Procurement Processes and Organizational Performance of Public Sectors in Kenya

Abstract

Purpose: Public sector procurement plays a crucial role in government spending. In light of recent calls for reduced public expenditure, it is important to manage procurement planning efficiently. This study aims to explore how procurement planning, impact the performance of public sector organizations. The research is grounded in Transaction Cost Theory. Methodology: The study employed a descriptive research design. A total of 200 structured questionnaires were distributed and 188 successfully returned for data analysis. The sample was drawn from top-level managers, middle-level managers, and support staff involved in procurement processes. The data were analyzed using SPSS v28 and presented in tables and graphs. Findings: The correlation and regression analysis results, showed that procurement planning, positively influenced organizational performance Procurement planning had weaker but still significant effects on organizational performance. The study recommends that public sector organizations should strengthen their procurement planning by integrating advanced forecasting tools and involving key stakeholders in the planning process to enhance accuracy