INFLUENCE OF LOGISTICS MANAGEMENT SYSTEMS ON SUPPLY CHAIN PERFORMANCE OF FAST-MOVING CONSUMER GOODS MANUFACTURERS IN NAIROBI CITY COUNTY, KENYA

Lorna Waithira Njuguna, Dr. Jackson Ndolo

Abstract


ABSTRACT

Logistics is the aspect of planning, implementing and control of efficient and effective movement of goods and services and associated information from one place to another in order to meet consumer requirements. The automation of logistic management practices in firms is still very low in Kenya, despite its importance. A significant number of firms in Kenya are ignorant of information technology incorporation in logistics management and are unaware of their importance in conducting business, even in this era of globalization. Therefore, this study aims to establish the influence of logistics management systems on supply chain performance of fast-moving consumer goods manufacturers in Nairobi County, Kenya. Specifically, the study establishes the influence of warehouse management systems and inventory management systems on supply chain performance of fast-moving consumer goods manufacturers in Nairobi County, Kenya. The study focused on the logistics and IT managers of the 37 FMCG manufacturers located in Nairobi where a census was conducted on them to focus on74 respondents. The questionnaires were pre-tested on a pilot set of 5 respondents for comprehension, logic and relevance. The study used a multiple linear regression model to test the significance of the influence of the independent variables on the dependent variable. Data analysis was carried out using statistical package for social sciences. The findings of the study were presented using charts, tables and figures. The study findings showed that the warehouse management systems and inventory management systems had a significant influence on supply chain performance of the firms. The study recommended that a similar research should be conducted with an aim at investigating the effects of logistics management systems on performance with other variables or of other firms in other sectors, including the service industry in the Kenyan market.

Keywords: Warehouse Management Systems, Inventory Management Systems, Supply Chain Performance


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References


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