THE EFFECT OF PROJECT MONITORING AND EVALUATION ON PROJECT PERFORMANCE: A CASE STUDY OF SELECTED NON-GOVERNMENTAL ORGANISATIONS PROJECTS IN GAMO ZONE, ETHIOPIA

Abstract

This research aimed to assess the effect of project monitoring and evaluation on project performance in NGOs operating in the Gamo Zone, Ethiopia. The study specifically examined the influence of budgetary allocation, planning of project monitoring and evaluation, and stakeholders' involvement on project performance. The sample size for this study consisted of 154 respondents from selected non-governmental organizations in the Gamo Zone. The researcher collected 140 completed questionnaires, resulting in a response rate of 91%. A pilot test was conducted with 30 respondents to assess the reliability of the data, yielding an average Cronbach's alpha value of 0.829, indicating acceptable internal consistency. The researcher employed statistical computer software (SPSS version 20) to analyze the data using both descriptive and inferential statistics. In this study, Pearson's Chi-square analysis was used for inferential statistics to examine the correlation between dependent and independent variables. The findings revealed a strong and significant relationship between monitoring and evaluation planning and project performance, with a correlation value of (r = 0.868, p-value = 0.000). However, a weak and insignificant relationship was found between budgetary allocation for monitoring and evaluation and the performance of selected NGO projects, with a correlation value of (r = 0.843, p-value = 0.000). The study found that there was a significant correlation (r = 0.864, p-value = 0.000) between the contribution of stakeholders in monitoring and evaluation (M&E) and the performance of selected NGO projects. The linear regression analysis resulted in an r-squared value of 0.813, indicating that the independent variables accounted for approximately 81% of the variation in the dependent variable. Based on the findings of the research, the conclusion is to priorities effective planning of project monitoring and evaluation (M&E) activities in non governmental organizations (NGOs) operating in the Gamo Zone, Ethiopia