SUPPLY CHAIN VISIBILITY AND PERFORMANCE OF DISTRIBUTION FIRMS IN NAIROBI CITY COUNTY, KENYA

Stephen Wambua Mwaiwa

Abstract


The study aim was to determine the supply chain visibility on performance of distribution firms. Specifically, the study determined the effect of technological integration, and demand visibility on performance of distribution firms in Nairobi City County, Kenya. The study adopted the correlational research design.  The target population was the 142 employees in the supply chain department in the distribution firms in Nairobi City County. The study sample size was 142 respondents. The study adopted the census method to select the respondents. Primary data was collected using a questionnaire. Quantitative data was analyzed using the descriptive and inferential statistics. Descriptive statistics that were used include frequencies, percentages, mean and standard deviation. Inferential statistics that were used include correlational and regression analysis. The Pearson moment correlation was used to determine the relationship between the independent and dependent variables. Regression analysis was used to determine the association of supply chain visibility and performance. Data was presented in form of tables and figures. The study found that technological integration had a positive and significant relationship with performance of distribution firms in Nairobi City County, Kenya. The study revealed that demand visibility had a positive and significant relationship with performance of distribution firms in Nairobi City County. The study recommends that distribution firms should consider allocating resources to invest in and adopt advanced technologies that facilitate integration across the supply chain. The study recommends that the firms should invest in advanced demand forecasting tools and techniques. Utilize data analytics, machine learning, and predictive modeling to accurately forecast demand patterns. This enables distribution firms to proactively plan inventory levels, minimize stockouts, and optimize overall supply chain efficiency.

Key Words: Supply Chain Visibility, Technological Integration, Demand Visibility, Performance, Distribution Firms


Full Text:

PDF

References


Bode, C., and Wagner, S. M. (2020). Structural drivers of upstream supply chain complexity and the frequency of supply chain disruptions. Journal of Operations Management, 36, 215–228.

Caridi, M., Moretto, A., Perego, A., and Tumino, A., (2018). The benefits of supply chain visibility: A value assessment model. International Journal of Production Eco-nomics, 151, pp.1–19

Caridi, M., Perego, A., & Tumino, A. (2020). Measuring supply chain visibility inthe apparel industry. Benchmarking: An International Journal, 20(1), 25–44.

Choi, H. (2018). Information sharing in supply chain management: a literature review on analytical research. California Journal of Operations Management, 8(1), pp. 110-116, 2018

Chopra ,S., and Meindl, P. (2021). Supply Chain Management; Strategy, Planning and Operations: Pearson.

Choy, K. (2020). Impact of information technology on the performance of logistics industry: the case of Hong Kong and Pearl Delta region. Journal of the Operational Research Society, 65(6), 904-916.

Institute of Supply Management. (2022). Distribution efficiency for agile supply chain: An ISM approach. Decision Making: Applications in Management and Engineering. https://dmame-journal.org/index.php/dmame/article/view/417

Ganbold, O., Matsui, Y. & Rotaru, K. (2021), "Effect of information technology-enabled supply chain integration on firm's operational performance", Journal of Enterprise Information Management, 34(3), pp. 948-989

Gegeleso, O. M. (2020). Effect of Warehousing Operation on Inbound Logistics Practices of Consumer Goods Industries Performance in South Western Nigeria. Journal Of Humanities And Social Science, 22(6), 46-52

Gurzawska, A. (2020). Towards Responsible and Sustainable Supply Chains—Innovation, Multi-Stakeholder Approach and Governance. Philosophy of Management, 19, 267-295.

Hadebe, N.P., (2018). Supply chain collaboration and organizational performance in the fast-moving consumer goods industry. Doctoral thesis, University of Johannesburg, Johannesburg,

Harrison, A. & Hoek, R.V., (2020). Logistics Management and Strategy; Competing through supply chain 2nd edition ;Pearson Education Ltd

Imenda, S. (2014). Is There a Conceptual Difference between Theoretical and Conceptual Frameworks? Sosyal Bilimler Dergisi/Journal of Social Sciences, 38(2), 185

Jemai, Z. & Karaesmen, F. (2015). The influence of demand variability on the performance of a make-to-stock queue. European Journal of Operational Research, 164(1), 195-205

Klapita, V. (2019) Processes solution in the warehouse by the queueing theory application. In: Horizons of railway transport. Scientific papers, 3(1): 64-69.

Kristianto, Y., Ajmal, M.M & Sandhu, (2022). Adopting TQM approach to achieve customer satisfaction: TQM Journal; Published by Emerald

Lee, Y., & Rim, S.-C. (2018). Quantitative Model for Supply Chain Visibility: Process Capability Perspective. Mathematical Problems in Engineering, 11.

Lehtonen, J., Småros, J. & Holmström, J. (2018), "The effect of demand visibility in product introductions", International Journal of Physical Distribution & Logistics Management, 35 No. 2, pp. 101-115

Liu, K.P., Chiu, W. Supply Chain 4.0: the impact of supply chain digitalization and integration on firm performance. Asian J Bus Ethics 10, 371–389 (2021

L'Oréal. (2020, November 30). How supply chain evolves to meet our consumers’ demands. https://www.loreal.com/en/articles/operations/supply-chain-transformation/

Mani, V., Gunasekaran, A. & Delgado, C. (2018). Enhancing supply chain performance through supplier social sustainability: An emerging economy perspective. International Journal of Production Economics, v195, 259-272

Marasco, A. (2018). Third-party logistics: A literature review. International Journal of Production Economics, 11(3):127-147.

McIntire, J.S. (2016). Supply chain visibility: From theory to practice, Routledge

Messina, D. (2019). Visibility in Complex Supply Chains: An Information Management Approach to Support Risk and Disruption Management Decisions. Ph.D. Thesis, Universidade do Porto

Rob, R., & Meghan, S. (2022, September 11). Distribution and transportation management. Bain & Company Inc. https://www.bain.com/insights/are-your-distribution-and-transportation-costs-out-of-control/

Sanders, N.R. (2016). 'How to use big data to drive your supply chain'. California Management Review, 58(3), 26-48

Santana, A., Afonso, P., & Rocha, A. M. (2016). A prescriptive cost model for demand shaping: an application for target costing. Proceedings of the 3rd International Conference on Project Evaluation (ICOPEV 2016).

Saqib, Z. A., Saqib, K. A. and Ou, J. (2019). Role of Visibility in Supply Chain Management. https://www.intechopen.com/chapters/68370

Sarite, S. K. (2018). Role Of Order Fulfillment On The Performance Of Manufacturing Firms In Kenya. American Journal of Supply Chain Management, 3(1), 1-15.

Siror, J. K. (2019). Impact of RFID Technology on Tracking of Export Goods in Kenya. Journal of Convergence Information Technology, 5(9).

Småros, J., & Lehtonen, J., (2018). The impact of increasing demand visibility on production and inventory control efficiency. International Journal of Physical Distribution & Logistics Management, 33 No. 4, pp. 336-354

Somapa, S., Cools, M., & Dullaert, W. (2018). Characterizing Supply Chain Visibility—A Literature Review. International Journal of Logistics Management, 29, 308-339

Swift, C. (2019). Does supply chain visibility affect operating performance? Evidence from conflict minerals disclosures. Journal of Operations Management, 65(1).

Too, I. C., & Simiyu, E. (2018). Firms characteristics and Financial Performance of general insurance firms in Kenya. International Journal of Business Management & Finance, 1(39): 672, 89.

Watanuki, M. (2018). Review of logistics service regulations for freight forwarding businesses: what should be addressed for a better logistics regulatory framework? The World Bank.


Refbacks

  • There are currently no refbacks.