EFFECT OF SUPPLIER MANAGEMENT ON ORGANIZATIONAL PERFORMANCE OF FLOWER FIRMS IN NAIROBI
Abstract
The main purpose of this study was to determine the effect of supplier management on organizational performance of flower firms. Almost every organization purchases goods and services from third parties, or suppliers. The output of one organization is often the goods and services that form aspects of other organizations’ goods and services. Therefore, how an organization engages, establishes, manages, and communicates with its suppliers is critical to success. This is because competition is no longer between organizations, but among the supply chains. The objective of this study was to determine the effect of supplier management on organizational performance of flower firms in Nairobi. The target population of this study was flower firms in Nairobi, where 3 respondents from the 9 selected firms were used. The study looked at supplier development as an element of supplier management and the effects that it has on organizational performance. The study adopted descriptive survey design. The population of the study comprised of 10 flower farms that were drawn from Nairobi. The target population involved managers and top supervisors from the procurement department. A sample of 30 respondents was selected from a target population of 10 flower firms. Random sampling was used to come up with the sample size. Primary data for the study was collected using questionnaires. The results of the study were presented using frequency tables, pie charts and graphs. Quantitative data was analyzed using descriptive and correlated using Pearson product-moment correlation coefficient to measure the relationship between variables with the aid of Statistical Package for Social Sciences (SPSS version 21.0). The findings of the study showed a strong positive effect of supplier development on organizational performance of flower firms in Nairobi. The study further recommended for continued collaboration, stakeholder engagement to enhance performance of flower firms. On suggestion for further research, the study recommended that further research to be carried on other supplier management practices that influences organizational performance in the supply chain sector.
Keywords: Supplier Development, Supplier Management, Supply Chains
CITATION: Onyango, A. O., & Litunya, R. (2021). Effect of supplier management on organizational performance of flower firms in Nairobi. The Strategic Journal of Business & Change Management, 8 (3), 1017 – 1028.
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DOI: http://dx.doi.org/10.61426/sjbcm.v8i3.2077
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