The Effect Of Strategic Sourcing On The Organizational Performance Of The Ethiopian Shipping And Logistics Service Enterprise

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Addis Ababa University


The objective of this study was the effect of strategic sourcing on the organizational performance which as operational performance in Ethiopian Shipping and Logistics Service Enterprise. The study used descriptive research design that was used to achieve the purpose of the study. The study had employed census survey to quantitatively assess the supposed relationship between the independent and dependent variables. Questionnaires were used to the formal instrument of data collection. Totally 75 questionnaires were distributed and 60 of them filled and returned to make the response rate about 80 percent. The collected data were analyzed using descriptive statistics (Mean and standard deviation) and inferential statistics (correlation and regression). Finally, the study revealed that there was a statically significant positive correlation between strategic sourcing (measured in terms of supplier selection, Buyer supplier relationship, and contract management) and operational performance. The Ethiopian Shipping and Logistics Service Enterprise need to maximize its performance by establishing a long term relation with key suppliers and made a long term contracts and supplying partnership with suppliers. The organization must maximize its operational performance by relying on timely communication with partners and by working closely with partners to build a good and long –term relationship.



Strategic sourcing, Organizational Performance, operational performance