Influence of Supplier Relationship on Operational Performance of Manufacturing Firms in Kajiado County

Manufacturing firms in Kajiado County continue to grapple with significant operational performancechallenges such as production delays, quality defects, cost overruns, and frequent supply chain disruptions.These persistent issues are largely attributed to ineffective supplier relationship management,often characterized by short-term transactional interactions, the absence of strategic partnerships,inadequate supplier evaluation mechanisms, and limited collaboration between manufacturers and theirsuppliers. This study sought to investigate the influence of supplier relationships on the operationalperformance of manufacturing firms in Kajiado County. Anchored on the Resource-Based View (RBV)theory, the research employed a cross-sectional survey design targeting a population of 1,478 staff across13 manufacturing firms. Using purposive sampling and Yamane’s formula, a sample of 94 respondentswas selected, yielding a high response rate of 96.8%. Primary data were collected using structuredquestionnaires based on Likert-scale items, and analyzed through SPSS using multiple regressionanalysis. The findings indicated a strong positive relationship between supplier relationships andoperational performance (R = 0.684). The model demonstrated that supplier relationships accountedfor 61.4% of the variance in operational performance (R² = 0.614). The regression analysis confirmedstatistical significance (F = 3.044, p < 0.05), with supplier relationship strength showing a positivecoefficient ( = 0.308, p = 0.002). This implies that a one-unit increase in the strength of supplierrelationships leads to a 0.308-unit improvement in operational performance. The study concludes thatsupplier relationships are pivotal to enhancing operational performance. Key success factors includeactive supplier involvement in improvement initiatives and strong, cooperative manufacturer-supplierpartnerships. To optimize operational outcomes, manufacturing firms should institutionalize structuredsupplier partnership models. These may include regular supplier engagement forums, comprehensivesupplier development programs, and collaborative planning committees aimed at fostering continuousdialogue, joint decision-making, and long-term performance improvements.