Influence of Performance Contracting on Procurement Performance Among County Governments in Kenya

Purpose: The main objective of the study was to examine the influence of performance contracting on procurement performance among county governments in Kenya.Methodology: The study employed a descriptive research design, targeting procurement staff at county government headquarters. The researcher preferred this method because it allowed an in-depth study of the subject. The study population was the 13 county governments with annual budgetary allocation of Ksh 8 Billion and above in Kenya; the respondents were the procurement officers of these counties. 181 procurement officers were selected using simple random sampling and were issued with questionnaires. Data was collected using self-administered questionnaires. The data collected was analysed by use of descriptive and inferential statistics. Multiple regression model was used to show the relationship between the dependent variable and the independent variables. The data generated was keyed in and analysed by use of Statistical Package of Social Sciences (SPSS) version 21 to generate information which was presented using charts, frequencies and percentages.Results: First, in regard to key performance indicators, the regression coefficients of the study show that it has a significant influence of 0.537 on performance of county governments. Second in regard to monitoring and evaluation, the regression coefficients of the study show that it has a significant influence of 0.097 on performance of county governments. With regard to the third objective, the regression coefficients of the study show that it has a significant influence of 0.067 on performance of county governments. Lastly, in regard to the fourth objective, the regression coefficients of the study show that it has a significant influence of 0.080 on performance of county governments.Conclusion: Based on the study findings, the study concludes that performance of county governments can be improved by key performance indicators, monitoring and evaluation, balanced scorecard and governance structures.Policy recommendation: Existing literature indicates that as a future avenue of research, there is need to undertake similar research in other institutions and public sector organizations in Kenya and other countries in order to establish whether the explored practices herein can be generalized to affect performance in public entities.