An investigation into outsourcing towards efficiency improvement, span of control and operational costs reduction in public universities in Morogoro region
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Date
2007
Authors
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Journal ISSN
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Publisher
Sokoine University of Agriculture
Abstract
This study was conducted to investigate into outsourcing towards efficiency
improvement, span of control and operational costs reduction in public universities
(PUs) in Morogoro region Mzumbe University and Sokoine University of Agriculture.
Specifically the study had the following objectives: (a) to investigate operationalization
of outsourcing in PUs, (b) to assess the potentiality of outsourcing towards efficiency
improvement and span of control reduction, (c) to assess cost effectiveness of
outsourcing as a management strategy and (d) To review and compare the levels of
outsourcing in PUs in Morogoro and recommend on the possibility of outsourcing for
efficiency enhancing and lowering costs. The study is based on a survey of the
Departments of Personnel, Finance, Planning and Admissions in PUs in Morogoro plus
the private companies providing services in PUs in Morogoro. A checklist was used to
collect information from the heads of departments plus the private services providers
(PSPs) representatives. Data analysis entailed of a number of descriptive statistics and
cross tabs. Results revealed that outsourcing in PUs in Morogoro is guided by the Public
Procurement (Goods, Works, Non-consultant Services and Disposal of Public Assets by
Tender) Regulations of 2005. Significant reductions in span of control has been
registered through outsourcing management strategy, efficiency has been enhanced to
those responsible for supervision, and it was further revealed that outsourcing is cost
effective than “own managing” with respect to non core functions, PUs have registered
significant reductions in operational costs. The study recommended that: PUs need to
conduct organizational analysis and planning, merge cadres, establish secretarial pools and insist on ICT competence among the Senior and Middle level Officers and pursue
further outsourcing of their non core functions which constitute most of under qualified
staff in PUs, this will enhance efficiency, reduce both operational costs and span of
control. Overall the study asserts that outsourcing has a value to add in PUs management
in Tanzania.
Description
Dissertation
Keywords
Outsourcing-Public universities