An assessment of global sourcing adoption and performance in beverage Industries: a case study of Coca Cola Kwanza Tanzania

With increasingly turbulent business environment, organizations are continuously looking for better ways of gaining competitive advantage. One of the strategies that firm scan employ to acquire sustainable competitive advantage is contract manufacturing (commonly known as outsourcing). Outsourcing is basically that part of an organization’s process, which is sourced from outside suppliers with no regard for the type of relation with these suppliers (Kiongera, wanyonyi, Musiega& Masinde, 2014). This study assess the global sourcing adoption and performance at Coca Cola Kwanza Company in Dar es Salaam. The study employed a case study design and purposive judgment sampling technique in which a sample of 45 respondents was involved. The findings revealed that the company adopted various stages of global sourcing stages such as preliminary research, market and supplier evaluation, selection of the supplier, implementation and performance monitoring to enhance their procurement performance. The study also revealed several performance benefits obtained from global sourcing adoption such as cost saving, reduced lead time, and improved turnaround time and customer satisfaction. The regression analysis revealed that respective global sourcing stages adopted by the company had a significant impact on their procurement performance. To ensure company’s performance benefits, the study recommends that the company should focus on total landed costs, product quality needs, and lead time.