E-procurement Implementation and Performance of Commercial State Corporations in Kenya

Abstract

The main purpose of this study was to establish the relationship between e-procurement implementation and performance of commercial state corporations in Kenya. Specifically, the study was to establish the extent to which state corporations have implemented e-procurement practices in Kenya. The studies that were reviewed indicated that despite the implementation of e-procurement in commercial state corporations, they failed to offer the relationship of such implementation on their performance. The study adopted a descriptive survey design whereby 54 commercial state corporations were targeted. Both primary and secondary data was collected; a questionnaire was employed as a data collection instrument. From the analysis of the findings, it was established that there exist a significant relationship between e-procurement implementation and performance of commercial state corporations. The findings of the study indicated that there was need for commercial state corporations to invest in the required equipment, personnel and knowledge to facilitate the e-procurement process. Moreover, the study established that commercial state corporations should invest in e-procurement as they can highly reduce the overall cost of operations in the supply management process and that Commercial state corporations need to set budgets aside for the adaptation and implementation of information systems to ensure that they are not left behind in development of information systems. To this end, it was established that commercial state corporations, which embrace modern technology are more efficient in their operations to an extent that this makes it possible for them to reduce the overall operational cost.