THE EFFECT OF GREEN MANUFACTURING ON PERFORMANCE OF IRON AND STEEL MANUFACTURING INDUSTRIES IN NAIROBI COUNTY, KENYA
Abstract
Purpose of Study: The purpose of the study was to assess the influence of green manufacturing on performance of iron and steel manufacturing firms in Nairobi County, Kenya.
Problem of Study: The iron and steel manufacturing sector in Kenya is a substantial contributor to the economic development of the country. However, iron and steel manufacturing firms have been quoted as leaders in the degradation of the environment through primary and secondary waste disposal. Thus green manufacturing that is gaining popularity can help them minimize the negative impact to the environment while benefitting them through aspects such as competitiveness and operational efficiency.
Methodology: The study utilized a quantitative research methodology. Descriptive research design was used for this study. The target population for the study was 31 iron and steel manufacturing industries in Nairobi County, Kenya. The unit of observation represents those in top-level and middle-level management in finance, production, supply chain management, distribution, marketing and research and innovation. Therefore, the study targeted 372 top-level and middle level managers as respondents for the study. The sample size for the study was 213 respondents selected from 18 iron and steel manufacturing industries. Purposeful sampling was used in sample size selection. Inferential statistics utilized simple linear regression to assess the relationship between the dependent and independent variables.
Result: A positive significant relationship between green manufacturing and performance of iron and steel manufacturing companies (p-value = 0.032).
Conclusion: The adoption of green design and production practices in iron and steel manufacturing positively affects performance of iron and steel manufacturing companies by enhancing sustainability and efficiency.
Recommendations: The study recommends that companies should invest in skilled professionals and employee training in green product design to further embed environmentally friendly practices in manufacturing processes. Additionally, government policies such as subsidies and tax incentives can play a crucial role in encouraging more companies to adopt green manufacturing.
Keywords: Green manufacturing, Industries, Iron and Steel, Manufacturing, Performance
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