Effects of Green Procurement Practices on Operational Efficiency at Kenya Airways Limited, Kenya

Abstract

: Green procurement is a holistic approach that encompasses organization, people, processes and technology. Some companies realized a long time efficiency in energy usage, waste management and energy consumption along with use of recycled materials resulted in reducing costs. Green procurement practice is about the process of purchasing goods and services that takes into account the socio-economic and environmental impact that such purchasing has on people and communities. The general objective of this study is to establish the effects of green procurement practices on operational efficiency at Kenya airways Limited. The study was guided by three objectives; to establish to which extent procurement of recyclable goods impacts on operational efficiency, to establish how low energy consuming goods affects operational efficiency and to what degree does procurement of environmentally preferred goods influence operational efficiency? The study adopted a descriptive research design. The target population of this study comprised of fifty employees in the finance department of Kenya Airways. The researcher used structured questionnaire to collect primary data for making conclusions and recommendations. Data  was  analyzed using the Statistical Package for Social Sciences (SPSS 22.0).The study found out that Kenya Airways procures product that are specifically designed making a product more environmentally compatible and that materials at Kenya airways are sourced from credible suppliers that provide quality goods, thorough procurement selection is done to ensure supply goods supplied can be recycled, incorporating the concept of green in the design process, the power consumption can be reduced to greater extent through low production cost and that there is strong relationship building between suppliers and the company thus production efficiency and that Kenya Airways engages in the green procurement practices so as to give their customers environmentally friendly products by green packaging practices waste prevention and energy saving on low energy consuming goods. The study concludes that Kenya Airways procures product that are specifically design making a product more environmentally compatible and that materials are sourced from credible suppliers that provide quality goods and  Green manufacturing enhance environmental consciousness through Reuse, Recycle, and Refurbish activities and a solution for environmentally concerned and economically conservative thus leading to lower  raw material cost, increase the production efficiency and reduces the environmental and occupational safety expenses. The study recommends that Kenya Airways could carry out environmental audits on a regular basis so as to determine the effectiveness of the operations undertaken on green procurement practices, Kenya Airway should come up with programs that will create awareness on the green operations practices adopted by the employees and other stakeholders and that the organization need to explore the usage of best value procurement methods other than relying heavily on price-based procurement methods.