Case Study: Uganda$$s Roads Need More Private Sector Input

Uganda's roads industry still faces many challenges, the Uganda National Roads Authority $($UNRA$)$ has said as the government struggles to improve the country's dilapidated road network there are an estimated $800$ road contractors in Uganda. UNRA, which was set up seven years ago to revamp the roads, charges that the government's strong reliance on its own staff, due simply to the amount of work needed as quickly as possible, could undermine the development of a strong and competitive private sector. "There are also a variety of issues associated with the composition of the private sector that need to be addressed if Uganda's road network is to grow and be well maintained," added UNRA.

The agency explored some of the key challenges facing Uganda's road sector in its latest review, citing the inefficiency of small private contractors. It said Uganda has an abundance of small$-$scale contractors providing road services, although these tend to capture insufficient amounts of steady work to be able to train and retain good quality staff or to put in place a high standard of quality control and business management systems. One consequence is a vicious cycle in which a small$-$scale contractor wins$$ work, hires staff to complete that work, loses them once the job is done, and then has to hire new inexperienced personnel for the next job. This means that their staff often does not gain the necessary skills to operate equipment properly, resulting in poor quality workmanship and slow contract delivery, UNRA stated.

Required:

Q$\mathrm{.}1$

a$)$ As a Procurement student expert, prepare a three $(3)$ paged document explaining how UNRA can help in improving the capabilities of SMEs in delivering assigned duties $(15$ marks$)$

b$)$ In about two $(2)$ pages, discuss the impediments faced by URA in its public procurement and contract management operations. $(10$ marks$)$

Total $25$ Marks