Challenges Faced in the Implementation of Supply Chain Management in the Manufacturing Sector

The twenty first century market is characterized by high variety and relatively low demand for individual products. Kenya manufacturing sector whose share of gross domestic product (GDP) has increased very little over the past two decades contributes about 13 % of the GDP reasons among many include competition from cheap products, inadequate research and development, insufficient management, low capacity utilization and limited technology development. This study surveyed the extent of implementation of supply chain management (SCM) in the manufacturing sector. The study was conducted in selected the fourteen from the thirty manufacturing industries in Nakuru town, kenya. Mixed methodology was adopted, data was collected, using questionnaire and interview schedules to obtain qualitative information from top managers, production, marketing, finance and human resource managers. Data was analyzed using descriptive statistics and chi square test with a level of significance of = 0.05. The results indicated that there are challenges experienced in the implementation of SCM.