SUPPLY CHAIN DRIVERS AND PERFORMANCE OF LARGE MANUFACTURING FIRMS IN NAIROBI CITY COUNTY, KENYA

Mary Mwende Ngei, Dr. Nelson Lambaino

Abstract


The general objective of this study was to determine supply chain drivers and performance of large manufacturing firms in Nairobi City County, Kenya. Specifically, this study sought to assess the effect of inventory driver on performance of large manufacturing firms in Nairobi City County, Kenya, to determine the effect of transportation driver on performance of large manufacturing firms in Nairobi City County, Kenya. This study used a descriptive research design. This study targeted senior management employees (1 top management employee, 2 middle level management employees and 3 lower management employees) in all the 105 firms. The total target population was 630 employees. The 239 respondents were chosen with the help of stratified random sampling technique. This study relied on both primary and secondary data. Primary data was collected through use of semi structured questionnaires. The study also conducted pilot test to test the validity and the reliability of the data collection instrument. The data collection instrument generated both qualitative and quantitative data. The study used both descriptive and inferential statistics for data analysis with the aid of Statistical Package for Social Sciences (SPSS version 25). Descriptive statistics such as mean, standard deviation, frequency and percentages were used in this study. In relation to inferential statistics, the study used correlation analysis. This was used to establish the relationship between the independent and the dependent variables. Data was then presented in a tables, bar charts and pie charts. The study concludes that inventory driver has a positive and significant effect on performance of large manufacturing firms in Nairobi City County, Kenya. In addition, the study concludes that transportation driver has a positive and significant effect on performance of large manufacturing firms in Nairobi City County, Kenya. From the results, this study recommends that large manufacturing firms should consider investing in supply chain visibility tools and technology that allow them to closely monitor and reduce lead times. In addition, the study recommends that large manufacturing firms should consider implementing demand forecasting models to accurately predict customer needs and optimize inventory levels accordingly.

 

Key Words: Supply chain drivers, Large manufacturing firms, Inventory driver, Transportation driver

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References


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