Purpose: This study sought to establish the relationship between sustainable procurement practices and the performance of state corporations in Kisii County, Kenya. The study was guided by the following specific objectives: to assess the effect of sustainable sourcing practices, supplier sustainability evaluation, sustainable contract management, and sustainable information technology infrastructure on the performance of state corporations. The study was anchored on four theories: Institutional Theory, Stakeholder Theory, Resource-Based View, and the Technology Acceptance Model.
Methodology: A descriptive research design was adopted. The target population comprised procurement officers, finance managers, and departmental heads across 15 state corporations operating in Kisii County. The target population was 150 employees. A sample of 109 respondents was selected using stratified random sampling. Data was collected using structured Likert-scale questionnaires and analyzed using descriptive statistics, correlation, and multiple regression analysis.
Findings: The findings revealed that all four sustainable procurement practices had a positive and statistically significant influence on organizational performance. Notably, sustainable sourcing and supplier sustainability evaluation were strongly correlated with improved service delivery, cost efficiency, and regulatory compliance.
Unique Contribution to Theory, Policy and Practice: Based on these findings, the study recommends institutionalizing sustainability criteria in procurement decisions, enhancing supplier evaluation mechanisms, embedding sustainability clauses in contracts, and investing in e-procurement technologies. These measures are essential for aligning procurement functions with Kenya’s development agenda and global sustainability goals.