Supply Chain Resilience and Operational Performance of Manufacturing Small and Medium Enterprises Operating Within the Industrial Area Nairobi County

Abstract

Supply chains have become more complex as a result of recent advancements in globalization and digital trade, making them more vulnerable to unanticipated disruptions in the environment they operate in. Growth in our country's economy and society is played can be attributed to businesses of all sizes, both large and small (SMEs). The supply chain role within the company, among other critical functions, contributes to the success of such businesses. Suppliers, end users, and state and non-state stakeholders form important participants in the supply chain network. The study aimed to investigate supply1chain1resilience1techniques widely adopted by manufacturing SMEs and to determine the impact of supply1chain1resilience1on manufacturing SMEs' operational performance in Nairobi County's industrial region. The study was powered by the theories of dynamic capacity, resource-based, and strategic decision-making. According to information received from the Nairobi County licensing department, there are 58 registered manufacturing SMEs operating in Nairobi County's industrial sector. As part of this research, 58 manufacturing SMEs were surveyed. As a result, the entire population was analyzed using a census survey method. This study relied widely on closed-ended questionnaires for data gathering. Based on the study's goals, a series of statements and questions were prepared for the survey. The quantitative information collected from respondents in the survey was measured using the SPSS software. The study also employed regression analysis in order to show a correlation between manufacturing SMEs' supply1chain1resilience1tactics and operational performance. There was a 95% confidence interval for the R squared value of the manufacturing SMEs working in Nairobi County's Industrial region's operational performance, according to the study's findings. The findings in this study show that many of the SMEs in the Industrial Zone, Nairobi County are using these practices to increase their resilience during economic downturns with a 79 percent variation on operational performance measures. Research has shown that there is a direct correlation between the R-value of 0.839 and research variables. As a result of this study, it is recommended that strategic and middle-level managers in Nairobi County's Industrial Area devote additional resources to the implementation of supply1chain1resilience1strategies to earn long-term benefits from exceptional operational performance. According to the findings of this study, SMEs in Kenya should boost their investments in supply1chain1resilience1measures to counter supply chain vulnerability and efficiently boost operational performance.