scholarly journals CHALLENGES OF IMPORT LOGISTICS OUTSOURCING BY MANUFACTURING FIRMS IN NAIROBI COUNTY

2017 ◽  
Vol 1 (1) ◽  
pp. 86-106
Author(s):  
Anne Wanjiru Njoroge ◽  
Mr. Onserio Nyamwange

Purpose: The purpose of this study was to investigate challenges of import logistics outsourcing by manufacturing firms in Nairobi CountyMethodology: The research design of this study was a sample survey of the importers in the manufacturing industry as per the Kenya Association of Manufacturers. The total population of the companies in the manufacturing industry in Nairobi was 455 manufacturing firms. Primary data was collected via self-administered questionnaires with both open ended and closed questions that were designed to elicit specific responses for qualitative and quantitative analysis respectively. The data was analyzed by use of descriptive statistics.Results: The results indicated that the important reasons of outsourcing were satisfactory in explaining the decision by manufacturing companies to outsource. The reasons of outsourcing are a key determinant in deciding to outsource import logistics. The extent of challenges the importers face when importing services also determined the decision to outsource in the firms.Unique contribution to theory, practice and policy: The study recommends that the manufacturing firms should put more focus on core business functions and ensure reduction of overhead costs. They should take advantage of external expertise and experience and put measures to improve internal capabilities and expertise. The firms should reduce the total overall costs and where third party logistics providers provide a better service contract them. They should also emphasize on improved customer focus put measures to enable them compete effectively in the market.

2017 ◽  
Vol 1 (1) ◽  
pp. 86
Author(s):  
Anne Wanjiru Njoroge ◽  
Mr. Onserio Nyamwange

Purpose: The purpose of this study was to investigate challenges of import logistics outsourcing by manufacturing firms in Nairobi CountyMethodology: The research design of this study was a sample survey of the importers in the manufacturing industry as per the Kenya Association of Manufacturers. The total population of the companies in the manufacturing industry in Nairobi was 455 manufacturing firms. Primary data was collected via self-administered questionnaires with both open ended and closed questions that were designed to elicit specific responses for qualitative and quantitative analysis respectively. The data was analyzed by use of descriptive statistics.Results: The results indicated that the important reasons of outsourcing were satisfactory in explaining the decision by manufacturing companies to outsource. The reasons of outsourcing are a key determinant in deciding to outsource import logistics. The extent of challenges the importers face when importing services also determined the decision to outsource in the firms.Unique contribution to theory, practice and policy: The study recommends that the manufacturing firms should put more focus on core business functions and ensure reduction of overhead costs. They should take advantage of external expertise and experience and put measures to improve internal capabilities and expertise. The firms should reduce the total overall costs and where third party logistics providers provide a better service contract them. They should also emphasize on improved customer focus put measures to enable them compete effectively in the market.


Author(s):  
Aliona Grigorenco ◽  
Philippos Papadopoulos ◽  
Konstantinos Rotsios

The aim of this chapter is to evaluate the efficiency of third party logistics (3PL) and the importance of outsourcing logistics services from the client’s perspective. The research focuses on current practices related to the extent of use, predictive value outsourcing and performance measures system of Colgate-Palmolive Company in Greece. The study examines the efficiency of the logistics service providers, and its impact on the overall client performance, evaluated through interviews with the 3PL Coordinator, the Logistics Manager, and the Manufacturing Director. The key findings of the work are that logistics outsourcing takes responsibility for non-core business functions, brings reductions of stocks and costs as well as order-to-delivery lead-time, accelerates capital turnover and capitalizes on synergies to achieve efficiency. Overall, its contribution is evaluated by the client as satisfactory and of medium significance, with room for improvements.


2020 ◽  
Vol 24 (1) ◽  
pp. 189-193
Author(s):  
K. Sokoliuk ◽  
◽  
A. Lyashenko ◽  

Annotation. Introduction. The article examines the services of logistic outsourcing from the point of view of Ukrainian manufacturing companies, analyzes the results of the survey, compares them with global trends. It was determined that Ukrainian companies use logistic outsourcing less often than companies in other regions of the world. Also, the most often outsourced fields were identified. Purpose. Analysis of logistics outsourcing services from the viewpoint of Ukrainian manufacturing companies and comparison of survey results based on the survey with global trends. Results. It was found that from the list of enterprise groups classification (micro, small, medium, large) all categories use the services of freight forwarding companies. The following types of logistic processes are most often outsourced: transportation, lease and maintenance of equipment, warehousing, logistic chain optimization. It was found that among other countries in the study of third-party logistics, Ukraine occupies the lowest position in the usage of outsourcing services in logistics. The reasons for outsourcing logistic processes in logistics are significant: lack of own resources and capacity, cost reduction. The relationship between causes and logistic processes has shown that in order to reduce logistic costs in the enterprise it is necessary to outsource transportation. Conclusions. Statistical research has shown a small relationship between the areas of logistic outsourcing and the main causes of outsourcing of logistic activities. Therefore, it is not appropriate to say that some logistical measures should be outsourced and others should not. The mixed system, which combines the usage of own and third-party production facilities, is the most suitable for most Ukrainian manufacturing companies Keywords: logistics, outsourcing, third-party logistics, transport, warehousing, supply chain management, optimization, respondent, survey.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alberto Bayo-Moriones ◽  
Alejandro Bello-Pindado

PurposeThe purpose of this paper is to analyse the impact on manufacturing performance of human resource management (HRM) practices across two job levels within manufacturing firms in Argentina and Uruguay: that of line managers and frontline workers. HRM practices are categorised into three bundles defined by the AMO theoretical framework: ability, motivation and opportunity.Design/methodology/approachThe article uses data from a survey to 301 manufacturing plants in Uruguay and Argentina. Given the characteristics of the dependent variable, linear regression models have been estimated in order to test the hypotheses.FindingsThe results show that the ability and opportunity bundles for line managers are positively associated with manufacturing performance. However, only the motivation bundle affects manufacturing performance for frontline workers.Research limitations/implicationsThe main limitations are the use of cross-sectional data, the focus on two specific countries and the analysis of two employee categories that are not completely homogenous. The paper extends the contingency perspective in HRM by examining the relevance of job level as a contingent factor in the HRM-performance relationship in the manufacturing industry.Practical implicationsThe results suggest that manufacturing companies should target HR investments more towards line managers than to frontline employees. More specifically, they should concentrate efforts on the ability and opportunity bundles.Originality/valueThe article contributes to the very limited empirical evidence on the impact of HRM differentiation on firm performance by analysing sub-dimensions in a context not previously analysed.


2014 ◽  
Vol 2 (3) ◽  
pp. 128-140
Author(s):  
Chiekezie Njideka Rita ◽  
Egbunike Patrick Amaechi ◽  
Odum Austin Nwekemezie

This study-examined the extent of adoption of competitor focused accounting (CFA) in selected manufacturing firms listed on Nigerian Stock Exchange with a view to establishing whether there are differences in financial performance of the firms. The study is descriptive in nature and uses survey techniques. Accordingly, two-hundred and twenty four (224) key respondents in the Nigerian manufacturing industry were surveyed. This is complimented with secondary data collected from annual accounts and reports of fifty six (56) manufacturing companies listed in the Nigerian stock exchange. In addition to descriptive statistics, analysis of variance (F- Ratio) and scheffes’ (fs) test were used in analyzing collected data. The result of the study revealed that 14 companies representing (25%) were non-adopters of competitor focused accounting methods, 36 (64.3%) were partial adopters while 6 (10.7%) were full adopters. In addition, the mean financial performance of full adopters of CFA methods was 25.1 greater than that of partial adopters and also 45.71 greater than non-adopters. This shows a large difference. On the other hand, partial adopters’ mean financial performance was 20.61 greater than that of non adopters of CFA methods. However, this study proves that the practice of CFA in Nigerian manufacturing companies is still below average and the necessity to improve this situation is the current challenge. Manufacturing firms in Nigeria should give priority to strategic management accounting and it sub-divisions especially CFA in other to enhance its competitive edge over competitors.


2019 ◽  
Vol 32 (6) ◽  
pp. 964-992 ◽  
Author(s):  
Qingyao Wan ◽  
Yang Yuan ◽  
Fujun Lai

Purpose The purpose of this paper is to explore how external pressures, internal capability and transaction attributes of logistics outsourcing synergically influence the extent of asset-based and non-asset-based logistics outsourcing. Design/methodology/approach Based on the data surveyed from 250 manufacturing companies in China, this study employed fuzzy-set qualitative comparative analysis (fsQCA) to deduce multiple configurations for logistics outsourcing decisions. Findings The results suggest that asset-based logistics outsourcing is primarily driven by external imitation pressures or internal demands for logistics technologies, while non-asset-based logistics outsourcing is mainly driven by the demands for external management-based logistics services. Asset specificity plays a positive role in promoting both asset-based and non-asset-based logistics outsourcing. The requirement for third-party logistics (3PL) management capability depends on the outsourcing types and outsourcing causes. Practical implications This study provides guidance to practitioners for them to make outsourcing decisions. It suggests that asset-based logistics outsourcing is more appropriate when there are high external imitation pressures or more internal logistics demands, while non-asset-based logistics outsourcing should be used only when a firm needs management-based logistics services. Besides, 3PL users are suggested to outsource their logistics when their 3PL providers are required to make specific investments. In addition, managers should carefully evaluate firms’ capabilities in managing outsourcing relationships. Originality/value Previous studies largely ignored the interaction effects of a set of factors on logistics outsourcing decisions, and to date, little research empirically examined how outsourcing is driven in terms of different types of outsourcing. Drawing on the institutional theory, dynamic capability view, and transaction cost theory and overarching under the complexity theory, this study examines how institutional, organizational and transactional factors interplay with each other to influence different types of logistics outsourcing (i.e. asset based and non-asset based). Methodologically, the configural analysis (i.e. fsQCA) is applied to explore complex causal configurations that drive logistics outsourcing.


2003 ◽  
Vol 44 (156) ◽  
pp. 113-122
Author(s):  
Slobodan Acimovic

The importance and the position of mediators in the logistic business operations are generally determined through identifying logistics as a set of important business activities. Accordingly, this paper is designed so that the general characteristics of the logistics providers in the Western economies are presented in its first part, while the second part contains a short critical review of the condition of the logistics outsourcing market in our country. The text essentially refers to emphasizing great differences in both the general logistic knowledge and in the specific characteristics of the logistic mediation between the Western markets and ours. So far two kinds of mediation have been identified in the world: 1) Third party logistics (3PL firms) - partial, i.e. incomplete logistics mediators and 2) Fourth party logistics (4PL firms) - complete logistics mediators basing their activity on the full supply chain. In our country we succeeded in identifying only transport firms and/or shipping agencies as the logistics mediators with a rather limited scope of activity; and as their activity's name implies, they are performing only one or two logistics activities.


Author(s):  
Kimberly Mwaura ◽  
Washington Okeyo

ABSTRACT The increasing demand for cement in Kenya has attracted new entrants into the market, increasing competition amongst producers of cement. This study finds out the role of product innovation on performance of large manufacturing firms, a case study of Bamburi Cement Limited. The study was guided by Innovative Firm theory, theory of Dynamic Capability, Resource Dependence Theory and the Institutional Theory. This study adopted a descriptive research design. The study's population entailed all workers of BCL serving in 6 departments in the Corporate Office, Industrial Area and also in Athi River. The departments include Innovation and Technical Services Department, the Commercial Department, the IT Department, Human Resource Department, Production & Maintenance Department and the Finance Department. A total of 470 employees formed the target. The Yamane formula (1967) was applied to obtain the sample for the study. From the 470 workers 216 of them were to be obtained from the targeted departments. A Stratified random sampling was applied for proportionately selecting the 216 sample of employees from the population targeted. A questionnaire was used to collect primary data. Qualitative data was analysed using content analysis and presented in different themes. The study concluded that there exists a positive relationship between product innovation strategy and performance of large manufacturing firms. Therefore, large manufacturing firms should continually embrace product innovation as this strategy provides a framework for creating new products and improving the performance. Manufacturing companies need to implement policies that encourage a process innovation culture. Keyword: Product, innovation, research and development, performance.


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