The Link between Supplier Evaluation Attributes and Supply Chain Performance of Government Owned Entities: Perspectives from Commercial State Corporations in Kenya

Lilian Kemunto Mogikoyo, Peterson Obara Magutu and Alvin B. Dolo
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Lilian Kemunto Mogikoyo: Postgraduate Student - MBA, University of Nairobi, Department of Management Science:Nairobi, Kenya
Peterson Obara Magutu: Lecturer, University of Nairobi, School of Business - Department of Management Science:Nairobi, Kenya
Alvin B. Dolo: Postgraduate Student - MBA, University of Nairobi, Department of Management Science:Nairobi, Kenya

Noble International Journal of Economics and Financial Research, 2017, vol. 2, issue 1, 1-20

Abstract: The study set out to establish the relationship between supplier evaluation attributes and supply chain performance. The researchers adopted both qualitative and quantitative research designs. The two employees were selected on equal proportions from 20 commercial state corporations, giving a total of forty respondents. The information from primary data source will be collected using mainly questionnaires.  Stepwise regression analysis (OLS) was utilized to find the relationship between supplier evaluations attributes and supply chain performance. The response rate was 90% an indication that all commercial state corporations were well represented in this study.  The respondents who participated in this study were knowledgeable to understand and synthesize the issues of supplier evaluation attributes and supply chain performance. On the supplier evaluation attributes, commercial state corporations in addition to financial healthy they equally consider financial dependency, turnover and profitability levels when evaluating their suppliers. On the relationship between suppliers evaluation attributes and supply chain using stepwise regression analysis established that 55.6 % of the variations in supply chain performance can be explained by variations in supplier evaluation attributes. This implies that the supplier evaluation attributes explain 55.6 % of the performances of the firm’s supply chain. It was concluded that commercial state corporations pay a lot of attention to the suppliers’ financial health and autonomy, the supplier’s physical security and the supplier’s supply chain experience, a perfect cultural fit, training programs and the quality of the human resource management policies, and beneficial supplier-relationships and cost efficiency in an effort to improve their supply chain performance. Lastly, it was established the supplier evaluation attributes explain 55.6 % of the changes in the firm’s supply chain performance. There is need to explore other supplier evaluation attributes like the suppliers’ automation attributes and service delivery attributes and how they can influence supply chain performance. There is to conduct the same study in other sectors like manufacturing and service sector industries and firms.

Keywords: Supplier Evaluation Attributes; Supply Chain Performance; Commercial State Corporations & Kenya (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (2)

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