Abstract: Firms find it difficult to accurately estimate reversal rate of products due to consumer characteristics, regulations and market dynamics. Reverse logistics cannot be avoided since products at the end of a supply chain always have a chance to flow backward due to products recalls and warranties. This is bound to reconfigure the supply chain as on one hand, firms may try to avoid overstocking and overproducing as this may lead to higher recall rates if the market fails to absorb the products. On the other hand, the suppliers need to be maintained by the firm either by contract or through mutual understanding As such; most have not reconfigured their supply chains to accommodate reverse flow of goods. Therefore, the main objective of this study was to establish the influence of product reversal rates of supply chain performance of Agro-based processing industries in Nakuru County. The study adopted descriptive cross sectional survey and targeted 26 agro-based firms in Nakuru County from which a sample of 84 respondents comprising the overall managements, logistics managers, sales managers, stores managers and accounts managers was derived using simple random sampling. Data was collected through questionnaires and analyzed using both descriptive and inferential statistical methods.The findings revealed that product reversal rates significantly influenced to the supply chain performance of agro-based processing industries in the area Further, it was established that product product reversal contingencies practices as carried out in the agro-based processing industries in the area did not significantly influence the supply chain performance of agro-based processing industries. Finally, the findings revealed that product reversal contingencies were significant to supply chain performance of agro-based processing industries in the area.
Keywords: Product Reversal Contingencies and Supply Chain Performance.
Title: INFLUENCE OF PRODUCT REVERSAL CONTINGENCIES ON SUPPLY CHAIN PERFORMANCE OF AGRO-BASED PROCESSING INDUSTRIES IN NAKURU COUNTY
Author: Redempta Ndinda Mawia, Elton Kipkorir Langat
International Journal of Social Science and Humanities Research
ISSN 2348-3156 (Print), ISSN 2348-3164 (online)
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