Best- Value Procurement Practices And Financial Performance Of Kenyan Commercial State Corporations

Abstract

The intend of this research is to determine the influence of best-value procurement practices and financial performance of Kenya commercial state corporations. The two research objectives of the research were; to establish the best-value procurement practices used by the Kenya commercial state corporations and to determine the correlation between best-value procurement practices and financial performance of Kenya commercial state corporations. The research included a descriptive survey research design. The target population comprised of one hundred and forty nine commercial state corporations in Kenya which was then sampled to the corporations that have their offices in Nairobi which came to sixty. All the sixty commercial state corporations returned dully filled questionnaires producing a response rate of 100 percent. A census survey was done on all the commercial state corporations in Kenya. Data was collected by use of structured questionnaires. The data was then analyzed through the use of descriptive statistical tools and presented. The information was then presented by use of tables and bar charts. The finding gave a progressive correlation between best-value procurement practices and financial performance. It was found that if best-value procurement practices were to be implemented properly, variety of benefits would be experienced such as enhancing the corporations image, enhanced transparency, increased profitability, improved cost efficiency, improved communication and better problem solving. The study found that best-value procurement practices significantly affect financial performance of commercial state corporations in Kenya. Results using statistical package for social science revealed a positive correlation between best-value procurement practices and financial performance of Kenya commercial state corporatio