Effect of Leagile Supply Chain Management on Operational Performance of Hotels in Mombasa County, Kenya

Abstract

Leagile supply chain management (LASCM) that incorporates both leanness and agility to ensure efficiency while maintaining responsiveness. Lean and agile approaches rely on zero waste and stocks safety respectively in an aim to overpower the varieties as well as uncertainties of market trends. The study targeted at assessing the effect of leagile supply chain management and operation performance of hotels in Mombasa County, Kenya. This research study adopted descriptive cross-sectional survey. The targeted population consisted of 56 star-rated hotels operating in Mombasa County. The collected data was cleaned, validated and edited to ensure the level of accuracy, uniformity, consistence and completeness. Statistical product for social scientists (SPSS) eventually was applied in generating inferential and descriptive statistics. The research found that the hotels have implemented LASCM practices including JIT, information flow and accessibility, management of waste and continuous improvement to a moderate extent (M=3.2803, M=3.2121, M=3.038, and M=3.2879 respectively. The findings indicate that 66.4% of variations in LASCM are explained by variations in JIT, information flow, and management of waste and continuous improvement. It was also found that there exists a significant relationship between LASCM and OP at 000 (p<0.05). Derived from the research objectives, a deduction was formulated that LASCM impact OP of hotel firms in Mombasa County, Kenya. Centered on the discoveries, the research draws the following exhortations that management of the hotel companies should put in place proper procedures and mechanisms for improving the incorporation and adoption of LASCM since it was found to better OP. The study also proposed that hotels need to prioritize on the capabilities and the potentialities of supply chain management to penetrate the business markets as well as surviving the uncertainties and demand varieties.