Influence of enterprise resource planning on the effectiveness of the supply of essential drugs in government hospitals in Kenya: a case of Kenya Medical Supplies Agency
According to the Government of Kenya Economic Survey (2006), Kenyan populdce continues to sutTer deaths due to shortage of medication in public hospitals. In addition, there have been reported cases of drug expiry, damages, and poor storage practices of drugs in some public hospitals resulting in wastage. This raises issues of effectiveness and efficiency in distribution, demand accessibility and the entire management of drug supply chain in public hospitals. The main objective of this study was to establish the effects of enterprise resource planning on the supply of essential drugs in government hospitals in Kenya with reference to KEMSA. The study used descriptive research design. The target population was 175 employees and the researcher used census method since the population size was small. In this study the researcher employed a questionnaire as the instrument of data collection. The researcher used descriptive statistics and integrates both the qualitative and quantitative techniques in the data analysis. The study concludes that ERP to great extent reduce the cycle time, leads to development of organizational strategies, and improves in information flow and increase operational efficiency. The study concludes that ERP has improved the effectiveness of supply of essential drugs in government hospitals in Kenya. The study recommends KEMSA to continue applying ERP system in its' day to day activities in order to enhance effectiveness of Supply of Essential Drugs in Government Hospitals. The researcher further recommends other organizations to embrace ERP in their major functions in order to achieve effectiveness and efficiency, reduce cycle time, develop organizational strategies, improve information flow and increase operational efficiencies.