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International Journal of Academic Research in Business and Social Sciences

Open Access Journal

ISSN: 2222-6990

Influencers of Performance Contracting in Service Delivery: A Trend Analysis in the State Department of Water and Irrigation of Kenya

Mukabi K. E. Fredrick, Josephine Mwanzia, William Nyabuto

http://dx.doi.org/10.6007/IJARBSS/v10-i11/8077

Open access

Performance Contracting (PC) is a globally accepted approach towards helping governments delivers services to its citizenry. In Kenya, performance contracting is an integral part of the performance management framework and is a tool for Government Ministries, Departments and Agencies (MDAs) used to constantly improve service delivery in line with the reforms within the Kenya Vision 2030 blueprint and a facilitator in the realization of the Big Four Pillars (manufacturing, affordable housing, healthcare and food security) of the Government. In the PC are indicators on Budget Absorption, Service Automation and Employee Satisfaction, considered proxy indicators in this paper. The objective of this study is to assess how Performance Contracting through these proxy Key Performance Indicators (KPIs) of budget absorption, service automation and employee satisfaction on service delivery, within the Ministry of Water and Irrigation. A longitudinal research design is adopted in the study. The study relies on Secondary data that was obtained from the Ministry of Water and Irrigation headquarters. Trend analysis is undertaken on the KPIs for targets and achievements for ten (10) year ranging between FY 2005/2006 to 2014/2015. In addition, correlation analysis is computed to establish whether there is a relationship between the independent and dependent variables. Tabulations, charts and graphs are used to summarize and present the findings. The analysis reveals that there is a strong positive relationship between budget absorption with a set of proxy service delivery parameters of access to water services and customer satisfaction. However the relationship between service automation and employee satisfaction with these service delivery parameters seems weak. This helps the researcher to conclude that the implementation of performance contracting based on the KPIs has nevertheless had a positive effect on service delivery in the10 years. The paper recommends the need to continue improving on budget utilization, on the need for appropriate service automation and relevant employee motivation strategies to improve service delivery.

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In-Text Citation: (Fredrick, Mwanzia, & Nyabuto, 2020)
To Cite this Article: Fredrick, M. K. E., Mwanzia, J., & Nyabuto, W. (2020). Influencers of Performance Contracting in Service Delivery: A Trend Analysis in the State Department of Water and Irrigation of Kenya . International Journal of Academic Research in Business and Social Sciences. 10(11), 193-214.