Influence of Institutional Factors on Implementation of E-Procurement in County Governments in Kenya

Abstract

Public procurement approaches and processes have been under review over many years with the aim of improving efficiency and cost savings. In Kenya, the Government introduced an electronic procurement system with the aim of promoting openness and accountability in the use of public money. Despite these efforts by the national government and the benefits of e-procurement, the system has not been fully implemented by the county governments. This study therefore, assessed the influence of institutional factors on the implementation of e-procurement by county governments in Kenya. The specific objectives were to determine the influence of employee competence, availability of ICT infrastructure and the influence of management support on the implementation of e-procurement in the selected county governments in Kenya. The study will be guided by diffusion of innovation theory, technology acceptance theory and human relations management theory. Descriptive research design was used and the target population was the 47 county governments in Kenya. A sample of 5 county governments was used in the study. The sample was selected using simple random sampling technique. A questionnaire was used to collect primary data from the sampled population. In order to determine the validity and reliability of the questionnaire, pretesting of the research instruments was conducted. To establish the validity of the research instrument, content validity was used while internal consistency method was used to determine the reliability. The data collected was analyzed using statistical package for social sciences. The data was analyzed through descriptive statistics and inferential statistics. Descriptive findings were presented through percentages, means, standard deviations and frequencies. Pearson’s correlation, regression and ANOVA analysis were adopted in inferential statistics. The study found that the county governments have not fully implemented e-procurement. The study also found that institutional factors have a significant positive influence on the implementation of e-procurement in county governments. County governments should therefore train staff on the use of e-procurement tools in order to enhance the implementation of e-procurement. The institutions should also employ qualified staff and avail them with electronic procurement manual to guide on e-procurement processes and assist in the implementation of e-procurement. County governments should procure infrastructure such as high speed computers and internet services in order to facilitate e-procurement implementation. The organizations should also ensure that it integrates the e-procurement system to the financial management and establish an information and communication technology section with competent staff in order to provide technical support during the implementation of e-procurement. Management should institute a project management team to spear head the e-procurement system implementation. The management should also review the organization structure to suit the e-procurement environment and introduce policies and change management programs for the users that facilitate the implementation of e-procurement.