Contract Management as a Critical Success Factor in Strategic Decision Making at Kenya Airways Limited

Abstract

This research set out to look at Contract Management as a critical success factor in strategic decision making at Kenya Airways Limited (KQ). Its overall objective was to evaluate the effects of the implementation of Contract Management as a critical success factor in strategic decision making at KQ. Due to its descriptive nature the research outlines an empirical analysis of the data provided by a sample of twenty two middle level managers at Kenya Airways working in the Legal, Finance and Supply-Chain departments, by identifying and creating categories, themes and patterns. The researcher found that Contract Management in KQ is in its initial stages of implementation and its importance and benefits have not reached a level where it is considered as a critical success factor in strategic decision making. The study recommends full automation of all the contracts into the Oracle ERP Contract Management module; setting up of information centers to provide adequate information concerning Contract Management; KQ should have a policy where it avoids open ended contracts that are subject to change by third parties, because they will compromise the consistency of Contract Management; and, Contract Management should begin from the time of selection of third party persons to deliver the goods or services, and not after the award of contract.