Thesis:
Assessment of supply chain practices on performance of manufacturing firms in Kenya: A case study of Bidco Africa

Abstract

Bidco Africa's manufacturing sector is crucial to Kenya's economic advancement as it creates job opportunities and makes substantial contributions to the country's overall production and exports. Nevertheless, there is a dearth of research on the supply chain strategies employed by Bidco Africa as a manufacturing company and their impact on its overall performance. The study aimed to assess the influence of the supply and purchase management relationship on the performance of Bidco Africa. Additionally, it sought to evaluate the impact of logistics management and outsourcing practices on the performance of Bidco Africa. The study was based on various theories relevant to the problem statement, including the Transaction Cost Economics Theory, and the Resource Based Theory. The study utilized a descriptive research design and the target audience consisted of employees from Bidco Africa. This included Information Officers, Dispatch Coordinators, Lead Sales and Distributors, Warehouse and Logistics personnel, Sales Managers, Procurement Officers, and Sales Representatives. The study used the stratified random sampling technique and the 10% sample size determination technique was implemented. Subsequently, the systematic sampling method was employed to pick a sample population that is devoid of bias. Therefore, a sample size of 31 respondents was used. The questionnaires served as the main tools for collecting data, and the drop-off and pick-up technique was used for data collection. The data analysis was conducted using the Statistical Package for Social Sciences (SPSS) and Microsoft Excel. The results were presented through the use of tables, pie charts, and bar graphs. Both descriptive and inferential analysis techniques were also be utilized. The study concluded that Bidco Africa's performance is significantly influenced by supply chain management, logistics management, and outsourcing practices. Each of these factors positively and significantly impacts the company's performance. Specifically, regression analysis indicated that supply chain management contributes 63.4% to Bidco Africa's performance, logistics management accounts for 69.3%, and outsourcing practices have a 60.8% effect. The study recommended that future research should focus on several key areas to further enhance understanding of Bidco Africa’s supply chain dynamics. Additionally, exploring how sustainable supply chain practices affect brand equity and customer loyalty may reveal important long-term performance metrics. Comparative studies with other regional or global firms could help identify best practices and benchmarks, while case studies of specific supply chain disruptions and their resolutions would offer practical lessons on risk management and responsiveness. This comprehensive approach would not only deepen knowledge of Bidco Africa’s supply chain but also provide actionable recommendations for optimizing performance in a rapidly evolving market.

Cite this Publication
Kalevu, M. M. (2024). Assessment of supply chain practices on performance of  manufacturing firms in Kenya: A case study of Bidco Africa. Mount Kenya University. https://erepository.mku.ac.ke/handle/123456789/7760

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Mount Kenya University