Effect of Supplier Information Sharing Practice on Supply Chain Performance of Kenyan Selected County Governments of Nyanza Region

Abstract

Effective performance is a desire for any institution when adequate supplier relationship exists. Counties that embrace efficient supplier relationship management have achieved massive economic development. Adequate supplier evaluation and development of supply base can reduce cost of public projects and boost value. However inadequate scrutiny of suppliers leads to poor quality of deliverables, escalated cost and higher risk of non-performance. Poor relations with suppliers coupled with opportunistic tendencies and distrust lead to loss of value. The broad objective was to establish the effect of Supplier information sharing on supply chain performance of Selected County Governments in Nyanza Region Kenya. This study employed a descriptive but correlation research design. The target population was 112 procurement staff and 9 lead prequalified suppliers of the Selected County Governments in Nyanza Region Kenya. The study sampled population by stratified, simple random and purposive techniques. Closed ended Likert scale questions were used. Data analysis involved statistical approaches on basis of descriptive and inferential values. Descriptive employed frequencies, percentages, mean mark and standard deviation. Inferential were employed through Pearson correlations and simple linear regression. Content analysis was used to analyze data from collected interviews. The study found that supplier information sharing had a positive effect on supply chain performance in selected county governments of Nyanza region, Kenya. Simple linear regression results revealed that the Supplier information sharing has a positive effect on performance of supply chain in selected devolved units in Kenyan Nyanza region (R2 = .266, P<0.05). The study recommended that there is a need for suppliers to share information that would make supplier relationship realistic, need for County governments in Kenya to have trust amongst each other that would lead to smooth flow of procurement activities. This would increase supplier relationship and improve supply chain performance of county governments. The findings of this research will be of much importance to the county government of Selected County Governments in Nyanza Region Kenya and the entire procurement sector.