Effect of Procurement Practices on Procurement Performance of Public Sugar Manufacturing Firms in Western Kenya

Abstract

The main purpose of the study was to establish the effect of procurement practices on procurement performance of public sugar manufacturing firms in Western Kenya. The specific objectives of the study were to establish the effect of procurement planning and staff competence on procurement performance of public sugar manufacturing firms in western Kenya. The study employed a descriptive survey research design. Primary data was collected using questionnaires targeting employees in the procurement department. A census was done. The study achieved 72% response rate since forty five (45) out of the 62 questionnaires administered were filled and returned. The study population comprised of two public sugar manufacturing firms in Kenya operating in Western Kenya. The study findings revealed that procurement planning had a positive and insignificant impact on the procurement performance whereas staff competence had a strong positive and significant impact on the procurement performance of sugar manufacturing firms in Western Kenya studied. The study recommends that all sugar manufacturing firms in Kenya must implement efficient procurement practices in order to become more efficient in their operations. Particularly the study recommends that the organizations should enhance their planning and also ensure that procurement plans are adhered to, staff employed in the procurement department should be competent and that there should be training opportunities for the staff.