Influence of Logistics Outsourcing Services on Supply Chain Performance in Commercial State Corporation in Nandi County, Kenya

In government agencies specifically the commercial state corporations, logistics remain a problem that has continually derailed the success of the procurement and supply chain process. However, it remains unclear on the role the outsourcing has played in promoting supply chain performance in these corporations. This study sought to establish the influence of logistic outsourcing services on supply chain performance in commercial state corporations in Nandi County, Kenya, specifically to establish the influence of transport outsourcing on supply chain performance in commercial state corporations in Nandi County; determine the influence of the distribution outsourcing on supply chain performance and to examine the influence of warehousing outsourcing on supply chain performance in commercial state corporations in Nandi County, Kenya. Descriptive research design was adopted and the study target population was the 14 commercial state corporations from which census was conducted. Self-administered questionnaires were used in the study as data collecting instruments. Qualitative and quantitative data was analyzed using SPSS. The study findings revealed that transport outsourcing, distribution outsourcing, and warehousing outsourcing have a positive significant influence on supply chain performance. The study concluded that prequalified commercial state corporation should improve on approach to transport outsourcing, distribution outsourcing, and warehousing outsourcing. The study recommends that Commercial State Corporation embrace Transport outsourcing techniques, transportation, Transport Management Software technology, outsourcing transportation, operational control analysis and Transport outsourcing.