Importance of Planning on Effective Procurement Delivery at the Decentralised Departments of Governance in Line with the Procurement Act 2003, (Act 663) of Ghana: The Case of Metropolitan, Municipal and District Assemblies (MMDAS) in the Western Region of

Abstract

Section 91 (1) (2) (3) of Act 663 which stipulated that there should be a regular procurement audit to assess procurement performance, monitoring and evaluation necessitated the need for this study. This study also sought to assess the performance of procurement practices of the MMDAs and to determine the extent to which the MMDAs followed the requirement of (PPA 2003, Act 663) in the planning, execution and monitoring of procurement operations. It also sought to analyse the challenges the MMDAs encountered in performing procurement activities in the management of procurement operations in line with the procurement law of Ghana. In order to achieve the overall goal of the study, questionnaire was designed to probe into what makes a good public procurement plan; who the stakeholders of the plan are, and what the procurement plan stands for, that is, what makes the content of the procurement. Additionally, the questionnaire also probed into the effectiveness of the procurement law (act 2006) and whether the procurement entities believe that it has contributed to achieving its goal of creating and enabling value for money at the MMDAs and for the government of the Republic of Ghana. The main research instrument used was the questionnaire. The research also made use of a census in the survey. The study revealed that the procurement entities use the procurement law prescription for public procurement activities. However, the entities oftentimes buy without due recourse to the procurement plan. This means that, even though, the procurement law directs that all procurement for and on behalf of the government for the public ought to be compulsorily done according to the procurement plan, certain external influences prevents this from happening. As a result, a sizable percentage of procurement is done without recourse or consideration to the procurement plan which is a blatant disregard for the public procurement law of Ghana.

The study again revealed that the period taken for contractors to receive their money after execution of work is long and therefore cause suppliers inability to deliver. The study further revealed that the entity encountered in its operations difficulty in obtaining funds and also numerous unbudgeted requirements which are often outside the procurement budgets are requested for purchases and this has the effect of throwing off the procurement plan for the year. Thus putting enormous pressure on government finances.It is recommended therefore that the procurement function at the MMDAs must be independent and stand-alone departments undertaking autonomous procurement activities, having its own directors and head of departments. It is again recommended that the procurement function as an autonomous department, shall be more strategic and therefore employ scientific method for procurement activities such as demand forecasting for the procurement of especially goods and essential services such as materials for maintenance because procurement is the departments’ core activity.This research covers the introduction of the research, the theoretical framework which comprises the views of authorities on the topic and on procurement issues, the methodology used, the research analysis, the findings, conclusions and summary together with the problems encountered during the gathering of data on the research as s well the problems encountered in the compilation of the research.

Keywords: Public Entity, Public Procurement Law, Public Procurement Act 2003 (Act 663), Municipal and District Assemblies (MMDAS), public procurement plan, first right and refusal (FRR)