Sustainable Transportation Practices and Operational Performance of Multinational Manufacturing Firms in Nairobi County, Kenya

Abstract

Consumer awareness keeps on increasing in the corporate world today, environmental hazard such as global warming and effects of the commodities they produce, firms will determine on how to tackle transportation practices in the manufacturing processes. Multinational manufacturing firms in Kenya need foundation and the ability to recycle and deal with the waste products. There has been an increase in greenhouses‟ emission and environmental pollution from manufacturing companies, which brought about the need of these business organizations to align transport processes within them in regards to the scarce resources. The aim of this research is assessing proportions of the enactment of sustainable transportation activities by multinational manufacturing companies in Nairobi County, Kenya, and assessing how sustainable transportation works impact operational outcomes in multinational manufacturing companies in Nairobi County, Kenya. It was hinged on, stakeholder, strategic group and resource based theories. The target population for this study comprised of 40 Multinational manufacturing firms in Nairobi County, Kenya. The target respondents were production, operations and marketing and transportation managers. Analysis was done using inferential statistics. It was found out that sustainable packaging practice and sustainable distribution were adopted to a moderate extent by multinational manufacturing firms. On the other hand, reverse logistics practices and sustainable management system practices were adopted by firms at great extent. The study found out that there is relationship between sustainable transportation practices and operational performance. The model was statistically significant as demonstrated by analysis of variance whose p-value was less than 0.05. The study concludes that sustainable transportation activities are necessary for decreasing environmental mismanagement by decreasing misuse, eliminating employment of dangerous products, reusing products as well as decreasing pollution by cleaner production. Sustainable transportation practices helps to improve brand image as well as company‟s image and increase the profitability. The study recommendation is to create more awareness of sustainable transportation practices not only among industries but also the entire societal fabric to ensure a two way interaction between producers and consumers of sustainable products and services. Similarly the study recommends that the leadership of multinational manufacturing firms should be committed to sustainable transportation practices. Top leadership should allocate and provide more products, both fiscal and labor, to support the activities