Arrears Management in Revenue Collection at National Water and Sewerage Corporation, Kampala Water.
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Date
2024
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Abstract
This study examines arrears management practices at the National Water and Sewerage Corporation (NWSC) in Kampala, with the aim of identifying current practices, challenges, and strategies for improvement. The problem addressed is the persistent issue of unpaid water bills despite various engagement methods, leading to significant financial arrears that impede NWSC’s operations. The primary objective is to understand how arrears are managed and to propose solutions to mitigate arrear growth.
The research employs a cross-sectional descriptive design to capture a snapshot of arrears management practices at a specific point in time. The population consists of 260 staff members from the commercial sections of NWSC’s Kampala branches, selected for their knowledge and involvement in revenue collection. Using Krejcie and Morgan’s (1970) table for determining sample size, 152 staff members were purposively sampled. Data was collected through self administered structured questionnaires, which included sections on respondent profiles, arrears management practices, challenges, and improvement strategies.
Key findings reveal that NWSC employs multiple communication methods, such as phone calls, emails, and SMS, to engage customers about overdue payments. Tailored repayment plans and dedicated arrears management teams are integral to their strategy. However, the study highlights a significant gap in the use of advanced technologies like data analytics and AI for predicting payment behaviors and automating processes. The challenges identified include economic instability, ineffective communication, technological shortcomings, regulatory compliance issues, and organizational cultural barriers.
The study recommends that NWSC should enhance its technological capabilities by investing in data analytics and AI systems to better predict and manage arrears. Expanding the use of digital communication channels and automating interactions with customers are also advised. Regular staff training on these new technologies and a phased implementation plan are crucial for a smooth transition. Additionally, fostering a culture that prioritizes arrears management and compliance with regulatory frameworks is essential.
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A Dissertation Submitted to Makerere University Business School (Faculty of Graduate Studies and Research) in Partial Fulfilment of the Requirements for the Award of Degree of Master of Business Administration of Makerere University. (PLAN B).
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Yusuf, N . B (2024) Arrears Management in Revenue Collection at National Water and Sewerage Corporation, Kampala Water. Unpublished Masters Dissertation Makerere University Business School. Kampala, Uganda.