Effect of Sustainable Supplier Development on Organizational Performance at Kenya Pipeline Company Nairobi

Many modern organizational performances are faced with numerous challenges such as illegal and unethical behavior in a number of business transactions. The purpose of this study was to establish the effect of supplier development on organizational performance at Kenya pipeline. The study was grounded on Institutional and Stakeholders theories in clarifying the concept of sustainable procurement practices on the organizational performance. The study adopted descriptive survey research design focusing on Kenya Pipeline Company headquarters. The target population was 430 employees of Kenya Pipeline Company Limited in the departments of which includes customer relations, ICT, internal audit, supply and logistics, administration, quality control, health safety and environment, maintenance and operations departments. The study adopted cluster and stratified random sampling technique. The sample size was calculated by use of Taro Yamane’s formula giving a sample size of 205 respondents and finally proportionally allocated to the strata’s. The data collection instrument was questionnaire which was designed using 5point likert scale. The instruments were tested for validity to enhance credibility of data by consulting the supervisor. Reliability was achieved by pre-testing of the instrument at Kenya Power and Lighting Company headquarters in Nairobi where twenty one questionnaires was administered. Cronbach’s alpha coefficient was used to ascertain whether the instrument meets the threshold of 0.7 or above for reliability. Data was analyzed by use of both inferential statistics which included multiple regression and correlation while descriptive statistics were means, frequencies and standard deviations using SPSS version 20. The study findings indicated that supplier development has a positive and significant effect on organizational performance at Kenya pipeline (p