PRECURSORS OF SUPPLY CHAIN OPTIMIZATION IN THE DEVOLVED UNIT OF GOVERNANCE IN KENYA
Abstract
This study aimed at analyzing the precursors of supply chain optimization the devolved system of governance in Kenya. The survey adopted a descriptive research design, and the target population of the study consisted of staff involved in procurement activities in Bomet County Government. The data collected was analyzed, summarized and tabulated by use of SPSS software. On procurement planning, the study established that it permitted the creation of procurement strategy for procuring each requirement that would be involved in procurement plan. It helped the county government to prioritize what to buy, when, and from what source and allowed the planners to determine if expectations were realistic; particularly the expectations of the requesting entities, which expected their requirements met on short notice and over shorter period than the application of the corresponding procurement method allows. On procurement information system, the study established that electronic procurement improved on transaction times, on-going purchases could qualify customers for volume discounts or special offers and E-procurement software made it possible to automate buying and selling. On procurement staff competency, the study established that competent staff could put in place procurement strategies and they were able to implement them effectively thus helping the procurement department to achieve their objectives. On the reliability of suppliers, the study established that suppliers with healthy financial muscle were relied upon since they could supply and wait for a more extended period for payments approval. The study concluded that procurement planning, procurement information system, procurement staff competence and reliability of suppliers had a significant and positive influence on supply chain optimization the devolved system of governance in Kenya. The study recommended that county governments should continuously plan for the procurement processes to adopt the best and new practices that reduce operational costs and enhance efficiency.
Key Words; Procurement Planning, Procurement Information System, Supplier Relations, Staff Competence, Supply Chain Optimization
CITATION: Lagat, R. K., Indara, S., Otieno, D., Muiruri, E. N. (2020). Precursors of supply chain optimization in the devolved unit of governance in kenya. The Strategic Journal of Business & Change Management, 7(1), 781 – 796.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i1.1587
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