Business integration and supply chain performance among commercial banks in Kenya
Abstract
A study was conducted to establish the relationship b
etween business integration and supply
chain performance among commercial banks in Kenya. The study had two objectives to achieve:
to establish the extent to which commercial banks have integrated their business functions and to
find the relationship betwe
en business integration and supply chain performance. The research
design involved a cross sectional survey of all commercial banks in Kenya. Data was collected
using a questionnaire that was administered through drop and pick later method. Percentages and
frequencies were used to analyze objective one whereas regression analysis was used to analyze
the relationship between business integration and supply chain performance. The findings were
presented in tables and pie charts. The study established that mos
t of the commercial banks in
Kenya integrated their business functions ten years ago. It was also clear that there was a very
significant relationship between business integration and supply chain performance represented
by R
2
value of
0.789 which translat
es to 78.9% variance explained by the four independent
variables of information sharing improves supply chain performance; on time supply chain
decisions; better supplier relationship management and efficiency in supply chain management.
Further research o
n the same study can be done in other countries to establish whether business
integration is able to yield the same effect on supply chain performance of commercial banks.It
has also been recommended that all banks and other organizations should be advised
to embrace
business integration so that they can reap the benefits.Business integration relies on ERP system
as the primary integration too.IT is very dynamic and keeps on changing hence need to replicate
the study in line with trends that may affect supp
ly chain performance in commercial banks
Citation
MBASponsorhip
university of NairobiPublisher
University of Nairobi