Publication: Effect of Logistic Service Reliability Capability on Performance of Manufacturing Firms: The Moderating Role of Supply Chain Linkages
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2018-12
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African Journal of Education, Science and Technology
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Abstract
Business organizations striving to improve their performance rely on several capabilities
including logistic service reliability capability. However, there is also a need to understand
how external variables may moderate the effect of logistic capabilities and performance.
This study evaluated the moderating effect of supply chain linkages on the relationship
between logistic service reliability capability and firm performance of manufacturing firms
in Kenya. The study anchored on explanatory research design. A sample size of 442 firms
was selected using stratified and simple random sampling approaches. The study
established that logistic service reliability capability positively and significantly affects firm
performance, subject to moderation by supply chain linkages. For the design of management
system in a firm, there is need to integrate and improve the overall effects of logistic service
reliability capability by incorporating supply chain linkages in the model. There is need for
firm managers to understand and find ways to effectively manage the interactions between
logistic service reliability capability and supply chain linkages in order to improve
performance and meet the customer requirements satisfactorily. In many manufacturing
firms especially in developing countries such interactions are rarely studied.
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Keywords
Performance, Logistic Capabilities, Logistic Service Reliability Capability, Supply Chain Linkages