EFFECTS OF SUPPLIER APPRAISAL PRACTICES ON PERFORMANCE OF MANUFACTURING FIRMS IN NAIROBI COUNTY, KENYA
Abstract
With the increased organization performance concerns and awareness among several stakeholders in the manufacturing firms as well as interest groups such as consumer groups, manufacturing sector organizations may find it appropriate to adopt supplier appraisal practices. The study sought to analyze the effects supplier appraisal practices on performance of manufacturing firms in Kenya. The research used descriptive research design. Data was analyzed using both descriptive and inferential statistics where regression and correlation analysis were used. The population census was 455 respondents drawn from manufacturing firms Nairobi county with a sample size population of 213. The data was analyzed with SPSS version 23. Non probability sampling technique was used. A questionnaire was used to collect the data. Data collected was validated, edited, coded and then analyzed qualitatively. Descriptive statistics such as percentages and frequencies were used to summarize the data. Data presentation methods include tables, charts and figures. A good response rate of 63% was realized. The study findings showed that the supplier appraisal practices had a significant influence on performance of the firms. The study recommended that manufacturing firms should adopt supplier appraisal practices by having an effective ethical standard practices guidelines and improving the environmental aspect strategies. A similar research should be conducted with an aim at investigating the effects of supplier appraisal on performance with other variables or of other firms in other sectors, including the service industry in the Kenyan market.
Key Words; Supplier Appraisal Practices and Performance
CITATION: Ngugi, J. W., & Moronge, M. (2020). Effects of supplier appraisal practices on performance of manufacturing firms in Nairobi County, Kenya. The Strategic Journal of Business & Change Management, 7(3), 500 – 510.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i3.1688
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