Effect of Electronic Supplier Management Practices on the Implementation of Preference Regulations on State Corporations in Kenya

The use of technology, including electronic tools and platforms, is vastly changing the way public procurement is executed and constitutes a key part of modern public procurement. The study sought to determine the effect of electronic supplier management practices on the Implementation of preference regulations in Kenyan State Corporations. The specific objective of the study was to find out the effect of interaction, categorizing and evaluating new suppliers’ online practices on the implementation of preference regulations in Kenyan state corporations. The targeted population was 292 state corporations. Random sampling was used to select the 127 state corporations. Data collection instruments used was mainly questionnaires which were administered to the procurement staff of the government agencies while PPOA staffs were interviewed. Both content and construct reliability was carried out through engagement of experts in preparing the questionnaire. Piloting was done in University of Eldoret and Moi Teaching and Referral Hospital, though the results were not used in the study. To ensure that the instrument is reliable, a Cronbach’s Alpha of Coefficient of 0.781, was attained, which is far way above the recommended 0.7 in social sciences. The study employed descriptive and explanatory research designs. Descriptive statistical procedures including cross-tabulations and frequency distributions was used to provide comparisons and contrasts between electronic supplier management practices and implementation of preference regulations.  The collected data was analyzed using multiple regressions and correlation analysis, the significant of the independent variable was tested at a confidence level of 95%. Data analysis was done using the statistical Package for Social Science (Version 20). The results were presented in form of tables, charts and cross tabulations. The study recommended that sufficient effort needs to be directed towards the evaluation of new suppliers, categorizing new customers together with a focus on appraisals on marginalized groups and there is need to focus on electronic supplier management as it will help implement preference regulations. The findings will contribute to the pool of knowledge in the field of procurement and will form the basis of reference by interested parties in future. The management of state corporations will use the findings of this study to guide them in performance management. Furthermore, the findings will be a source of reference for academicians who intend to carry out studies in relation to the subject of state corporations’ regulations.  Further research needs to be done on IFMIS and with other variables relevant to the study.