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FACTORS INFLUENCING SUPPLIER DEVELOPMENT IN PUBLIC ENTITIES IN KENYA: A CASE STUDY OF KENYA POWER


Agnes Wanjiru Njeru

Jomo Kenyatta University of Agriculture and Technology, Kenya

 

ABSTRACT

The contribution of suppliers to global economy and the Kenyan economy in particular is recognized and well documented. Given their importance, it is vital that the suppliers are developed so that the buying firms’ competitiveness and performance is enhanced. There is documented evidence that supplier development enhances performance of an enterprise. In view to the above, this study aimed at assessing the factors affecting supplier development in public entities in Kenya. The specific objectives of the study were to investigate the role of management in supplier development, to find out the role of communication on supplier development and to establish the role of commitment on supplier development. This study will help various stakeholders to have a better understanding of the relationship between above mentioned variables and supplier development and hopefully, increase usage of business supplier development by organizations. The researcher used qualitative and quantitative research method to achieve the objectives. Descriptive research design was used in the research. The method involved observing and describing the subjects without influencing them in any way. The sample of the study was composed of members of staff at Kenya Power – Electricity House. In total, there were 50 members of staff sampled from two staff levels. Primary and secondary data was used. The research found out that a majority (75%) were procurement professionals. Most of the professionals are diploma holders and have been working in Kenya Power for more than six years. The study found out that an overwhelming majority (90%) agreed that management in the company recognize supplier development. However, most respondents (70 %) indicated that there were no specific committees tasked with supplier development. The researcher recommended that Public Entities with the help of Top Management and Department of Procurement should come with a well defined process of developing their suppliers.


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