SUPPLIER BASE OPTIMIZATION PRACTICES AND PERFORMANCE OF FOOD AND BEVERAGE MANUFACTURING FIRMS IN NAIROBI CITY COUNTY, KENYA
Keywords:
Lead-Time, Technology Integration, Performance of Food and Beverage Manufacturing Firms, Supplier Base Optimization PracticesAbstract
The purpose of this study was to investigate the influence of supplier base optimization practices on performance of food and beverage manufacturing firms in Nairobi City County, Kenya. Specifically, the study sought to examine effect of lead-time on performance of food and beverage manufacturing firms in Nairobi City County, Kenya and to establish effect of technology on performance of food and beverage manufacturing firms in Nairobi City County, Kenya. The target population of this study was 130 registered food and beverage manufacturing firms in Kenya as per KAM Directory 2023. The study targeted management employees. In this study, the sampling frame was a list of all 130 registered food and beverage manufacturing firms in Nairobi. The Yamane formula was adopted to calculate a sample size of 264 respondents. A questionnaire was developed to capture the various variables under study, and for the independent variables. Questionnaire was self-administered to the respondents and two research assistants were recruited and trained so that they were able to get quality results. Secondary data was collected from published sources such as library, internet and research done by other scholars. The returned and duly filled questionnaires were verified, coded and tallied according to the themes and thereafter the quantitatively and qualitatively analyzed through the use of tables and figures. The tool for data analysis was SPSS v24. The study concludes that lead time has a significant effect on the performance of food and beverage manufacturing firms in Nairobi City County, Kenya. The study also concludes that technological integration has a significant effect on the performance of food and beverage manufacturing firms in Nairobi City County, Kenya. Based on the findings, the study recommends that the management of food and beverage manufacturing firms in Kenya should invest in automation and digital technologies to optimize production processes and improve operational efficiency. By integrating technologies, firms can enhance production speed, reduce human error, and minimize waste.
Key Words: Lead-Time, Technology Integration, Performance of Food and Beverage Manufacturing Firms, Supplier Base Optimization Practices
References
Ackerman, K. B. (2020). Pitfalls in logistics partnerships. International Journal of Physical Distribution & Logistics Management, 26(3), 35-7.
Agus, A. (2020). TQM practices in manufacturing firms in Malaysia: An Exploratory. Total Quality Management, 11(8), 104.
Anderson, M. C. (2020). A primer in measuring outsourcing results. National Productivity Review, 17(1), 33-41.
Baiman, S., & Rajan, M. (2020). Incentive issues in inter-firm relationships. Accounting, Organizations and Society, 27(2), 213-238.
Fabbe-Operational costes, N., Jahre, M., & Roussat, C. (2020). Supply chain integration: the role of logistics service providers. International Journal of Productivity & Performance Management, 58(1), 71-91.
Forrest, B. G., Will, T., Roberts, S., Ashwini, N., & Wininger, E. (2020). A Practitioner’s Perspective On The Role Of A Third-Party Logistics Provider,. Journal of Business & Economics Research, 6 (6), 230-247.
Gates, S. (2020). Semiconductor firm strategies and technological cooperation: a perceived transaction operational cost approach. Journal of Engineering & Technology Management, 6 (2), 117-144.
Goetschalckx, M., & Vidal, C. (2020). Modeling the effects of uncertainties in global logistics systems. Journal of Business Logistics, 21 (1), , 95‐120.
Government of Kenya . (2023). Kenya Vision 2030. Nairobi: Ministry of Planning, National Development and Vision 2030. Nairobi: Government Printer.
Grant, R. M. (2020). The resource-based theory of competitive advantage: implications for strategy formulation . California Management Review, 33(33), 114-135.
Green, F. B., Turner, W., Roberts, S., Nagendra, A., & Wininger, E. (2020). A Practitioner’s Perspective On The Role Of A Third-Party Logistics Provider. Journal of Business & Economics Research, 6(6), 10-14.
Green, K. J., Whitten, D., & Inman, R. (2020). The impact of logistics performance on organizational performance in a supply chain context. Supply Chain Management: An International Journal, 13(4), 317-327.
Gronroos, C. (2020). Service Quality model and its marketing implications. European Journal of Marketing, 18 (4), 36-44.
Hanaa, E. S. (2021). Supply Chain Key Performance Indicators Analysis . International Journal of Application or Innovation in Engineering & Management,, 2(1), 124-145.
Harland, C. (2020). Supply Chain Management: relationships, chains, and network. British Academy of Management, 7(1), 63-80.
Kenya Association of Manufacturers. (2021). Kenya manufacturers & Exporters Directory. (11th ed.). Nairobi: Kenya Association of Manufacturers.
Kenya Institute for Public Policy Research and Analysis. (2021). Kenya Economic Report . Nairobi: KIPPRA.
Kingcott, T. (2020). Opportunity‐based accounting: better than ABC. . Management Accounting, 1(10), 36-37.
Kline, R. B. (2020). Principles and Practice of Structural Equation Modeling (2nd ed.). New York: The Guilford Press.
Knemeyer, A., & Murphy, P. R. (2020). Evaluating the performance of third party logistics arrangements: a relationship marketing perspective. The Journal of Supply Chain Management- A Global Review of Purchasing and Supply, 40(1), 35-51.
Koichiro, T. (2021). Rationale for utilizing supplier base optimization practices in supply chain management: A shippers' economic perspective,. IATSS Research 35, 24–29.
Kyungro, C. P. (2020). The Impact of Perceived Physical Environments on Customers' Satisfaction and Return Intentions. Journal of Professional Services Marketing, 21(2), 75-85.
La Londe, B., & Maltz, A. (2020). Some propositions about outsourcing the logistics function. International Journal of Logistics Management, 3(1), 1-11.
Langley, C.J., & Holcomb, M.C. (2020). Creating Logistics Customer Value. Journal of Business Logistics 13 (2), 1-27.
Langley, J. (2021). The state of logistics outsourcing. Journal of Third party logistics outsourcing 1 (2015) 4-5.
Nemoto, T. K. (2020). Advantage of Third Party Logistics in Supply Chain Management. Journal of Physical Distribution and Logistics Management, 30(2), 112-127.
Nemoto, T., & Tezuka, K. (2020). Advantage of Third Party Logistics in Supply Chain Management. Working paper, 72(1), 1-14.
Shapiro, R., & Heskett, J. L. (2020). Logistics Strategy: Cases and Concepts. London: West Publishing.
Sheth, J., & Sisodia, R. (2020). Feeling the heat. Marketing Management, 9(4),19-39.
Sink, H., & Langley, C. (2020). A managerial framework for the acquisition of third-party logistics services. Journal of Business Logistics, 18(2), 163-187.
Skjoett-Larsen, T. (2020). Third Party Logistics- From an Interorganizational Point of View. International Journal of Physical Distribution and Logistics Management, 30(2) , 112-127.
Stank, T. P., & Maltz, A. B. (2020). Some propositions on third party choice: domestic vs. international logistics providers. Journal of Marketing: Theory and Practice, 4(2), 45-54.
Stewart, G. (2020). Supply chain performance benchmarking study reveals keys to supply chain excellence. Logistics Information Management, 8 (2), 38–44.
Tracey, M., Lim, J., & Vonderembse, M. (2022). The impact of supply-chain management capabilities on business performance. International Journal of Supply Chain Management 10 (3), 179-191.
Wilding, R., & Juriado, R. (2020). Customer perceptions on logistics outsourcing in the European consumer goods industry. International Journal of Physical Distribution & Logistics Management, 34(8), 628-644.
Zinbarg, R. E., Revelle, W., Yovel, I., & Li, W. (2020). Cronbach’s α, Revelle’s β, and McDonald’s ω H: Their relations with each other and two alternative conceptualizations of reliability. Psychometrika, 70(1), 123-133.
Zhou, H., & Benton, W. C. (2020). Supply chain practice and information sharing. Journal of Operations Management, 25(1), 1348-1365.
