DETERMINANTS OF SUPPLY CHAIN OPTIMIZATION IN MANUFACTURING FIRMS IN KENYA: A CASE OF BIDCO OIL REFINERIES LIMITED
Abstract
The main objective of this study was to assess the effect of Supply Chain Optimization on Supply Chain Performance in manufacturing sector in Kenya with Bidco Oil Refineries Limited as the case study. The study was guided by the following specific objectives: to assess the effect of outsourcing on supply chain performance in manufacturing sector in Kenya and to determine the effect IT integration on supply chain performance in manufacturing sector in Kenya. In this regard, the employees of Bidco Oil Refineries Limited were the target population. The study targeted 400 employees Bidco Oil Refineries Limited but only 80 respondents constituted the sample population. The study adopted a descriptive research design. Questionnaires were the major instrument for data collection. Both qualitative and quantitative data was collected in this study. The quantitative data collected was analyzed further for both inferential and descriptive statistics by use of the SPSS. It was notable that there existed a strong positive relationship between the independent variables and dependent variable. This implied that outsourcing and ICT integration are very significant therefore need to be considered in any effort to boost supply chain optimization in the manufacturing firms in Kenya. The study could not exhaust all the factors affecting supply chain optimization of manufacturing firms in Kenya. Therefore other factors affecting the supply chain optimization in manufacturing firms in Kenya need to be established. A review of literature indicated that there has been limited amount of research on the supply chain optimization of manufacturing firms in the Kenyan context. Thus, the findings of this study serve as a basis for future studies on the role of independent variables studied on supply chain optimization of manufacturing firms.
Key Words: Outsourcing, IT Integration, Supply Chain
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DOI: http://dx.doi.org/10.61426/sjbcm.v4i3.523
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