European Journals of Business Management

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EJOBM | European Journal of Business Management

AN ASSESSMENT OF THE EFFECTS OF REVERSE LOGISTICS ADOPTION ON SUPPLY CHAIN PERFORMANCE IN THE MANUFACTURING SECTOR IN KENYA: A CASE OF HEWLETT- PACKARD KENYA

Gitau k. David
Jomo Kenyatta University of Agriculture and Technology, KENYA
Mr. Noor Shalle
Jomo Kenyatta University of Agriculture and Technology, KENYA

CITATION: David K. G & Shalle, N (2014). An Assessment of the Effects of Reverse Logistics Adoption on Supply Chain Performance in the Manufacturing Sector in Kenya: A Case of Hewlett- Packard Kenya European Journal of Business Management, 2(1), 161-173.

ABSTRACT

Increased competition caused by globalization and rapid technological advances has driven organizations to address and make efforts to improve efficiency in their supply chain. Increasing efficiency in reverse logistics processes such as the recovery of the returned products or disposal of end-of-life products is one way in which firms attempt to maintain and increase competitiveness and market share. Companies have gradually included the backwards flow within their scope of logistics planning and control, to increase their efficiency and effectiveness and create more sustainable supply chains.
This study sought to assess the impact of reverse logistics assessment on supply chain performance with a special focus on HP Kenya. The study used both primary (collected using questionnaires) and secondary data. To facilitate data collection, the study’s sampling frame constituted; supply chain officers, procurement officers, logistics managers, business managers, HP Kenya supply chain organization structure consisting of strategic, tactical, operational and support levels. Content analysis and descriptive statistics has been used to analyze the data, also the inferential statistics such as correlation models, and ANOVA have been used. Data was analyzed using statistical package for social scientists (SPSS) Version 21.
Generally the research established that reverse logistics adoption has a significant impact of the supply chain performance in the manufacturing industry; the reverse logistics variables had a statistically significant impact on supply chain performance both independently and as a result of their interaction, three variables; product returns, End of Life (EOL) Management and product repairs were highly correlated and therefore had the most significant influence on supply chain performance both independently and as a result of their interaction. The respective organizations should therefore carry on and continually assess their reverse logistics approaches periodically and make the necessary corrective measures to ensure that they reap the maximum benefits of its adoption.


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