Role Of Procurement On Completion Of Public Projects In Energy Sector In Kenya: A Case Of Kenya Electricity Generating Company, Tana Branch

Abstract

Kenya as a country has witnessed a substantial increase in the number of stalled projects due to inappropriate project organization structures and ineffective leadership. Time and serious attention are devoted towards establishment of a procurement function that will be suitable for a particular project. This study aimed to find out the role of procurement in successful completion of public projects. The study sought to establish how various aspects of the procurement function contributed to the completion of projects. Objectives of the study included; to find out the role of contract management on project completion in the energy sector in Kenya; to determine the role of bidding on project completion in the energy sector in Kenya; to find out the role of procurement planning on project completion in the energy sector in Kenya and to determine the role of scheduling on project completion in the energy sector in Kenya. The study adopted a descriptive research design with the target population of interest consisted of 58 staff members at KenGen Tana branch in Murang‟a County. This research adopted a stratified sampling technique in selecting the sample. The main instrument for data collection was a questionnaire that allowed for uniformity of responses to questions. The data collected was analyzed using SPSS. Descriptive statistics such as mean, standard deviation, frequency distribution and percentages were used to summarize and present data. Pearson‟s correlations coefficient was done to examine the relationship among the independent and the dependent study variables that were set out in the objectives of the study. The study findings revealed that a mean of 4.35 of majority of the respondents showed that contract management played a key role in procurement on project completion in the energy sector and also a mean of 3.62 showed that bidding played a key role in procurement on project completion in the energy sector. In addition, a mean of 4.41 showed that procurement planning played a key role in procurement on project completion in the energy sector while a mean of 4.26 revealed that project scheduling played a key role in procurement on project completion in the energy sector in Kenya. Correlation analysis showed that there was a positive correlation between contract management, procurement planning and project scheduling and completion of public projects in energy sector while a negative weak correlation was observed between bidding and completion of public projects in energy sector in Kenya. The study recommended that supplier selection and evaluation is done transparently, fairly and accurately as it represents one of the significant roles of purchasing and supply management functions hence leads to achievement of quality objectives, timely, periodic and proper procurement planning by the organization should be done in order for to have availability of resources for continuity and effective completion of projects within scope, time and cost, project scheduling is done accurately with monitored timescales and sequences of project activities to timely achieve the project goals and objectives and manage and monitor all the project contracts in the organization ensuring terms and conditions are adhered to for the successful completion of public projects. Finally, further research on similar studies should be carried out in other Counties in Kenya in evaluating other vital factors that are likely to determine the role of procurement in project completion in the energy sector.