Green Supply Chain Management Practices and Performance of Fast-Moving Consumer Goods Manufacturing Firms in Machakos County, Kenya
Abstract
The study investigated the relationship between green supply chain management (GSCM) practices and the performance of Fast-Moving Consumer Goods (FMCG) manufacturing firms in Kenya. Recognizing that FMCG firms account for approximately 13% of global carbon emissions, the research examined how green manufacturing, green packaging, green marketing, and green procurement contribute to firm performance. Grounded in the resource-based view, triple bottom line theory, and resource dependence theory, the study adopted a descriptive design targeting seven FMCG firms in Machakos County, with data collected from 150 respondents across procurement, operations, marketing, and production departments. Structured questionnaires and statistical techniques, including correlation and regression analysis, were employed to assess relationships. Findings revealed significant positive correlations between GSCM practices and firm performance. Green procurement exhibited a moderate but meaningful impact (r = 0.473; p < 0.05), indicating that sustainable sourcing improved efficiency and cost management. Green packaging demonstrated a stronger association (r = 0.541; p < 0.05), enhancing brand image, cost savings, and compliance. Green manufacturing showed an even higher effect (r = 0.641; p < 0.05), highlighting the importance of energy-efficient and environmentally responsible production processes. Green marketing recorded the strongest influence (r = 0.741; p < 0.05), demonstrating that eco-conscious branding and promotional strategies boosted customer loyalty and financial outcomes. The study concluded that integrating green procurement, packaging, manufacturing, and marketing is critical for competitiveness, sustainability, and compliance. It recommended reinforcing green practices and proposed further research on their role in operational efficiency, risk mitigation, and supply chain resilience.
Keywords: Green supply chain management, firm performance, green procurement, green packaging, green manufacturing, green marketing, sustainability
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