Project Procurement Practices and Operational Performance of Donor Funded Projects at United States Agency for International Development in Kenya

Abstract

Competition is expanding in a high rate thus characterizing the business environment both locally and globally. Performance is thus improved by Supply Chain Management (SCM) as a tout. Managers should ensure that its supply chain is managed effectively, ensure that their companies produce products that are of good quality, ensure that waste is decreased and also that market is responded to rapidly. Operational performance of an organization is determined by how effectively the managers make use of the SCM and purchasing practices. The objectives of the study were to establish the projects procurement practices commonly used by Donor Funded Projects at USAID Kenya and to determine the relationship between project procurement practices and operational performance of donor Funded Projects at USAID Kenya. The study adopted a case study in order to understand the occurrences. The target population for this study were the directors or the Programme Managers and procurement staff at United States Agency for International Development, Kenya as they had a wider view of the programmes and the NGO at large thus they were in a better position to fill the questionnaires. Primary data was used in this study and it was collected by use of questionnaires. Statistical package for social sciences (SPSS 23.0) was used to analyze data. The study found that the extent respondents department had established a governing supply chain council was to a great extent; the extent respondents had adopted properly aligned and staff strategies in the organization was to a great extent and respondents had adopted putting under the supply chain functions to a great extent. The study concluded that United States agency for International Development in Kenya had established a governing supply chain council, had adopted properly aligned and staff strategies in the organization and had adopted putting under the supply chain functions to a great extent and the study also concluded that a governing supply chain council, aligning and staffing the supply chain organizations, contracts under the supply chain function and appropriate levels of control and minimizing risks significantly affected operational performance of donor funded projects at United States Agency for International Development in Kenya.