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AN EVALUATION OF THE EFFECT OF PERFORMANCE CONTRACTING ON ORGANIZATIONAL PERFORMANCE: A CASE OF THE OPERATIONS OF THE MINISTRY OF HOUSING HEADQUARTERS, NAIROBI, KENYA


Daniel M. Nyaigo

Ministry Housing (GoK)

Stella Omari

Kissi University

Jonathan Onyango

Kissi University

Yobes Benjamin

Kissi University

 

ABSTRACT

The main objective of the study was to evaluate the effect of Performance Contracting (PC) on organizational performance. Specifically the study sought to: - determine the level of understanding of PC by the employees of the Ministry of Housing Headquarters, Nairobi; establish the frequency of implementation of PC at the Ministry of Housing Headquarters, Nairobi; evaluate the impact of PC on the operations of the Ministry of Housing Headquarters, Nairobi and; investigate the challenges of implementing PC at the Ministry of Housing, Headquarters, Nairobi. Primary data was collected from structured questionnaires that were administered to employees of the Ministry of Housing Headquarters, Nairobi. Analysis of data was done using descriptive statistics techniques that is, Percentages and weighted averages. A Likert type scale was used to identify the extent of the level of understanding of Performance Contracting by the employees, the frequency of implementation of Performance Contracting, the impact of Performance Contracting on the operations and the challenges of implementing Performance Contracting of the Ministry of Housing Headquarters, Nairobi. The results were presented using tables and charts. The findings of the study revealed that Performance Contracting is an effective tool in the execution of operations of the Ministry of Housing. The study recommended that the management of the Ministry of Housing should ensure that there are adequate resources and that they are committed in time for effective execution of the Ministry’s mandate and its obligations.


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