Effect of institutional factors on public procurement performance in commercial and manufacturing state corporations in Kenya
Date
2023
Authors
Mathias, K.
Journal Title
Journal ISSN
Volume Title
Publisher
Strathmore University
Abstract
Empirical studies have shown that there is considerable evidence that public procurement performance in the country is deficient, as evidenced by poor allocation of resources, inefficiency in the process, gross negligence, non-adherence to procedures, untimely deliveries, unqualified personnel and incompetence of public administrators in Kenyan corporations. This study sought to examine how institutional factors influence procurement performance in parastatals. The study examined the impact of structure, management style, systems and staff on public procurement performance. The study was anchored on the Higgins model and institutional theory. The study was based on a positivist research philosophy with a descriptive research design. The population for the study was the 33 commercial and manufacturing state corporations in Kenya. The unit of observation was 165 respondents drawn from the strategy managers, finance managers, IT managers, human resource managers and procurement managers of each of the institutions. The study used a census survey of all respondents. The study used a structured research questionnaire. The research data was collected using physical questionnaires and Google forms. The research data collected was analysed using quantitative approaches such as descriptive and inferential analysis. The analysed research data was presented using graphs and tables. The findings revealed that there was a response rate of 95% (n= 114) between April and June 2022.Most of the respondents were procurement managers (26%) and finance managers (23%) in the companies. The results indicate that there was a statistically significant weak and positive association between structure, leadership style, staff and procurement performance within the state corporations. The correlation also showed a statistically significant moderate and positive association between system and procurement performance within state corporations. The results of the regression showed an R2 = .531 which indicates that at least 53.1% of the changes in the dependent variable (procurement performance) are determined by staff, leadership style, system, structure. The study also concluded that structure, system and staff of state owned commercial and manufacturing enterprises have a significant and positive effect on public procurement performance. The study further revealed that leadership style has a positive but insignificant effect on public procurement performance. Therefore, the results of the study indicate that institutional factors are key determinants of public procurement performance. Accordingly, a major focus should be placed on internal issues based on the factors examined in this study. However, more explanation is needed to further identify the specific issues in each organisation and possible structural patterns of problems.
Key words: institutional theory, public procurement performance, Kenyan state corporations, Higgins model.
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Full- text thesis
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Citation
Mathias, K. (2023). Effect of institutional factors on public procurement performance in commercial and manufacturing state corporations in Kenya [Strathmore University]. http://hdl.handle.net/11071/13378