Supplier evaluation and performance of large food and beverage manufacturing firms In Nairobi, Kenya
Abstract
This study was carried out to determine the relationship between supplier evaluation and
performance in large food and beverage manufacturing
firms in Nairobi City County. The study
had three objectives, to establish the criteria used in evaluating suppliers, to establish the
performance levels and determine the relationship between supplier evaluation and performance.
The research design adopted was the descriptive. The study targeted all the 46 food and
beverage firms which were all sampled since it was a census. 27 successfully filled and returned
the questionnaires that were used for analysis. The questionnaires we
re administered through
drop and pick later method. Standard deviations and means were used to analyze objective one
and two
whereas and correlation and regression analyses were
used to determine the relationship
between supplier evaluation and performance
in large food and beverage manufacturing firms in
Nairobi City County. The results are presented in tables.
The results show that food and beverage firms evaluate their suppliers. There is a positive
relationship between performance and the supplier eval
uation
criteria
.
E
nvironmental
friendliness of the supplier
, employee capabilities of the supplier and price factors are significant
while
f
inancial stability, quality issues, supplier’s organizational culture,
production capacity of
the supplier
and prefe
rence and reservation are insignificant
.
T
he researcher recommends
that
supplier evaluation
should
be practiced in food and beverage
firms because it is associated with better performance at the same time other firms outside this
sector should be studied to ascertain
whether
the trend holds. F
urther research
could also be
necessary in seeking to know w
hy some criteria
are insignificant
.
Publisher
University of Nairobi