FOURTH-PARTY LOGISTICS AND PERFORMANCE OF OIL AND GAS MARKETING COMPANIES IN KENYA

Elicipha Nyambura Njuguna, Dr. Eric Namusonge

Abstract


The goal of the research was to establish the role of Fourth-Party Logistics on the performance of Oil and Gas Companies in Kenya. The study was stipulated and guided by the subsequent specific objectives: To establish how warehouse management affects the performance of Oil and Gas companies and to assess the role of transportation in the performance of Oil and Gas companies. The theories that reinforce this research include Resource Based Theory, Profit Maximization Theory, and Agency Theory. The research applied descriptive design for quantitative data. The data was collected through questionnaires. The descriptive expounds on the cause and the results between the Fourth-Party Logistics and performance. The target population in this study was 3,000 employees across all the Oil and Gas Companies the findings show that warehouse management was connected to and significantly correlated with performance (r = .785, p = .000). This implied that an improvement would lead to better performance in Fourth-Party logistics since warehouse management had a good and substantial influence. Transportation had a favorable relationship with performance at Fourth-Party Logistics substantially, as shown by (r = .622, P= .000). This also suggested that because transportation has a moderate impact, improving it will result in better performance in Fourth-Party logistics operations. The conclusion is that warehouse management and transportation significantly influence Oil and Gas businesses' performance. Since the study found a significant correlation between warehouse management, transportation and performance, it is reasonable to assume that if the management of a company adopts warehouse management, the performance of fourth-party logistics companies will also improve.

Keywords: Fourth Party Logistics, Logistics, Logistics Management, Firm Performance


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