DETERMINANTS OF PROCUREMENT PERFORMANCE IN GOVERNMENT
PARASTATALS IN KENYA: A CASE OF KENYA NUCLEAR
ELECTRICITY BOARD
Richard Bii Cheruiyot
M.Sc Scholar (Procurement and Logistics),
Jomo Kenyatta University of Agriculture and Technology, Kenya
Dr. Dr. David Mburu Kiarie
Lecturer, Jomo Kenyatta University of Agriculture and Technology, Kenya
CITATION: Cheruiyot, R., B. & Kiarie, D., M. (2016). Determinants of Procurement Performance in Government Parastatals in Kenya: A Case of Kenya Nuclear Electricity Board. International Journal of Human Resources and Procurement. Vol. 5(10) pp 248 – 266.
ABSTRACT
Procurement performance contributes to the overall performance of an organization through cost savings, improved quality and reduced lead times which lead to internal customer satisfaction. This study sought to examine the determinants of procurement performance in government parastatals in Kenya, a case study of Kenya Nuclear Electricity Board as its general objective. The specific objectives of the study were: assess the effect of government laws and regulations on procurement performance in Kenya, to analyze the effect of financial resources on procurement performance in Kenya, to establish the effect of information communication technology on procurement performance in Kenya and to determine the effect of procurement training on procurement performance in Kenya. Kenya Nuclear Electricity Board was selected because government parastatals are the worst hit by non-compliance to public procurement regulations and hence a general decline in procurement performance. This study concentrated on the above four indicated variables. This study was conducted through a descriptive survey research design. The study involved 88 employees of Kenya Nuclear Electricity Board, and that it was guided by research questions based on the objectives aforementioned. Literature related to this study was reviewed based on the variables too. The researcher prepared 88 copies of questionnaire for this study that were issued to 88 respondents. The response rate was 79.2 percent which is a good response rate that one can depend on to make conclusions and recommendation. Questionnaires were used as the main data collection instruments and a pilot study was undertaken to pretest the questionnaires for validity and reliability. Descriptive statistics were used aided by Statistical Package for Social Scientists (SPSS) to compute percentages of respondents’ answers. Inferential statistics using, multiple regression and correlation analysis were applied to aid examining the relationship between the research variables. Tables and charts were used to present the analyzed results. Data was collected by use of the questionnaires. The findings were analyzed using descriptive statistics and highlighted the state of the institution; conclusions and the necessary recommendations. The study found out that effective implementation of e-procurement, procurement planning, enhanced management support improved buyer supplier relationship practices in government parastatals in Kenya should be given the necessary attention. To improve on buyer supplier relationship management, government parastatals should improve on the level of commitment in payment of suppliers, employ effective supplier development programs, ensure that all goods and services procured are of high quality, award contracts to competent suppliers, employ effective communication system with suppliers, and implement effective supplier performance.
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