EVALUATING THE IMPACT OF QUALITY MANAGEMENT ON SUPPLY CHAIN PERFORMANCE IN KENYA'S MANUFACTURING INDUSTRY
Abstract
Purpose of Study: The purpose of the study was to establish if Quality Management affect supply chain performance in manufacturing sector in Kenya.
Problem Statement: The manufacturing sector in Kenya has faced stagnation and decline since the 1970s, with new firms having a low survival rate and the sector's contribution to GDP and exports remaining minimal. Despite the competitive environment demanding high efficiency, there's limited research on the effect of Quality Management on operational performance within the country.
Methodology: This study employed descriptive research design to achieve these objectives. The study population comprised of 400 managers working at East Africa Breweries Limited in the following management positions: senior management, middle level management and lower level management. This study sampled 10% of the target population using stratified random sampling technique. Data collected was analyzed using descriptive, inferential and content analysis methods. IBM SPSS Statistics version 21 was used to aid in data analysis. Quantitative data analysis results were presented using charts and tables.
Result: The results revealed that that quality management (94.6%) affect supply chain performance at EABL. Quality management (β=.607, p=.000) was also found to positively and significantly affect supply chain performance at EABL.
Conclusion: This study concludes that quality management significantly and positively impacts supply chain performance at East African Breweries Limited (EABL), indicating the critical role of quality management practices in enhancing operational efficiency within the company.
Recommendation: This study recommends that East African Breweries Limited (EABL), should continue to invest in and strengthen its quality management practices. This should involve adopting advanced quality management frameworks, continuous training for employees on quality standards, and integrating cutting-edge technology to monitor and enhance quality throughout the supply chain.
Keywords: Quality management, supply chain performance, operational efficiency, continuous improvement, manufacturing industry.
References
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Albderi, A. J. T., Hasan, M. F., & Flayyih, H. H. (2023). Measuring the level of banking performance according to the requirements of comprehensive quality management: an application study. Ishtar journal of economics and business studies, 4(1), 1-18.
Alzoubi, H. M., & Aziz, R. (2021). Does emotional intelligence contribute to quality of strategic decisions? The mediating role of open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(2), 130. https://doi.org/10.3390/joitmc7020130
Ammar, M., Haleem, A., Javaid, M., Walia, R., & Bahl, S. (2021). Improving material quality management and manufacturing organizations system through Industry 4.0 technologies. Materials Today: Proceedings, 45, 5089-5096. https://doi.org/10.1016/j.matpr.2021.01.585
Babbie, E. (2002). Survey research methods (2nd ed.). Belmont: Wodsworth.
Bag, S., Kilbourn, P., & Pisa, N. (2023). Guest editorial: Data-driven quality management systems for improving supply chain management performance. The TQM Journal, 35(1), 1-4. https://doi.org/10.1108/TQM-11-2021-315
Bag, S., Rahman, M. S., Srivastava, G., Shore, A., & Ram, P. (2023). Examining the role of virtue ethics and big data in enhancing viable, sustainable, and digital supply chain performance. Technological Forecasting and Social Change, 186, 122154. https://doi.org/10.1016/j.techfore.2022.122154
Balaji, K. C., Gopal, P., & Rashmi, S.(2021). Continuous Improvement In Just In Time Manufacturing (Jit), A Systematic Literature Review.
Chirchir, M. K. (2022). Supply Chain Integration, Competitive Advantage, Environmental Dynamism and Performance of Large-Scale Manufacturing Firms in Kenya (Doctoral dissertation, University of Nairobi).
Ciano, M. P., Dallasega, P., Orzes, G., & Rossi, T. (2021). One-to-one relationships between Industry 4.0 technologies and Lean Production techniques: a multiple case study. International journal of production research, 59(5), 1386-1410. https://doi.org/10.1080/00207543.2020.1821119
Cristopher, D. (2004). Logistics and Supply Chain Management, 3rd Edition; Harlow, UK: FT Prentice Hall.
Culot, G., Orzes, G., Sartor, M., & Nassimbeni, G. (2020). The future of manufacturing: A Delphi-based scenario analysis on Industry 4.0. Technological forecasting and social change, 157, 120092. https://doi.org/10.1016/j.techfore.2020.120092
Dieste, M., Panizzolo, R., & Garza-Reyes, J. A. (2020). Evaluating the impact of lean practices on environmental performance: evidences from five manufacturing companies. Production Planning & Control, 31(9), 739-756. https://doi.org/10.1080/09537287.2019.1681535
Dutta, G., Kumar, R., Sindhwani, R., & Singh, R. K. (2020). Digital transformation priorities of India’s discrete manufacturing SMEs–a conceptual study in perspective of Industry 4.0. Competitiveness Review: An International Business Journal, 30(3), 289-314. https://doi.org/10.1108/CR-03-2019-0031
Edh Mirzaei, N., Hilletofth, P., & Pal, R. (2021). Challenges to competitive manufacturing in high-cost environments: checklist and insights from Swedish manufacturing firms. Operations Management Research, 14(3-4), 272-292. https://doi.org/10.1007/s12063-021-00193-0
ElMaraghy, H., Monostori, L., Schuh, G., & ElMaraghy, W. (2021). Evolution and future of manufacturing systems. CIRP Annals, 70(2), 635-658. https://doi.org/10.1016/j.cirp.2021.05.008
Faeq, D. K., Garanti, Z., & Sadq, Z. M. (2021). The Effect of Total Quality Management on Organizational Performance: Empirical Evidence from the Construction Sector in Sulaymaniyah City, Kurdistan Region–Iraq. UKH Journal of Social Sciences, 5(1), 29-41. https://doi.org/10.25079/ukhjss.v5n1y2021.pp29-41
Fernandes, A. A. R. (2020). The influence of quality management on organization performance: service quality and product characteristics as a medium. Property Management, 38(3), 383-403. https://doi.org/10.1108/PM-10-2019-0060
Foster, S. T., & Gardner, J. W. (2022). Managing quality: Integrating the supply chain. John Wiley & Sons.
Gopal, P. R. C., Rana, N. P., Krishna, T. V., & Ramkumar, M. (2024). Impact of big data analytics on supply chain performance: an analysis of influencing factors. Annals of Operations Research, 333(2), 769-797. https://doi.org/10.1007/s10479-022-04749-6
Gunasekaran, A., Patel, C. and McGaughey, R. (2004). A framework for supply chain performance measurement, International Journal of Production Economics, Vol. 87, Issue 3, pp. 333–347. https://doi.org/10.1016/j.ijpe.2003.08.003
Gupta, A., Singh, R. K., & Gupta, S. (2022). Developing human resource for the digitization of logistics operations: readiness index framework. International Journal of Manpower, 43(2), 355-379. https://doi.org/10.1108/IJM-03-2021-0175
Kamble, S. S., Gunasekaran, A., Ghadge, A., & Raut, R. (2020). A performance measurement system for industry 4.0 enabled smart manufacturing system in SMMEs-A review and empirical investigation. International journal of production economics, 229, 107853. https://doi.org/10.1016/j.ijpe.2020.107853
Khan, M. M., Singh, K. P., & Khan, W. U. (2023). A critical study on the implementation of operation, control and maintenance techniques for flexible manufacturing systems in small scale industries. Materials Today: Proceedings.
Kothari, C. R. (2004). Research methodology: Methods and techniques. New Delhi: New Age International (P) Limited Publishers.
Kunyoria, O. J. (2023). Relationship between product design, lean manufacturing and operational performance of Sugar firms in Kenya (Doctoral dissertation, Maseno University).
Lee, K. L., Wong, S. Y., Alzoubi, H. M., Al Kurdi, B., Alshurideh, M. T., & El Khatib, M. (2023). Adopting smart supply chain and smart technologies to improve operational performance in manufacturing industry. International Journal of Engineering Business Management, 15, 18479790231200614. https://doi.org/10.1177/18479790231200614
Lee, R. (2021). The effect of supply chain management strategy on operational and financial performance. Sustainability, 13(9), 5138. https://doi.org/10.3390/su13095138
Maware, C., Okwu, M. O., & Adetunji, O. (2022). A systematic literature review of lean manufacturing implementation in manufacturing-based sectors of the developing and developed countries. International Journal of Lean Six Sigma, 13(3), 521-556. https://doi.org/10.1108/IJLSS-12-2020-0223
Mugenda, A. G. (2008). Social Science Research: Conception, Methodology & Analysis. Applied Research and Training Services, Nairobi, Kenya.
Nugroho, A., Christiananta, B., Wulani, F., & Pratama, I. (2022). Exploring the Association Among Just in Time, Total Quality and Supply Chain Management Influence on Firm Performance: Evidence from Indonesia.
Pal, K. (2020). Internet of things and blockchain technology in apparel manufacturing supply chain data management. Procedia Computer Science, 170, 450-457. https://doi.org/10.1016/j.procs.2020.03.088
Rajab, F., Ngugi, P., & Kiarie, D. (2021). Influence of supplier relationship management on performance of manufacturing firms in Kenya. International Journal of Supply Chain and Logistics, 5(1), 31-45. https://doi.org/10.47941/ijscl.529
Rehmani, K., Ahmad, Y., Naseem, A., & Syed, T. H. (2020). Do they really coexist? An empirical analysis of a conjoint implementation of Quality Management System and High Performance Work System on organizational effectiveness. Plos one, 15(3), e0229508. https://doi.org/10.1371/journal.pone.0229508
Saragih, J., Tarigan, A., Pratama, I., Wardati, J., & Silalahi, E. F. (2020). The impact of total quality management, supply chain management practices and operations capability on firm performance. Polish Journal of Management Studies, 21(2), 384-397. https://doi.org/10.17512/pjms.2020.21.2.27
Tripathi, S., & Talukder, B. (2023). Supply chain performance and profitability in Indian automobile industry: Evidence of segmental difference. Global Business Review, 24(2), 371-392. https://doi.org/10.1177/0972150919898302
World Bank (2014). Kenya economic update: anchoring high growth-can manufacturing contribute more? Kenya economic update; Edition no. 11. Washington, DC; WorldBank Group. https://doi.org/10.1016/j.ijpe.2020.108023
Zanon, L. G., Marcelloni, F., Gerolamo, M. C., & Carpinetti, L. C. R. (2021). Exploring the relations between supply chain performance and organizational culture: A fuzzy grey group decision model. International Journal of Production Economics, 233, 108023.
Albderi, A. J. T., Hasan, M. F., & Flayyih, H. H. (2023). Measuring the level of banking performance according to the requirements of comprehensive quality management: an application study. Ishtar journal of economics and business studies, 4(1), 1-18.
Alzoubi, H. M., & Aziz, R. (2021). Does emotional intelligence contribute to quality of strategic decisions? The mediating role of open innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(2), 130. https://doi.org/10.3390/joitmc7020130
Ammar, M., Haleem, A., Javaid, M., Walia, R., & Bahl, S. (2021). Improving material quality management and manufacturing organizations system through Industry 4.0 technologies. Materials Today: Proceedings, 45, 5089-5096. https://doi.org/10.1016/j.matpr.2021.01.585
Babbie, E. (2002). Survey research methods (2nd ed.). Belmont: Wodsworth.
Bag, S., Kilbourn, P., & Pisa, N. (2023). Guest editorial: Data-driven quality management systems for improving supply chain management performance. The TQM Journal, 35(1), 1-4. https://doi.org/10.1108/TQM-11-2021-315
Bag, S., Rahman, M. S., Srivastava, G., Shore, A., & Ram, P. (2023). Examining the role of virtue ethics and big data in enhancing viable, sustainable, and digital supply chain performance. Technological Forecasting and Social Change, 186, 122154. https://doi.org/10.1016/j.techfore.2022.122154
Balaji, K. C., Gopal, P., & Rashmi, S.(2021). Continuous Improvement In Just In Time Manufacturing (Jit), A Systematic Literature Review.
Chirchir, M. K. (2022). Supply Chain Integration, Competitive Advantage, Environmental Dynamism and Performance of Large-Scale Manufacturing Firms in Kenya (Doctoral dissertation, University of Nairobi).
Ciano, M. P., Dallasega, P., Orzes, G., & Rossi, T. (2021). One-to-one relationships between Industry 4.0 technologies and Lean Production techniques: a multiple case study. International journal of production research, 59(5), 1386-1410. https://doi.org/10.1080/00207543.2020.1821119
Cristopher, D. (2004). Logistics and Supply Chain Management, 3rd Edition; Harlow, UK: FT Prentice Hall.
Culot, G., Orzes, G., Sartor, M., & Nassimbeni, G. (2020). The future of manufacturing: A Delphi-based scenario analysis on Industry 4.0. Technological forecasting and social change, 157, 120092. https://doi.org/10.1016/j.techfore.2020.120092
Dieste, M., Panizzolo, R., & Garza-Reyes, J. A. (2020). Evaluating the impact of lean practices on environmental performance: evidences from five manufacturing companies. Production Planning & Control, 31(9), 739-756. https://doi.org/10.1080/09537287.2019.1681535
Dutta, G., Kumar, R., Sindhwani, R., & Singh, R. K. (2020). Digital transformation priorities of India’s discrete manufacturing SMEs–a conceptual study in perspective of Industry 4.0. Competitiveness Review: An International Business Journal, 30(3), 289-314. https://doi.org/10.1108/CR-03-2019-0031
Edh Mirzaei, N., Hilletofth, P., & Pal, R. (2021). Challenges to competitive manufacturing in high-cost environments: checklist and insights from Swedish manufacturing firms. Operations Management Research, 14(3-4), 272-292. https://doi.org/10.1007/s12063-021-00193-0
ElMaraghy, H., Monostori, L., Schuh, G., & ElMaraghy, W. (2021). Evolution and future of manufacturing systems. CIRP Annals, 70(2), 635-658. https://doi.org/10.1016/j.cirp.2021.05.008
Faeq, D. K., Garanti, Z., & Sadq, Z. M. (2021). The Effect of Total Quality Management on Organizational Performance: Empirical Evidence from the Construction Sector in Sulaymaniyah City, Kurdistan Region–Iraq. UKH Journal of Social Sciences, 5(1), 29-41. https://doi.org/10.25079/ukhjss.v5n1y2021.pp29-41
Fernandes, A. A. R. (2020). The influence of quality management on organization performance: service quality and product characteristics as a medium. Property Management, 38(3), 383-403. https://doi.org/10.1108/PM-10-2019-0060
Foster, S. T., & Gardner, J. W. (2022). Managing quality: Integrating the supply chain. John Wiley & Sons.
Gopal, P. R. C., Rana, N. P., Krishna, T. V., & Ramkumar, M. (2024). Impact of big data analytics on supply chain performance: an analysis of influencing factors. Annals of Operations Research, 333(2), 769-797. https://doi.org/10.1007/s10479-022-04749-6
Gunasekaran, A., Patel, C. and McGaughey, R. (2004). A framework for supply chain performance measurement, International Journal of Production Economics, Vol. 87, Issue 3, pp. 333–347. https://doi.org/10.1016/j.ijpe.2003.08.003
Gupta, A., Singh, R. K., & Gupta, S. (2022). Developing human resource for the digitization of logistics operations: readiness index framework. International Journal of Manpower, 43(2), 355-379. https://doi.org/10.1108/IJM-03-2021-0175
Kamble, S. S., Gunasekaran, A., Ghadge, A., & Raut, R. (2020). A performance measurement system for industry 4.0 enabled smart manufacturing system in SMMEs-A review and empirical investigation. International journal of production economics, 229, 107853. https://doi.org/10.1016/j.ijpe.2020.107853
Khan, M. M., Singh, K. P., & Khan, W. U. (2023). A critical study on the implementation of operation, control and maintenance techniques for flexible manufacturing systems in small scale industries. Materials Today: Proceedings.
Kothari, C. R. (2004). Research methodology: Methods and techniques. New Delhi: New Age International (P) Limited Publishers.
Kunyoria, O. J. (2023). Relationship between product design, lean manufacturing and operational performance of Sugar firms in Kenya (Doctoral dissertation, Maseno University).
Lee, K. L., Wong, S. Y., Alzoubi, H. M., Al Kurdi, B., Alshurideh, M. T., & El Khatib, M. (2023). Adopting smart supply chain and smart technologies to improve operational performance in manufacturing industry. International Journal of Engineering Business Management, 15, 18479790231200614. https://doi.org/10.1177/18479790231200614
Lee, R. (2021). The effect of supply chain management strategy on operational and financial performance. Sustainability, 13(9), 5138. https://doi.org/10.3390/su13095138
Maware, C., Okwu, M. O., & Adetunji, O. (2022). A systematic literature review of lean manufacturing implementation in manufacturing-based sectors of the developing and developed countries. International Journal of Lean Six Sigma, 13(3), 521-556. https://doi.org/10.1108/IJLSS-12-2020-0223
Mugenda, A. G. (2008). Social Science Research: Conception, Methodology & Analysis. Applied Research and Training Services, Nairobi, Kenya.
Nugroho, A., Christiananta, B., Wulani, F., & Pratama, I. (2022). Exploring the Association Among Just in Time, Total Quality and Supply Chain Management Influence on Firm Performance: Evidence from Indonesia.
Pal, K. (2020). Internet of things and blockchain technology in apparel manufacturing supply chain data management. Procedia Computer Science, 170, 450-457. https://doi.org/10.1016/j.procs.2020.03.088
Rajab, F., Ngugi, P., & Kiarie, D. (2021). Influence of supplier relationship management on performance of manufacturing firms in Kenya. International Journal of Supply Chain and Logistics, 5(1), 31-45. https://doi.org/10.47941/ijscl.529
Rehmani, K., Ahmad, Y., Naseem, A., & Syed, T. H. (2020). Do they really coexist? An empirical analysis of a conjoint implementation of Quality Management System and High Performance Work System on organizational effectiveness. Plos one, 15(3), e0229508. https://doi.org/10.1371/journal.pone.0229508
Saragih, J., Tarigan, A., Pratama, I., Wardati, J., & Silalahi, E. F. (2020). The impact of total quality management, supply chain management practices and operations capability on firm performance. Polish Journal of Management Studies, 21(2), 384-397. https://doi.org/10.17512/pjms.2020.21.2.27
Tripathi, S., & Talukder, B. (2023). Supply chain performance and profitability in Indian automobile industry: Evidence of segmental difference. Global Business Review, 24(2), 371-392. https://doi.org/10.1177/0972150919898302
World Bank (2014). Kenya economic update: anchoring high growth-can manufacturing contribute more? Kenya economic update; Edition no. 11. Washington, DC; WorldBank Group. https://doi.org/10.1016/j.ijpe.2020.108023
Zanon, L. G., Marcelloni, F., Gerolamo, M. C., & Carpinetti, L. C. R. (2021). Exploring the relations between supply chain performance and organizational culture: A fuzzy grey group decision model. International Journal of Production Economics, 233, 108023.
Published
2024-03-04
How to Cite
Kiplagat, N. K. (2024). EVALUATING THE IMPACT OF QUALITY MANAGEMENT ON SUPPLY CHAIN PERFORMANCE IN KENYA’S MANUFACTURING INDUSTRY. African Journal of Emerging Issues, 6(4), 9 - 24. Retrieved from https://ajoeijournals.org/sys/index.php/ajoei/article/view/549
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