Abstract:
Construction project failures in Kenya are evident throughout the country and
continue to draw great concern to all stakeholders as a result of consequent
economic and social impacts. Supply chain management (SCM) practices have
been used successfully in the manufacturing industry and have particularly been
recognized as having made most manufacturing companies’ successful.
Achievements offered by SCM practices are therefore capable of reducing
construction project failures . This study sought to establish the current global
supply chain management practices and determine how supply chain management
visibility is affecting project performance in the construction industry in Kenya. The
research study adopts cross-sectional survey research design to establish the
causal relationship among Supply Chain management practices and project
performance. The population of the study was 199 construction firms. The study
use stratified sampling to select a sample size of 65. On average, 1.54% of the
respondents indicated that they implemented the SCM best practices frequently,
81.54% of respondents indicated that they implemented the SCM best practices
sometimes while 16.92% of respondents indicated that they never implemented
the SCM practices. The study established that there existed a positive relationship
between physical flow integration, financial flow integration, information flow
integration, trust and Project Performance in construction industry. The study
concluded that SCM best practices have a positive contribution on construction
project performance and that improved implementation of SCM best practices by
Kenyan construction firms can lead to improved construction project performance
and reduce construction project failures in the industry. The study recommends
that construction firms should focus significantly on improving their degree of SCM
best practices implementation to boost project success. This study provides the
stakeholders with a point of reference in establishing a value-sequenced
transformational roadmap for mitigating actions against construction project
failures in Kenya.
