EFFECT OF PROCUREMENT CONTRACT MANAGEMENT ON PERFORMANCE OF COMMERCIAL STATE CORPORATIONS IN NAIROBI CITY COUNTY, KENYA

Boniface Muli Kingoto, Dr. Noor Ismail

Abstract


Procurement contract management constitutes the most significant part of current assets at Commercial state corporations. The general objective of this study was to determine the role of procurement contract management on performance of commercial state corporations in Nairobi County. The specific objectives included: to determine the role of contract structure on firm Performance, to evaluate the effect of contract monitoring on firm Performance. The research design used in this study was descriptive in nature that adopted qualitative and quantitative research strategies in order to find the solution to the study problem. The target population was all 112 heads from 28 commercial state corporations in Nairobi City County. The sample size of the study was 88 respondents. The research focused on primary data that was collected from questionnaires. The researcher used descriptive and inferential statistics to analyse the quantitative data. The study concludes that contract structure has a positive and significant influence on performance of commercial state corporations in Nairobi City County. In addition, the study concludes that contract monitoring has a positive and significant influence on performance of commercial state corporations in Nairobi City County. In line with the study results, it is recommended that the management of the commercial state corporations should ensure better contract terms and contract negotiations to improving organization performance and should also formulate and implement better contract inspection methods, contract dispute resolution, and ensure contract adherence to improve organization performance.

 

Keywords: Procurement Contract Management, Contract Structure, Contract Monitoring Performance


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