The new Kenya Medical Supplies Authority (KEMSA) board has revoked a list of pre-qualified suppliers in efforts to eradicate corruption at the organization.
The board has started a process to ensure only companies that provide value for money are pre-qualified.
The new board will also be reviewing contracts that have been procured through single sourcing and monopoly action.
"Any contract that is found to not be providing value for money will be forwarded to the Public Procurement Regulatory Authority (PPRA) and the Ethics and Anti-Corruption Commission (EACC) for investigation," said the board in a statement on Monday, June 5.
"We will introduce the lotting system in procurement that will set an upper financial limit beyond which no single bidder will win contracts. This will promote healthy competition by diffusing vested interest and racketeering and thereby ensure value for money for Mwananchi from our procurement processes."
Additionally, the human capital of the organisation will be reviewed and audited within the next four weeks.
Qualified staff will be retained while others will be redeployed in line with departmental needs.
"Staff on contract who cannot meet the requirements of the institution will not have their contracts renewed any further," reads the statement.
The KEMSA management has also been asked to freeze staff recruitment in order with a view to re-orienting the budget to prioritise KEMSA's role in Universal Healthcare.
"All staff will therefore be henceforth be placed on performance contracts tied to to delivering on their roles."