EFFECT OF SUPPLIER RISK MANAGEMENT PRACTICES ON SUPPLY CHAIN PERFORMANCE OF COUNTY PUBLIC REFERRAL HOSPITAL IN WESTERN REGION, KENYA

ROBERT OBARE ADALA, DR. JULIUS MIROGA (PhD), DR. ABRAHAM MALENYA (PhD)

Abstract


This study examined effect of supplier risk management practices on supply chain performance of County public referral hospital in Western Region, Kenya. The study was guided by dynamic risk management theory. Descriptive survey design was used in this study. The study was conducted in Western region focusing on four county public referral hospitals: Kakamega County Referral hospital, Busia County referral Hospital, Bungoma County referral hospital and Vihiga County Referral Hospital. The study targeted 102 respondents who included Supply chain officers, Hospital Medical Superintends, Hospital Administrators, County Directors of Health services, County Directors of Public Health, Pharmacist In charge, Nursing Officer in charge, Laboratory managers, Orthopediatric in Charge, Physiotherapists, Accountants, Hospital Nutritionist, Hospital Caterers and Finance Officers. Stratified random sampling and simple random technique was used to select 81 respondents from the four County public referral hospitals. Primary data was collected using well-designed structured questionnaires. Quantitative data was analyzed using descriptive and inferential statistics. The data was presented in form of tables and graphs. The study found out that the County Public referral hospitals carried out identification of potential risk in supply chain, carried out on-site investigation of existence of risk and carried out joint training sessions with suppliers. However, they moderately carried out joint risk workshops with their suppliers and dual sourcing is fairly preferred to balance risks. The study further found that supply risk management practices positively and significantly influence supply chain performance of County public referral hospital in Western Region, Kenya. The study concluded that supplier risk management practices significantly determine the supply chain performance of County public referral hospital in Western Region, Kenya. This study recommended that the County public referral hospital should formulate policies to enhance frequent identification of potential risk in supply chain and onsite investigation of existence of risk. Further the study also recommended that County public referral hospital should carry out joint risk workshops with our suppliers.

Key Words; Supplier Risk Management, Supply Chain Performance, Western Kenya Region County Public Referral Hospitals

CITATION:  Adala, R. O., Miroga, J., & Malenya, A. (2022). Effect of supplier risk management practices on supply chain performance of County Public Referral Hospital in Western Region, Kenya. The Strategic Journal of Business & Change Management, 9 (1), 236 – 250.


Full Text:

PDF

References


AfriCOG (2015). Public Procurement in Kenya’s Counties: Experiences from three counties. African Center for Open Governance. Nairobi.

Agi, M. A., Faramarzi-Oghani, S., & Hazır, Ö. (2021). Game theory-based models in green supply chain management: a review of the literature. International Journal of Production Research, 59(15), 4736-4755.

Ahmad, S., Hadyait, M. A., & Rashid, M. M. (2019). Effect Of Supply Chain Risk Management On Organization Performance: A Case Study Of National Foods Manooabad Muridke District Sheikhupura. Economic Review, 1(01), 1-7.

AMBET, T. O. (2017). Effect of lean practices on operational performance of Vihiga county government, Kenya (Doctoral dissertation, Maseno University).

Apopa, V. A. (2018). Influence of supply chain management practices on performance of government ministries in Kenya (Doctoral dissertation, JKUAT-COHRED).

Arzu Akyuz, G., & Erman Erkan, T. (2016). Supply chain performance measurement: a literature review. International journal of production research, 48(17), 5137-5155.

Asante, A. (2016). Factors affecting procurement performance in public sectors in Ghana: A case of Kintampo Municipal Assembly. Unpublished Project, Kwame Nkrumah University of Science and Technology.

Barasa, P. W., Namusonge, G. S., & Iravo, M. A. (2015). Contributions of green supply chain management practice on performance of steel manufacturing companies in Kenya. Journal of Developing Country Studies, 5(19), 44-52.

Blackhurst, J., Dunn, K. S., & Craighead, C. W. (2011). An empirically derived framework of global supply resiliency. Journal of business logistics, 32(4), 374-391.

Calignano, G., & Vaaland, T. I. (2017). Supplier Development in Tanzania; Experiences, expectations and motivation. The Extractive Industries and Society, 4(2), 385-397.

Cao, M., & Zhang, Q. (2015). Supply chain collaboration: Impact on collaborative advantage and firm performance. Journal of operations management, 29(3), 163-180.

Faghih, N., Dastourian, B., Sajadi, S. M., Henten, A., & Foroudi, P. (2018). A framework for business model with strategic innovation in ICT firms: The importance of information. The Bottom Line.

Fox, A. (2021). Review of Deidealizing Relational Theory: A Critique fromWithin and Decentering Relational Theory: A Comparative Critique by Lewis Aron, Sue Grand, and Joyce A. Slochower (Eds.). 2018. Routledge.

Ghobakhloo, M., Fathi, M., Fontes, D. B. M. M., & Ching, N. T. (2018). Modeling lean manufacturing success. Journal of Modelling in Management.

Gichuru, M., Iravo, M., & Arani, W. (2015). Collaborative Supply Chain Practices on Performance of Food and Beverages Companies: A Case Study of Del Monte Kenya Ltd. International Journal of Academic Research in Business and Social Sciences, 5(11), 17-31.

Gumboh, J. (2017). Effect of supply chain collaboration on the strength of business-to-business relationship amongst information and communication technology of Small and Medium Enterprises in Kenya (Doctoral dissertation, COHRED, JKUAT).

Hair, E., Halle, T., Terry-Humen, E., Lavelle, B., & Calkins, J. (2006). Children's school readiness in the ECLS-K: Predictions to academic, health, and social outcomes in first grade. Early Childhood Research Quarterly, 21(4), 431-454.

Hudnurkar, M., Jakhar, S., & Rathod, U. (2014). Factors affecting collaboration in supply chain: a literature review. Procedia-Social and Behavioral Sciences, 133, 189-202.

Ismai, N., Kinchin, G., &Edwards, J. A. (2018). Pilot study, does it really matter? learning lessons from conducting a pilot study for a qualitative PhD research proposal. International Journal of Social Science Research, 6(1), 1-17.

Ismail, N., Kinchin, G., & Edwards, J. A. (2018). Pilot study, Does it really matter? Learning lessons from conducting a pilot study for a qualitative PhD thesis. International Journal of Social Science Research, 6(1), 1-17.

Javanmardi, E., & Liu, S. (2019). Exploring grey systems theory-based methods and applications in analyzing socio-economic systems. Sustainability, 11(15), 4192.

Javaid and Siddiqui (2018) analyze the impact of supply chain risk management factors on supply chain responsiveness which in turn enhance the supply chain performance of firms operating in Pakistan.

Kimberlin, C. L., & Winterstein, A. G. (2008). Validity and reliability of measurement instruments used in research. American journal of health-system pharmacy, 65(23), 2276-2284.

Kothari, C. R (2011). Research Methodology. Methods and Techniques (2nd ed.). New Delhi: New Age International Publishers.

Krop, E. & Iravo, M. A. (2016). Effects of supplier selection on performance

of procurement function in public sector: A case of West Pokot County government. International Academic Journal of Procurement and Supply Chain Management, 2 (2), 51-73

Macharia, A. (2014). Lean procurement and supply chain performance at Safari com limited. unpublished Master Thesis, University of Nairobi.

Mahulo, E. (2015). Supply chain management practices and performance of cement companies in Kenya (Doctoral dissertation, University of Nairobi).

Marks, B., & Barkman, S. (2007, May). Developing Suppliers in a Lean Environment-Supplier Competency Model. In 92nd Annual International Supply Management Conference.

Masaku, E. N., Ogol, C., & Moronge, M (2018). Role of integrated financial management information system (ifmis) on procurement performance in government ministries in Kenya: A Case of ministry of health. The Strategic Journal of Business & Change Management, 5(2), 1546 – 1566.

Mesa, R. N., Kwasira, J., &Waweru, L. (2017). Determinants of procurement performance in judiciary department at the Nakuru Law Courts, Kenya. International Journal of Economics, Commerce and Management, 5(12), 311-344

Mohajan, H. (2017). Two criteria for good measurements in research: Validity and reliability. Annals of SpiruHaret University, 17(3), 58-82.

Morgenstern, O. (2014). On some criticisms of game theory. Princeton University, Econometric Research Program.

Mrope, N. P. (2017). The effect of professionalism on performance of procurement function in the public sector: experience from the Tanzanian Public Entities. International Journal of Business and Management Review, 5(6), 48-59.

National Coordinating Agency for Population and Development (NCAPD) [Kenya], Ministry of Medical

Services (MOMS) [Kenya], Ministry of Public Health and Sanitation (MOPHS) [Kenya],

Njagi, C. K., &Kinoti, J. (2018). Determinants of electronic procurement implementation in county governments in Kenya. The Strategic Journal of Business & Change Management, 5(1), 14 – 27.

Njeru, S. E., Ngugi, P. N., Arasa, R., &Kahiri, J. (2014). Procurement policies and implementation of effective procurement practices in tertiary public training institutions in Kenya. Journal of Management and Business Studies 3(4), 166-170.

Nyaberi, D. N. (2020). Supplier Development Management Practices and Organizational Performance of Manufacturing Firms in Kenya (Doctoral dissertation, JKUAT-COHRED).

Obinda, R. A., & Gichure, J. (2017). Effects Of Supplier Selection On Supply Chain Performance; Case Of Nairobi City County. The International Journal of Advanced Manufacturing Technology, 95(9), 3609-3629.

Ochieng, B. E. (2018). Influence of Supplier Management on Performance of Retail Chain Stores in Nairobi City County, Kenya. Journal of International Business, Innovation and Strategic Management, 2(4), 102-119.

Odhiambo, V. A. (2015). Supplier selection practices and procurement performance in Nairobi City county (Doctoral dissertation, University of Nairobi).

Oduma, E. O., & Getuno, P. (2017). Effects of procurement regulations on performance of public secondary schools in Nairobi City County, Kenya. International Journal of Innovative Social Sciences & Humanities Research, 5(3), 50-68.

Ogden, J. A., Petersen, K. J., Carter, J. R., & Monczka, R. M. (2015). Supply management strategies for the future: a Delphi study. Journal of Supply Chain Management, 41(3), 29-48.

Okonjo, E., Magutu, P., & Nyaoga, R. (2016). Procurement risk management practices and supply chain performance among mobile phone service providers in Kenya. Management Science Letters, 6(2), 141-156.

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. Journal of Purchasing and Supply Management, 16(1), 41-50

Ondieki, J. N., & Oteki, E. B. (2015). Effect of supplier relationship management on the effectiveness of supply chain management in the Kenya public sector.

Opaleye, M. A., Ojelade, M. O., & Aremu, A. B. (2020). Effects of Supplier Relationship Management Practices on Performance of Quoted Food and Beverage Firms in Nigeria. IIARD International Journal of Economics and Business Management 6(2), 23-45

Patrucco, A. S., Luzzini, D., &Ronchi, S. (2017). Research perspectives on public procurement: content analysis of 14 years of publications in the journal of public procurement. Journal of Public Procurement, 17(2), 229-269

Peters, H. (2015). Game theory: A Multi-leveled approach. Springer.

Rahi, S. (2017). Research design and methods: a systematic review of research paradigms, sampling issues and instruments development. International Journal of Economics and Management, 6(2), 2-5. doi: 10.4172/2162-6359.1000403

Raj, A., Biswas, I., & Srivastava, S. K. (2018). Designing supply contracts for the sustainable supply chain using game theory. Journal of cleaner production, 185, 275-284.

Ramanathan, U. (2014). Performance of supply chain collaboration–A simulation study. Expert Systems with Applications, 41(1), 210-220.

Republic of Kenya, (2019).Delivery of Health Services, Report and Recommendations. Nairobi: Government

Printer.

Sharma, G. (2017). Pros and cons of different sampling techniques. International journal of applied research, 3(7), 749-752.

Shepherd, C., & Günter, H. (2015). Measuring supply chain performance: current research and future directions. Behavioral operations in planning and scheduling, 105-121.

Sindiga, L. K., Paul, S. N., & Mbura, L. K. (2019). Influence of procurement management practices on performance of construction firms in Nairobi County, Kenya. International Academic Journal of Procurement and Supply Chain Management, 3(1), 143-163.

Szwejczewski, M., Goffin, K., Lemke, F., Pfeiffer, R., & Lohmüller, B. (2014). Supplier management in German manufacturing companies‐An empirical investigation. International Journal of Physical Distribution & Logistics Management.

Taherdoost, H. (2016). Sampling methods in research methodology; how to choose a sampling technique for research. How to Choose a Sampling Technique for Research (April 10, 2016).

Vasnani, N. N., Chua, F. L. S., Ocampo, L. A., & Pacio, L. B. M. (2019). Game theory in supply chain management: Current trends and applications. International Journal of Applied Decision Sciences, 12(1), 56-97.

Waithira, A. (2018). Effect of supplier Management Practices on the performance of manufacturing firms in Kenya. GSJ, 6(8), 669.

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.

Weeks, M. P., & Namusonge, G. S. (2016). Influence of information technology practices in procurement on procurement performance in public institutions in Kenya, a case of Jomo Kenyatta University of agriculture and technology. International Journal Of Economic, Commerce And Management, 4(5), 484-502.

Zhou, Y. N., & Zhu, Y. A. (2012). Algorithm for adjusting weights of decision-makers in multi-attribute group decision-making based on grey system theory. Control and Decision, 27(7), 1113-1116.

Zohrabi, M. (2013). Mixed method research: instruments, validity, reliability and reporting findings. Theory and Practice in Language Studies, 3(2), 254-262.”




DOI: http://dx.doi.org/10.61426/sjbcm.v9i1.2177

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution 3.0 License.

PAST ISSUES:
20242023202220212020201920182017201620152014
Vol 11, No 4 [2024]Vol 10, No 4 [2023]Vol 9, No 4 [2022]Vol 8, No 4 [2021]Vol 7, No 4 [2020]Vol 6, No 4 [2019]Vol 5, No 4 [2018]Vol 4, No 4 [2017]Vol 3, No 4 [2016]Vol 2, No 2 [2015]Vol 1, No 2 [2014]
 Vol 11, No 3 [2024] Vol 10, No 3 [2023] Vol 9, No 3 [2022]Vol 8, No 3 [2021]Vol 7, No 3 [2020]Vol 6, No 3 [2019]Vol 5, No 3 [2019]Vol 4, No 3 [2017]Vol 3, No 3 [2016]Vol 2, No 1 [2015]Vol 1, No 1 [2014]
 Vol 11, No 2 [2024] Vol 10, No 2 [2023] Vol 9, No 2 [2022]Vol 8, No 2 [2021]Vol 7, No 2 [2020]Vol 6, No 2 [2019]Vol 5, No 2 [2018]Vol 4, No 2 [2017]Vol 3, No 2 [2016]  
 Vol 11, No 1 [2024] Vol 10, No 1 [2023] Vol 9, No 1 [2022]  Vol 8, No 1 [2021]Vol 7, No 1 [2020]Vol 6, No 1 [2019]Vol 5, No 1 [2018]Vol 4, No 1 [2017]Vol 3, No 1 [2016]   


Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.