KISM flags 42 percent noncompliance in procurement sector

The Kenya Institute of Supplies Management (KISM) has sounded the alarm over rampant noncompliance in the country’s supply chain sector, revealing that over 40% of practitioners are unqualified or practising illegally.

The revelations follow a detailed audit that exposed widespread breach of procurement laws, especially within county governments.

KISM Chief Executive Kenneth Matiba said the compliance check, which covered 109 institutions nationwide, uncovered that 15% of practitioners were working without licences.

The audit included 20 ministries, 13 counties, 21 private firms, and 55 state agencies.

"The institute has recorded a high noncompliance rate of 42 percent with relevant supply and procurement laws across all sectors, prompting us to take action against this concerning trend," Matiba said during a forum in Naivasha.

The institute has since taken disciplinary action against 116 unlicensed officers, with 93 of those cases set for formal hearings.

According to Matiba, failure to comply with licensing laws puts the integrity of procurement processes at risk and opens the door to fraud and irregularities.

Counties have become a hotspot for noncompliance, with a large number of officers lacking the legal documents required to practice.

KISM is now working with county governments and private institutions to boost capacity and ensure only licensed professionals operate in the field.

KISM Chairman John Karani warned that even licensed professionals who break procurement laws could be banned from practising.

“So far, we have sanctioned two individuals for violating supply and procurement laws, and with 93 active cases, the institute will pursue possible sanctions, including deregistration,” he said.

He added that the institute, which has over 25,000 members, has been pushing for higher standards in the industry and is already dealing with several disciplinary and administrative matters.

Karani also said KISM has teamed up with the Ministry of Education to ensure professional procurement is observed in all 33,000 public schools.

As part of efforts to clean up the sector, KISM has also engaged the National Treasury to support the rollout of digital procurement systems.

“We are working with the judiciary to train its council members on writing judgements and to strengthen its disciplinary committee,” said Karani.

In a previous inspection carried out last September, the institute discovered 17 officers practising without licenses in five public bodies, including the Technical University of Kenya (TUK), the Pyrethrum Processing Company of Kenya, and the Kenya National Examination Council (KNEC).

Matiba emphasized the institute's commitment to professionalizing supply chain management.

"We are committed to promoting professionalism in supply chain management. These checks are crucial in ensuring that only qualified and registered practitioners are handling our public resources," he said.

KISM has concluded 45 disciplinary cases, mainly involving officers from Homabay and Vihiga counties.

The cases led to fines and reprimands, with others still pending. The institute plans to publish the rulings to serve as a warning and promote accountability.