Dissecting the Performance of Socially Responsible Firms
Journal of Investing
Purchasing entails the activity of acquiring of goods and services at the best cost and quality. Socially responsible purchasing adds sustainability and environmental requirements to the pre-mentioned set of conditions. However there is little knowledge on what organizations can do to ensure social responsibility throughout their supply chain. The study sought to know what organizations can do to ensure social responsibility throughout their supply chain and determined effect of purchasing
... l responsibility on performance of flower firms in Kenya. The study specifically established the effect of diversity responsibility on flower firms performance, assessed the effect of environment responsibility on flower firms performance, the effect of human rights responsibility on flower firm performance and effect of safety constitute responsibility on flower firm performance. The study was determined by Stakeholder Theory and Legitimacy Theory. Explanatory research design was employed. Data was drawn from target population of 172 respondents' from all the 43 registered flower firms in Kenya. For the study, questionnaires were used to collect data and quantitative data analysis was done using Statistical Package for Social sciences (SPSS) while qualitative data was been analyzed by use of descriptions. The tools used for analysis were measures of central tendency which were mean, mode and standard deviation. The study found out that embracing socially responsible purchasing has a significant effect on the flower firms' performance. This study has however recommended that there is need for firms to invest in socially responsible purchasing to enable them improve on their performance. Future research should focus on a larger scope which can complement this result to obtain further insight in this area and may be introduce moderating factors which will provide an interesting input.