Factors Affecting Sourcing of Packaging Materials in Dairy Industry in Kenya: A Case Study of Dairy Firms in Kenya

Abstract

The research was aimed at investigating the factors affecting sourcing of packaging materials in dairy industry in Kenya. Specifically, lead time, supplier selection, transport infrastructure and logistics management are to be studied to determine their effects on sourcing of packaging materials in dairy sector The target population of the study was 97 and the sample size was 33 selected using stratified sampling. The sampling frame was all the purchasing managers or their equivalent of the selected firms. The data was analyzed using descriptive statistics and this was done using SPSS 21. Pearson’s correlations coefficients were run to examine the relationship between the independent and dependent study variables that are set out in the objectives of the. The research recommends that logistics management should be reduced by proper forecasting, timely placing of orders and selection of reliable suppliers and the use of new technology. The suppliers must be competitively selected through an objective supplier evaluation attributed to quality, timeliness and consistency. In order to practice the best logistics management methods, the organization has to develop the best means of transport. Finally, the challenges faced due to poor infrastructure and other related matters can be countered by a collective approach by both private and public sectors to expand roads, ports, telecommunication and internet connectivity.