INFLUENCE OF E-TENDERING PRACTICES ON PROCUREMENT PERFORMANCE OF THE KENYA NATIONAL HIGHWAYS AUTHORITY

Abstract

This study aimed at to establishing the influence of E-Tendering practices on procurement performance of the Kenya National Highways Authority. The study specific objectives were to determine the effect of automated bid evaluation, electronic contract award, online tender invitation and electronic supplier prequalification on procurement performance of the Kenya National Highways Authority. This study will benefit the management of the Kenya National Highways Authority, Government policymakers in Kenya and suppliers and contractors. The target population was 55 employees working within the supply chain department. The use of census as a study sampling method was adopted. The questionnaires were adopted as tool for collecting data. The use of quantitative analysis was adopted and the presentation of the final collected data was through tables. The finding of this study indicated that automated bid evaluation, electronic contract award, online tender invitation and electronic supplier prequalification on procurement performance. In conclusion, by minimizing manual labor and optimizing resource usage, automated bid evaluation reduces costs associated with the procurement process. Procurement staff can focus on strategic tasks rather than the time consuming process of manually evaluating each bid. E-contracts are stored digitally, allowing for easy retrieval and organization of all contract-related documents. This digital record keeping improves compliance by ensuring that all terms and conditions are readily accessible, which is important for ongoing contract management, performance monitoring, and audits. Online tender invitations reduce the administrative burden associated with traditional methods, such as printing, mailing, or physically collecting bids. The system automates many aspects of the tendering process, saving time and reducing the costs of paper-based logistics. Digital platforms for supplier prequalification provide rich data analytics and reporting tools, which help procurement teams track supplier performance over time. This data-driven approach allows organizations to identify top-performing suppliers, evaluate trends, and make informed decisions when sourcing goods and services. As a result, organizations can optimize their supply chain strategy and improve supplier relationships. The study recommends that, while automated bid evaluation is highly efficient, there should be human oversight for complex bids that require nuanced judgment. Procurement managers should have the ability to review and override automated decisions when necessary to ensure that the final choice aligns with the organization’s strategic goals and priorities. To maximize the benefits of electronic contract award systems, procurement teams, legal departments, and other relevant stakeholders should be properly trained on how to use these systems. This ensures smooth adoption and reduces errors or delays in the contract-awarding process. The organization should regularly monitor how suppliers interact with the online tendering platform and collect feedback to improve its functionality. Addressing concerns, such as difficult submission processes or technical glitches, can improve the overall experience for suppliers and enhance the effectiveness of the platform. Beyond initial prequalification, organizations should use data analytics to continuously assess supplier performance based on key metrics, such as delivery time, quality of goods/services, and compliance with contract terms. This helps ensure that suppliers who initially passed prequalification continue to meet the organization’s needs.