INFLUENCE OF CONTRACT MANAGEMENT TECHNIQUES ON PERFORMANCE OF SKOL RWANDA LTD

Abstract

The aim of the study was to establish the influence of contract management techniques on performance of SKOL Rwanda Ltd. To address this objective, contract management was observed as the main independent variable while performance through nine items was considered as dependent variable. The study used a descriptive research design. The target population for this was 108 employees of SKOL Rwanda Limited. Primary data were collected using structured questionnaires. The responses from respondents were analyzed through SPSS version 21. Frequencies and percentages were used to describe the relationship between the variables. Majority of the respondents Strongly Agreed that procurement and other projects records were maintained for contract management purposes ( x=4.03). This was followed by a ( x=3.98) of respondents who agreed that s etting of Service Level Agreements for contra ct monitoring was done . The researcher concluded that a significant effect between contract management techniques and procurement performance existed. The results of correlation was at 0.609 which meant that contract management techniques affect procurement performance at the level of 60.9% that proves a significant relationship between the contract management techniques and procurement performance . The managers of manufacturing firms in Rwanda especially the ones involved in the procurement processes of SKOL Rwanda Limited should adopt adequate contract management techniques by fostering open contract negotiation between procurement unit and the suppliers . Both parties involved in procurement process should enter into agreement after understanding the terms of contract and finally both parties involved in the procurement contract should put in place the mechanisms that help them to monitor contract compliance and establish mechanisms for disputes resolutions so that the relationship between the suppliers and manufacturing might be well managed. Keywords: Contract management, Procurement performance, SKOL Rwanda Limited CITATION: Mukamutembe, B., Mulyungi, P. (2020). Influence of contract management techniques on performance of SKOL Rwanda Ltd. T he Strategic Journal of Business & Change Management , 7(1), 967 – 976.