Mechanization of Supply Chain Activities and Organizational Performance of Tea Firms in Kenya: A Case of Browns Plantations Kenya Ltd

Abstract

Multinational Corporations (MNCs) in Kenya's tea industry are increasingly adopting mechanization to improve organizational performance. However, there is a notable lack of studies on the impact of mechanization on the organizational performance of these organizations. Therefore, the study examined the effect of the mechanization of supply chain activities on the organizational performance of firms in Kenya's tea industry. The specific objectives were to examine the mechanization at Browns Plantations Kenya Ltd, explore the organizational performance at Brown’s Plantations Kenya Ltd, and investigate the effect of mechanization of supply chain activities on organizational performance at Brown’s Plantations Kenya Ltd. The study sought to contribute to the Sustainable Agricultural Mechanization for Africa, a key pillar of achieving Aspiration 1 of the African Union Agenda 2063 and Sustainable Development Goal (SDG) 2 to end hunger and achieve food security. Second, it aimed at contributing to Africa Vision 2050, focusing on agriculture and rural development supported by improved agricultural processes, and to Kenya Vision 2030, which emphasizes mechanization as a driver of efficient land use for agricultural production. The study was based on the Induced Innovation Theory, the Theory of Farming Systems Evolution, and the Technology Acceptance Model. The researcher used a descriptive research design to suit the study’s objectives. The case of this research was Brown’s Plantations Kenya Ltd, with a population of 5,424 employees; however, the target population was the management at the Chomogodany Tea Factory, Kaisugu Tea Estate and the Central Office in Kericho, which was 83 individuals. The study applied a census due to the small size of the target population. The researcher used semi-structured questionnaires to collect quantitative and qualitative data. Descriptive statistics were fed into the Social Packages Statistical Sciences (SPSS) version 27.0. and results presented in frequencies, means, and standard deviations. The correlation between the extent of mechanized tea harvesting and organizational performance is 0.689. The correlation between mechanized tea processing and organizational performance is 0.318, which denotes a relatively strong correlation. Additionally, the correlation between mechanized tea packing and organizational performance is 0.310 which also denotes a relatively strong correlation. The correlation between organizational culture and organizational performance is 0.745, which shows that 74.5% of changes in organizational performance are caused by changes in organizational culture. The findings implied that organizational performance could be improved if organizations implemented mechanized tea harvesting, processing, and packaging. Thus, Browns Plantations Kenya Ltd could benefit by sustaining mechanized processes. Mechanization could also be a key pillar to achieving Aspiration 1 of the African Union Agenda 2063 and Sustainable Development Goal (SDG) 2, and Kenya Vision 2030, which emphasizes mechanization as a driver of efficient land use for agricultural production. Additionally, the tea industry could also benefit by maintaining mechanization as a key process. The researcher recommends another study to explore the mechanization of supply chain activities on the organizational performance of firms in the service industry.