Assessment on the impact of IFMIS on the Procurement process in the public sector (A survey of ministry of finance, works and supply and anticorruption Commission)
Date
2019
Authors
Muwema, Timothy
Journal Title
Journal ISSN
Volume Title
Publisher
University of Zambia
Abstract
Progressive governments around the world aim at having efficient Public Finance Management
in order to efficiently manage resources and maximize on opportunity costs associated with
Public Procurement. The Government of Zambia has introduced IFMIS to monitor how
ministries, departments and other state agencies spend funds on a real-time basis in order to
improve budget implementation. The objectives of IFMIS are to attain transparency, reduce
financial leakages and accountability in the way Government resources are being spend. This
research thus seeks to find out how the implementation of IFMIS has impacted Public
procurement in promoting Transparency, Efficiency, Speed, less financial leakages as a means
of paying vendors/customers on behalf of Ministries, departments and other state agencies.
Data was collected from seventy-five (75) respondents from the Ministry of Finance,
Ministry of Works and Supply and the Anti-Corruption Commission. Data was analysed
using Social Package and Social Sciences (SPSS) version 20 and Microsoft excel.
The study concluded that IFMIS has not enhanced transparency in the public procurement
processes because citizens, vendors do not have access to the system. In addition, the
information on IFMIS can only be accessed through SAP to those authorised using passwords
and usernames. The study also concluded that IFMIS has not reduced financial leakages
because procurement processes are still being carried outside the system and are only loaded
on the system afterwards. This has made the system reactive rather than proactive in reducing
the financial leakages. The study further concluded that IFMIS has not increased efficiency
and speed, this is because the system has increased the cost of performing procurement
processes twice, that is on the system and on paper. Performing the activities twice has
ultimately reduced speed and increased the lead time of fulfilling needs identified by different
users.
The study recommended that vendors and citizens should have access to the system to
enhance transparency. Furthermore, the study recommended for code restructuring of the
system to make it more proactive rather than reactive in order to improve budget adherence,
reduce misappropriation and misapplication of funds. In conclusion, the study further
recommended procurement processes be carried on the system only and eliminate the
duplication of work on paper.
Description
Keywords
Procurement ---public sector , Supply Chain Management , Project ---Management