Abstract

The purpose of this study was to establish the relationship between supply chain strategies and performance of large-scale manufacturing firms in Kenya by addressing three primary gaps in the literature. The research gaps include the research findings and results on the relationship between supply chain strategies and firm performance that have been contradicting and no attempt to clear the contradictions; biased and unbalanced analysis of the different measures of firm performance, and failure to use weighted scores to measure firm performance. Resource-Based View guided this study. A sample of one hundred and thirty-eight (138) firms was drawn using proportionate sampling from a population of six hundred and twenty-seven (627) large-scale manufacturing firms in Kenya. The response rate was seventy-five (75) percent. The correlation analysis and regression analysis models were used to test the hypotheses. The study findings indicate that Supply chain strategies are useful predictors of the firm’s performance as supply chain strategies explain 76.7 % of the changes in the firm’s performance.DOI:10.12660/joscmv8n2p1-22 URL: http://dx.doi.org/10.12660/joscmv8n2p1-22

Highlights

  • The concept of supply chain management (SCM) has been the subject of numerous studies in operational management, purchasing, logistics, and marketing

  • There are a number of constructs like supply chain strategy and technology that can be used in these diverse research domains as there is lack of empirical evidence in SCM practice (Halley & Beaulieu, 2009; Hult, Ketchen, Cavusgil, & Calantone, 2006; Ketchen & Giunipero, 2004)

  • By empirically testing the extent to which supply chain strategies are associated to firm and supply chain performance, the present study adds to academic knowledge in several ways by proving empirical evidence pointing towards the significant use of supply chain strategies that will lead to different levels of achievement in firm performance

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Summary

Introduction

The concept of supply chain management (SCM) has been the subject of numerous studies in operational management, purchasing, logistics, and marketing. Mentzer et al (2001) definition that is broad enough and captures the issues of strategy and firm performance. The Resource Based View (RBV) and Transactional theories have played a very crucial role when conducting research on the strategic perspectives of operations and supply chain management (Burgess, Singh, & Koroglu, 2006). The resource-based view theory has been greatly used in SCM studies in the last twenty years This theory has to a great extent shaped mastery of operational decisions in the context of SCM (Halley & Beaulieu, 2009; Patterson, Grimm, & Corsi, 2003)

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