EFFECT OF SUPPLIER RISK PROFILING ON CONTINUITY OF ROAD CONSTRUCTION PROJECTS AT KENYA NATIONAL HIGHWAYS AUTHORITY (KeNHA)

Robert Kipng’etich Lagat

Abstract


The continuity of public infrastructure projects in Kenya, particularly road construction, has been increasingly influenced by the procurement risk management practices adopted by implementing agencies. This study examined the effect of supplier risk profiling on the continuity of road construction projects at the Kenya National Highways Authority (KeNHA). Supplier risk profiling, a strategic component of prequalification and evaluation, was assessed through dimensions such as financial risk, technical capacity, past performance, and legal compliance. Guided by Agency Theory and Resource-Based View (RBV), the study sought to determine whether proactive risk assessment of contractors leads to fewer project interruptions, delays, or contract terminations. The research adopted a descriptive cross-sectional design and targeted procurement professionals, project managers, and contract management officers at KeNHA, as well as contractors engaged in ongoing or recently completed road projects between 2022 and 2025. Data were collected using structured questionnaires administered to 210 respondents selected through stratified random sampling. Descriptive and inferential statistical analyses were used, including Pearson correlation and multiple regression. Findings revealed that financial capacity and technical competence were the most critical risk profiling indicators influencing project continuity. The regression model was significant (F = 96.47, p < 0.001), explaining 67.2% of the variance in project continuity. Supplier risk profiling had a positive and statistically significant effect (β = 0.473, p < 0.001), indicating that robust vetting procedures reduced the likelihood of project stalling or termination. The study concludes that comprehensive supplier risk profiling is instrumental in safeguarding the continuity of public road construction projects. It recommends institutionalizing risk-based supplier evaluation criteria, digitizing contractor performance databases, and enhancing post-award monitoring to ensure project resilience. These findings have practical implications for KeNHA, the Public Procurement Regulatory Authority (PPRA), and policy actors seeking to improve infrastructure delivery in Kenya.

Keywords: Supplier Risk Profiling, Road Construction, Project Continuity, Kenha, Procurement, Kenya


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