Influence of Integrated Financial Management Information System Implementation on Public Procurement Performance in the County Government of Baringo, Kenya

Abstract

The general objective of the study was to investigate the influence of Integrated Financial Management Information System on procurement performance of Baringo County Government. In particular, the study assessed the effect of online procurement plan, online tendering, online invoicing, and online payment on procurement performance of Baringo County Government. The Diffusion of innovation theory, Information Systems Success Model, E-Technology Perspective Theory and Transaction cost theory theories guided the study. Explanatory research design will be adopted. The target population was 119 employees comprising of procurement officers, ICT officers, internal auditors, accountants and prequalified suppliers. A sample of 92 respondents was obtained from the accessible population using simple random sampling technique. A structured questionnaire was used to collect data. The questionnaire was pilot tested to assess its validity and reliability before it is employed to collect data for the main study. Data analysis was aided by the Statistical Package for Social Sciences tool. This analysis was in form of descriptive and inferential statistics. Descriptive statistics included frequencies, percentages, means, and standard deviations. Inferential statistics encompassed correlation and both simple linear and multiple regression analyses. The results of the analyses were presented in tabular form, charts and figures. From the findings, the four null hypotheses were rejected as the study established that online procurement plans, online tendering, online invoicing and online payment significantly influenced procurement performance of County Government of Baringo. In conclusion, integrated financial management information system influenced procurement performance as results of quality of goods and services procured, reduced cost and reduction in lead time during procurement cycle. The study recommended that there is a need for the county government to adopt the least practiced online tendering practices such as e-awarding in order to reduce the transaction costs and speed up the procurement process. Further, county government should automate the practice of invoicing so as to promote transparency and record management since it will be easier to track records or identify payments to be made to suppliers.