The Paradox of Outsourcing: The Case of the University of Dar es Salaam

Abstract

In the 1990s, Tanzania, like many other countries in the Sub-Sahara region, embarked on a number of reforms to improve public service delivery. Among others, the reform proponents championed outsourcing by the public institutions as an approach that facilitates cost cutting and yet improves service delivery. The public institutions adopted this new approach for the same rationale. Currently, almost all the public institutions in Tanzania, even the most sensitive ones, have to some degree done outsourcing. What remains to be empirically seen, is the degree, to which the main objective of outsourcing has been achieved. This article addresses the question. It adopts a comparative approach by analyzing two categories of services outsourced by the University of Dar es Salaam. The services under comparison are cleaning and health. Specifically, the aim is to establish whether the University following the outsourcing measures attains the objective of cost cutting.