Influence of Environmental Audit on the Performance of Large Manufacturing Firms in Kenya

Abstract

The large manufacturing firms in Kenya have recently recorded a decline in performance. The study thus examined the influence of environmental audit on performance of large manufacturing firms in Kenya. The specific objectives were to examine the influence of environmental checks and verification strategies, environmental management plans strategies and environmental monitoring frequency on performance of large manufacturing firms in Kenya. The study utilized descriptive and explanatory research designs. The target population was 499 and a sample size of 336 was obtained using the Yamane formula. The study used questionnaires to collect the data. The findings of the study showed that environmental checks and verification strategies, environmental management plans strategies and environmental monitoring frequency can explain 41.3% of the variations in the performance of large manufacturing firms in Kenya. The regression results showed that environmental checks and verification strategies are positively and significantly related to performance of large manufacturing firms in Kenya (β=0.193, p=0.000). Environmental management plans strategies was found to be positively and significantly related to performance of large manufacturing firms in Kenya (β=0.536, p=0.000). Environmental monitoring frequencies was found to be positively and significantly related to performance of large manufacturing firms in Kenya (β =0.190, p=0.000). The study concluded that environmental checks and verification strategies, environmental management plans strategies and environmental monitoring frequency are significant in determining performance of large manufacturing firms in Kenya. The study recommended that large manufacturing firms should apply environmental checks and verification strategies, environmental management plans strategies and environmental monitoring frequency as one of the strategies to achieve and reinforce performance. The environmental audit be cemented in the organization policy since it contributes to the performance of large manufacturing firms in Kenya. Keywords: Environmental Audit, performance, large manufacturing firms, Kenya