Procurement

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Browsing Procurement by Author "Kimario, Honest F."

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    Buyer-Supplier Relationships and its Influence on the Procurement Performance: Insights from Empirical Analysis
    (Journal of Co-operative and Business Studies (JCBS), 2021-11-02) Kimario, Honest F.
    Procurement plays a key role in the economic and social development of nations since its emergence as a significant driver of organisational performance. Procurement accounts for approximately 18.42% of the global Gross Domestic Product (GDP) and 70% of organisational expenditures. Tanzania confronts challenges that have direct impact on procurement performance, despite strong buyer-supplier relationships defined by trust, commitment, and communication among big manufacturing firms. In this article we examined the link between trust, commitment, and communication, as well as their impact on procurement performance to advance the argument on the influence of the buyer-supplier relationship on procurement performance, a systematic qualitative synthesis utilising homothetic content analysis is utilised to examine data. According to the findings of the study, trust serves as a motivator for buyers and suppliers to focus on the long-term advantages of relationships, therefore improving performance outcomes. Commitment is recognised as a major motivator in long-term relationships; hence, buyers and suppliers should prioritise the virtue in order to obtain long-term competitive advantage and, as a result, procurement performance. Moreover, communication is useful in establishing trust and commitment in buyer-supplier relationships in order to ensure procurement performance
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    Cause – effect relationship of trust of buyer – suppliers’ integration on procurement performance in large manufacturing firms in Tanzania
    (Journal of Global Operations and Strategic Sourcing © Emerald Publishing Limited, 2023-04-27) Kimario, Honest F.; Kiria, Alex. R
    Abstract Purpose – The purpose of this study was to establish the cause-effect relationship between determinants of trust in the buyer–supplier integration and the procurement performance of large manufacturing firms in Tanzania. Design/methodology/approach – The study surveyed 52 firms from Temeke Municipality, Tanzania using questionnaire subjected to one procurement manager and one stores manager tallying a sample size of 104 respondents. Explanatory design was employed due to the presence of cause–effect relationship and the null hypotheses were tested using binary logistic regression technique at p values < 0.05 and ExpB > 1. Findings – Mutual goals, geographical vicinity among partners, and supplier reliability are significant for the procurement performance of the manufacturing firms in Tanzania, whereas interpersonal and interorganizational trusts and perceived buyers’ confidence are of no significant impact. Research limitations/implications – Buyer–supplier integration is a recently embraced and paramount practice for the manufacturing firms in Tanzania. Therefore, longitudinal study would further add value. The presence of the causality from the tested hypothesis appeals for the necessity of progress tracking. Practical implications – Causality has been established, and a framework has been developed for the performance of large manufacturing firms using trust of buyer–supplier integration. Social implications – There shall be creation of more employment opportunities and timely availability of materials from large manufacturing firms in Tanzania. Originality/value – Anchored on transaction cost economics and resource dependency theories, the study disclosed the root cause of procurement performance in the context of manufacturing firms in Tanzania whilst considering trust as a resource advantage of buyer–supplier integration.
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    The Influence of Communication in the Buyer-Supplier Integration on Procurement Performance of Large Manufacturing Firms in Tanzania
    (2021-10-05) Kimario, Honest F.
    Despite the efficacious communication evident in the buyer-supplier integration, material procurement performance in large manufacturing firms of Tanzania remains a challenge. The Resources Dependency and Transaction Cost Economics Theories were used in this study to analyze the influence of Early Supplier Involvement in design of specification, electronic information sharing, communication direction, and frequency of buyersupplier meetings, (all considered key in enhancing communication in the buyer-supplier integration) on the procurement performance. 52 large manufacturing firms in Temeke Municipality were approached through a census to inform the study. From each firm, one procurement and one store manager were purposively sampled, totalling to 104 respondents. Data was collected using cross-sectional design and mixed approach under pragmatic paradigm was used for this study. Data obtained through questionnaires was analyzed using the Binary logistic regression. This study was supplemented by qualitative opinions stemming from the fact that buyer-supplier integration is a strategic aspect. The study revealed that poor procurement performance is attributed to lack of Early Supplier Involvement and limited electronic information sharing. It was recommended as per findings that with the assistance of the government, the performance of manufacturing firms can be rejuvenated using the framework developed from this study. This study unveiled the cause–effect relationship of communication in the buyer-supplier integration and procurement performance however, the mediating role of third-party logistics, which might affect the relationship, remains unknown. Also, the role of communication of buyer-supplier relationship was not considered as role of tiers suppliers. Therefore, future studies should identify the role of tier suppliers in buyer-supplier communication and consequently the supply chain firms’ performance.