Influence of Supplier Appraisal on Supply Chain Risk Management in Egerton University, Kenya

Abstract

Modern organizations operate in a very commercially pressured global environment where competition is strong and to remain competitive and efficient, risks must be taken. The purpose of this research is to determine the influence of supplier appraisal on supply chain risk management in Egerton University. The study was guided by the following theories, Strategic choice theory and transaction-cost theories. The target population of the study comprised of employees attached to the procurement department of Egerton University which are 32 in number. Census survey design was employed whereby all members of the target population participated in the study. The instrument was pilot tested to ascertain the reliability of the research instrument using Cronbach Alpha. The reliability of the research instrument was found to be 0.879 which was considered reliable. The study employed both descriptive and inferential statistics to present and analyze the data. The Statistical Package for Social Science (SPSS) a computer programme for windows aided the data analysis. The study established that supplier appraisal was the most influential influencing supply chain risk management in Egerton University with correlation of (r = 0.763, p < 0.05). The study recommends that procurement departments the adoption of supplier appraisal to improve its supply chain risk management. The study also recommends further research to be done to capture other public universities campuses in other counties to establish whether the findings will be the same.