E-PROCUREMENT PRACTICES AND PERFORMANCE OF INDEPENDENT REGULATORY AGENCIES IN NAIROBI CITY COUNTY, KENYA

Abstract

Government agencies  around  the  world  have  been using information technology and the internet to deliver    government    services    and    to    access information    electronically . For many governments, one of  the  more  successful  and  applicable  initiatives  is the  delivery  of  electronic  procurement  to  enhance transparency in service delivery.  Independent regulatory agencies play an important role in that they are a special category of State Corporations with oversight roles over their sectors. There is poor service delivery in the regulatory bodies in Kenya which affects efficiency and general performance of the institutions.  The general objective of the study was to examine effect of electronic procurement practices on   performance of independent regulatory bodies in Nairobi County,  Kenya.  The study specifically focused on the effect of e-sourcing, e-payment on performance of independent regulatory bodies in Nairobi County,  Kenya.  The study was guided by four theories; the grey theory, decomposed theory of planed behavior. The unit of analysis was 29  independent regulatory bodies in Kenya. The unit of  observation was 50  procurement, 50 stores,  50 ICT, and  50 finance management staff in the independent regulatory bodies. The study used census since the target is less than 200. The study used questionnaires to collect data.  A pilot was conducted with 10% of the sample hence 20 management staff. The study used content and construct validity. Reliability was measured using Cronbach's alpha coefficient. Data was analyzed using SPSS Version 28.. Findings were tabulated. Results on validity shows that the  questionnaire content is valid as approved by the supervisors. Construct validity results show that; e-sourcing  had an  AVE =0.550, e-payment,  AVE=0.530 and  performance of independent regulatory bodies AVE=0.560. The indicators of the independent and dependent variables are therefore valid since they meet the recommended threshold of an AVE of 0.5.  Reliability results show that;  performance of independent regulatory bodies had alpha value of 0.834, E-sourcing 0.892, E-payment  0.840. The reliability summary shows that all the variable measures were reliable since they are above 0.7. Using descriptive and inferential statistics, the findings revealed that e-procurement practices significantly impact performance. E-sourcing had the strongest effect (β = 0.374), followed by e-payment (β = 0.311), all statistically significant at p < 0.05. The study concluded that e-procurement enhances service delivery, accountability, and operational efficiency within regulatory agencies. Key recommendations include strengthening e-sourcing platforms, enhancing e-payment security and supplier access These interventions are essential for improving transparency, efficiency, and performance in Kenya’s public procurement sector.

Key Words: Electronic Procurement Practices, Performance of Independent Regulatory Bodies, E-Sourcing, E-Payment