Influence of E-Procurement Practices on Supply Chain Performance: A Case Study of Kenya Airways
Abstract
Kenya Airways PLC being an international airline is currently facing massive competition in both the local and the international routes. The supply chain section within the company handles large volumes of goods purchases including purchases from overseas suppliers as well as those local suppliers. Adopting an effective and efficient supply chain is of the essence to the company during these hard times. It's therefore important to continuously carry out supply chain performance measurements as well as identify the challenges involved. The study establishes the influence of e-procurement practices on supply chain performance at Kenya airways. The paper employed a desk study review methodology. Past studies on e-procurement were critically and thoughtfully studied and the results related to the airline industry. A critical review of the empirical literature is conducted to identify the main thematic concepts of the paper. From empirical studies, it was established that e-procurement practices are fundamental to the performance of supply chain management. The adoption of e-procurement practices is vital because procurement is one of the most critical functions of the supply chain. Any firm must ensure that efficiencies are built within the procurement process to ensure competitive advantage and profitability. Likewise, Kenya Airways may attempt to modernize its procurement services by integrating e-procurement into the supply chain systems. The recommendations of the study focus on the subject of the study which is Kenya Airways. The study recommends that Kenya Airways should pay attention to developing an e-procurement platform to enhance supply chain performance. E-procurement practices have a very strong influence on supply chain performance. E-order processing, information sharing and E- supplier appraisal strongly influence supply chain performance. The airline firm should embrace e-procurement practices to enhance the firm's supply chain performance which consequently leads to profit maximization.
Keywords: e-procurement practices, supply chain performance & Kenya Airways.
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