INTEGRATED LOGISTICS MANAGEMENT SYSTEMS AND SUPPLY CHAIN PERFORMANCE OF FOOD AND BEVERAGE MANUFACTURING FIRMS IN NAIROBI COUNTY, KENYA
Keywords:
Integrated Logistics Management Systems, Supply Chain Performance, Food And Beverage Manufacturing Firms, Warehouse Management Systems, Inventory Management SystemsAbstract
Logistics refers to the process of planning, implementing, and controlling the efficient and effective movement and storage of goods, services, and related information from the point of origin to the point of consumption, with the aim of meeting customer requirements. In the food and beverage (F&B) manufacturing industry, where products are highly perishable and supply chains are complex, the adoption of integrated logistics management systems (ILMS) has the potential to enhance agility, reduce cycle time, improve operational efficiency, and ensure timely delivery. While technological advancements in logistics can significantly streamline supply chains and reduce costs, adoption among manufacturing firms in Kenya remains limited. Reports indicate that more than half of logistics functions among firms in Kenya continue to be conducted manually, and many firms lack awareness or capacity to implement modern logistics technologies effectively. This study aimed to establish the influence of integrated logistics management systems on the supply chain performance of food and beverage manufacturing firms in Nairobi County, Kenya. Specifically, the study examined the influence of warehouse management systems, inventory management systems on supply chain performance. The study was anchored on Institutional Theory, and Unified Theory of Logistics. A census approach was employed, targeting all 51 registered food and beverage manufacturing firms operating within Nairobi County. Data were collected through structured questionnaires administered to operations managers, with a pre-test conducted among 5 respondents to ensure clarity and reliability of the instrument. Quantitative data were analyzed using descriptive statistics and multiple linear regression, with the aid of SPSS version 23. The findings revealed that warehouse management systems and inventory management systems each had a positive and statistically significant relationship with supply chain performance. The study concluded that the adoption of integrated logistics systems contributes meaningfully to improvements in supply chain responsiveness, cost control, and service delivery in the F&B manufacturing sector. Based on the findings, the study recommends that managers in the food and beverage industry prioritize investment in logistics technologies and ensure their warehouse and inventory systems are up-to-date to minimize process inefficiencies. Firms should adopt automated scheduling and routing tools to reduce delivery delays and human intervention. Additionally, training of logistics personnel on digital systems and government support through streamlined customs regulations are critical for enhancing overall logistics performance and competitiveness in the sector.
Key Words: Integrated Logistics Management Systems, Supply Chain Performance, Food And Beverage Manufacturing Firms, Warehouse Management Systems, Inventory Management Systems
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