Winnie Kemunto Osoti, Dr. Eric Namusonge


Kenyan state agencies play a great role in economic development through rural development, social welfare, and expanding basic needs particularly to the less privileged in the society. Productivity of state agencies is quite low while at the same time they continue to absorb excessive portion of the budget, becoming a principal cause of long-term procurement problems. Among the major challenges that are facing the state agencies are the long and time-consuming bureaucratic procedures. The purpose of the study was to examine the influence of contract variation management on performance of state agencies in Nairobi City County, Kenya. The study aimed to: assess the influence of cost management on performance of state agencies in Nairobi City County, Kenya and to determine the influence of delivery management on performance of state agencies in Nairobi City County, Kenya. The study was guided by descriptive research design. Descriptive statistics such as mean, frequencies and standard deviation will be used to analyze the data. The study also computed correlation and regression analysis to test the relationship between the study variables. The findings were presented in tables. Finding show that; there is a strong significant relationship between cost management and performance, and a strong significant relationship between delivery management and performance. The study recommends that the state agencies should invest in training their accountants to make them proficient management costs, agencies should allocate more funds to the transportation resources and improved ordering systems.

Key Words: Contract variation management, Performance, State agencies, Cost management, Delivery management

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