
Kenya’s New Public Service Goals: The Introduction of Performance Contracts
Introduction

In recent years, the Kenyan government has taken bold steps to improve the efficiency and effectiveness of its public service. One of the most significant reforms introduced is the performance-based contract (PBC) system, which aims to hold public servants accountable for their contributions to national development. This initiative, a key component of the broader civil service reforms, is designed to enhance service delivery across various ministries and departments by linking performance directly to rewards and resource allocation.
The introduction of PBCs represents a shift towards a more results-oriented approach in the public sector, ensuring that civil servants are not only meeting their job requirements but are actively contributing to the country’s growth and development. This article explores the objectives, benefits, and challenges of the performance-based contracts in Kenya’s public service.
The Evolution of Public Service Reforms in Kenya
Early Civil Service Reform Efforts
The introduction of performance-based contracts is part of a long-standing effort to reform Kenya’s public service. Since independence, the government has made numerous attempts to streamline operations, improve efficiency, and ensure that public resources are used effectively. The 1993 Civil Service Reform Programme (CSRP) was one of the earliest efforts to address inefficiency and financial mismanagement within the civil service.
The CSRP focused primarily on cost containment, reducing redundancies, and enhancing performance through the decentralization of functions and greater accountability. While the program achieved some success, it was not enough to fully address the systemic issues of inefficiency and a lack of measurable outcomes.
The Shift to Performance-Based Management
In the 2000s, Kenya adopted performance-based management principles as part of a broader civil service reform agenda. One of the most notable elements during this period was the introduction of the Rapid Results Initiatives (RRIs), which sought to achieve measurable outcomes within a short timeframe.
RRIs, which were initially piloted in a few sectors, emphasized the importance of setting clear goals, establishing performance indicators, and measuring results. Although RRIs were successful in demonstrating the potential for a performance-focused approach, they were limited in scope and did not have a lasting impact on the broader civil service culture.
Performance-Based Contracts: A New Approach
Building on these previous efforts, the Kenyan government introduced performance-based contracts (PBCs) as a way to take the civil service reforms to the next level. PBCs are designed to hold public servants accountable for their individual and departmental performance. They involve setting clear and specific targets that are directly linked to the allocation of resources, promotions, and rewards.
Under the PBC system, public servants are expected to meet agreed-upon goals, with their performance regularly monitored and evaluated. This approach promotes a culture of accountability and transparency, where results are measured, and adjustments can be made to ensure success.
Key Features of Performance-Based Contracts
Clear and Measurable Targets
A fundamental aspect of performance-based contracts is the setting of clear, measurable targets that align with the goals of national development. These targets are tailored to the specific roles and responsibilities of civil servants and are designed to be achievable yet challenging. By setting specific performance indicators, PBCs ensure that the public service is focused on delivering tangible outcomes.
For example, in the health sector, targets could include improving healthcare service delivery in rural areas, increasing the number of patients treated within a specific timeframe, or enhancing the quality of patient care. In the education sector, performance goals may revolve around improving literacy rates or reducing dropout rates. These measurable outcomes provide a clear benchmark for evaluating the effectiveness of public servants and ensure that their work contributes to the country’s broader development goals.
Performance Monitoring and Evaluation
A crucial element of PBCs is the ongoing monitoring and evaluation of public servants’ performance. Regular assessments allow for the identification of progress toward targets, highlighting areas where improvements are needed and ensuring that resources are allocated efficiently. The government employs various mechanisms to track progress, including performance reviews, audits, and feedback from the public and other stakeholders.
This continuous monitoring ensures that public servants remain engaged and focused on achieving their goals. Moreover, it helps to identify any challenges or obstacles that may be hindering progress, allowing for timely interventions and adjustments.
Linking Performance to Rewards and Resource Allocation
The most significant change introduced by PBCs is the direct link between performance and rewards. Under this system, civil servants who meet or exceed their targets are rewarded with promotions, salary increments, or other incentives. Conversely, those who fail to meet their targets may face consequences such as salary freezes, demotions, or even dismissal.
This performance-based approach aims to motivate civil servants to deliver high-quality services and encourages a competitive, results-driven work environment. By aligning rewards with performance, the government ensures that the most competent and efficient employees are recognized and incentivized.
Promoting Transparency and Accountability
Another key feature of performance-based contracts is the promotion of transparency and accountability within the public service. By clearly defining performance targets and monitoring progress, PBCs make it easier for the public to see how resources are being utilized and whether civil servants are delivering on their promises.
This transparency fosters greater trust between the government and the public, as citizens can hold public servants accountable for the services they receive. Furthermore, PBCs reduce the likelihood of corruption, as civil servants are incentivized to meet performance targets honestly and efficiently.
Benefits of Performance-Based Contracts

Improved Service Delivery
The most immediate benefit of PBCs is improved service delivery. By holding public servants accountable for their performance, the government ensures that services are delivered more efficiently and effectively. Whether in healthcare, education, or infrastructure, the focus on measurable outcomes leads to tangible improvements in the quality of services offered to the public.
Enhanced Motivation and Job Satisfaction
By linking performance to rewards and recognition, PBCs increase motivation among public servants. Civil servants are more likely to feel engaged and invested in their work when they know that their efforts will be rewarded. This system also encourages innovation and problem-solving, as employees seek to find the most effective ways to meet their targets.
Increased Public Trust
When public servants are held accountable for their performance, and when their work is transparently evaluated, public trust in the government improves. Citizens are more likely to have confidence in public institutions when they can see that civil servants are working to meet specific goals and are held responsible for their results.
Better Resource Allocation
Performance-based contracts also ensure that resources are allocated efficiently. By linking funding and resources to performance, the government ensures that departments and ministries that are delivering results are adequately supported, while underperforming units may see their resources reduced or redirected to more effective areas.
Challenges of Implementing Performance-Based Contracts
Resistance to Change
One of the main challenges of implementing performance-based contracts is resistance to change. Public servants may be wary of new systems, especially if they feel that the targets set for them are unrealistic or unfair. Overcoming this resistance requires effective communication, training, and support from leadership.
Measuring Performance Accurately
Another challenge is ensuring that performance is measured accurately and fairly. Developing appropriate indicators and benchmarks for diverse sectors can be complex. Moreover, ensuring that performance evaluations are unbiased and reflect the true contributions of public servants is crucial for the success of PBCs.
Adequate Resources for Implementation
For performance-based contracts to be effective, adequate resources must be allocated to ensure that civil servants have the tools and support they need to meet their targets. This includes providing training, infrastructure, and other necessary resources to enable employees to perform at their best.