INFLUENCE OF SUPPLY CHAIN MANAGEMENT PROCESS ON

ORGANIZATIONAL PERFORMANCE. A CASE STUDY OF LAVON HOTEL IN

KIBOSI.

BY

AMOS MUYEKHO.

INDEX NO. 4090020159.

A TRADE PROJECT REPORT SUBMITTED IN PARTIAL FULFILLMENT OF

THE REQUIREMENT OF THE AWARD OF DIPLOMA IN SUPPLY CHAIN

MANAGEMENT BY THE KENYA NATIONAL EXAMINATION COUNCIL.

KNEC JULY/ AUGUST 2024 SERIES.

i
DECLARATION.
I hereby declare that the work presented herein is my original work and has never been

presented for any other academic award in any other Institution.

Signature.............................................. Date.................................

SUPERVISOR'S APPROVAL.

This work has been submitted for examination with my approval as the supervisor.

Signature........................................... Date.................................

i
DEDICATION.

I dedicate my dissertation work to my family whose actions and words of encouragement

have helped me throughout my life and studies. I also dedicate this dissertation to my

supervisor and lecturer who has supported me throughout the process not forgetting my

friends to whom I will always appreciate for their positive thoughts.

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ACKNOWLEDGEMENTS.
I would like to extend my sincere gratitude to my manager, Mr. Tobin, as well as the staff

and management of the Lavon Hotel, for their invaluable support in helping me finish my

project successfully. Respecting the help I've received from others, whether directly or

indirectly, shows my gratitude and humility for the teamwork that has gone into my work.

Acknowledging my family, friends, and other supporters who have helped me along the

way is proof of how important their support and encouragement have been. It's clear that

their material, emotional, and moral assistance has been priceless to me, and thanking them

is a true expression of my thanks.

Lastly, recognizing God Almighty's function as

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Table of Contents

Contents
DECLARATION................................................................................................................................ i
DEDICATION. .................................................................................................................................ii
ACKNOWLEDGEMENTS. ........................................................................................................... iii
LIST OF TABLES ........................................................................................................................... vi
ABSTRACT. ...................................................................................................................................vii
ABBREVIATIONS AND ACRONYMS. ..................................................................................... viii
CHAPTER ONE. .............................................................................................................................. 1
1.0 INTRODUCTION. ..................................................................................................................... 1
1.1 BACKGROUND OF THE STUDY. .................................................................................... 2
1.2 STATEMENT OF THE PROBLEM. .......................................................................................... 4
1.4 OBJECTIVES OF THE STUDY................................................................................................. 4
1.5 RESEARCH QUESTIONS...................................................................................................... 5
1.6 SIGNIFICANCE OF THE STUDY. ......................................................................................... 5
1.7 DELIMITATIONS OF THE STUDY. ......................................................................................... 5
1.8 LIMITATIONS OF THE STUDY. .............................................................................................. 5
1.9 ASSUMPTIONS OF THE STUDY............................................................................................. 6
CHAPTER TWO: ............................................................................................................................. 7
LITERATURE REVIEW. ................................................................................................................. 7
2.0 INTRODUCTION. ..................................................................................................................... 7
2.1 OVERVIEW OF THE STUDY AREA. .................................................................................... 7
2.4 LITERATURE ABOUT STORAGE AND WAREHOUSING. ................................................ 10
2.4 LITERATURE ABOUT MARKETING. .................................................................................. 11
2.6 LITERATURE REVIEW ON STATE OF TECHNOLOGY. .................................................... 13
2.7 THEORITICAL FRAMEWORk .............................................................................................. 15
2.7.1 NETWORK THEORY. .......................................................................................................... 16
2.8 CONCEPTUAL FRAMEWORK. ............................................................................................ 18
2.9 GAPS IN THE LITERATURE REVIEWED............................................................................ 18
2.1. SUMMARY OF THE LITERATURE. .................................................................................... 18
CHAPTER THREE......................................................................................................................... 19
3.0 RESEARCH METHODOLOGY. ............................................................................................. 19
3.1 INTRODUCTION. ................................................................................................................... 19
3.2 RESEARCH DESIGN. ............................................................................................................. 19
3.3 TARGET POPULATION. ......................................................................................................... 19
3.4 SAMPLE SIZE AND SAMPLING PROCEDURE. ................................................................. 20
3.5 DATA COLLECTION INSTRUMENTS.................................................................................. 21
3.5.1 QUESTIONNAIRES. ............................................................................................................ 21
3.5.2 SECONDARY DATA FROM THE RESEARCH. ................................................................. 21
3.5.3 PILOTING. .......................................................................................................................... 21
3.5.4 DATA VALIDITY................................................................................................................... 21
3.5.5 RELIABILITY. ...................................................................................................................... 22
3.6 DATA COLLECTION PROCEDURE. ..................................................................................... 22
3.7 METHOD OF DATA ANALYSIS. ........................................................................................... 22
CHAPTER FOUR. .......................................................................................................................... 24

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4.0 DATA, ANALYSIS, FINDINGS, CONCLUSIONS, AND RECCOMMENDATIONS. ... 24
4.1 INTRODUCTION. ................................................................................................................... 24
4.2 INFLUENCE OF SOURCING OF RAW MATERIALS ON ORGANIZATIONAL
PERFORMANCE. .......................................................................................................................... 24
4.3 INFLUENCE OF WAREHOUSING /STORAGE ON ORGANIZATIONAL PERFORMANCE.
........................................................................................................................................................ 25
4.4 INFLUENCE OF MARKETING ON ORGANIZATIONAL PERFORMANCE. ............ 26
4.5 INFLUENCE OF STATE TECHNOLOGY ON ORGANIZATIONAL PERFORMANCE. .... 27
4.6 CONCLUSIONS....................................................................................................................... 27
REFERENCES. .............................................................................................................................. 29
APPENDICES ................................................................................................................................ 30
APPENDIX I .................................................................................................................................. 30
INTRODUCTION LETTER........................................................................................................... 30
APPENDIX II ................................................................................................................................. 31
QUESTIONNAIRE. ....................................................................................................................... 31
APPENDIX III ................................................................................................................................ 32
RESEARCH BUDGET. .................................................................................................................. 32

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LIST OF TABLES

Table 4.1 Influence of sourcing of materials on organizational performance ................... 24

Table 4.2 Influence of warehousing on organizational performance. ................................ 25

Table 4.3 influence of marketing on organizational performance ..................................... 26

Table 4.4 Influence of state of technology on organizational performance ....................... 27

Table 4.5 Research budget. ................................................................................................ 32

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ABSTRACT.
The current global market is characterized by intense rivalry, shorter product life cycles,
and rising customer demands. As a result, firms are under pressure to reallocate resources
and concentrate on optimizing their supply chain operations. Using effective supply chain
management techniques has become a key tactic for establishing a competitive advantage,
improving operational efficacy and efficiency, and eventually improving organizational
performance. The purpose of this study is to look into how SCM procedures affect the
Lavon Hotel. In order to investigate the links between variables, the research uses a case
study methodology in conjunction with causal research. Through the distribution of
questionnaires, primary data was acquired. Inferential analysis and descriptive statistics
were used in the data analysis process. The results show that SCM procedures mostly have
a favorable impact on the organizations

vii
ABBREVIATIONS AND ACRONYMS.
SCM- Supply Chain Management.
ICT - Information Communication Technology
IT - Information Technology.
CA - Competitive Advantage.
TRA- Tourism Regulatory Authority.
KAHK - Kenya Association of Hotel Keeper

viii
CHAPTER ONE.

1.0 INTRODUCTION.
This chapter focuses on the background of the study, discuss the Problem statement, and
outline the objectives and research questions, the Purpose of the study, the significance,
assumptions and the limitations of the study.

1
1.1 BACKGROUND OF THE STUDY.
Organizational performance is a critical aspect that encompasses various dimensions such
as financial performance, product market performance, and economic value added. It is
essential for businesses to focus on improving performance at different levels, including
operational, organizational, and individual employee levels. Performance improvement
strategies can involve measures like statistical quality control at the operational level,
customer service surveys at the organizational level, and job satisfaction metrics at the
employee level.

The evolving landscape of global markets, the shorter product life cycles, and the rising
customer expectations have necessitated organizations to invest in and enhance their supply
chains. Supply Chain Management (SCM) plays a vital role in efficiently integrating
suppliers, manufacturers, warehouses, and stores to ensure the timely production and
distribution of goods at optimal costs while meeting service level requirements. SCM
involves managing the flow of materials and information in a supply chain to achieve high
customer satisfaction at minimal costs.

Effective SCM requires collaboration among supply chain partners to coordinate order
generation, order taking, and order fulfillment, thereby creating an extended enterprise that
extends beyond the producer's location. It encompasses all companies and activities
involved in designing, manufacturing, delivering, and using a product or service. By
implementing robust SCM practices, organizations can streamline their operations, enhance
efficiency, and ultimately improve their overall performance in today's competitive
business environment.
Business depend on their supply chain to provide them with what they need to survive and
thrive. Every business fits into one or more supply chains and has a role to play in each of
them (Li et al., 2005).
Various theories that guide an effective Supply Chain Management and its benefits include
the systems theory, resource based theory and the principle agent theory. Supply chain
management is also an integration of key business processes from initial raw material
extraction to the final or intended customer, including processing, transportation and
storage activities and the final sale to the end customers. Organizations with large
inventories, many suppliers, complex product assemblies and highly valued customers with
large purchasing budgets have the most to gain from the practice of supply chain
management (Christopher & Towill, 2000).
Kenya Hotel Industry falls under the ministry of Tourism and Wildlife, it is regulated by
Tourism Regulatory Authority. The industry is subdivided into nine regions namely,
Nairobi, North rift, South right, Western, Eastern, North Eastern, Coast, Central and
Northern. Before 1965 the government focused its attention mainly on international tourism
while a substantial amount of money was set aside to promote domestic tourism in the first
decade of independence (R. M. Maxon, 1992). A continental research which was for
2
Nairobi September (2002) revealed a positive spike touching on the number of
multinational investors rushing to set up operations in sub Sahara Africa. Kenya is also
emerging as a first growing hotel investment destination with international chain.
There are 189 registered hotels with the Kenya Association of Hotel keepers and caterers
(KAHC), out of which 53 are located in Nairobi and another total of 500 hotel which have
been licenced by the government countrywide. According to TRA (2018),178 hotels in
Kenya are classified into 2 and 5 star. TRA is charged with the responsibility of hotel
classification. In classifying the hotels factors such as location, building design, hotel
capacity, information services, beverage cooling systems, waste collection, security, human
resource policy are some of the features that the regulator considers in determining the
classification (Tourism Act Authority Regulations, 2014).
KIBOSI hotel industry is historic and futuristic. The industry began more than 100 years
ago with only four main hotels which until five years ago have dominated the market they
include, KIBOSI hotel, Sunset, Nyanza club and Imperial hotel. As KIBOSI has grown in
size and population a large number of hotels have popped up (en. Wikipedia. org/wiki
/KIBOSI). KIBOSI town is witnessing unprecedented growth in hotel industry with over
ten facilities put up in the last five years which is attributed to the large and increasing
demand.
One of the biggest and most prestigious hotel in KIBOSI is Lavon Hotel which opened its
doors in June 2015 and is the self-managed property under Simba hospitality, a division of
the leading regional group which first entered the industry with marquee properties such as
Villa Rosa Kempinski. Lavon is recognized as an outstanding property in local and
international hospitality publications. It has been rated with a seven star as superior first
class.. It overlooks Lake Victoria which gives it a edgy touch and equipped with state of
the art services.

3
1.2 STATEMENT OF THE PROBLEM.
The study you have outlined on the effect of supply chain management practices on the
performance of Lavon Hotel in KIBOSI, Kenya is indeed crucial in understanding how
effective SCM can impact various aspects of organizational performance such as
profitability, service delivery, shareholder value, and other key performance indicators.
Given the dynamic nature of supply chains in the hospitality industry, it is essential for
hotels to continuously refine and optimize their SCM practices to stay competitive in the
market.

By focusing on the specific context of Lavon Hotel in KIBOSI, the study can provide
valuable insights into the current SCM practices in place at the hotel and their influence on
overall organizational performance. Understanding how SCM contributes to the success of
the hotel can help in identifying areas for improvement and optimization, ultimately leading
to enhanced efficiency, customer satisfaction, and financial performance.

Furthermore, by filling the existing gap in research regarding the impact of SCM on
performance in the hotel sector in Kenya, this study can contribute to the body of
knowledge on effective SCM practices in the hospitality industry. The findings of this study
can potentially guide other hotels and organizations in the sector in adopting best practices
in SCM to drive performance improvements and achieve sustainable growth.

Overall, this study has the potential to shed light on the importance of SCM in the hotel
industry and provide practical recommendations for Lavon Hotel and other similar
establishments to enhance their operational excellence and competitiveness through
effective supply chain management.

1.3 PURPOSE OF THE STUDY.

The purpose of the study was to investigate the influence of supply chain management
process on organizational performance: A case study of Lavon Hotel KIBOSI.

1.4 OBJECTIVES OF THE STUDY.

1. Assessing the impact of raw material sourcing on hotel organizational performance in
supply chain management.
2. Analyzing the influence of storage and warehousing on organizational performance as
components of supply chain management.
3. Investigating the impact of marketing as a tool in supply chain management on hotel
organizational performance.
4. Evaluating the influence of technology as a tool in supply chain management on
organizational performance.

4
1.5 RESEARCH QUESTIONS.
1. Sourcing of high-quality raw materials can improve product quality and cost
efficiency for Lavon hotel.
2. Efficient storage and warehousing practices can reduce waste and improve
responsiveness to customer demand.
3. Effective marketing can attract new customers and strengthen customer loyalty for
Lavon hotel.
4. Utilizing advanced technology can improve operational efficiency and enhance the
overall guest experience at Lavon hotel.

1.6 SIGNIFICANCE OF THE STUDY.

The study results provide valuable insights for Lavon hotel's management to enhance their understanding
of supply chain management practices, enabling informed decisions to improve efficiency and
effectiveness. Additionally, the findings can guide the development of strategies to optimize current
supply chain management policies, leading to improved performance and cost savings. The information
from the study can benefit the industry as a whole by guiding policy and process improvements in supply
chain management practices. Furthermore, future researchers and academicians can build upon the
study's results and recommendations to further explore the impact of supply chain management practices
on organizational performance, contributing to the existing body of knowledge in this field. Lastly, the
study serves as a foundation for literature reviews, expanding the understanding of how supply chain
management practices can influence the performance of organizations in the hospitality industry.

1.7 DELIMITATIONS OF THE STUDY.

Focusing on the Lavon hotel in KIBOSI County gives us a detailed look at how they
manage their supply chain. This can help us understand the challenges and good practices
in the hotel industry. However, because we're only looking at one hotel at one point in time,
we might miss how things change over time. In the future, it would be helpful to study how
supply chain management evolves in hotels over a longer period and in different places.

1.8 LIMITATIONS OF THE STUDY.

The study conducted at the Lavon hotel in KIBOSI County faced limitations and potential
weaknesses that need to be considered. The findings may not be generalizable to the entire
country, as the study was limited to a single hotel in a specific location. Some respondents
were uncooperative and hesitant to provide information, potentially affecting the data
quality. Addressing these challenges, such as building trust, ensuring confidentiality, and
emphasizing anonymity, is crucial for conducting reliable and valid research in
organizational settings.

5
1.9 ASSUMPTIONS OF THE STUDY.
Your points highlight important assumptions that underpin the study. It's crucial to
acknowledge these assumptions when interpreting the findings and drawing conclusions.
Researchers need to be mindful of potential biases and limitations in data collection,
measurement, and analysis. Additionally, ensuring that participants are well-informed
about the study and providing voluntary and honest responses is essential for the validity
and reliability of the research. Recognizing these assumptions can help researchers to
critically evaluate the study's outcomes and consider potential areas for improvement in
future research endeavors.

10.1 ORGANIZATION OF THE STUDY.

Chapter one: It mainly consists of the background of the study, statement of the problem,
purpose of the study, objectives of the study, research questions, significance of the study,
assumptions of the study and lastly organization of the study.
Chapter two: It includes literature review and study variables which include, sourcing of
raw materials, warehousing /storage, marketing and technology. It also looks into
conceptual framework, theoretical framework, and summary and research gaps of chapter
two.
Chapter three: It includes methodology of the study, which includes research designs, site
of the study, target population, sampling procedures, methods of data collection, validity
and reliability of the research instruments, size of the sample, operationalization of
variables and ethical consideration.
Chapter four: It covers presentation and interpretation, data analysis, findings and
summary. Discussions on conclusions and recommendations.

6
CHAPTER TWO:

LITERATURE REVIEW.

2.0 INTRODUCTION.
The literature review chapter in our research manuscript provides a comprehensive overview of the
existing literature related to supply chain management practices. It critically examines and synthesizes
previous studies to establish a theoretical and conceptual framework for our research. This chapter
explores the key variables, theories, and concepts that have been studied in the context of supply chain
management practices. It also identifies gaps in the literature, highlighting areas where further research
is needed. Finally, the chapter summarizes the key findings from the literature review, setting the stage
for our research by contextualizing it within the broader academic discourse on supply chain management
practices.

2.1 OVERVIEW OF THE STUDY AREA.

Supply chain management, according to Cigolini et al. (2004), is the process by which
managers define the chain of operations. Supply chain strategy, as defined by Narasimhan
et al. (2008), is the set of decisions made about the management of supply chain activities.
The authors stress the significance of maintaining consistency and alignment with
corporate-level strategy. The planning and management of all activities related to sourcing
and procurement, conversion, and all logistics management activities, including
coordination and collaboration with suppliers, intermediaries, and third-party service
providers, are all included in supply chain management (SCM), according to the Council
of Supply Chain Management Professionals (CSCMP) (2004), formerly the Council of
Logistics Management (CLM), a leading professional organization promoting SCM
practice, education, and development. SCM essentially unifies demand and supply
management both inside and between businesses. CSCMP highlights that availability
Supply and demand management, sourcing raw materials, inventory tracking, order
tracking, order management, distribution, and customer delivery are all included in chain
management. SCM, according to Cooper et al. (1997), is the management and integration
of the full suite of business operations that offer clients value-adding goods, services, and
information. The term "supply chain management" has been defined by a number of
authors. Christopher (1998), New and Payne (1995), and Simchi Levi et al. (2002) define
it as the integration of critical business processes among a network of manufacturers,
retailers, distributors, and interdependent suppliers in order to enhance the flow of
information, goods, and services from the original supplier to the final consumer with the
goals of lowering system-wide costs while maintaining necessary service levels. (2006)
Stapleton et al. A supply chain is a network of businesses that work together to generate
goods, services, and valuable information for final consumers through a variety of
procedures and activities. The supplied text presents a variety of definitions and viewpoints
on supply chain management (SCM), highlighting the complexity of SCM and its
importance in modern business settings. According to Christopher (1992), the integrated
and process-oriented approach to supply chain management (SCM) places a strong
7
emphasis on the goal of creating value for the end user through enhanced customer support
and cost savings. According to Lummus and Vokurka (1999), the complete scope of supply
chain management (SCM) includes all activities from procurement of raw materials to
delivery to the client, as well as the information systems required to track these activities.
This wide perspective highlights the intricacy and interdependence of SCM procedures.
SCM's beneficial effects on resource performance, supplier partnerships, adaptability, and
overall organizational performance are further highlighted by Abdullah et al. (2014) and
Diab et al. (2015). Furthermore, as noted by Karimi and Ratiee (2014), current
advancements in SCM, such as information sharing, outsourcing procedures, and
continuous process flow, highlight how SCM techniques are always altering to adapt to
shifting business needs. According to Inda et al. (2012), the emphasis on providing value
to consumers and gaining a competitive edge through responsive supply chains is consistent
with the main objective of SCM, which is to improve customer responsiveness, satisfaction,
and retention. Moreover, the strategic significance of supply chain management (SCM) in
achieving a competitive edge and long-term goals pertaining to efficiency, lead time
reduction, and market share expansion are highlighted by various authors cited in the text.

All things considered, the viewpoints that have been discussed highlight the crucial part
that SCM plays in contemporary corporate operations as well as its ability to influence
competitive positioning, customer satisfaction, and organizational success. The dynamic
nature of market conditions necessitates that organizations adopt and modify their supply
chain management (SCM) strategies due to the ever-evolving nature of SCM practices and
their impact on many business elements.
2.3 LITERATURE ABOUT SOURCING OF RAW MATERIALS.
The literature that is provided provides a thorough review of the sourcing process and
highlights how crucial it is to identify the appropriate suppliers in order to satisfy the
business's criteria for both cost and quality. It emphasizes that sourcing involves combining
supplier capabilities to enhance cycle time and delivery capabilities and, eventually,
achieve competitive advantage through cost reduction. Sourcing is not only about getting
goods and services at the lowest possible price. The book emphasizes how strategic
sourcing decisions are, usually taken by upper management, and how they center on
important goods and services that have the potential to have an influence on the business's
operations. In order to obtain a competitive advantage, it also highlights the necessity of
creating sourcing strategies that go beyond just selecting the best supplier. These strategies
should include negotiating advantageous payment terms and upholding solid supplier
relationships advantages. Additionally, the book highlights the necessity to find substitute
suppliers in order to reduce supply chain risks and the possibility of cost and dependability
trade-offs while engaging in global sourcing. It also describes the specific actions that are
taken in the sourcing process, such as determining the needs for purchases, researching the
market, and selecting and analyzing potential suppliers. The article also highlights the need
of smart purchasing when acquiring raw materials, as it involves taking into account
possible supplier operations in addition to a variety of economic and environmental aspects
8
that affect supply and demand. It emphasizes the necessity of a sophisticated sourcing
strategy, particularly in light of shifting market dynamics and possible shortages brought
on by natural disasters. All things considered, the book offers a thorough grasp of the
difficulties and factors involved in the procurement of raw materials,the strategic
importance of sourcing decisions and the multifaceted nature of the sourcing process.
1. The paper offers a thorough examination of the different factors and difficulties related
to international raw material procurement. It emphasizes how crucial it is to evaluate
the political risks connected to various locations or nations, as well as how important it
is to take into account laws that have an effect on other operational areas like
international banking costs, insurance, logistics, and customs. This demonstrates the
complex nature of global sourcing, where potential political and regulatory issues must
be weighed against cost reductions.
2. In addition, the book highlights how crucial quality assurance is when purchasing raw
materials internationally. In order to guarantee compliance and sustainability, it
emphasizes the necessity of thorough supplier assessment and verification of product
quality and conditions. This emphasizes the possible trade-offs that judgments about
global sourcing may have to make between quality control and cost reduction.
3. The article also addresses the importance of distribution and logistics factors in global
sourcing, highlighting the necessity of anticipating changes in raw material costs in the
future and proactively managing the influence of drivers that frequently affect costs. It
also recognizes the difficulties businesses have when manually monitoring changes in
the market and draws attention to the possibility of predictive analytics to give better
visibility into supplier and cost management.
4. All things considered, the book provides insightful information about the nuances of
international sourcing, stressing the strategic factors and possible fixes for problems
with political risk, quality control, and raw material distribution and logistics..

9
2.4 LITERATURE ABOUT STORAGE AND WAREHOUSING.
The increasing pressure on organizations to create value and deliver it to customers in
today's competitive global marketplace. It emphasizes the need for more efficient
warehousing strategies to compete across cost, quality, and service dimensions in global
markets. The distinction between warehousing and distribution centers is articulated, with
warehousing being recognized as a distinct function that supports the movement of
materials, storage, processing products, de-aggregating loads, creating stock, keeping unit
assortments, and assembling shipments. The efficient management of a warehouse is
presented as a means to optimize production processes, reduce costs, and enhance service.
The text also identifies three critical factors affecting the efficiency and effectiveness of
warehouse operations in the fast-moving consumer goods industry: warehouse
management systems' simplicity/complexity, product slotting techniques, and warehouse
layout planning. Furthermore, it emphasizes the challenges faced by organizations in
managing warehouses, particularly in the context of customer satisfaction and service being
key differentiators in today's business environment. The need for an effective warehouse
operating system is underscored, highlighting its role in receiving inventory, timely order
fulfillment, automated validation of warehouse activities, and accurate inventory control.
The importance of warehousing network in the success of physical product distribution is
emphasized, with leading firms adopting different warehousing strategies such as capacity
switching, hub networking, cobbing, and outsourcing. Additionally, the text mentions the
use of both analytic and simulation models for improving warehouse design practices, with
analytic models exploring alternatives quickly to find solutions and simulation models
focusing on analysis. They provide assessment of a given design, but usually have limited
capabilities for exploring the design space. Many business organizations spend a lot of
resources installing inventory management systems with the aim of minimizing their total
operating costs and enhance service delivery to customers. However many audits done by
other studies reveal that there is an increased level of discrepancies in the manner in which
warehouse management systems are harmonized in the organization. Warehousing helps in
properly coordinating operations in the store which ensures smooth production which
benefits the organization from economies of scale and improved customer care. It also
enables to measure productivity and service and identify patterns and trends, lt tells exactly
where companies are and what they need to do to meet their own in-house goals as well as
the industry benchmarks (Curtiss, 2016). Major and minor mistakes in warehousing can
result to high losses. Incorrect storage can damage the goods. If they are sold, they will
either be sold in a much lower price or not be sold at all. The manufacturers will not be able
to get back their investments. Failure to deliver goods at the right destinations will cause
the business to cover another round of delivery costs to do two things: to bring back the
wrong goods and deliver the right ones (Edwards 2010).

10
2.4 LITERATURE ABOUT MARKETING.
The critical role of marketing in understanding and meeting customer needs, with the
coordination of all components of the marketing system being essential for success. It
highlights that effective marketing activities can help achieve organizational objectives
such as higher sales, market share, profit, and competitive advantage, making marketing an
integral part of business strategy. The study focuses on the key components of marketing
activities, including product, price, promotions, distribution, and customer orientation, with
the customer being the central focus of all marketing efforts. It suggests that a sound
marketing approach is crucial for performance in economic reform economies, and
businesses in transition environments need to formulate customer-focused strategies to
remain competitive. The passage also emphasizes the importance of effectively
implementing strategies related to product, pricing, promotion, and distribution, as these
are expected to lead to improved performance for firms. Overall, it underscores the
significance of marketing in driving organizational success and competitiveness in dynamic
business environments. Businesses that possess the ability to learn rapidly about their
markets and act on that information are best positioned to achieve competitive advantage.
To help an organization deal with market events and trends, internal organizational
processes develop (Day, 2004).Among the organizational processes that typically develop
within an organization, it's strategic planning processes and the related processes it uses for
analyzing market information are cited as being among the most important (Moller and
Antilla 2007).
Market oriented organizations possess the ability to generate, disseminate and respond to
information about market forces and market conditions better than their less market
oriented rivals (Jawarski and Kohli 2003).This gives market oriented organizations an
important basis for improving performance by learning what buyers want, building the
processes necessary to deliver the value help they desire and adopting those values
generating processes as market conditions change.
To use these processes as the basis for improving performance an organization needs to
develop the capabilities to generate, disseminate and respond to market intelligence and the
processes to act on this information (Hunt & Morgan 2005). Marketing plans help
companies and organizations employ marketing strategies that will help them realize both
long-term and short term objectives (Walker, 2011). Wiburn (2011) noted that marketing
strategies is a major contributor in the performance of a company and it helps a company
to do business in accordance with its objectives and it helps many companies achieve their
targets or realign their objectives.
Marketing helps to convince potential customers buy a company's products, it is more
important due to to many companies offering similar products, a marketer must take his
time to persuade and convince potential buyers to buy their products. Eng and Kech (2007)
believes that marketing effectiveness has to be captured by the additional sales of a product
over and above those that would have happened in absence of any marketing or promotion.
Although marketing managers have long believed that a marketing impact on sales can
11
persist longer than the current period, the tendency to assume that marketing effect on sales
is short - term is yet prevalent. They further argue that the longer uses of marketing are
better than less and shorter uses of it irrespective of the nature of contribution of
advertisements to sales. Korgankar et al, (2004) hypothesize that marketing campaigns
were successful in increasing sales when they were for nondurable products with unique
attributes were geared to the consumer markets and backed by adequate financial resources
and when they featured unique and creative message. It is also found that favorable
products attributes could be achieved by marketing campaigns that promoted product
uniqueness, had adequate financial resources and used creative message and appropriate
data. Elbanna and Child (2007) noted that marketing performance is central to success in
today's fast moving competitive markets, and measuring marketing performance is critical
to managing it effectively. The process of commutating the value of a product or service to
customers for the purpose of selling the product or service has become complex in recent
times due to globalization. There is also the need to exceed the expectation of customers
since satisfied customers are the organization's least expensive customers ;buy again and
again ; talk favourably about the business which means free advertising ; pay less attention
to competition and that it tends to buy new products or equipment lines an organization
may add later (Kotler, 1998). To create an effective marketing strategy it is necessary to
include a communication strategy to support the actions to be taken. This strategy should
include a schedule that contains both traditional and non - traditional media (Lui, Shah &
Schroeder, 2006). The importance of non-traditional media is fast growing and the can be
used to create the right brand management that will lead to more sales and brand recognition
(Lui, Shah & Schroeder 2006).lt is important to note that none of the strategies is better
than the other. However finding the right mix of both media can create the best
communication marketing strategy for the company and specifically for the product being
offered for sale.

12
2.6 LITERATURE REVIEW ON STATE OF TECHNOLOGY.
Historical overview of the evolution of information and communication technology (ICT)
and its impact on organizations. It begins by highlighting how ICT was initially used for
routine clerical and administrative tasks in the 1960s and 70s, such as bookkeeping and
accounting. At that time, it was primarily seen as a support factor for other organizational
system components, rather than a strategic tool for enhancing competitiveness and
decision-making. However, as technological advancements progressed, the economies of
ICT improved, leading to expanded applications and strategic uses within organizations. It
emphasizes that ICT has evolved into a competitive weapon that can transform industry
structures. It also stresses the need for organizations to critically evaluate their management
of information and technology resources in order to achieve strategic objectives in today's
rapidly changing competitive environment. It also presents empirical evidence from
various studies conducted in developed countries, demonstrating the positive impact of IT
investments on firms' growth, productivity, and innovation. Examples include studies from
Australia, the United States, OECD countries, Finland, Ireland, Korea, the Netherlands, and
Germany, all showing significant links between the use of IT and various aspects of
organizational performance. Overall, it underscores the transformative potential of ICT as
a platform for success within organizations. It also acknowledges the ongoing research and
discussions among researchers and organizational theories regarding the implementation
and management of ICT innovations and their effects on organizations at different levels.It
is widely accepted among many authors and researchers in organizational field that IT has
a significant effect on the performance on the organization’s activities (Bhattacherjee &
Hirschheim , 1997); (Morris & Westbrook, 1996); (Porter & Millar, 1985). For example
ICT applications can be used to improve the level of efficiency of administrative functions
in an organization and to enhance the effectiveness of managerial activities. These
applications also can be used as tools to impose better organization on tasks and to provide
better information to managers. Zuboff (1998) pointed out ICT applications are strongly
altering the way in which production operations are carried out in a variety of industries
and thus using ICT to create and acquire competitive advantage. ICT researchers have
empirically demonstrated that IT investments enhances firms productivity, management
capabilities and competitive advantage (Griffith 1999). Studies in the development of the
world have attested that given the proper infrastructure, IT can be an enabler for socio-
economic development. Illustrations of studies done on IT's impact on performance
included ; a study of an information service firm by Polley and Braunstein (1984), which
found an association with increased economies of scope; another was by (Diewart and
Smith, 1994) which provided an interesting case study of a large Canadian retail firm.
According to their accounting frame work, the distribution firm experienced an outstanding
9.4% quarterly multi-factor productivity growth, for 6 consecutive quotes starting at the
second quoter of 1998. They argued that these large productivity gains were made possible
by the computer evolution which allowed a firm to track accurately it's purchase and sales
of inventory items and used the largest computer software to minimize inventory holding
13
costs; While Loveman (2001) found no evidence on performance increase from IT
investors, Weill (2001) found that transactional IT had a positive impact on the firms
performance but strategic IT did not. Gakou (2011) who conducted a study on the impact
of ICT at Nairobi Water & Sewerage Company and observed that it's investments
substantially increased the average organizational performance in achieving various
milestones, overall revenue increment, enhancing research and development and product
innovation.

14
2.7 THEORITICAL FRAMEWORk

It serves as the study's blueprint. It serves as the foundation and source of support for the
investigation (Grant & Osanloo, 2004). To bolster the investigation, network theory and
competitive advantage were used. This is a result of their applicability to the research issue
and the study's goal.

15
2.7.1 NETWORK THEORY.
The use of Network Theory (NT) to supply chain management (SCM). It draws attention
to the intricacy of supply chain networks and stresses the significance of the connections
between supply chain participants. The idea highlights the mutually beneficial nature of
interactions throughout the supply chain and contends that a network's efficacy is a function
of the efforts and contributions made by all stakeholders additionally, it shows that the
theory makes it possible to analyze reciprocity in partnerships that are cooperative,
highlighting the significance of teamwork and cooperation in supply chain networks. It also
implies that choosing the right supply chain practices to implement requires an awareness
of a company's supply chain network. All in all, it implies that Network Theory offers a
framework for comprehending and evaluating supply chain network dynamics and how
they affect a company's ability to compete. It also suggests that supply chain management
strategy decisions can be informed by this approach.

16
2.7.2 COMPETITIVE ADVANTAGE THEORY.
The capacity of a business to establish a strong position for its goods and services relative
to rivals in the same industry is known as a competitive advantage (Brazil, 2011).According
to Tracey et al. (1999), an organization's unique competencies are what differentiate it from
rivals and provide them a competitive advantage. A company needs to be able to generate
goods and services with a greater economic value than those of its rivals in the industry in
order to become a CA (Yunas et al., 2016). Value is the amount a customer is willing to
spend on a good or service. Greater value results from providing a product with distinctive
features to attract premium pricing, or from offering prices lower than those of a rival
(Porter 1985). Price, quality, delivery, dependability, product innovation, and time to
market comprise the CA component (Yunas et al 2016). CA is divided into four groups
(Porter 1985).The study focused mostly on cost leadership and differentiation, though. The
ability of a company to attain low costs throughout the industry is known as cost leadership.
A company is deemed to have attained CA if it can achieve low costs. An organization
needs to use a number of strategies, including supply chain integration, accurate demand
forecasting, effective inventory management, outsourcing, supplier partnerships, and more,
in order to become cost leaders (Haim & Narenthen, 2014). Effective cost leadership is
possible when consumers focus less on other factors like brands, price sensitivity, and
bargaining power. In order for a company to attain cost leadership, process innovation-
related actions that minimize costs across the board should be prioritized. Porter, 1985).
Haim and Narentheren (2014) go on to say that in order for companies to achieve successful
cost leadership, they need special skills to properly manage material requirements and the
product production process. This point of view is supported by Lo (2012), who claimed
that a design approach that reduces expenses and operational operations can successfully
establish cost leadership. Contrarily, differentiation is the key to controlling customer
perception by offering goods or services that are better than those of rivals in order to
persuade customers to pay a premium for the goods (Stonehouse et al 2007). This theory
provides support for the study by outlining strategies for implementing service
differentiation and cost leadership that will enable CA to be accomplished.

17
2.8 CONCEPTUAL FRAMEWORK.

It describes the independent and dependent variables as well as how they relate to one
another. In this instance, the independent variables are marketing, warehousing, technology,
and raw material sourcing, and the performance of the hotels can have a positive or negative
impact on the organization.

2.9 GAPS IN THE LITERATURE REVIEWED.

It seems like there might be a lack of research that specifically looks at how the way a
company manages its supply chain affects how well the company performs. While there's
a lot of general information about different parts of supply chain management, there might
not be enough detailed studies that directly connect supply chain processes to how
successful a company is. The existing research suggests that good supply chain
management should lead to better performance for a company, but we need more real-world
evidence to confirm if this is true. This gap in the research means that there's an opportunity
for new studies to explore how supply chain management really impacts how well a
company does. If you're thinking about doing research in this area, it could be a really
valuable contribution to our understanding of how businesses can improve their
performance through better supply chain management.

2.1. SUMMARY OF THE LITERATURE.

The proposed study to assess the impact of supply chain management processes on the performance of
Lavon hotel is well-aligned with the existing research gap and has the potential to contribute valuable
insights to the field of supply chain management and organizational performance. However, it will be
important for the study to carefully consider its research methodology and measurement techniques, and
potentially employ a mixed-methods approach to capture the multifaceted nature of supply chain
management processes.

18
CHAPTER THREE.

3.0 RESEARCH METHODOLOGY.

3.1 INTRODUCTION.
In this chapter, the technique to be used for the study was explained in depth. The following
topics were covered: research design; target population; sampling procedure and size; data
collection instruments; data collection procedure; data analysis method; and ethical
considerations.

3.2 RESEARCH DESIGN.

In addition to using a casual research strategy that entails calculating the casual effect
between variables, the research is a case study. To determine the degree and kind of cause-
and-effect relationship between the variables, a casual study design was used. According to
John Dudovosky (2013), a study with a casual design can evaluate the effects of certain
modifications on established norms and procedures while providing high degrees of
validity because participants are carefully chosen. As a result, the design is appropriate for
allowing the researcher to ascertain the type of link that exists between the random variables
and the anticipated effect.

3.3 TARGET POPULATION.

Choosing senior employees from important departments inside the hotel, such as finance,
sales and marketing, human resources, stores, and general management (Kombo & Tromp,
2006).
Given their roles and potential influence on supply chain management procedures, the
respondents in the study are appropriate. Their viewpoints and thoughts can offer insightful
information about how SCM procedures affect hotel performance. The researcher must,
however, make sure that the chosen respondents are well-versed in SCM procedures and
how they affect the operations of the Lavon Hotel. The study should also take into account
any conflicts of interest or biases that might have resulted from the sample that was chosen,
as well as how such might have affected the results.

19
3.4 SAMPLE SIZE AND SAMPLING PROCEDURE.
Primary and secondary data are the two categories of data. The Lavon hotel KIBOSI was
the study's goal, and main data was gathered there. The managers from different
departments who answered the surveys were the responders. A stratified random selection
technique was employed to choose participants from across the hotel's departments. A
certain number of cases are chosen at random from each population subgroup during the
sampling process. Thus, it guarantees the subgroup's inclusion in the sample, which other
sampling techniques would have completely ignored. Employees were categorized
according to the departments they were employed by. Segmenting the population into
smaller groups is made possible via sampling. After that, a simple random sample is taken
from each stratum, and the samples from the subgroups are combined to create a whole
stratified sample. The magnitude of the sample was 48

20
3.5 DATA COLLECTION INSTRUMENTS.

3.5.1 QUESTIONNAIRES.
The researchers gathered primary data by using questionnaires that were structured to encompass all the
variables under study. The questionnaires included both closed and open-ended questions, enabling
respondents to provide a range of responses. Research assistants were trained on the study's requirements
and administered the questionnaires using a drop-and-pick method. This approach was beneficial as it
allowed respondents to complete the questionnaires at their convenience.

3.5.2 SECONDARY DATA FROM THE RESEARCH.

Through a rigorous analysis of recorded documents relevant to the investigation, secondary
data was gathered. This made it possible for the researcher to gather data that could provide
more context for the investigation. The data was collected from both privately written and
published journals on topics related to the supply chain management process.

3.5.3 PILOTING.
The pilot study conducted by the researcher was an essential step in establishing the validity
and reliability of the research instrument. By involving both the respondents and experts in
Lavon, the researcher gained valuable feedback on the questionnaire's clarity,
comprehensiveness, and overall design. This process helped to ensure that the questions
were logical and easily understood, and that the response options were exhaustive.
Furthermore, testing the questionnaire on a sample consisting of 10% of the respondents
allowed the researcher to assess the practical aspects of data collection, such as the time
required to complete the questionnaire. The feedback obtained from the pilot study was
then used to refine and improve the research instrument before the actual data collection
phase. Overall, the pilot study served as a crucial quality assurance step, enabling the
researcher to make necessary adjustments to ensure the reliability and validity of the data
collected for the study.

3.5.4 DATA VALIDITY.

The degree to which findings derived from data analysis accurately depict the phenomenon
being studied is known as validity. It is the precision and significance of the conclusions
drawn from the study. By comparing measurements with values as near to the genuine value
as feasible, validity is measured. The ability to characterize correlations between variables
in research data is diminished by poor validity. (Mugenda & Mugenda 2003) contends that
an instrument's validity is shown when it fulfills its intended function. Content validity,
which measures how well a measure captures all aspects of a certain social concept, was
employed in the study. Experts were utilised to quantify the validity. To determine whether
the questionnaire's questions are valid, the researcher had specialists review each one. To
ensure dependability, the instrument was pre-tested on five respondents who were
conveniently selected.

21
3.5.5 RELIABILITY.
The degree to which a study produces consistent findings or data throughout multiple trials
is known as reliability. It is a level of constituency that is demonstrated by the research
tools or techniques. It is a measurement's repeatability. It is qualified by measuring the same
subject multiple times. A single measurement's precision is diminished by poor reliability,
which also makes it more difficult to monitor changes in measurement studies. In Kothari
(1997). The contact's Alpha determination of a coefficient of 0.7 and above was used to
determine the reliability test. Reliability for independent variables was 5.6 of a=0.78, while
for dependent variables, it was 0.76.

3.6 DATA COLLECTION PROCEDURE.

Heads of the hotel's SCM departments were given questionnaires to complete in order to
gather primary data. It was broken down into sections on organization performance, SCM
practices, issues with SCM adoption, and general information. The questionnaire was
divided into sections B, C, and D using a five-point Likert scale. It was admitted by physical
distribution and the drop-and-pick approach, with a 4-day window set aside for data
collection. The questionnaires were pre-designed and partially created.

3.7 METHOD OF DATA ANALYSIS.

Questionnaires were distributed to the hotel's SCM department heads in order to gather
primary data. The document was structured into four sections: general information,
SCM practices, SCM implementation obstacles, and organization performance.
Sections B, C, and D of the survey employed a five-point Likert scale. It was admitted
using the drop-and-pick method and physical distribution, with a four-day window for
data collection. The surveys were partially prepared and planned in advance.
Y1 = B0 + Bo + B1X1 + B2X2 + B3X3 + B4X4 + E
where Performance = Y.
X1 = Summarization of SCM results
X2 = Outlining SCM Operations X3 = Specifying Progress Monitoring Techniques
X4 = Developing a plan for remedial intervention procedures
In the equation, Bo is the Y intercept.
B1 = Metric of raw material sourcing articulation's impact on performance.
B2 = Measuring the impact of storage on output.
B3 = Metric of how marketing initiatives affect output.
B4 = Performance impact of current technological status measured.
E = Residual in the equation.

22
3.8 ETHICAL ISSUES.
Adhering to ethical standards helps to ensure that the rights and well-being of the
researched individuals are respected throughout the research process. Seeking permission
from the KASARANI TVC ethics committee demonstrates a commitment to ethical
conduct, as it indicates that the researcher followed established protocols for obtaining
approval to conduct the study. Additionally, ensuring anonymity and confidentiality in the
questionnaires further protects the participants' privacy and fosters trust in the research
process. By prioritizing sensitivity and inclusivity in the construction of data gathering
instruments, data collection, interpretation, and dissemination of findings, the researcher
shows a dedication to ethical practices that align with the values and realities of the
researched population. This approach helps to mitigate potential harm and ensures that the
research process is respectful and considerate of the participants' perspectives and
experiences. Overall, integrating ethical considerations into research practices is essential
for upholding the integrity and credibility of the study while safeguarding the rights and
well-being of the individuals involved.

23
CHAPTER FOUR.

4.0 DATA, ANALYSIS, FINDINGS, CONCLUSIONS, AND

RECCOMMENDATIONS.

4.1 INTRODUCTION.
In this chapter presents data analysis, interpretation and presentation of findings on the
influence of supply chain management process on performance Lavon hotel. The study
relied on both descriptive and inferential statistics in analysis.

4.2 INFLUENCE OF SOURCING OF RAW MATERIALS ON

ORGANIZATIONAL PERFORMANCE.
Table 4.1 Influence of sourcing of materials on organizational performance

Very great extent Great extent Moderate extent No extent Standard deviation To t a l s
Improved quality 3 8 5 0 1 3 0 0.161 1 . 7 7

Client contentment 3 8 5 0 1 3 0 0.161 1 . 7 7

Better relationships with suppliers 2 5 5 0 1 3 1 2 0.193 2 . 1 2

An increase in sales of 5 7 8 2 2 0.168 1 . 8 5

The results of the impact of raw material sourcing on Lavon Hotel performance are shown
in the table. The average mean of 1.8 obtained from the findings indicated that most
respondents felt that the performance of the hotel is significantly impacted by the source of
raw materials. The preceding findings were exact or almost exact to what was expected,
according to the standard deviation of 0.164. The majority of respondents agreed, according
to the results, that the hotel's performance increased as a result of effective sourcing,
whereas 5% strongly disagreed

24
4.3 INFLUENCE OF WAREHOUSING /STORAGE ON ORGANIZATIONAL
PERFORMANCE.
Table 4.2 Influence of warehousing on organizational performance.

Very Great extent Great extent Moderate extent No extent Standard deviation To t a l s

Fre 21 1 1 7 3 6 4 8
Uniformity is achieved which leads to consistency in service delivery

% 42.9 22.9 14.6 6.3 12.5 1000

Fre
Building goodwil betwe n organization and it's providers which leads to reduced costs

9 17 1 0 5 7 48

%
18.8 35.4 20.8 10.4 1406 100

Fre
productivity
Increased

16 8 9 6 9 48
%
33.3 16.7 18.8 12.5 18.8 100

Increased security and efficiency. Fre 25 1

This table shows that warehousing allows for the achievement of uniformity, which results
in consistency in the provision of services. Of the respondents, 21 (42.9%) agreed to a very
great extent, while 11 (22.9%) agreed to a considerable amount. Three respondents (12.5%)
strongly disagreed with this statement, while seven respondents (14.6%) agreed only
somewhat. It was also discovered that 9(18.8%) strongly disagreed, 17(35.4%) agreed to a
great extent, 10(20.8%) only agreed to a moderate level, and 5(10.4%) strongly disagreed
that it contributes to the development of goodwill between suppliers which results in
decreased costs.

25
4.4 INFLUENCE OF MARKETING ON
ORGANIZATIONAL PERFORMANCE.
Table 4.3 influence of marketing on organizational performance

Very great extent Great extent Moderate extent No extent Standard deviation To t a l
Diversity in service F r e 17 1 9 1 6 5 48

% 35.4 39.6 2.1 12.5 10.4 100

Achievement of goals F r e 1 9 13 5 9 2 48

% 39.6 27.1 10.4 18.8 4.2 100

Customer retention Fre 13 8 13 5 9 48

% 27.1 16.7 27.1 10.4 18.8 100

The results about the impact of marketing on Lavon's organizational performance are
shown in the above table. According to the results, 17 (or 35.4%) of the respondents agreed
very much that marketing ensures diversity in service delivery, 19 (or 39.6%) agreed
somewhat, 1 (or 2.1%) agreed somewhat, and 5 (or 10.4%) strongly disagreed. The study
also revealed that 5(10.4%) strongly disagreed that a business can easily achieve its goals
through marketing, whereas 19(39.6%) agreed to a large extent, 13(27.1%) agreed to a great
extent, and 9(18.8%) agreed to a moderate amount. In addition, 13(27.1%) of the
respondents strongly disagreed with the statement that marketing guarantees client
retention, whereas 8(16.7%) and 13(27.1%) agreed to a moderate extent

26
4.5 INFLUENCE OF STATE TECHNOLOGY ON ORGANIZATIONAL
PERFORMANCE.
Table 4.4 Influence of state of technology on organizational performance
Very great extent Great extent Moderate extent No extent Standard deviation Total s
Improved quality F r e 2 0 1 9 6 1 2 4 8
% 41.7 39.6 12.5 2.1 4.2 100
Improved information sharing F r e 2 5 1 7 2 1 4 8

% 52.1 35.4 4.2 2.1 100

Increased profitability F r e 1 1 9 1 3 7 8 4 8

% 22.9 18.8 27.1 14.6 16.7 100

The study concluded that the state of technology has a significant impact on organizational
performance, which improves quality, based on the data in the table above. This was
demonstrated by the fact that, out of the respondents, 20 (41.7%) only agreed to a large
extent, 19 (39.6%) agreed to a moderate extent, and 1 (2.1) vehemently opposed.
Additionally, the study revealed that 1(2.1%) strongly disagreed that the state of technology
has improved information exchange in hotels, while 25(52.1%) agreed to a very great
extent, 17(35.4%) agreed to an extent, and 2(4.2%) agreed to a moderate amount.
Additionally, the data shows that 9 (18.8%), 11 (22.9%), and 13 (27.1%) agreed to a
moderate degree, and 11 (18.9%) agreed to a very considerable extent..

4.6 CONCLUSIONS.
The findings make it quite clear that the SCM process has a significant impact on the
organization's performance. According to the table, the respondents were able to
demonstrate how the organization's use of SCM had a good impact on performance. Of
the respondents, 55% were extremely satisfied, 20% were to a significant extent, 15%
were to a moderate amount, and 3% strongly disagreed. The report goes on to say that,
with a few exceptions, the majority of department heads were satisfied with the hotel's
performance in terms of the supply chain management (SCM) process and were aware
of it in the various departments. The results made it clear that an efficient supply chain
management (SCM) method had a significant positive impact on profitability, as well
as on the introduction of new goods and services, a discernible increase in assets,
improved flow management, higher market share, and shareholder value. The results
align with the empirical discoveries of Tan et al (2002), Hendricks and Sighal (2003),
and Li et al (2005).

27
4.7 RECCOMENDATIONS.
According to this study, the Lavon Hotel's management should keep up its efforts to spread
knowledge about efficient supply chain management. The management should provide
department heads with improved training on how to manage the risks associated with the
supply chain management process, since this has been shown to significantly improve hotel
performance. Additionally, this study suggests that appropriate controls be implemented for
each SCM process to align with hotel performance metrics. To significantly improve the
performance of the Lavon Hotel in this instance, the management must set metrics in SCM
and demonstrate a clear connection between the influence of profitability, shareholder
value, and market share among other performance indicators.

28
REFERENCES.
1. Bird A & Lehrman - Effects of major information technology adoption in Japanese
corporations : Japan and the world economy 5, 217-242.
2. Stapleton et al 2006: Measuring performance using the strategic profit models ;
International journal of logistics management 13 (1) 89-107.
3. Christopher 1992 - Logistics and SCM : London : Pitman publishing.
4.
Bowersox, D & Closs 1996 - 21st century logistics ; making SC intergration a
reality : The council of logistics management, brook 1L.
5. Lummus & Vukura 1999 Defining SCM : A historical perspective and practical
guidelines : Industrial management & data system 99(1), 11-17.
6. Cooper - Characteristics of SCM and implications for purchasing & logistics
strategy : International journal of Logistics management 4,13-24.
7. Cigolini 2004..A new framework for SCM : conceptual model and empirical test ;
International journal of operations & project management Vol 24, No 1,pp 7-41.
8. Ganeshan & Terry 1995 - An introduction to SCM : Retrieved from http://lc m. cna.
iisc. ernet. In /scm/supply - chain - intro. html.
9. Habib (2011) SCM : Theory and evolution of supply chain.
10. Ibrahim 2012 (SCM practices and Supply chain performance effectiveness.
International journal of science & Research (IJSR, 3 (8).
11. Inda et al 2012: Competitive advantage through supply chain intergration
(International journal of business & commerce 1)
12. Mbuthia & Rotich 2014; Effects of SCM process on organizational performance in
retail stores in Kenya : A case study of Nakumatt holding limited (1)- 13.
13. Moenga 2016 : SCM practices and challenges for the SMes in Kenya : A case study
of the SMEs in the tea industry in Kenya. Science journal of business &
management 4(3), 82.
14. Nagati & Rebolledo (2013) supplier development efforts. The suppliers point of
view industrial marketing management 42(2), 180- 188.
15. Pilat & Wolf (2004) ICT production and ICT use : what role in aggregate
productivity growth? In the economic impact of ICT - measurement, evidence and
implications, 85,104(OECD) Paris.
16. Spina D, Serio L 2015 : The influence of SCM practices in the enterprise
performance. American journal of Mgt 15,10.
17. Kuester, Hamburg & Robertson 2006: An empirical investigation on the effects of
SCM : a perspective on partnership. SCM :An international journal 3(2), 53- 67.
18. Kalini Sundram : Supply Chain practices and performance : the indirect effects of
supply chain intergration. Benchmarking ; An international journal 23(6) 1445-
1477.

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APPENDICES

APPENDIX I

INTRODUCTION LETTER.
RE:
RespectedSir/Madam.
I am presently working on a project called "INFLUENCE OF SUPPLY CHAIN
MANAGEMENT PROCESS ON ORGANIZATIONAL PERFORMANCE: A CASE
STUDY OF LAVON HOTEL, KIBOSI" as a student at KASARANI Technical Vocational
College. The study's data will only be utilized for scholarly research purposes.
I appreciate you taking part.

30
APPENDIX II

QUESTIONNAIRE.
PART A.
1. Which gender are you? [ ] Male [ ] Female [ ]

2. The age range you are in.

18 to 30 [] 31 to 43 [] 51 and above []

3. Which division do you work in?

4. What educational background do you have?

1. Subordinate []

2. College at the middle level []

3. University []

4. Elevated status

5. What is the duration of your employment at this hotel?

1. A period of less than a year

2. Between one and two years []

3. Three to four years []

4. Five years and beyond

PART (B) :SUPPLY CHAIN MANAGEMENT PROCESS.

6. What does the term "supply chain process" mean to you?

.................................................................

7. Do you know anything about supply chain management in your department or hotel?

Indeed [ ] No [ ]

8. How much do you know about the following organizational practices? Rate with 1

denoting extremely great, 2 great, 3 moderate, 4 modest, and 5 no extent. 1 2 3 4 5

METHODS

1. Purchasing raw supplies

2. Keeping and Organizing

3. Advertising

4. Technological status

31
PART C: THE INFLUENCE OF SUPPLY CHAIN MANAGEMENT PROCESS ON
ORGANIZATIONAL PERFORMANCE. Rate where 1= very great extent, 2= great
extent, 3= moderate extent, 4= little extent, 5= no extent.
9. SOURCING OF RAW MATERIALS.
D e s c r i p t i v e s t a t e m e n t s 1 2 3 4 5
T r a n s l a t e s t o b e t t e r q u a l i t y
Translates to customer satisfaction
Translates to increased profitability
Translates to new products being unveile d
10. WAREHOUSING AND STORAGE.
D E S C R I P T I V E S TAT E M E N T S 1 2 3 4 5
Leads to consistency in service delivery
Translates to reduction of costs
Translates to increased productivity
Tr a n s l a t e s t o i n c r e a se s e c u r i t y & e ff i c i e n c y
11. MARKETING.
D E S C R I P T I V E S TAT E M E N T S 1 2 3 4 5
Ensure diversity in service frequency
Translates to improved performance
Translates to achievement of organizational goals.
Translates to customer retention

12. STATE OF TECHNOLOGY.

D E S C R I P T I V E S TAT E M E N T S 1 2 3 4 5
Translates to improved quality
Translates to increased profitability
Tr a n sl a te s t o i nf o rm a ti o n sh a ri n g & fl o w
Tr a n s l a t e s t o n e w p r o d u c t s b e i n g u n v e i l e d

APPENDIX III

RESEARCH BUDGET.
Table 4.5 Research budget.
DETAILS AMOUNT (SH)
Research assistant fee(2) 10,000each
Stationary 15,000
Travelling cost 10,000
Printing ,Photocopying and binding 2000
Miscellaneous 53,000
TOTALS 100,000

32