EFFECT OF QUALITY MANAGEMENT PRACTICES ON FIRM PERFORMANCE OF

ANIMAL FEEDS MANUFACTURERS IN KIAMBU AND NAIROBI CITY COUNTIES

Dr. Susan Were1 & George Muriuki Irungu

1. Lecturer JKUAT
2. Jomo Kenyatta University of Agriculture and Technology, Nairobi CBD Campus

ABSTRACT
The main objective of the study is to establish the effect of quality management practice on the firm
performance of animal feeds manufacturers in Kiambu and Nairobi counties. The study sought to
establish the objectives of the influence of supplier management, continuous process improvement,
and continuous product improvement, strategic quality planning and statistical quality control on the
firm performance. The theoretical models that used in the study included the Resource Based View
Theory, Diffusion of Innovations Theory, Agency Theory and Knowledge Based View Theory. The
study applied the descriptive research design. While a purposive sampling technique was used to
gather qualitative and quantitative data from employees of the

55 licensed animal feeds

manufacturers in Kiambu and Nairobi counties, with a total sample size will be 110 respondents.
The reliability of the questionnaires was checked using Cronbach Alpha test. Quantitative data
collected was analyzed using both descriptive statistics and inferential statistics, in descriptive
statistics data was summarized using percentages, mean and standard deviation while in inferential
statistics multiple regression analysis method was used. The study findings show that there is a
significant positive relationship between supplier management, process improvement, product
improvement, and strategic quality planning, statistical quality control with firm performance of
animal feed manufactures in Kiambu and Nairobi counties. Its recommended that management team
of animal feed manufactures should engage more in strategic quality planning through regularly
conducting market research on quality perspective thus to gain relevant information from clients
and competitors to enhance in
financial terms.

improving the firm performance level in both financial and non-

The study recommends that the management team from the animal feed

manufactures should also continuous engage in providing innovative solutions for firms products
thus to meet customer demand specifications in the market. Lastly, the study recommends that further
studies be done on the impacts of effective implementation of quality management practices on firm
performance of various animal feed manufacturers in the country thus to depict a reliable result that
can be employed in improving the firm by focusing both negative and positive effects.

Keywords: Quality Management Practice, Firm Performance Supplier Management, Continuous

Process Improvement, Continuous Product Improvement, Strategic Quality Planning and Statistical
Quality Control
2

CHAPTER ONE
1.1 Background of the Study
Quality management practice has emerged as a high profile notion that has strategic importance to
many manufacturing companies. Many manufacturing companies are taking direct steps to
practice quality management initiatives thus increase non-financial and financial results
(Salaheldin, 2010). Chong and Rundus (2012) highlighted that quality management practice as
an effective system for integrating the quality development, quality maintenance and quality
improvement efforts of the various groups in the company so as to enable production and service
at the most economical levels which allows for full customer satisfaction.
Implementation of quality management practices enables companies to improve their internal
operations in an efficient manner; this is however considered a requirement to become
competitive in the global market place. Smith (2012) pointed out that quality management
practice is a major factor in the business quality revolution that has proven itself to be one of
the 21 centurys most powerful creators of sales & revenue growth, genuinely good new jobs,
and soundly based and sustainable businesses expansion.
1.1.1 Global Perspectives on Quality Management Practices
Globally, the concept of quality management practices can be viewed from different perspectives.
Hardie (2013) identifies the following five categories into which quality management practices
can be placed; conformance to requirement, fitness for purpose, meeting customer perceptions,
exceeding customer expectations and superior to competitor.
Slack et al. (2010) affirms that quality management practices should be thought of as a philosophy
and a way of thinking and working which particularly stresses the following; meeting the needs
and expectations of customers, covering all parts of the company, including every person in the
company, examining all costs which are related to quality, especially failure costs, getting things
right first time, developing a continuous process of improvement and developing the systems
and procedures which support quality and improvement.

1.1.2 Regional Perspectives on Quality Management Practices

In Africa most countries have adopted TQM in both manufacturing and service sectors but
differences occur in the manner in which quality management practices is applied. Souza et al.
(2011) assess the application of TQM in Nigeria and South Africa to investigate the relationship
between national culture and the implementation of quality management practices. Their results
show that in each country, several distinct relationships between the dimensions of quality
management practices implementation and national culture exist. They therefore imply that the
application of quality management practices should take into account different characteristics of
national cultures.

Abdullah et al., (2010) notes that Total Quality Management (TQM) in Africa can be implemented
in any sector of the economy for instance the public sector, manufacturing, service and education.
The resulting outcome is reduced costs, increased productivity, and improved financial
performance.

1.1.3 Local Perspectives on Quality Management Practices

In Kenya quality management practices have been widely adopted in both the private and public
sector by the official certifying body Kenya beaureu of standards among other international
certifying bodies. Kenya Bureau of Standards (KEBS) was established in July 1974 to providing
Standardization and Conformity Assessment services that consistently meet its customers
requirements. KEBS provides the necessary resources towards the effective implementation and
continual improvement of the Quality Management System that complies with ISO 9001:2008.
(Kebs, 2008). The government has been in the fore front in promoting adoption of quality
management practices both in the private and public sector.

1.2 Statement of the Problem

The remarkable growth in the Kenyan economy in the last decade has been characterized by the
establishment of manufacturing industries in the country with various products been introduced
into the market (World Bank, 2010). Even the most experienced manufacturing companies in the
world have committed quality management practices errors (Masood and Mukhtar (2012). The
4

prescriptions have been in an attempt to reverse the trend of high failure rate in implementing
quality management practices among the manufacturing industries (Chinho et al., (2007); Heras
and Landin, 2011; Samson and Terziovski (2011). Taylor and Wright (2003) argues many firm
in manufacturing sector fail because of quality management practice implementation barriers such
supplier quality management and lack of continuous product improvements.

In Kenya, animal feeds manufacturing industries growth is slow yet the annually demand high
which is not met (AKEFEMA, 2015). While the Kenyan consumers are becoming increasingly
more enlightened and are always expecting good quality products from the manufacturers. There
is evidence that successful quality management practices among the manufacturing industries is
inadequate (Kibe and Wanjau, 2014).

Existing local studies such as Nyamamba (2013) and Awino et al. (2012) have not incorporated
all the key quality management practices in a single study to comprehensively analyze the effect
of quality management practices on performance, more specifically on the animal feeds
manufacturers in Kiambu and Nairobi counties. Thus it`s on this background the researcher sought
to investigate the effect of quality management practices on firm performance with a view in
offering feasible recommendations to improve animal feed manufacturing industry in Kenya.
Therefore filling the existing knowledge gap.

1.3 Objectives of the Study

1.3.1 General Objective
The purpose of the study was to investigate the effect of quality management practice on the firm
performance of animal feed manufacturers in Kiambu and Nairobi counties.
1.3.2 Specific objectives
Specific objectives of this study were
i.

To establish the influence of supplier quality management on the f i r m

performance of animal feed manufactures.

ii.

To determine the influence of continuous process improvement on firm performance of

animal feed manufactures.

iii.

To explore the influence of continuous product improvement on firm performance of

animal feed manufactures.

iv.

To examine the effect of strategic quality planning on firm performance of animal feed
manufactures.

v.

To investigate

the influence of statistical quality

control on firm performance of

animal feed manufactures.

2.2 Theoretical Review

Theoretical review comprise of theories and models, Tranfield and Denyer (2004) argues that a
theory is

a set of interrelated principles and definitions that present a systematic view of

phenomena by specifying relationship among variables with the purpose of explaining natural
phenomena. While Gill and Johnson (2002) defined theory as a formulation regarding the cause
and effect relationships between two or more variables, which may or may not have been tested.
The study was based on the following theories; Resource Based View Theory, Diffusion of
Innovations Theory, Agency Theory and Knowledge Based View Theory.

2.3 Conceptual Framework

Cooper and Schindler (2003) describes it as diagrammatical representation that show the
relationship between dependent and independent variables. It explains the relationship among
interlinked concepts and explains the possible connections between variables.

Supplier quality management

Qualified suppliers
Supplier partnership

Supplier feedback

Continuous process improvement

Firm Performance

Repairs and preventative

measures
Business
process
reengineering
Network with suppliers

Financial

net profits
return on investments

Non-financial
Continuous Product Improvement

market share
customers complaints
customer satisfaction
Operational

Product inspection
Innovative solution
Cost of production
Product improvement policies

operation defects
waste materials
cost production

Strategic Quality Planning

Mission statement
Market research
Best practice
Short and long-term goals

Statistical Quality Control

Control charts
Statistical
training
programs
periodic quality audits

Independent Variable

Dependent Variable

Figure 2.1: Conceptual Framework

RESEARCH METHODOLOGY
3.1 Introduction
Research methodology is a way to systematically solve the research problem. This chapter
provides the methodology that was used in the study. It includes the research design, target
population, sampling design, data collection instruments, validity and reliability. This chapter also
discuss how data analysis and presentation styles that were used in the study.

3.2 Research Design

McNeill (2005) regards research design as a plan for selecting subjects, research sites and data
collection procedures to answer the research questions. While Robson (2002) pointed out that a
research design as the overall plan for obtaining answers to the questions being studied and for
handling some of the difficulties encountered during the research process. The study applied
descriptive research design, the object of descriptive research is to portray an accurate profile of
persons, events or situations (Robson, 2002).

3.3 Target Population

Leary (2004) described population as the entire group of individuals or items under consideration
in any field of inquiry and have a common attribute. The target population of the study comprised
all the licensed animal feed manufacturers listed in the company registrar of Kiambu and Nairobi
counties. The data findings was collected both from the operational and procurement managers
of each of the 55 animal feed manufacturers firms located in Kiambu and Nairobi counties.

3.4 Sampling Technique and Sample Size

Sekaran (2010) notes that sampling is the process of choosing the research units of the target
population, which are to be included in the study. The study used a census survey technique. This
enabled the researcher to collect and analysis of data from every possible case or group member
in a population.

Thus the study sampled 2 respondents each from the 55 different animal feed manufacturing firms
located in the Kiambu and Nairobi counties. Thus making a total sample size of 110 respondents.
The respondents included both the procurement manager and the operational managers. Morse
(2000) recommended a sample size above 100 is adequate for carrying out a case study. Therefore
a sample size of 110 respondents was adequate to research the effect of quality management
practices on firm performance of animal feed manufacturers in Kiambu and Nairobi counties.

3.5 Data Collection Procedure

Both primary data and secondary literature data gathering methods were used for the purposes of
this research. Primary data was collected by administering both open ended and Likert scale
style type of questions to respondents working as the procurement manager and the operational
manager of each the animal feed manufacturers located in Kiambu and Nairobi Counties. The
respondents were administered questionnaire through drop and pick method.

Secondary literature review data for the research was collected by reviewing textbooks, journals
and articles. Cooper and Schindler (2003) suggested secondary data is a useful qualitative
technique for evaluating historical or contemporary confidential or public records, reports,
government documents and opinions.

3.6 Pilot Testing

A pilot study was conducted with 8 respondents been given questionaries of study before the
final survey was undertaken. This enabled the rephrasing of some questions. Bell (2005) suggests
pre testing is conducted to check how long

the respondents may take to complete the

questionnaire, if the instructions where clear, if there is any question unclear or ambiguous, if
there has been any major topic omitted, if the layout of the questionnaire is clear or comments to
add. Pilot test was thus a crucial step before conducting the final research.

3.6.1 Validity Test

Collis and Hussey (2009) described validity is the extent to which the data collected truly reflect
the phenomena being studied. While Adams and Schvaneveldt (2011) proposed that validity is
9

the extent to which the researcher is able to study what he or she had sought to study rather than
studying something else. Thus researcher validity test was the extent to which the respondent
instrument gives the correct answer.

3.6.2 Reliability Test

Denscombe (2003) cited that a reliable study is consequent and trustworthy if the measures
yield the same results on other occasions, if similar observations be reached by other observers
and if there is transparency in how sense was made from the raw data. To test for reliability, the
researcher used the internal consistency technique by employing the Cronbach Alpha test for
testing the research tools.

In the Table 3.1 above show the results were indicate that supplier quality management had a
reliability of (0.653), continuous process improvement (0.550), continuous product improvement
(0.589), strategic quality planning (0.628), statistical quality control (0.524) and lastly firm
performance (0.845). The highest instrument had

Cronbach Alpha value of 0.845 while the

lowest had a reliability of 0.524 this implied that all instruments of the study were reliable for
measurement.

The coefficient is high when its absolute value is greater than or equal to 0.7 otherwise it is low
(Sekaran, 2010). Field (2009) argues that a cronbachs Alpha value equal or great than 0.5 is
regarded to be an indication of reliability.

Table 3.1: Test of Reliability of Questionnaire

Factor

Number

of Cronbach Alpha
score

Items

Conclusion

Supplier Quality Management

0.653

Reliable

Continuous Process Improvement

0.550

Reliable

Continuous Product Improvement

0.589

Reliable

Source: Survey Data (2016)

10

Strategic Quality Planning

0.628

Reliable

Statistical Quality Control

0.524

Reliable

Firm performance

0.845

Reliable

3.7 Data Analysis and Presentation

McMillan and Schumariacher (2007) proposed that data analysis is a systematic process of
selecting, categorizing, comparing, synthesizing and interpreting to provide explanations to single
phenomenon of interest. The Statistical Package for Social Science (SPSS) version 20 was
used to analysis quantitative data. The study used both descriptive and inferential analysis.
While Microsoft Excel 2013 was used to analyze the open ended questions of the study.

The descriptive statistics was analyzed using qualitative data which was represented in the form
of percentages, mean and standard deviation. Inferential analysis was represented using correlation
analysis, factor analysis and regression analysis. The regression analysis was used to analyses the
degree of relationship between two variables i.e. quality management practice and firm
performance.

The multiple linear regression analysis equation

Y= + 0 + 1 1 + 2 2 + 3 3 + 4 4 + 5 5 +e
Y = Firm Performance
1= Supplier Quality Management, 2= Continuous Process Improvement, 3 = Continuous
Product Improvement, 4 = Strategic Quality Planning, 5= Statistical Quality Control, e= Error
Term

11

DATA FINDINDS, ANALYSISAND DISCUSSION

4.2 Response Rate
The researcher distributed 110 questionnaires out of which 70 were received, 3 questionnaires
were rejected due to improper incompletion. Thus 67 questionnaires were accepted as correctly
filled which represent a response rate of 61 %.

For most academic studies involving top management or company representatives, a response rate
of approximately 35 per cent is reasonable (Baruch, 2004). Saunders et al., (2007) suggest that an
average response rate of 30% to 40% is reasonable. Mugenda (2008) state that a 40% response
rate is unreliable, 50% is adequate, 60% good and above 70% is rated as very good. While Sekaran
and Bougier (2009) recommends that a response rate of approximately 60% for most research
should be the goal of researchers. Based on these assertions, this implies that the response rate for
this study was adequate. Figure 4.1 below illustrate the level of response rate.

Figure 4.1: Response Rate

12

4.4 Inferential Statistics

4.4.1 Supplier Quality Management

Table 4.2: Supplier Quality Management

SD

SA

Close collaboration with suppliers to

improve production processes

4.5

35.8

43.3

16.4

3.72

Purchases raw materials only from

qualified suppliers

1.5

14.9

58.2

25.4

4.07

Supplier materials are conducted

inspection examination before installation 0

7.5

55.2

37.3

4.30

Categories suppliers thus to dealing

with the first category of high quality
standard

4.5

40.3

40.3

14.9

3.66

Strategic partnership with supplier has

encouraged mutual planning and problem
solving efforts

1.5

32.8

50.7

14.9

3.79

Product quality is the important factor

while selecting the suppliers

34.3

49.3

7.5

3.55

Provides feedback on the performance

of suppliers products

1.5

26.9

43.3

22.4

3.04

Average

Mean

3.73

13

4.4.2 Continuous Process Improvement

Table 4.3: Continuous Process Improvement
SD

SA

Firm is more effectively and frequently

measuring its quality performance

22.4

23.9

29.9

17.9

3.31

Firm continuously engages in business

process re-engineering

7.5

20.9

49.3

22.4

3.87

Firm provides innovative distributing

methods to enhance its product to be
more accessible in the markets

38.8

31.3

20.9

3.64

Firm make continuous adoption of repair

and preventive maintenance to minimize
poor quality products

14.9

7.5

23.9

53.7

4.16

Firm has effective communication process

with the external network of suppliers

53.7

40.3

4.34

Average

Mean

3.864

14

4.4.3 Continuous Product Improvement

Table 4.4: Continuous Product Improvement
SD
%

D
%

N
%

A
%

SA
%

Firm has a continual product improvement

policies
0

7.5

37.3

40.3

14.9

3.63

Firm continuous conduct performance

review for its various products to meet the
expected standards

7.5

43.3

35.8

13.4

3.55

Firm research team continuous provides

innovative solutions for its products thus to
meet customer demand specifications
1.5

26.9

45.3

22.4

3. 04

Firm continuous launches more custom

ized products to fit to the market
demands

53.7

31.3

3.34

Customer requirements and expectations

are thoroughly considered during the
process of new product design.

1.5

10.4

37.3

35.8

14.9

3.52

Firm pays sufficient attention to the

cost of production during the process
of product design

17.9

58.2

23.9

4.06

Management teams pays mass inspection

to enhance product quality

19.4

50.7

29.9

4.10

Average

Mean

3. 606

15

4.4.4 Strategic Quality Planning

Table 4.5: Strategic Quality Planning
SD
%

D
%

N
%

A
%

SA
%

Mean

Mission statement has been communicated

to suppliers and supported by our
employees
0

41.8

40.3

17.9

3.76

Firm has a comprehensive and structured

planning process which regularly sets and
reviews short and long-term goals

11.9

64.2

23.9

4.12

Firm quality plans focus on achievement

of Best Practice

1.5

32.8

52.2

13.4

3.78

Development of plans, policies and

objectives always incorporate customer
requirements, supplier capabilities

38.8

44.8

13.4

3.69

Manufacturing operations are more

effectively aligned with the central
business mission

32.8

47.4

19.4

3.87

Firm strategic quality improvement plans

are more customer driven

13.4

35.8

32.8

14.9

3.70

Management regularly conducts market

research on quality perspective thus to
gain relevant information from clients
and competitors

13.4

47.8

38.8

3.25

Average

3.7386

16

4.4.5 Statistical Quality Control

Table 4.6: Statistical Quality Control
SD

SA

Management team provides training

programs to employees thus to acquire
statistical techniques to enhance quality
production

10.4

29.9

43.3

16.4

2.72

Statistical control techniques are used

intensively in the firm to control and
improve manufacturing quality

28.4

40.3

22.4

3.00

Control charts are used to determine if

variations are abnormal or normal and
to determine quality characteristics

29.4

46.3

14.9

7.5

2.96

Statistical quantitative tools are used to

provide the needed quantify variation,
identify causes, and find solutions thus
to reduce and remove unwanted variation

4.5

25.4

47.8

22.4

2.88

10.4

34.3

43.3

11.9

2.57
2. 826

Management team conducts continuous

periodic quality audits
Average

17

Mean

4.4.6 Firm Performance

Table 4.7: Firm Performance
SD

SA

Mean

Improvement in net profits over

the last 5 years

11.9

35.8

28.4

23.9

3.64

Increase in return on investments over

the last 5 years

28.4

55.2

16.4

2.79

increased its market share growth

over the past 5 years

28.4

47.8

14.9

2.93

Reduction of customers complaints

over past 5 years

1.5

20.9

43.3

34.3

4.10

Reduction of the operation defects

over the past 5 years

4.5

31.8

36.9

26.9

3.76

Reduction in waste materials over

the past 5 years

35.8

29.9

28.4

3.81

Reduction of the cost production over

the last 5 years

41.3

32.8

20.9

3.69

Average

3.53

4.5 Factor Analysis

The factor analysis matrix gives loading, that is the correlation between each variable and each
factor. A factor is an underlying dimension that account for several observed variables (Marshall
and Rossman, 2010). While factor loadings are those values which explain how closely the
variables are related to each one of the factors discovered.

The cell in this table are factor loadings which gives values over 0.5 and none is more than 0.951
implying linear relationship, interval or near interval data lack of high multi-collinearity. Bryman
and Cramer (2011) suggested that any factor loading below 0.4 is weak

and those between 0.5

and 0.6 are moderate. While values which are less than 0.3, the results of the factor analysis
probably will not be very useful in the research.
18

Factor analysis generates a Table 4.8 in which the rows are the observed indicator variables and
the columns are factors or latent variables which explains as much of the variance in these variables
as possible.

Table 4.8 Factor Analysis

SQM
Supplier Quality Management
Close collaboration with .
Purchases raw materials only
Conducted inspection examination
Categories suppliers thus .
Strategic partnership with .
Regards product quality ..
Always gives feedback .

CPI

CPDI

SQP

SQC

0.882
0.700
0.627
0.565
0.887
0.602
0.521

Continuous Process Improvement

Effectively and frequently measuring
Business process re-engineering..
Innovative distributing methods..
Continuous adoption of repair ..
Effective communication process .

0.792
0.737
0.647
0.540
0.525

Continuous Product Improvement

Continual product improvement policies..
Continuous conduct performance..
Research team continuous
Continuous launches more
Customer requirements and expectations
Pays sufficient attention
Management teams pays

0.741
0.536
0.654
0.578
0.695
0.505
0.570

Strategic Quality Planning

Mission statement ..
Comprehensive and structured ..
Firm quality plans focus
Develop its plans, policies .
Manufacturing operations .
Effective strategic quality improvement
Management regularly conducts .

0.746
0.702
0.758
0.730
0.881
0.869
0.749

Statistical Quality Control

Provides training programs

0.937

19

Statistical control techniques

Use control charts to determine
Statistical quantitative tools
Management team conducts

0.942
0.951
0.700
0.931

Extraction Method: Principal Component Analysis

4.6 Correlation Analysis

Thus from the study findings it can be concluded that statistical quality control variables have the
lowest effect in influencing the firm performance of animal feeds manufacturers. While continuous
product improvement variables have the strongest effect in influencing the firm performance of
animal feeds manufacturers.

Table

4.9:

Summary
of
Correlations
Dependent Variables
FP

SQM

CPRI

Statistics
CPDI

of

Independent
SQP

Firm
performance

Supplier qual
ity management

0.259**

Continuous pro
cess improvement

0.392**

0.486**

Continuous pro
duct improvement

0.242** 0.606**

0.521**

Strategic quality
y planning

0.110**

0.370**

0.195**

0.291**

Statistical quality
control

0.407**

0.201**

0.194**

0.140**

0.052**

and
SQC

Correlation is significant at the 0.05 level (2-tailed).

20

4.7: Regression Analysis

4.7.1 Model Summary
In order to test how well the model works in explaining the relationship between quality
management practices and firm performance, regression analysis was conducted. According to
study findings in Table 4.10, the model accounts for 66.5% (R-Square, 0. 665) of variation in firm
performance. The results further reveal that even if the study adjusts for small samples and high
collinearity, the model would still account for 64.5% (Adjusted R Square, 0. 645) of firm
performance. The adjusted 2 is important as it helps to discourage over fitting of the model
(Doane and Seward, 2011).

Table 4.10 Model Summary

R

0.519

R Square

0. 665

Adjusted
R Square

Std Error of
the Estimates

Change Statistics
F Change

Sig.F
Change

0. 645

0.45246

34.624

0.001

DurbinWaston

1.631

4.7.2 Analysis of Variance

Further ANOVA tests were conducted to determine whether the model works in explaining the
relationship among variables as postulated in the conceptual model. The findings from Table 4.11)
show an F value of 34.624 with a significance level of 0.001 which is far lower than the confidence
level of 0.05, hence establishing the model is statistically significant. The implication is that each
independent variable contributes significantly to changes in the dependent variable. This shows
that the model works and thus accounts for significantly more variance in the dependent variable
than would be expected by chance. Sekaran (2010) pointed out that the assumptions of ANOVA
are the response is normally distributed, variance is similar within different groups and the data
points are independent.

21

Table 4.11 Analysis of Variance

Model

df

Regression

Sum
of Square
4.606

Means
Squares
0.921

Residual

12.488

61

0.205

Total

17.094

66

Sig.

34.624

. 001

a. Dependent Variables: Firm Performance

b. Predictors: ((supplier quality management, continuous process improvement, continuous
product improvement, strategic quality planning and statistical quality control)
4.7.3 Coefficient of Regression Analysis
The raw regression equation model used in the study was; Y= + 0 + 1 1 + 2 2 + 3 3 +
4 4 + 5 5 +e
How does supplier quality management influence firm performance of animal feed manufactures.
The study results on Table 4.12 accepted the research question objective as evidence of 1=0.337,
<0.05. This infer that supplier quality management has a positive relationship effect on the firm
performance of animal feed manufactures. The statement is supported by the t-test of 4. 816. The
positive beta implies that an increase in supplier quality management practices leads to a
proportional increase in the level of firm performance of the animal feed manufacturers in the
Kiambu and Nairobi counties.

How does

continuous process improvement influence firm performance of animal feed

manufactures. The study results on Table 4.12 accepted the research question as evidence of
2=0.321, <0.05. This infer that continuous process improvement has a positive relationship
effect on the firm performance of animal feed manufactures. The statement is supported by the ttest of 4. 723. Thus failure by animal feed manufactures to practice continuous process
improvement in their operations will impact negatively on their performance both financial, non
financial and operational performance.
22

How does

continuous product improvement influence firm performance of animal feed

manufactures. The study results on Table 4.12 accepted the research question as evidence of
3=0.303, <0.05. This infer that continuous product improvement has a positive relationship
effect on the firm performance of animal feeds manufactures in Kiambu and Nairobi counties.
The statement is supported by the t-test of 4.598.

How does

strategic quality planning on firm performance of animal feed manufactures. The

study results on Table 4.12 accepted the research question as evidence of (4 =0.242, p < 0.05).
This infer that strategic quality planning has a positive relationship effect on the firm performance
of animal feed manufactures. The statement is supported by the t-test of 3.331.

How does statistical quality control has on firm performance of animal feed manufactures. The
study results on Table 4.12 show statistical quality control has a positive relationship effect on
firm performance of animal feed manufactures as evidence of (5 = 0.258, p < 0.05). The
statement is supported by the t-test of 3.479.

This infer that supplier quality management contributed the most in improvement of firm
performance of animal feed manufacturers, continuous process improvement become second,
continuous product improvement become third, while statistical quality control become fourth and
lastly strategy quality planning contribute the least in influence of firm performance of the animal
feeds manufactures in Kiambu and Nairobi counties.

Thus established regression equation was

Y= 1.188 + 0.3371 + 0.3212+ 0.3033 + 0.2585 + 0.2425 e

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Where Y = firm performance, 1= supplier quality management, 2= continuous process

improvement, 3= continuous product improvement, 4= statistical quality control, 5= strategic
quality planning and e= error term.

Table 4.12: Coefficients

Unstandardized
Coefficients
B

Standardized Coefficients
Std.
Error

Beta

Sig.

1.702

1.000

(Constant)

1.188

0.698

Supplier Quality
Management

0.337

0.070

0.337

4.816

0.000

Continuous Process
Improvement

0.321

0.068

0.321

4.723

0.000

Continuous Product
Improvement

0.303

0.066

0.303

4.598

0.000

Statistical Quality
Control

0. 258

0.074

0.258

3.479

0.001

Strategic Quality
Planning

0.242

0.073

0.337

3.331

0.000

24

5.4 Recommendation of the Study

5.4.1 Supplier Quality Management
There is a need for the procurement managers in the animal feed industry to provide feedback on
the performance level of suppliers who supply them with various products and services thus
enhance the supplier relationship management. The procurement managers in animal feed industry
should implement product quality is the important factor while selecting their various suppliers.

5.4.2 Continuous Process Improvement

The animal feed manufactures should implement more in business process re-engineering thus to
speed up the firm operation more significantly thus leading improvement operational performance.

5.4.3 Continuous Product Improvement

There is a need for procurement managers of the animal feed manufacturers to continuous engage
in market research activities thus provide the firm with more innovative solutions in order to meet
customer demand specifications in the market. The customers requirements and expectations
should be considered more management while in the stage of new product design.

5.4.4 Strategic Quality Planning

The study researcher recommends that animal feed manufactures should engage more in strategic
quality planning through management team regularly conducting market research on quality
perspective thus to gain relevant information from clients and competitors to enhance in
improving the firm performance level in both financial and non-financial terms.

5.4.5 Statistical Quality Control

Proper use of statistical quality control will help the animal feed manufactures in quick responses
abnormal defects while producing products. The management team animal feed manufactures
provides training programs to the various employees, thus to acquire the various skills in statistical
techniques thus to enhance in quality production.

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5.5 Recommendations for Further Research

The study mainly utilized both the quantitative and qualitative methods in the research, thus the
researcher suggest that more future studies should employ mainly quantitative methods in order to
obtain greater insights into the supplier quality management, continuous process improvement,
continuous product improvement, strategic quality planning and statistical quality control from
operational managers from all the animal feed manufacturers in the country.

The researcher recommends further studies should be done be done on the impacts of effective
implementation of quality management practices on firm performance of various animal feed
manufacturers in the country thus to depict a reliable result that can be employed in improving
the firm by focusing both negative and positive effects.

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