INFLUENCE OF INVENTORY MANAGEMENT PRACTICES ON PROCUREMENT PERFORMANCE OF JUDICIARY; A CASE OF LAW COURTS IN KAKAMEGA COUNTY
Abstract
This study investigated the influence of inventory management practices on procurement performance of judiciary; A case of Law Courts in Kakamega County. The specific objectives were; to determine the influence of Just in Time inventory management practices on procurement performance of Judiciary in Kenya; investigate the influence of vendor managed inventory management practices on procurement performance of Judiciary in Kenya and establish the influence of economic order quantity inventory management practices on procurement performance of Judiciary in Kenya. The study was guided by Theory of Supply Chain Constraints, lean theory and economic order quantity theory. Correlational research design was applied. The study targeted 71 respondents from four law courts in Kakamega County; Butali, Butere, Mumias and Kakamega Law Courts. Census sampling techniques was adopted. Primary data was collected using self-administered structured questionnaire. Pilot study was conducted in Bungoma Law courts to establish validity and reliability of research instruments. Quantitative data was analyzed using descriptive and inferential statistics. Descriptive analysis summarized data in form of central tendency as well as dispersion and inferential analysis was used to test hypothesis at a significance level of 0.05. Descriptive analysis included; frequencies, Mean, Standard deviation and percentage while inferential analysis involved correlation analysis and multiple linear regression analysis. The study established that Just in Time inventory management practices, vendor managed inventory management and economic order quantity inventory management practices influenced procurement performance of the law courts in Kakamega County. The study concluded that inventory management practices influenced procurement performance of judiciary. The study recommended that the Judiciary should use Just in Time inventory management to reduce the stock and the carrying cost associated in the organization. Further, Judiciary should adopt Economic Order Quantity in order to know the quantity of stock to order at any given time and the Judiciary should also use Vendor Managed Inventory to allow flexibility of the user demand.
Key Words: Just In Time, Vendor Managed, Economic Order Quantity, Inventory Management
CITATION: Nyawanga, F. K., & Otinga, H. (2021). Influence of inventory management practices on procurement performance of judiciary; A case of law courts in Kakamega County. The Strategic Journal of Business & Change Management, 8 (1), 364 – 383.
Full Text:
PDFReferences
Agbola, R. M., & Amoah, A. (2019). Coding Systems and Effective Inventory Management of SMEs in the Ghanaian Retail Industry. Central Inquiry, 1(1), 46-65.
Agboyi, M. R., & Obiri-Yeboah, D. A. (2015). The impact of sourcing on the delivery of raw material. International Journal of Advanced Research in Computer Science and Software Engineering, 5(8), 108-122.
Allen, A. O. (2008). Probability, statistics, and queueing theory with computer science applications. Boston, MA: Academic Press, Inc
Bett. K. (2018). Inventory Management Practices And Operational Performance Of Small And Medium Enterprises In Kenya: A Study Of Pharmaceutical Manufacturers In Nairobi, Kenya (Doctoral Dissertation, School Of Business, University Of Nairobi)
Bicheno, J. (2014). Supplier partnerships. National institute for manufacturing
management
Bovis, C. (2016). The Regulation of Public Procurement as a Key Element of European Economic Law. European Law Journal, 4(2), 220
Boyd, L., & Gupta, M. (2014). Constraints management. International Journal of Operations & Production Management.
Chalotra, V. (2013). Inventory Management and Small Firms Growth: An Analytical
Study in Supply Chain. Vision, 17(3), 213-222
Chemoiywo, P. K. (2014). Public procurement procedures and supply chain performance in state corporations in Kenya (Doctoral dissertation, University of Nairobi).
Chifuti, C., & Kasongo, R. M. (4840). Factors Affecting Procurement Performance In Non-Governmental Organization In Zambia. International Journal of Supply Chain Management, 5(1), 87-101.
Chinchuluun, A., Karakitsiou, A. & Mavrommati, A. (2016). Game Theory Models and
Their Applications in Inventory Management and Supply Chain. Pareto
Optimality, Game Theory and Equilibria, 54, 833-865
Coviello, D., Guglielmo, A., & Spagnolo, G. (2018). The effect of discretion on procurement performance. Management Science, 64(2), 715-738.
David, K. G., & Shalle, N. (2014). An assessment of the effects of reverse logistics adoption on supply chain performance in the manufacturing sector in kenya: a case of Hewlett-Packard Kenya. Eur. J. Bus. Manage, 2(1), 161-173.
Erickson, H., & Kovalainen, L. (2008). The triple - A supply chain. Harvard Business
Review on Supply Chain Management, 3, 87-115.
Farzaneh, D. P. (2012). The Effect of inventory management on firm performance.
International Journal of Productivity and Performance Management, 57(5), 355-369.
Flores, B. E., & Whybark, D. C. (2017). Implementing multiple criteria ABC analysis. Journal of Operations Management, 7(1-2), 79-85.
Gitau, R. W. (2016). Inventory management practices and organizational productivity in parastatals in kenya (Doctoral dissertation, University of Nairobi).
Hellen, K, & Patrick, I. (2019). Role of Information Technology On Supply Chain Performance In Public Institutions In Kenya: A Case Of The Judiciary Of Kenya. International Journal of Logistics and Procurement Management, 1(1).
Hitimana, C. H. (2018). Inventory Management Practices And Supply Chain Performance Of Construction Firms In Nairobi.
Kaaria, H., & Mwangangi, P. (2019). Role Of Information Technology On Supply Chain Performance In Public Institutions In Kenya: A Case Of The Judiciary Of Kenya. International Journal of Logistics and Procurement Management, 1(1).
Kakwezi, P., & Nyeko, S. (2019). Procurement processes and performance: Efficiency and effectiveness of the procurement function. International Journal of Social Sciences Management and Entrepreneurship (IJSSME), 3(1).
Kamau, L. W., & Kagiri, A. W. (2015). Influence of inventory management practices on organizational competitiveness: A case of Safaricom Kenya Ltd. International Academic Journal of Procurement and Supply Chain Management, 1(5), 72-98.
Kazemi, N., Abdul-Rashid, S. H., Ghazilla, R. A. R., Shekarian, E., & Zanoni, S. (2018). Economic order quantity models for items with imperfect quality and emission considerations. International Journal of Systems Science: Operations & Logistics, 5(2), 99-115.
Kembero, M. E., & Ombui, D. K. (2018) Determinants of Procurement Performance in Public Entities in Kenya: A Case of Kenya School of Law. International Journal of Scientific and Research Publications, Volume 8, Issue 5
Kerubo, N. (2017). An Assesment On The Effects Of Lead-Time Management Techniques On Procurement Performance: A Case Of Kisii Teaching And Referral Hospital.
Kiage, J. O. (2017). Factors affecting procurement performance: A case of ministry of energy. International journal of business and commerce, 3(1), 54-70.
Kiboko, A. B. (2017). Inventory Management Practices and Operational Performance of Hotels in Mombasa, Kenya (Doctoral dissertation, University of Nairobi).
Kimani, L. G. (2018). Effect of Inventory Management Practices on Operational Performance of Kenya Power & Lighting Company Limited (Doctoral dissertation, university of nairobi).
Kinyanjui, M. W. (2016). Inventory Management Practices and Performance of World Food Programme Partners in Kenya (Doctoral dissertation, University of Nairobi)
Kinyua, D. (2016). Inventory management practices and performance of consumer goods manufacturing firms in Nairobi Kenya (Doctoral dissertation, University of Nairobi).
Kioko, N. J., & Were, S. (2014). Factors affecting efficiency of the procurement function at the public institutions in Kenya, A case of Supplies Branch in Nairobi. International Journal of Business & Law Research, 2(2), 1-14.
Kippra, P. (2016). Public procurement policy in Kenya: The need for a coherent policy framework. Policy brief, (3).
Kiromo, E. M. (2015). Factors affecting procurement and supply chain performance in building construction firms in Nairobi (Doctoral dissertation, University of Nairobi).
Kobia, R. (2018). Inventory Management Practices and Operational Performance of Government Hospitals in Kenya (Doctoral dissertation, University of Nairobi).
Koul, S., Kumar, U., Kumar, V., & Verma, R. (2017). Mapping public procurement practices in India. International Journal of Knowledge Management Studies, 8(1-2), 99-114.
Kumar, R. (2016). Economic Order Quantity (EOQ) Model. Global Journal of finance and economic management, 5(1), 1-5.
Macharia, A. (2014). Lean procurement and supply chain performance at safaricom limited (Doctoral dissertation, University of Nairobi).
Makori, J. K., & Muturi, W. (2018). Influence Of Inventory Management Practices On Performance Of Procurement Function In Health Institutions In Kenya. A Survey Of Selected Public Health Institutions In Western Kenya. International Journal of Social Sciences and Information Technology 4(5)
Mamo, N. (2016). Effects of Adoption of Inventory Control System on Customer Service Delivery: A Case of Chuka University College of Tharaka Nithi County, Kenya. World Scientific News, 46, 145-164.
Mandal, S. (2012). An empirical investigation into supply chain resilience. IUP Journal of supply chain management, 9(4), 46.
Mazanai, M. (2012). Impact of just-in-time (JIT) inventory system on efficiency, quality and flexibility among manufacturing sector, small and medium enterprise (SMEs) in South Africa. African Journal of Business Management, 6(17), 5786-5791.
Mbae, L. N. (2018). Public procurement law and procurement performance of county governments in Kenya: Case of Machakos county government (Doctoral dissertation).
Mose, J. N., Ombui, K., & Iravo, M. (2018). Role of Supplier Selection Criteria on Procurementperformance in Public Universities In Kenya; A Case of Machakos University. The Strategic Journal of Business & Change Management, 5(2), 1294-1325.
Moywaywa. M. (2018). Inventory Management Practices And Operational Performance Of Kenya Animal Feeds Industry (Doctoral dissertation, UNIVERSITY OF NAIROBI).
Mrope, N. P. (2018). Determinants of performance of procurement departments in public entities in Tanzania (Doctoral dissertation, JKUAT-COHRED).
Mukopi, C. M., & Iravo, A. M. (2015). An analysis of the effects of inventory management on the performance of the procurement function of sugar manufacturing companies in the Western Kenya Sugar Belt. International Journal of Scientific and Research Publications, 5(5), 1-14.
Mulumba, A. (2016). Inventory management practices and financial performance of manufacturing firms in Kenya: case of Agrochemical Firms (Doctoral dissertation, KCA University).
Munyao, R. M., Omulo, V. O., Mwithiga, M. W., & Chepkulei, B. (2015). Role of Inventory Management Practices on Performance of Production Department. A Case of Manufacturing Firms. International Journal of Economics, Commerce and Management, 3(5), 1625-1656.
Mutangili, S. K. (2019). Influence of Strategic Procurement Policies on Supply Chain Performance of County Governments in Kenya; A case of Nairobi County. Journal of Procurement & Supply Chain, 3(3), 1-20.
Mwangi, L. (2016). The effect of inventory management on firm profitability and operating cash flows of Kenya Breweries Limited, beer distribution firms in Nairobi county (Doctoral dissertation).
NdiranguKung’u, J. (2016). Effects of Inventory Control on Profitability of Industrial and Allied Firms in Kenya. IOSR Journal of Economics and Finance (IOSR-JEF), 7(6), 9-15.
Ndubuisi, A. N., Uche, E. P., & Chinyere, O. J. (2018). Inventory management and financial performance: evidence from brewery firms listed on Nigeria stock exchange. International Journal of Research in Business, Economics and Management, 2(3).
Ngei, N. M., & Kihara, A. (2017). Influence of inventory management systems on performance of gas manufacturing firms in Nairobi city county, Kenya. International Journal of Business & Law Research, 5(2), 21-39.
Ngugi, J. K., KIPKOGEI, J. A., Maroko, P. M., & NGUGI, P. K. (2012). Influence of vendor inventory management on organizational performance in retail outlets in Kenya: A case of Uchumi supermarkets. International Journal of Business and Social Research, 2(7), 62-69.
Njoroge, M. W. (2015). Inventory management practices and performance of public hospitals in Kenya (Doctoral dissertation, University of Nairobi).
Nowakowska-Grunt, J., & Moroz, E. (2013). Theory of constraints as an effective tool for supply chain management. Advanced logistic systems, 7(1), 71-78.
Nwogwugwu, N., & Adebayo, A. O. (2015). Appraisal of integrity in public procurement processes in Nigeria. Journal of Business and Management, 17(7), 110-115.
Nzau, A., & Njeru, A. (2014). Factors affecting procurement performance of public universities in Nairobi County. International Journal of Social Sciences and project planning management, 1(3), 147-156.
Obiri-Yeboah, H., Ackah, D. & Makafui, R. A. (2015). Assessing the Impact of Efficient
Inventory Management in on Organization. International Journal of Advanced
Research in Computer Science and Software Engineering, 5(8), 86-103
Obura, C. O. (2015). Influence of vendor managed inventory on organization performance in a manufacturing industry: A case of Unilever Kenya limited. International Academic Journal of Information Sciences and Project Management, 1(4), 19-29.
Ogbo, A. I. (2011). Production and Operations Management. Enugu: De-verge Agencies
Ltd
Okanda, S., Namusonge, G. S., & Waiganjo, E. (2017). Inventory management practice and the performance of the unit of Vaccines and Immunizations in the Minstry Health, Kenya. International Journal of Academic Research in Business and Social Sciences 2016, Vol. 6, No. 7
Omwoyo, J. N., Wanyoike, D. M., & Mbeche, W. (2019). Influence of Lean Procurement Initiatives on Supply Chain Agility in Manufacturing Firms in Nakuru County, Kenya. The International Journal of Business Management and Technology, Volume 3 Issue 5
Ontita, D. S. (2016). Inventory management approaches and performance of textile manufacturing firms in Kenya (Doctoral dissertation, University of Nairobi).
Onyango, S. M. (2016). Inventory management practices and service delivery of health humanitarian organizations in Kenya (Doctoral dissertation, University of Nairobi).
Panigrahi, R. R., Das, J. R., Jena, D., & Tanty, G. (2015). Advance Inventory Management Practices and Its Impact on Production Performance of Manufacturing Industry. Journal of, 11, 6.
Priyanka M. T. & Hemant R. T. (2015). Review of Inventory Management Strategies.
International Journal of Advanced Research in Engineering, Science and
Management, 1(1), 1-5
Puche, J., Ponte, B., Costas, J., Pino, R., & De la Fuente, D. (2016). Systemic approach to supply chain management through the viable system model and the theory of constraints. Production planning & control, 27(5), 421-430.
Ravinder, H., & Misra, R. B. (2014). ABC analysis for inventory management: Bridging the gap between research and classroom. American journal of business education.
Rotich, G. K., & Okello, B. (2015). Analysis of use of e-procurement on performance of the procurement functions of county governments in Kenya. International Journal of Economics, Commerce and Management, 3(6), 1381-1398.
Rukiya, A. M., & Kibet, Y. (2019). Effect of inventory management on customer satisfaction in public institutions of higher learning in Kenya. International Academic Journal of Procurement and Supply Chain Management, 3(1), 198-216.
Sahari, S., Tinggi, M., & Kadri, N. (2012). Inventory management in Malaysian construction firms: impact on performance. SIU Journal of Management, 2(1), 59-72.
Shafie, S. (2014). The Effectiveness of Vendor Managed Inventory (VMI) Towards Improving Supply Chain Management (SCM): A Contract Manufacturer perspective. Research report in partial fulfillment of the requirement for The degree of Master of Business Administration.
Shiferaw, B. (2015). Assessment Of The Existing Purchasing Policy And Practices And Its Effect On Performance: The Case Of Ethiopian Airlines (Doctoral dissertation, St. Mary's University).
Sporta, F. O. (2018). Effect of Inventory Control Techniques on Organization's,". The International Journal Of Business & Management, 6, 62.
Tungo, E. M. (2014). The influence of inventory management practices On organizational financial perfomance: case Study: National Microfinance Bank headquarters Dar es salaam (Doctoral dissertation, Mzumbe University).
Wafula, M. A. (2016). Inventory management and operational performance in the oil marketing companies in Kenya (Doctoral dissertation, University of Nairobi).
Wanyonyi, S. C., & Muturi, W. (2015). Factors affecting performance of procurement function among public technical training institutions in Kisumu County, Kenya. International Journal of Economics, Commerce and Management, 3(5), 325-337.
Wauna, S., & Obwogi, J. (2015). An Assessment of the Effects of Inventory Management Procedures on Performance of Kengen. International Journal of Scientific and Research Publications, 5(10), 1-15.
DOI: http://dx.doi.org/10.61426/sjbcm.v8i1.1920
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 3.0 License.
PAST ISSUES:
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.