The major aim of this study was to establish the relationship between functional integration and competitive advantage of food and beverages manufacturing firms in Kenya. The study adopted a cross-sectional survey. The target population was managers working along the supply chain from 270 food and beverage manufacturing firms in Kenya. The two-stage sampling design was employed. The first stage, cluster random sampling, obtained 73 food & beverages manufacturing firms. Second stage, convenience sampling, selected two participants from the 73 selected firms. Thus, a sample size of 146. Questionnaires were used to collect primary data using both the drop and pick and mailing methods. Secondary data was obtained through document analysis. Data were analyzed using SPSS version 28 to generate descriptive and inferential statistics. The study found that functional integration had a positive significant linear relationship with a competitive advantage. Additionally, the competitive advantage is anticipated to grow for every unit increase in functional integration. Thus, the study concludes that the parameters of functional integration are crucial in enhancing a company's competitive advantage in the food and beverage industry. Consequently, the study recommends that improvements in integrating functions internally should be strategically implemented.

The manufacturing sector in Kenya is faced by the challenges of performance and unstructured supply chain strategy. Further, the manufacturing sector growth in 2014 was 3.4% compared to a 5.6% growth in 2013 (Waiguru, 2015). This slow growth in manufacturing sector performance can be attributed to several environmental uncertainties such as the general election, high production costs, supply disruptions, political stability, unavailability of raw materials or demand fluctuations, technological changes, employees’ strikes, financial risk, terrorism and competition from imported goods (KNBS, 2018).The purpose of the study was to determine the moderating effect of environmental uncertainties on the relationship between risk hedging supply chain strategy and performance of manufacturing firms in Kenya. The study utilized descriptive research design. The target population was 829 managers from manufacturing firms around the country. A sample of 270 managers was selected using stratified random sampling. Results indicated that risk hedging supply chain strategy explained 63.8% of the total variations in performance of manufacturing firms. In addition, risk hedging supply chain strategy had a positive and significant effect on firm performance (β=0.675, P < .000). With introduction of moderating variable (environmental uncertainties); risk hedging supply chain strategy explained 34% of the total variations in performance of manufacturing firms. This denoted those environmental uncertainties had a negative moderating effect on the relationship between risk hedging supply chain strategy and performance of manufacturing firms in Kenya. The study concluded that risk hedging supply chain strategy had a positive and statistically significant effect on performance of manufacturing firms in Kenya. The study further concluded that environmental uncertainties lower the effect of risk hedging supply chain strategy on firm performance. The study recommends that manufacturing firms should strengthen aspects related to risk hedging supply chain strategy. The firms should particularly strengthen safety stock, suppliers’ management and quality. The improvement of these aspects is expected to enhance performance of the manufacturing firms. This study further recommends that manufacturing firms should factor in environmental uncertainties related to demand, supply and technology when implementing supply chain strategies.

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Purpose: The purpose of this study was to assess the effect of customer integration on the competitive advantage of food and beverages manufacturing firms in Kenya. Methodology: A cross-sectional survey was used in this investigation. Managers from 270 food and beverage production companies in Kenya were targeted as part of the study. A sample size of 146 comprising of supply chain, procurement, operations and finance managers was obtained using two-stage sampling design. Cluster random sampling was utilized in the first stage to find 73 food and beverage production companies. In the second stage, convenience sampling was employed to choose two participants from among the 73 firms that had been chosen. Research questionnaires were used to collect primary data. The drop-and-pick approach, along with emailing the questionnaires, were used to obtain data. The quantitative and qualitative data were analyzed by utilizing descriptive statistics in SPSS version 28. Inferential analysis was carried out, with a focus on correlation as well as regression analysis, and also hypothesis testing. Tables were used to display the findings. Results: Customer integration and competitive advantage of food and beverage manufacturing enterprises in Kenya had a positive significant association (R =.661, p =.000), according to the data. This meant that consumer integration boosted the competitiveness of Kenyan food and beverage manufacturers. Customer integration and competitive advantage of food and beverage manufacturing enterprises in Kenya were also shown to have a positive and statistically significant association (R =.661, R2 =.379), according to the study. As a result, customer integration accounted for 66.1 percent of the variation in food and beverage manufacturing enterprises' competitive advantage. Unique contribution to theory, practice and policy: While existing theory was validated, the study recommends that managers of food and beverages manufacturing firms should build procedures and policies that link to a superior understanding of the customer in order to meet their expectations. The study also recommends that the food and beverages industry regulators should devise policies that would allow food and beverage manufacturers to integrate with customers and thus help avoid losses that impact the efficiency of these businesses and eventually the economy as a whole. The study suggests that the government takes a more systematic approach to ensuring the growth and development of customer integration in Kenyan food and beverage manufacturing firms in order to maintain a competitive edge. Moreover, empirical research needs to be conducted to establish the effect of customer integration on the competitive advantage of other sub-sectors of manufacturing in the economy.