ELECTRONIC PROCUREMENT STRATEGIES AND SUPPLY CHAIN PERFORMANCE OF TELECOMMUNICATION FIRMS IN KENYA

Patricia Wanjiku Kuria, Dr. Peris Chege

Abstract


Supply chain performance is a critical determinant of operational efficiency, cost management, and customer satisfaction in telecommunication firms. Despite rapid digital transformation, telecommunication firms in Kenya continue to experience inefficiencies in procurement coordination, supplier integration, and service responsiveness. Although electronic procurement strategies are increasingly adopted, limited empirical evidence exists on their combined effect on supply chain performance within the Kenyan telecommunication sector. This study examined the effect of e-procurement strategies on supply chain performance of telecommunication firms in Kenya. Specifically, the study assessed the influence of e-sourcing, and e-ordering strategies. The study was anchored on Transaction Cost Theory, and the Technology Acceptance Model. An explanatory research design was adopted. A census approach targeted 25 registered telecommunication firms in Kenya. Primary data were collected using structured questionnaires. A pilot test was conducted on 5 respondents drawn from telecommunication firms not included in the main study to enhance validity and reliability of the instrument. Data were analyzed using descriptive statistics, correlation analysis, and multiple regression analysis. The findings revealed that e-procurement strategies had a positive and statistically significant effect on supply chain performance, explaining 73.6% of the variation in performance. E-ordering exhibited the strongest influence, followed by e-sourcing. The study concluded that integrated electronic procurement systems enhance inventory turnover, order fulfillment efficiency, supplier coordination, and overall operational effectiveness. The study recommended increased investment in integrated digital procurement platforms, strengthened system integration with enterprise systems, and enhanced user alignment to optimize supply chain performance. Future research should examine additional determinants of supply chain performance, including technological infrastructure, organizational culture, supplier competence, and regulatory frameworks. Further studies may also explore moderating and mediating variables such as firm size, digital readiness, and leadership commitment, and adopt longitudinal or cross-sectoral research designs to assess long-term effects.

Key Words: E-Procurement Strategies, Supply Chain Performance, Telecommunication Firms, E-Sourcing, E-Ordering


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