Assessement of Strategic Sourcing Implementation Practice: The Case of Ethio Telecom

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Addis Ababa University


The implementation of strategic sourcing requires a wide variety of skills. Some of the top competencies needed to excel in making the most of a company’s strategic sourcing decision-making process and it is part of Supply Chain Management Process. This research was conducted to assess the strategic sourcing implementation practice in relative to sourcing (policy, procedure, and process including seven step methodologies).Sourcing/procurement planning, supplier relation management, stakeholders/user department’s integration, which is one part of strategic planning in ethio telecom. A descriptive research design was conducted to achieve the purpose of the study. From 164total populations found at ethio telecom head quarter A.A. Which combined both the supply chain division sourcing department and technical division end/user departments, and out of the total population, 56 participants employed as a sample, having a current position of specialists, supervisors and 8managers’ respondents. And they were selected from supply chain divisions and technical division by employing stratified random sampling technique. Questionnaire was used as the formal instrument of data collection. In addition to that interview was made for some eight selected management respondents. A total of 56 questionnaires were printed and distributed and 54 of them were filled and returned, however, out of 56 distributed questioners 2 respondents were missed. The response rate became 96.43percent from total number of sample (56). These samples were drawn from the total population using stratified random sampling techniques. Moreover, the research approach of this research was mixed approach or the combination of questionnaire, interview (quantitative and qualitative) including document analysis. Data collected using these instruments were analyzed using descriptive design statistics. Finally, the study revealed that the overall current results from the below findings indicates there was low strategic sourcing implementation practice (measured in terms of effective sourcing policy, procedure, process including the seven step methodologies) in accordance with the overall company’s strategic sourcing/procurement Planning, supplier development and management, stakeholder’s/user departments integration). And also it suggested that the level of strategic sourcing implementation practices needs improvement in terms of its effectiveness and efficiency on timely planning, using supplier relation management /development efficiently, by integrating user departments with sourcing committee and improving policy, procedures in relation with seven step methodology to confirm the sourcing strategy with the overall corporate objectives in the case of ethio telecom as perceived from evaluation of the respondents reply.



Sourcing Strategy, Strategic Sourcing, Sourcing /procurement planning, purchasing management, supplier relation management/development, epartmental integration