Effect of Green Supply Chain Practices on the Performance of Building, Mining and Construction Firms in Kenya

Abstract

This research was a cross-sectional study that explores to establish the effect of Green Supply Chain Practices on the Performance of building, mining and construction firms in Kenya. Specific objectives of the study are eco-design and eco-labelling, green manufacturing, green procurement and reverse logistics. The theoretical framework of this work includes theories such as the theory of green operations, institutional theory, and the game theory. This study adopted a cross sectional survey design. The study used a structured questionnaire. The data was analyzed with the aid of Statistical Package for Social Sciences SPSS version 23. Descriptive statistics was presented in the form of frequency tables, and percentages. The inferential statistics includes Pearson's correlation and regression analysis. The study findings indicated that eco-design & eco labelling, green manufacturing, green procurement and reverse logistics have a positive and significate association with the performance of building, mining and construction firms in Kenya. This implies that green supply chain practices and performance change in the same direction. The study found out that building, mining and construction Firms in Kenya have embraced green supply chain practices for effective performance. The study recommended: that it would be appropriate for building, mining and construction firms in Kenya to embrace eco-design & eco labelling, green manufacturing, green procurement and reverse logistics as green supply chain practices; that the government has a role to play in ensuring successful implementation of the green supply chain in organizations by coming up with appropriate measures that will encourage the manufacturers and other organization to adopt the green supply chain practice; that the effectiveness of green supply chain practices should be advocated to ensure sustainability of not only the current generation but the future generation. Further, there should be adequate supply of people who are educated in the philosophy of green supply chain practices to improve the performance of the firm. Moreover, building, mining and construction firms in Kenya to need to invest more on green supply chain practices for sustainable manufacturing. Firms should emphasize on suppliers to have ISO 14001, use life cycle assessment to evaluate environmental load, cooperate with suppliers to standardize packaging and process returned merchandise to improve their performance. Finally, the adoption of reverse logistics as a management strategy will boost performance of building, mining and construction firms in Kenya.