Cold Supply Chain Management and Financial Performance of Pharmaceutical Companies in Nairobi, Kenya
Abstract
Based on the impact on health, the government and key stakeholders in the health sector
recognize the importance of the cold supply chain. Very little effort is made to control the
effects of cold supply chain logistics such as transport, storage, packing, technological
capacity, and a variety of other sensitive activities that contribute to the safety and quality of
such products. The objective of the study was to establish the relationship between cold
supply chain management and financial performance of pharmaceutical companies in
Nairobi, Kenya. The study adopted a descriptive cross-sectional survey. The target
population was senior managers in pharmaceutical companies in Nairobi County, Kenya.
The samples were purposively select one senior employee in the supply chain department
and finance department; thus, the target population of the study was 74 senior employees
working with 37 licensed pharmaceutical companies in Nairobi. This study used a
questionnaire. Data collected from the field was checked for completion, cleaned and edited.
The data was then processed using the SPSS version 23.0 computer software. The generated
quantitative data was examined using descriptive and inferential statistics. Percentages,
means, standard deviations, and frequencies were examples of descriptive statistics. The data
is presented in form of tables. Inferential statistics included the correlational and regression
analysis. Correlational analysis was conducted to determine the strength of the relationship
between the independent and dependent variables. Regression analysis was used to establish
the association between cold supply chain management and the financial performance of
pharmaceutical companies in Nairobi. The study found a significant and positive link
between cooling systems management and financial performance of pharmaceutical
companies. A statistically significant association was found between cold storage
management and financial performance. Cold transport management had a statistically
significant association with financial performance of pharmaceutical companies. Cold
processing and distribution management had a positive and significant relationship with
financial performance of pharmaceutical companies. The study conclusion was that cold
supply chain management is positively related to financial performance of pharmaceutical
companies in Nairobi. The study proposes that pharmaceutical businesses employ cold
supply chain management in all of their activities, beginning with the drug's creation,
storage, and distribution and ending with the drug's administration to the customer. This is
incorrect since medications are sensitive biological substances that, when frozen, lose
effectiveness or are destroyed. Cold supply chain management should be part of the
company strategies to ensure quality assurance and efficiency of the pharmaceutical products
and hence improve their performance.
Publisher
university of nairobi
Rights
Attribution-NonCommercial-NoDerivs 3.0 United StatesUsage Rights
http://creativecommons.org/licenses/by-nc-nd/3.0/us/Collections
- School of Business [1511]
The following license files are associated with this item: