Abstract:
Procurement practices are important in the public sector since the procurement process is usually a large percentage of an organization's budget. Despite this, procurement is still regarded as a nonstrategic function that is commonly subordinated to being in the financial part of the service sector, and is thus regarded as a non-value-added function in some organizations. Despite the fact that only a small amount of scientific study has been done on the effect of procurement practices on organizational performance in public institutions, particularly in higher education. Therefore, this study aimed to examine the effect of procurement practices on organizational performance in public higher education in the case of Gambella University. Specifically, the study sought to examine the effect of staff competency, e-procurement, procurement ethics, supplier engagement and contract management on organizational performance. The study employed both descriptive and inferential analysis to analyze and interpret the gathered data. The study employed a stratified random sampling technique to select the respondents. The sample size of the study was 240 respondents, including academic and administrative staff who are currently working at Gambella University. Accordingly, likert scale type questionnaires as a data collection instrument were used to measure the employees’ perception of the variables. The study used a primary source of data and the data was analyzed quantitatively by the use of the statistical package for social science (SPSS) in 23 versions. The field data was also statistically analyzed using binary logistic regression. Finally, the study findings revealed that all the independent variables, supplier engagement, procurement staff competency, procurement ethics, contract management and e-procurement, had a statistically significant and positive effect on organizational performance.