INFLUENCE OF ADOPTION OF PROCUREMENT TECHNOLOGY ON PERFORMANCE OF AGROCHEMICAL FIRMS IN KENYA

MERCY WAMBUI KIIGE, DR. MAKORI MORONGE (Ph.D)

Abstract


This study sought to find the influence of procurement technology adoption on performance of agro chemical firms in Kenya. The study adopted a descriptive design to relate the independent variables namely virtual storage, e-MRO, e-transactions, virtual storage, and enterprise resource planning, with organization performance as the dependent variable. The target population of this study comprised of heads of procurement and ICT departments of the 80 agrochemical firms in Kenya. The study collected primary data from the respondents by the use of structured questionnaires that was issued to the lead of ICT and lead of procurement departments. Descriptive statistics was used to analyze data on the matters of procurement technology adoption and organization performance. On the other hand, the connection between procurement technology adoption and organization performance was analyzed through correlation and regression analysis, conducted with the aid of SPSS. The outcomes were presented using tables accompanied by explanations. The study concluded that enterprise resource planning, e-transactions, virtual storage and E-MRO all have an affect performance in agrochemical firms in Kenya. This study recommended adoption of virtual storage by Agro chemical firms in Kenya this would help to allow Agro chemical firms to open new lines of products and diversify revenue streams without making a big investment, the costs of opening an online store were much lower than if compared to cost of opening a local business and that virtual storage would enable Agro chemical firms reach a worldwide market of internet users, not just the local market of a physical store. This study recommended as well  adoption of E-MRO system by Agro chemical firms in Kenya.

Key Words: Enterprise Resource Planning, E-Transactions, Virtual Storage, E-MRO Procurement, Agro Chemical Firms

 


Full Text:

PDF

References


Agro Chemicals Association of Kenya (2017). The 2017, Final Annual Report

Apanasevic, T. (2013).Factors influencing the Slow Rate of Penetration of NFC Mobile Payment in Western Europe. In ICMB(p. 8)

Balano, J., & Nachev, N. (2014). Maintenance Repair Operations E-Procurement: A Multiple Case Studies on Small-Sized Companies in the Netherlands.

Barney, J. B. (2001). Resource-based theories of competitive advantage: A ten-year retrospective on the resource-based view. Journal of management, 27(6), 643-650.

Basel, E. B. (2006). The role of information technology in procurement in the top 200 companies in Switzerland.

Basheka, B. C., & Bisangabasija, E. (2009). Determinants of Unethical Public Procurement in Local Governments Systems of Uganda: A Case Study. International Journal of procurement Management, 91-104

Boudijilda, N., & Pannetto, H. (2013). The European Public Procurement Initiative and Standards for Information Exchange. Journal of Management Science, 651-874.

Bozarth, C., Handfield, R., & Das, A. (2008). Stages of Global Sourcing Strategy Evolution: An Exploratory Study. Journal of Operations Management, 241-255.

Charko, G., Adam, L., & Ghee, P. (2010). Chinese Public Finance Frame work. Annals of Public and Cooperative Economics, 87-102.

De Reuver, Verschuur, Nikayin, Cerpa, &Bouwman, (2015). Collective action for mobile payment platforms: A case study on collaboration issues between banks and telecom operators. Electronic Commerce Research and Applications, 14(5), 331-344.

DHL Report (2009) MRO: Indirect Supply “Dri ing New Efficiencies in the Indirect Supply Chain. A White Paper from the Americas Leader in Supply Chain Management.

DiMaggio, P. J., & Powell, W. W. (Eds.). (1991). The new institutionalism in organizational analysis (Vol. 17). Chicago, IL: University of Chicago Press.

Doherty, N. F., McConnell, D. J., & Ellis-Chadwick, F. (2013).Institutional responses to electronic procurement in the public sector. International Journal of Public Sector Management, 26(6), 495-515

Donaldson, L. (2001). The contingency theory of organizations. Sage.

Foroughi, A (2012). MRO and eProcurement: Opportunities and Challenges, College of Business, University of Southern Indiana

Gelderman, C. J., Semeijn, J., & Lek, I. (2008). Analysis of e-marketplace attributes: assessing the NATO Logistics Stock Exchange. OPEN UNIV HEERLEN (NETHERLANDS).

Gelderman, C. J., Semeijn, J., and Lek I. (2008) “Analysis of E-marketplace attributes:Assessing the NATO logistics stock e hange” International Journal of Defence Acquisition Management, Vol. 1, pp. 1-21.

Groznik, A., &Manfreda, A. (2015).E-Invoicing and e-government–impact on business processes.Diem, 2(1), 204-217.

Gunasekaran A. McGaughey R E. Ngai E.W.T. and Rai B.K. (2009) ”E-Procurement adoption in the Southcoast SMEs” International Journal of Production Economics, Vol. 122, pp. 161–180

Heiser, J. & Nicolett, M. (2008), Assessing the security risks of cloud computing. Gartner Report

Helfat, C. E., & Peteraf, M. A. (2003). The dynamic resource‐based view: Capability lifecycles. Strategic management journal, 24(10), 997-1010.

Hugos, M. H. (2018). Essentials of supply chain management. John Wiley & Sons.

Johnson, P., Buehring, A., Cassell, C., and Symon, G., (2014). "Defining qualitative management research: an empirical investigation", Qualitative Research in Organizations and Management: An International Journal, Vol. 2 Iss: 1, pp.23 – 42

Jun, K. N., & Weare, C. (2010). Institutional motivations in the adoption of innovations: The case of e-government. Journal of Public Administration Research and Theory, 21(3), 495-519.

Kakwezi, P., & Nyeko, S. (2010). Procurement processes and performance: Efficiency and effectiveness of the procurement function. Retrieved April, 3(2011), 1-22.

Kenya Flower Council (2015). The Flower Industry in Kenya and Market Data.

Kramer, W. J., Jenkins, B., & Katz, R. S. (2007). The role of the information and communications technology sector in expanding economic opportunity. Cambridge, MA: Kennedy School of Government, Harvard University.

Larsson, T. and Strandberg, D. (2010). How Purchasing Process Can Be Automated & Its Effect on the Supplier Relationship. Master Thesis; Jonkoping International Business School

Lawrence, P. R., & Lorsch, J. W. (1967). Managing differentiation and integration. Organization and environment, 2(2), 267-274

Li, H. and Yang, T., (2011), “Research on the procurement platform for MRO materials based ecommerce”, in Management and Service Science (MASS), international conference, IEEE Xplore Digital Library, pp. 1-5

Mabert, V. A., Soni, A. K., & Venkataramanan, M. A. (2010). Enterprise Resource Planning Survey of US Manufaturing Firms. Production and Inventory Management Journal, 52-58.

Masaku, E. N. (2018). Role Of Integrated Financial Management Information System (Ifmis) On Procurement Performance In Government Ministries In Kenya: A Case Of Ministry Of Health. Strategic Journal of Business & Change Management, 5(2).

Muyanga, M., & Jayne, T. S. (2008). Private agricultural extension system in Kenya: Practice and policy lessons. Journal of agricultural education and extension, 14(2), 111-124.

Olali, E., & Nyamwange, O. (2015). Integrated Financial Management Information System Adoption and Public Procurement Performance in Kenya. Master's Thesis, University of Nairobi.

Onyango, C. J. (2014). Effects of procurement planning on institutional performance: A case study of Mombasa Law Court. International Journal of Science and Research (IJSR), 3(11), 446-455.

Papageorgiou, L. G. (2009). Supply chain optimisation for the process industries: Advances and opportunities. Computers & Chemical Engineering, 33(12), 1931-1938.

Pearson, S., Shen, Y. &Mowbray, N., (2009), A privacy manager for cloud computing. In: Cloud Computing: Springer, 90-106

Puschmann, T., & Alt, R. (2005). Successful use of e-procurement in supply chains. Supply Chain Management: An International Journal, 10(2), 22-133.

ROK (Republic of Kenya), 2009. Economic Survey Report, Ministry of Agriculture, Government Printers, Nairobi, Kenya

Sabourin, V. (2015). Commercial opportunities and market demand for nanotechnologies in agribusiness sector. Journal of technology management & innovation, 10(1), 40-51.

Shale, N. I., Iravo, M., & Guyo, W. (2014). Role of Procurement Strategy on the Performance of State Corporations in Kenya. Nairobi: Unpublished Dissertation.

Sitanda, K.E. (2013). Response strategies adopted by agrochemical companies to the challenges of agrochemical distribution in Kenya (Doctoral Dissertation, University of Nairobi).

Tidd, J. (2001). Innovation management in context: environment, organization and performance. International Journal of Management Reviews, 3(3), 169-183.

Vernimmen, T., Verbeke, W., & Van Huylenbroeck, G. (2000). Transaction cost analysis of outsourcing farm administration by Belgian farmers. European Review of Agricultural Economics, 27(3), 325-345.

Wang, D, & Feng, D. (2010), A hypervisor-based secure storage scheme. In: 2nd International Conference on Networks Security, Wireless Communications and Trusted Computing, NSWCTC 2010, April 24, 2010 - April 25, 2010 Wuhan, Hubei, China: IEEE Computer Society, 81-86

Wei, L. Q., & Lau, C. M. (2008). The impact of market orientation and strategic HRM on firm performance: The case of Chinese enterprises. Journal of International Business Studies, 39(6), 980-995.

Weiss, A. (2012), Computing in the clouds, Network of ACM, 11(4): 16-25

Wernerfelt, B. (1984). A resource‐based view of the firm. Strategic management journal, 5(2), 171-180.

Wiesner, E. (2017). Transaction cost economics and public sector rent-seeking in developing countries: toward a theory of government failure. In Evaluation and Development (pp. 108-131). Routledge.

Williamson, O. E. (1979). Transaction-cost economics: the governance of contractual relations. The journal of Law and Economics, 22(2), 233-261.

Williamson, O. E., & Masten, S. E. (Eds.). (1995). Transaction Cost Economics: Theory and Concepts (Vol. 54). Edward Elgar Pub.

Wu, K., Chen, L., & Li, Y. (2015). A Trusted-based Cloud Computing Virtual Storage System and Key Technologies. International Journal of Computers Communications & Control, 10(4), 579-592.

Yamin, S., & Mavondo, F. T. (2015). Organizational Innovation: Relationship with Functional Strategies and Organizational Performance. Academy of Marketing Science Annual Conference (pp. 296-301). Springer International Publishing




DOI: http://dx.doi.org/10.61426/sjbcm.v5i4.901

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.