that suppliers should improve their capacity to deliver all the requested goods at a time. Secondly, it is recommended that suppliers should be willing to prompt corrective action for defective items. Thirdly it is recommended that suppliers should have clear information about their capacity measurement which may result to the improvement of the services offered. Fifthly it is recommended that there should be fast information exchange among the service providers and public bodies by making sure that it takes only few days. |
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