Green Logistics Practices and Financial Performance of Manufactiring Firms in Kenya: A Case of Unilever Kenya Limited

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dc.contributor.authorEddy, Safari Ntachompenze
dc.date.accessioned2025-01-17T06:12:58Z
dc.date.available2025-01-17T06:12:58Z
dc.date.issued2024-10
dc.descriptionMaster of Business Administration in Logistics and Supply Chain Management and Finance
dc.description.abstractManufacturing firms’ activities have had a significant impact on the environment as they strive to improve their performance. This has resulted in increased emissions, projected to reach 80% by 2030 if proactive measures are not taken. However, these companies claim to have incorporated green practices into their operations to mitigate the issue. To achieve this, this study sought to examine the influence of green logistics practices on the financial performance of manufacturing firms, specifically at Unilever Kenya Limited. To achieve this, the study was guided by three objectives: Establishing the green logistics practices adopted by Unilever Kenya; assessing the level of financial performance in Unilever Kenya Limited and determining the effect of green logistics practices on the financial performance of Unilever Kenya. The study got support from the Supply Chain Operations Reference (SCOR Model and Financial Distress Theory, which was considered as the anchor theory. Unilever Kenya has 796 employees in Kenya. The study targeted managers and their assistants in various departments. The study adopted a census technique on all the 94 managers and their assistants. Data was collected using a structured questionnaire, where it was pretested only on 10% which involved 10 employees from Kapa Oil Refinery Company, Kenya. The validity of the data was assessed through content validity and criterion validity, while the reliability was evaluated using Cronbach alpha coefficients to measure internal consistency of the variables under study. Descriptive analysis was presented in form of Tables, frequencies, percentages, means and standard deviation. While inferential analysis included Pearson correlation analysis and regression model. Finally, but not least, the ethical considerations were taken into account. The findings of this study revealed that all the green logistics practices under study, green manufacturing, green procurement, green packing and reverse logistics strongly positive and statistically significant influence financial performance. Specifically, Pearson correlation analysis revealed strongly positive and statistically significant relationships between green logistics practices and financial performance, specifically green manufacturing (r=0.960, p=.000) and green procurement (r=0.801, p=.001) were dominating. The study also concluded that green manufacturing, green procurement, green packaging and reverse logistics positively and statistically significantly influence the financial performance (in terms of ROA, sales growth and Net Profit Margins) since all the p values were .000. The P-value for the F test statistic is 1.683, which is greater than 0.5, so indicating substantial evidence of the model's goodness of fit. Therefore, the study rejected the null hypothesis and concluded that green production, green procurement, green packaging, and reverse logistics significantly influence financial performance. The study further recommended that Unilever should establish formal partnerships with environmentally conscious suppliers and initiate training programs for employees to increase awareness of the advantages of green procurement, thus strengthening the overall commitment to sustainability.
dc.description.sponsorshipDaystar University, School of Business and Economics
dc.identifier.citationEddy, S. N. (2024). Green Logistics Practices and Financial Performance of Manufactiring Firms in Kenya: A Case of Unilever Kenya Limited. Daystar University, School of Business and Economics
dc.identifier.urihttps://repository.daystar.ac.ke/handle/123456789/5913
dc.language.isoen
dc.publisherDaystar University, School of Business and Economics
dc.subjectUnilever Kenya Limited
dc.titleGreen Logistics Practices and Financial Performance of Manufactiring Firms in Kenya: A Case of Unilever Kenya Limited
dc.typeThesis

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