ELECTRONIC PROCUREMENT PRACTICES AND PERFORMANCE OF HEALTHCARE NON-GOVERNMENTAL ORGANIZATIONS IN NAIROBI CITY COUNTY, KENYA

Patrick Okumu, Dr. Duncan Nderui

Abstract


The main objective of this study was to assess the effect of electronic procurement practices on performance of healthcare Non-Governmental Organizations in Nairobi city county, Kenya. Specifically, this study sought to examine the effect of electronic ordering on performance of healthcare NGOs in Nairobi city county and to assess the effect of electronic payments on performance of healthcare NGOs in Nairobi city county, Kenya. The study employed the descriptive research design. The study targeted procurement managers working with the Non-Governmental Organizations undertaking healthcare projects in Nairobi County. The total population was therefore 319 healthcare NGOs in Nairobi County. The Yamane formula was adopted to calculate the study sample size. The study utilized simple random sampling in selecting 177 respondents from study population. The study collected primary data using questionnaires. The questionnaire was pilot-tested using 10% of the sample size which is equivalent of 18 respondents. The data obtained during the pilot study was used to test for validity and reliability of the research instrument. Quantitative data collected was analyzed using descriptive statistical techniques which are frequencies, mean, standard deviation. Inferential statistics which include Pearson correlation and the Regression Analysis Model were used to test the relationship between study variables. The significance of the model will be tested at 5% level of significance. Data was analysed using Statistical Package for Social Sciences (SPSS) software version 27. The study results were presented through use of tables and figures. The results revealed that electronic ordering had a significant effect on performance of healthcare non-governmental organizations in Nairobi County, Kenya (β = 0.307; P= 0.000<0.05). Finally, electronic payment was found to significantly and positively influence performance of healthcare non-governmental organizations in Nairobi County, Kenya (β = 0.253; P= 0.000<0.05). The study concluded that although found to strongly influence effectiveness of procurement processes for enhanced performance, electronic procurement was not effectively embraced in most of the healthcare NGOs surveyed. It is recommended that for the NGOs to gain value for money and adequately meet their mandates, they ought to ensure seamless and efficient flow of their procurement processes, and this can be effectively achieved through integration of electronic procurement. This will enhance traceability of procurement processes, timely execution of procurement functions as well as promote accountability and transparency.

Key Words: Electronic Procurement Practices, Electronic Ordering, Electronic Payments, Healthcare, NGOs 


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