| dc.description.abstract | In contemporary firms, there is a paradigm shift from managing supply chains to greening the supply chain. Globally the Euromonitor International report, 2022 shows that SDMFs posted $772.5 billion in revenues, rising in market base by 88% up from 62%. In Kenya, SDMFs contributed $2.97 billion to GDP, with the manufacturing sector making up 17.3% of the country’s GDP. However, World Bank report, 2022 revealed that contribution of manufacturing firms to GDP has stagnated at 10% in the last decade with a growth of 3.1%, lower than recommended growth of 5%. KNBS report, 2023 shows that performance of SDMFs declined from 5.8% to 4.4% in 2021-2022, resulting to reduced profits, increased costs, and reduced market shares. Reports have attuned this hugely to poor adoption of Green Supply Chain Management (GSCM) and ensuing stakeholder demands. Empirical evidence on GSCM practices focused on other sectors of the economy and ignored important elements such as Green Distribution, Environmentally-Oriented Reverse Logistics. Some reviewed studies show weak relationship between GSCM practices and performance, implying moderation effects may abound. Practically, GSCM practices, Stakeholder Pressure and performance exist together. However, Stakeholder Pressure as a moderator on this model is non-existent. The current study sought to investigate the moderating role of Stakeholder Pressure on the relationship between GSCM practices and performance of SDMFs in Kenya. Specifically, the study sought to establish influence of Green Purchasing, Packaging, Distribution and Environmentally-Oriented Reverse Logistics on performance and further determine the moderating influence of Stakeholder Pressure on GSCM practices and performance relationship. Study was grounded in the Natural Resource Based View (NRBV) theory and adopted a mixed method survey design on a population of 460 senior managers. A pilot study was carried out on 45 senior managers. Primary data was obtained through questionnaire and interview schedules. Expert reviews, Bartlett’s Sphericity tests (p<0.05), factor correlations (p<0.7) confirmed validity. Cronbach Alpha technique with values (0.7<α) confirmed reliability. Data were analyzed through multiple, moderated hierarchical regressions and thematic analysis. Findings revealed GSCM practices have positive significant influence and accounts for changes in performance (Green Purchasing: β=.816, p<.05, R2=.66, p<.05; Green Packaging: β=.628, p<.05; R2=.394, p<.05; Green Distribution: β=.747, p<.05, R2=.558, p<.05; Environmentally-Oriented Reverse Logistics: β=.626, p<.05, R2=.392, p<.05), implying unit adoption of the practices results in 0.816, 0.628, 0.747 and 0.626 units increase in performance respectively. Moderated regressions reveal interactive effect (R2=.053, β=.274, p<.05), implying unit increase in pressure by stakeholders improves the effect of GSCM practices on performance by 0.274 units. Study concludes: GSCM practices have a positive effect on performance, stakeholder pressure has a positive moderating effect on the relationship between GSCM practices and performance. Findings extend Hart (1995) NRBV theoretical grounds that firms can utilize natural resources to improve results. It is recommended that firms improve on their GSCM practices and leverage stakeholder pressure to enhance performance. This study only provided a snapshot picture at a single point in time thus, need for longitudinal studies. It is hoped that the study will be useful to the academia, SDMFs and inform policies by the government. | en |
