Influence of Leadership Commitment on the Implementation of Performance Contracting Among Private Universities in Nakuru County, Kenya

Abstract

Private universities in Nakuru County, Kenya, continued to face challenges in effectively implementing performance contracting due to limited leadership commitment, unclear communication, and weak feedback mechanisms. This undermined institutional alignment with strategic goals and compromised accountability frameworks. The purpose of this study was to assess the influence of leadership commitment on the implementation of performance contracting in private universities in Nakuru County. The study was grounded in the Transformational Leadership Theory by Burns (1978) and Bass (1985), which emphasizes vision-driven and participatory leadership. A descriptive research design was adopted, targeting a population of 616 academic and non-academic staff from Kabarak University, Mount Kenya University (Nakuru Campus), and St. Paul’s University (Nakuru Campus). The study used proportionate simple random sampling, and the sample size of 243 respondents was determined using Yamane’s formula. Sample sizes per institution were distributed proportionally across clusters. Data were collected through structured self-administered questionnaires and analyzed using SPSS Version 25. Descriptive statistics summarized leadership behaviors, while inferential techniques such as Pearson correlation and multiple regression analysis examined relationships between variables. The findings revealed high levels of agreement among respondents on leadership vision, accountability, and participatory decision-making. Pearson’s correlation indicated a statistically significant moderate positive relationship between leadership commitment and performance contracting (r = 0.482, p < 0.01). Regression analysis showed that leadership commitment significantly predicted performance contract implementation (? = 0.563, p = 0.000), with an R2 of 0.232, indicating that 23.2% of the variance was explained by the predictor. The study contributes to existing knowledge by confirming that transformational leadership behaviors play a pivotal role in enhancing performance-based management systems in higher education institutions.