BUYER SUPPLIER RELATIONSHIP MANAGEMENT AND PERFORMANCE OF MEDICAL DEVICE MANUFACTURERS IN NAIROBI CITY COUNTY, KENYA

Abstract

The relationship between the buyer and the supplier forms an integral part in purchasing and supplies management not only in big corporate organizations but also in small and medium organizations across all sectors. Nevertheless, there is no best way of management for it depends with the management and the people being managed besides the organization’s operating environment which includes but not limited to evolving laws and policies, economic changes, knowledge and expertise of employees from both supplying and buying organizations among other factors. The end result was to achieve the best decision for the benefit of the organization or organizations in line with its or their corporate strategic objectives. The general objective of the study was to determine the effect of buyer supplier partnership on Performance of medical device manufacturers in Nairobi City County, Kenya. The specific objectives were to assess the effect of supplier selection on Performance of medical device manufacturers in Nairobi City County, Kenya and to examine the effect of supplier development on Performance of medical device supply firms in Nairobi City County, Kenya. The target population was 60 employees of the registered manufacturing firms in Nairobi City County, Kenya. The study adopted stratified sampling design. Using stratified sampling design, a sample size of 60 respondents was taken. The study collected primary data through the use of structured questionnaires as data collecting instrument. The validity of the instrument was assessed using expert opinion to determine the reliability of the data- collecting instrument. Inferential and descriptive statistical techniques were used to analyze quantitative data. The effect of the independent factors on the dependent variable was assessed using a multiple regression analysis model that was presented in the form of tables, graphs, frequencies, and percentages. The study ensured that informed consent, confidentiality and anonymity are observed in the data collection and processing. The findings showed that the adjusted R² was 0_. .621 signifying that 62.1% of the variations in performance of medical device manufacturers was explained by supplier relationship management prospects, (Buyer-supplier partnership, Supplier selection).  The study therefore concluded that Buyer-supplier partnership and Supplier selection has significance influence on performance of medical device manufacturers. The study thus recommends that the management to put more emphasis on Buyer-supplier partnership and Supplier selection since they have a great influence on performance of medical device manufacturers.

Key Words: Buyer Supplier Relationship Management, Buyer Supplier Partnership, Supplier Selection