ROLE OF GREEN PROCUREMENT ON ORGANIZATIONAL PERFORMANCE OF MANUFACTURING FIRMS IN KENYA: A CASE OF COCACOLA COMPANY

Abstract

Green procurement has impacted not only performance of organizations, but also on the brand reputation. It has become increasingly significant for organizations facing competitive, regulatory, and community pressures to balance economic and environmental performance. A challenge facing Coca-Cola Company is the issue of carbon footprints in their drinks, but also working to the carbon footprint of the drink in their drinks by year 2020. The purpose of this study was to establish the role of green procurement practices on organizational performance of private sector in Kenya. The specific objectives were to establish the role of reverse logistics on organizational performance of Coca-Cola Kenya and to determine the influence of supplier assessment on organizational performance of Coca-Cola Kenya. The study used descriptive research design. A population of 642 respondents constituting all level of workers in Coca cola was used. The study used stratified random sampling. The study used a sample size of 64 staffs. The study used both open and close ended questionnaire. Qualitative data was analyzed using Statistical analysis which was carried out using Statistical Packages for Social Science (SPSS) version 23, while qualitative data was analyzed using content analysis. The study established that there existed a positive relation between reverse logistics and organizational performance of Coca-Cola Company. On supplier assessment, it was concluded that there existed a strong positive relation between supplier assessment and organizational performance of Coca-Cola Company. The study further concluded that the suppliers are also assessed based on their ability to control pollution and hence a safe environment. The study further concluded that the cost in the organization influences performance, sustainable procurement enhances organizational operations improving organizational performance, Availability of resources influence organization Performance. The study recommends that the Coca-Cola Company adopt green procurement practices in all their operations and processes. This is because green procurement management is associated with economic benefits to the company.