Role of Multi-Echelon Distribution Systems on Supply Chain Performance in Manufacturing Sector In Kenya: A Case of Toyota Kenya

KENNEDY ONYANGO, DR. NOOR SHALE

Abstract: Recent studies have shown interest and the benefits of implementing multi echelon supply chains and inventory systems. However, these studies are found to have a number of notable limitations. For instance transportation and distribution are barely touched on as inputs into a complete operational supply chain.  This study therefore aimed at finding out the role of multi-echelon distribution system on supply chain performance in manufacturing in Kenya a case study of Toyota Kenya. The specific objectives of the study were to determine the level of process integration on supply chain performance in manufacturing companies in Kenya, to find out the influence of inventory policy on supply chain performance in manufacturing companies in Kenya, to examine the influence of supplier management on supply chain performance in manufacturing companies in Kenya and to evaluate the effect of lead-time management on supply chain performance in manufacturing companies in Kenya. The research questions of the study reads as: What is the level of process integration on supply chain performance in manufacturing companies in Kenya? What is the level of cost efficiency on supply chain performance in manufacturing companies in Kenya? What is the influence of inventory policy on supply chain performance in manufacturing companies in Kenya? What is the influence of supplier management on supply chain performance in manufacturing companies in Kenya? And what is the effect of lead-time management on supply chain performance in manufacturing companies in Kenya? The study’s scope is limited to Toyota in Kenya. The study captures theoretical literatures on systems theory, transaction cost economics, just in time, network perspective and theory of constraints. A clear illustration is used to demonstrate the conceptual framework of the study with the independent variables in question being process integration, cost efficiency, inventory policy, supplier management and lead-time management. The study will employ the use of questionnaire to collect data. Descriptive research design will be used. The study will adopt simple random sampling techniques approach to analyze the data. Statistical package for social science (SPSS) version 24 will be used to report the descriptive statistics for various variables in the study. The study recommends that manufacturing companies especially the assembly industries should have well established distribution systems to ensure efficient and effective supply chains. These distribution systems would help greatly reduce delivery times, costs of production, information flow stagnation and supplier disagreements and even ensure a holistic integration of the entire supply chains of their organisations.

Keywords: Role, Distribution Systems, Supply Chain Performance. 

Title: Role of Multi-Echelon Distribution Systems on Supply Chain Performance in Manufacturing Sector In Kenya: A Case of Toyota Kenya

Author: KENNEDY ONYANGO, DR. NOOR SHALE

International Journal of Management and Commerce Innovations

ISSN 2348-7585 (Online)

Research Publish Journals

Vol. 5, Issue 2, October 2017 – March 2018

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Role of Multi-Echelon Distribution Systems on Supply Chain Performance in Manufacturing Sector In Kenya: A Case of Toyota Kenya by KENNEDY ONYANGO, DR. NOOR SHALE