DETERMINANTS OF COLLABORATIVE PROCUREMENT PRACTICES ADOPTION IN THE ENERGY SECTOR IN KENYA: A CASE STUDY OF KENYA ELECTRICITY TRANSMISSION COMPANY LIMITED

EVA WAIRIMU KIMEMIA, DR. MAKORI MORONGE (Ph.D)

Abstract


The purpose of this study was to establish determinants of collaborative procurement practices adoption in the energy sector in Kenya focusing on Kenya Electricity Transmission Company Limited. The study used a descriptive research design to enable the researcher to depict and describe situations as accurately as possible the way they exist in the target population. A sample size of 154 was arrived at by calculating the target population of 256 with a 95% confidence level. The main data collection instrument for the study was a structured questionnaire consisting of closed ended questions. The data was entered into the latest version of SPSS (Version 25.0) ready for analysis. The study concluded that Policy Framework had a positive and significant effect on adoption of collaborative procurement practices. The study further concluded that budgetary allocation and Strategic leadership had effect on the adoption of collaborative procurement practices in KETRACO. Further, the study found that transaction costs reduction, market intelligence and shared expertise or cross functional team influenced the adoption of collaborative procurement practices in KETRACO. The study concluded that Policy Framework had the greatest effect on the adoption of collaborative procurement practices in Kenya Electricity Transmission Company Limited, followed by communication/knowledge sharing then technology alignment while Stakeholder involvement had the least effect to the adoption of collaborative procurement practices in Kenya Electricity Transmission Company Limited. The study recommended that KETRACO should train procurement staff to improve on their skills particularly on tender evaluation, chose of evaluation criteria, tender award and management of the contracts. In addition, the company should inculcate team building spirit among the staff and encourage them to enhance communication for information sharing on technological changes in products in the market. This would assist Procurement Function monitor the procurement plan and obtain best value for money.

Key Words: Policy Framework, Stakeholder Involvement, Communication, Knowledge Sharing, Technology Alignment, Collaborative Procurement


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DOI: http://dx.doi.org/10.61426/sjbcm.v5i4.899

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