dc.description.abstract | E-Procurement is more than just a system for making purchases online. It has been advocated
as a key performance indicator that can improve performance and competence of firms.
Some companies implement e-procurement and succeed while others fail. There are some
fundamental things the purchasing company needs to achieve when it comes to procurement.
These include reducing the time employees spend looking for a product, service or suitable
supplier, reducing the time and cost of administering purchases, reducing cycle times,
increasing volume with a few preferred suppliers to get better pricing and other conditions, as
well as limiting choices to only a number of pre-qualified suppliers to ensure quality. The
purpose of this study was to examine the influence of e-procurement on organizational
performance, the case of Kenya Association of Manufacturers (KAM) firms in Nairobi
County, Kenya. This study had four objectives: to determine the influence data transmission
on organizational performance; to determine the influence of buyer/supplier collaboration on
organizational performance, to examine the influence of systems management on
organizational performance and to establish the influence of billing management on
organizational performance of KAM firms in Nairobi County. The study adopted a
descriptive approach to establish the influence of e-procurement on organizational
performance of manufacturing firms. A sample size of 102 respondents was selected from a
list of 499 manufacturing firms in Nairobi, Kenya. Data was collected from the respondents
through a questionnaire. The collected data was analyzed by employing descriptive statistics
and inferential analysis using statistical package for social science (SPSS) and multiple
regression analysis. The data was then presented in tables and charts. The research concludes
that a majority of the manufacturers in Nairobi, Kenya have adopted e-procurement strategy
to improve organizational performance. The findings indicate that there is a significant
positive relationship between the components of e-procurement namely; data transmission,
buyer/supplier collaboration, systems management and billing management of the e-
procurement process with the organizational performance of manufacturing firms in Nairobi
County Kenya. The study recommends that manufacturing firms in Nairobi need to
incorporate all the e-procurement components into the system to enable them to improve the
overall performance of their firms. The study also recommends that future research will need
to be carried in other industries and countries in order to show if the link between eprocurement
components and organizational performance can be generalized. These findings
of the study will enable managers in manufacturing firms to formulate e-procurement
policies that will ensure a positive impact on strategic performance of the firms. | en_US |