and in recent years, there has been increasingly tendencies by Governments to take certain well

defined functions out of line ministries/departments and place them under specialized agencies
e.g. in the case of Kenya, the Kenya Revenue Authority, Kenya Airports Authority. Such
agencies have the responsibility of managing their human and financial resources than in line
ministries/departments.

2.7 Research Gap

While several approaches have been used to address these challenges, it is hoped that
performance contract is an effective tool for managing productivity. A Performance Contract is a
freely negotiated performance agreement between government, acting as the owner of the agency
and the agency. It clearly specifies the intentions, obligations, responsibilities and powers of the
parties. It addresses economic, social and other tasks to be discharged for Economic or other
desired gain.
The fundamental principle of performance contracting is the devolved management style where
emphasis is management by outcome rather than management by processes. It therefore provides
a framework for changing behaviours in the context of devolved management structures.

Governments all over the world view performance contracting as a useful vehicle for articulating
clearer definitions of objectives and supporting new management monitoring and control
methods, while at the same time leaving day-to-day management to the managers themselves. It
organizes and defines tasks so management can perform them systematically, purposefully and
with reasonable probability of achievement. Performance Contracts are based on the premise that
what gets measured gets done; if you cannot see and measure success, you cannot reward it; if
you cannot recognize failure, you cannot correct it and if you can deand in recent years, there has
been increasingly tendencies by Governments to take certain well defined functions out of line
ministries/departments and place them under specialized agencies e.g. in the case of Kenya, the
Kenya Revenue Authority, Kenya Airports Authority. Such agencies have the responsibility of
managing their human and financial resources than in line ministries/departments.
2.7 Research Gap
While several approaches have been used to address these challenges, it is hoped that
performance contract is an effective tool for managing productivity. A Performance Contract is a
freely negotiated performance agreement between government, acting as the owner of the agency
and the agency. It clearly specifies the intentions, obligations, responsibilities and powers of the
parties. It addresses economic, social and other tasks to be discharged for Economic or other
desired gain.
The fundamental principle of performance contracting is the devolved management style where
emphasis is management by outcome rather than management by processes. It therefore provides
a framework for changing behaviours in the context of devolved management structures.

Governments all over the world view performance contracting as a useful vehicle for articulating
clearer definitions of objectives and supporting new management monitoring and control
methods, while at the same time leaving day-to-day management to the managers themselves. It
organizes and defines tasks so management can perform them systematically, purposefully and
with reasonable probability of achievement. Performance Contracts are based on the premise that
what gets measured gets done; if you cannot see and measure success, you cannot reward it; if
you cannot recognize failure, you cannot correct it and if you can deand in recent years, there has
been increasingly tendencies by Governments to take certain well defined functions out of line
ministries/departments and place them under specialized agencies e.g. in the case of Kenya, the
Kenya Revenue Authority, Kenya Airports Authority. Such agencies have the responsibility of
managing their human and financial resources than in line ministries/departments.

2.7 Research Gap

While several approaches have been used to address these challenges, it is hoped that
performance contract is an effective tool for managing productivity. A Performance Contract is a
freely negotiated performance agreement between government, acting as the owner of the agency
and the agency. It clearly specifies the intentions, obligations, responsibilities and powers of the
parties. It addresses economic, social and other tasks to be discharged for Economic or other
desired gain.
The fundamental principle of performance contracting is the devolved management style where
emphasis is management by outcome rather than management by processes. It therefore provides
a framework for changing behaviours in the context of devolved management structures.

Governments all over the world view performance contracting as a useful vehicle for articulating
clearer definitions of objectives and supporting new management monitoring and control
methods, while at the same time leaving day-to-day management to the managers themselves. It
organizes and defines tasks so management can perform them systematically, purposefully and
with reasonable probability of achievement. Performance Contracts are based on the premise that
what gets measured gets done; if you cannot see and measure success, you cannot reward it; if
you cannot recognize failure, you cannot correct it and if you can deand in recent years, there has
been increasingly tendencies by Governments to take certain well defined functions out of line
ministries/departments and place them under specialized agencies e.g. in the case of Kenya, the
Kenya Revenue Authority, Kenya Airports Authority. Such agencies have the responsibility of
managing their human and financial resources than in line ministries/departments.

2.7 Research Gap

While several approaches have been used to address these challenges, it is hoped that
performance contract is an effective tool for managing productivity. A Performance Contract is a
freely negotiated performance agreement between government, acting as the owner of the agency
and the agency. It clearly specifies the intentions, obligations, responsibilities and powers of the
parties. It addresses economic, social and other tasks to be discharged for Economic or other
desired gain.
The fundamental principle of performance contracting is the devolved management style where
emphasis is management by outcome rather than management by processes. It therefore provides
a framework for changing behaviours in the context of devolved management structures.

Governments all over the world view performance contracting as a useful vehicle for articulating
clearer definitions of objectives and supporting new management monitoring and control
methods, while at the same time leaving day-to-day management to the managers themselves. It
organizes and defines tasks so management can perform them systematically, purposefully and
with reasonable probability of achievement. Performance Contracts are based on the premise that
what gets measured gets done; if you cannot see and measure success, you cannot reward it; if
you cannot recognize failure, you cannot correct it and if you can deand in recent years, there has
been increasingly tendencies by Governments to take certain well defined functions out of line
ministries/departments and place them under specialized agencies e.g. in the case of Kenya, the
Kenya Revenue Authority, Kenya Airports Authority. Such agencies have the responsibility of
managing their human and financial resources than in line ministries/departments.

2.7 Research Gap

While several approaches have been used to address these challenges, it is hoped that
performance contract is an effective tool for managing productivity. A Performance Contract is a
freely negotiated performance agreement between government, acting as the owner of the agency
and the agency. It clearly specifies the intentions, obligations, responsibilities and powers of the
parties. It addresses economic, social and other tasks to be discharged for Economic or other
desired gain.
The fundamental principle of performance contracting is the devolved management style where
emphasis is management by outcome rather than management by processes. It therefore provides
a framework for changing behaviours in the context of devolved management structures.

Governments all over the world view performance contracting as a useful vehicle for articulating
clearer definitions of objectives and supporting new management monitoring and control
methods, while at the same time leaving day-to-day management to the managers themselves. It
organizes and defines tasks so management can perform them systematically, purposefully and
with reasonable probability of achievement. Performance Contracts are based on the premise that
what gets measured gets done; if you cannot see and measure success, you cannot reward it; if
you cannot recognize failure, you cannot correct it and if you can de