The Influence of Contract Management on Supply Chain Performance in Moi Teaching and Referral Hospital in Kenya

Authors

  • Lydia Kurgat
    Masters Student, Department of Management Science, School of Business and Economics, Maseno University
  • Fredrick Aila
    Lecturer, Department of Business Administration, School of Business and Economics, Maseno University

Abstract

Purpose:  The purpose of this study paper was to investigate the effects of contract management on supply chain performance in Moi Teaching and Referral Hospital in Kenya. The study was anchored on network theory.


Material/method: This study adopted a correlational research design. It targeted 100 employees who include the Chief Procurement Officer, Assistant Chief Procurement Officer, Accountant, Procurement officers, and storekeeper. A census technique was employed. The instruments for data collection were questionnaires. Cronbach’s alpha coefficient was used to determine the reliability of the research instrument and results ranged from 0.747 to 0.945 was above recommended 0.7 thresholds. Expert judgment was used to establish the validity of the questionnaires. The collected data were coded and analyzed using descriptive and inferential statistics. Descriptive statistics included mean, frequencies, and standard deviation, while inferential statistics comprise of Pearson’s product-moment correlation coefficient and multiple regression.


Conclusion: The results indicated that contract management (β=.379, p<.05) has an incremental effect on supply chain performance. Based on these findings the study concludes that contract management enhances supply chain performance.


Recommendations: The study recommended that there is a need for the hospital to ensure that there is timely management of possible problems in the contract and continuous monitoring of the contracts through the completion of projects.