PERFORMANCE CONTRACTING STRATEGY AND SERVICE DELIVERY IN THE MINISTRY OF INTERIOR AND NATIONAL ADMINISTRATION HEADQUARTERS, NAIROBI

Abstract

The study explored the influence of performance contracting strategies on service delivery at Kenya's Ministry of Interior, Nairobi. It examined how target setting, monitoring and evaluation, reward systems, and contract durations affected service delivery. The research was guided by theories like goal-setting, control theory, new public management, resource-based theory, and public value theory. A descriptive survey using questionnaires was conducted among 200 staff members, with a sample of 133 derived using stratified random sampling. Key findings revealed that performance target setting (b=-.405) and monitoring and evaluation (b=-.225) negatively impacted service delivery, while rewards had a positive effect (b=0.215). Contract duration showed no significant impact. Data were analyzed using SPSS, with descriptive statistics presented in tables and charts. Pilot testing ensured reliability with a Cronbach's alpha of 0.863. The study concluded that balanced performance targets and inclusive monitoring are essential. The Ministry should review reward policies for fairness and recognition. The internal environment was also found to moderate the relationship between contracting strategies and service delivery, urging improvements in organizational structure and resource availability.