Dynamic procurement practices and supply chain performance of supermarkets in Nairobi, Kenya

Abstract

This study sought to determine the dynamic procurement practices and supply chain performance of supermarkets in Nairobi, Kenya. The study was guided by the following objectives; to determine the dynamic procurement practices used by supermarkets in Nairobi, Kenya, and to establish the relationship between dynamic procurement practice and supply chain performance of supermarkets in Nairobi, Kenya. The study adopted a descriptive survey research design and the target population for the study was all supermarkets in Nairobi, Kenya. The research used questioner to gather information and the findings reveal to a great extent that; the supermarket has built long term relationship aimed at improving supply chain performance and has built long term relationship between its suppliers to improve its strategic and operational capacity and to enhance its value addition. The supermarkets have become more competitive, flexible and efficient with regard to procurement practices. The findings reveals that there has been growth in customer satisfaction and retention, improved quality, increased productivity, organization effectiveness, and improved customer’s quality of life for the years 2009-2013. The study concludes that Strategic Supplier Partnership and Information technology adoption influence supply chain performance of supermarkets in Nairobi Kenya while collaboration , agile procurement, lean and information technology adoption dynamic procurement practices negates supply chain performance of supermarkets in Nairobi Kenya as they have negative coefficients. The study recommends that the supermarkets should address the challenges they face while engaging in supply chain performance which will enhance efficient procurement practices that will in turn boost supply chain performance further boosting the firms overall performance.