PUBLIC ASSET DISPOSAL METHODS AND PERFORMANCE OF STATE COEPORATIONS IN NAIROBI COUNTY, KENYA
Keywords:
Public Asset Disposal Methods, Transferring Public Assets to Other Institutions, Sale by Public Tender, Performance of State Corporations,, Nairobi County, KenyaAbstract
The state corporations played a critical role in managing public resources, ensuring agricultural development, and enhancing food security in Kenya. However, despite their significance, these corporations faced challenges in optimizing resource utilization, operational efficiency, and accountability, particularly in their asset disposal practices. Despite various legal provisions, performance indicators showed a decline in efficiency and service quality between 2018 and 2023. Therefore, this study sought to examine the effect of public asset disposal methods on performance of state corporations in Nairobi County, Kenya. The study also sought to examine the effect of transferring public assets to other institutions, sale by public tender on performance of state corporations in Nairobi County, Kenya. This study was anchored on institutional theory, transaction cost theory. The study adopted a descriptive research design. The unit of analysis in this study was 63 state corporations in Nairobi County in Kenya. The unit of observation was the heads of procurement, finance and asset management departments. The target population was 189 heads of procurement, finance, and asset management departments in the 63 state corporations. The study used Slovin’s formula in the selection of the sample size, and stratified random sampling was used in the selection of 129 respondents. Data was collected through both primary and secondary methods. Primary data was gathered using semi-structured questionnaires. Secondary data included reports and policy documents. The quantitative data was analyzed using descriptive statistics (mean, standard deviation, percentages) and inferential statistics (Pearson correlation and multivariate regression) with the help of Statistical Package for the Social Sciences, Version 28. Qualitative data was analyzed using thematic analysis, and the results were presented narratively. The study found that transfer to other institutions had a positive and significant effect on the performance of state corporations in Nairobi County, Kenya. The study also found that disposal through public tenders had a positive and significant effect on the performance. The study therefore recommends that the Ministry should strengthen collaboration frameworks with relevant government agencies by establishing formal asset transfer agreements. Thhe study also recommends that the Ministry should improve access to tendering information by using both digital platforms and traditional media to reach a wider audience. Further, the study recommends that the Ministry should enhance public awareness of auction events by leveraging print, digital, and community-based channels.
Key Words: Public Asset Disposal Methods, Transferring Public Assets to Other Institutions, Sale by Public Tender, Performance of State Corporations, Nairobi County, Kenya
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