The effect of public procurement and asset disposal act 2015 on the relationship between procurement planning practices and service delivery in Kenya state owned corporations in the road sector

Abstract

Public organizations and more especially State owned Corporation in the Public road transport sector in Kenya are experiencing quite a number of challenges during implementation of Public Procurement and Asset Disposal Act. By extension, inconsistencies in service delivery has been attributed to ineffective of procurement plans. The study sought to establish the influence of public procurement and asset disposal act regulations on the relationship between procurement planning practices and service delivery in Kenya State owned Corporations in the road sector. The study adopted descriptive research design. The study adopted the census approach where all employees selected from the procurement department of the three State Corporation operating in the public road transport sector were involved. Structured questionnaires withopen and closed questions were utilized. Data was analysed using quantitative and qualitative methods. Content analysis method was used to analyse qualitative data while quantitative data was analyzed using regression analysis method that provided the opportunity of test the statistical relationship between variables of the study. The study established that there was a statistical relationship between procurement planning practices (procurement plans, supplier integration, e-procurement, demand forecasting and process evaluation) and service delivery among State owned Corporation in the Public road transport sector in Kenya at 5% significance level and 95% confidence level. The study concludes that unless top management of State owned Corporation in the Public road transport sector in Kenya are willing to develop and implement procurement plans, realization or conformity with PPAD Act regulation would be a challenging task thus poor service delivery. The recommends that top management of State owned Corporationsin the Public road transport sector in Kenya should seek automate procurement systems, train employees on procurement ethics and review internal code of ethics to regulate the conduct of workers thus discouraging them from indulging in activities that are contrary to PPAD regulations.