Contract Management Practice and Operational Performance of State Corporations in Kenya

Abstract

The aim of the study was to establish the effect of effective contract management practice on operational performance of state corporations in Kenya. The specific objectives of the study were to determine the extent to which state corporations in Kenya practice effective contract management; to identify determinants of effective contract in state corporations in Kenya; to identify challenges involved in effective contract management practice in state corporations in Kenya and to establish the effect of contract management practice on operational performance in state corporations in Kenya. The study used a descriptive, cross-sectional survey research design, with a target population of all the 187 state corporations in Kenya. It also employed a simple random sampling method with a sample size of 50 state corporations. Data was collected using questionnaires, analyzed using SPSS and presented using charts, tables, and graphs. The study findings indicated that state corporations practice effective contract management, which has a positive effect on their operational performance. The implication of the study is that effective contract management improves operational performance of state corporations in Kenya. However, the study recommends constant training, improve contract management practices, use of adequate information systems and enhanced flexibility and risk management.