An Evaluation of the Performance Contracting on Organisation Performance: A Case of Kenyatta University, Kenya

Abstract

The main objective of the study was to evaluate the performance contracting on organization performance. Specific objectives included: an evaluation of the effect of performance contracting on the improvement of service quality at Kenyatta University; an assessment of the influence of the performance contract on the improvement of efficiency at Kenyatta University and a determination of whether performance contracting improves effectiveness at Kenyatta University.Content and descriptive analyses were employed to analyse the respondents’ views on effect performance contracting on performance. The data was then be coded to enable the responses to be grouped into categories. Descriptive statistics was also used mainly to summarize the data. A Likert scale and the use of Statistical Package for Social Sciences (SPSS version 12.0), was employed. Tables and graphs were used as appropriate to present the data collected for ease of understanding and analysis.The study concluded that performance contracting indeed increases service delivery in institutions, and greatly so. Performance contracting was found to indeed increase overall efficiency in institutions to a great extent. With standards and performance targets as well as monitoring and evaluation in performance contracting as proxies in determining organizations’ effectiveness, the study establishes that performance contracting improves institutions’ overall effectiveness.

Key Words: Performance Contracting, Kenyatta University