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EFFECT OF BUDGETARY CONTROL ON PROCUREMENT PERFORMANCE OF KENYATTA NATIONAL HOSPITAL IN KENYA

 

 

Augustine M. Mukwekwe

College of Human Resource and Development,

Jomo Kenyatta University of Agriculture and Technology

P. O. Box 62000, 00200 Nairobi, Kenya

Corresponding Author email: This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

 

Dr. Allan Kihara

College of Human Resource and Development,

Jomo Kenyatta University of Agriculture and Technology

P. O. Box 62000, 00200 Nairobi, Kenya

 

 

CITATION: Mukwekwe, A., M. & Kihara, A. (2018). Effect of Budgetary Control On Procurement Performance of Kenyatta National Hospital in Kenya. International Journal of Human Resources and Procurement. Vol. 7 (5) pp 53 – 70.

 

 

ABSTRACT

 

This study assessed the effect of budgetary control on procurement performance of Kenyatta National Hospital. The reforms in the public sector instituted by the government are only recent and little has been done to assess the effect of budget and expenditure control on organization procurement performance. Budget reform is a continuous process for governments that seek better ways of allocating public resources. As government expenditure develops into the process of delivering services to the public, concerns about accountability, transparency and efficiency in budgeting process will certainly grow, thus a gap exists in assessing the effectiveness of budget and control and its contribution to the hospitals’ Procurement performance. The specific objectives of this study were; to establish the effect of budget practices, budget and expenditure control, resource allocation and competency of employees on the performance of procurement at KNH. Descriptive research design was adopted on 900 employees at KNH. Random sampling was used to sample 90 respondents. Data collection instruments were structured questionnaires. The Pilot testing was conducted to test the validity of the research instruments. This ensured that the researcher was in a position to obtain accurate results. The data collected was analyzed using Statistical Package for Social Sciences (SPSS) version 24. Descriptive statistics including means and standard deviation was used in the analysis of the collected data; qualitative techniques was used to explain the research findings. Linear regression model was used to test the relationship between variables and analyzed data was presented in form of tables. The research findings established that there is a moderate effect of budget and expenditure control on procurement performance of Kenyan measured by R square at 0.671%. The research recommends that employees need to be sensitized on budgets, expenditure control and the effect on procurement performance of the organization. It also recommends that other factors that influence procurement performance apart from budgets controls should be investigated by organizations. It also suggests that further research should be done on the same area but a larger sample should be used.

Key Words: Budgeting practice, Control systems, Resource Allocation, Employee Competency, Procurement Performance

 

 

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