Effects of Supply Chain Integration and Inventory Management Practices on Operational Performance: The Case F.D.R.E Air Force

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Date

2020-06

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Publisher

Addis Ababa University

Abstract

The purpose of this study is to get in-depth insight and investigate the effect of supply chain integration and inventory management practices on operational performance. To address the research objective, a mixed research approach is used to collect the relevant data from the target population of the study which includes Ethiopian Air Force Air Logistics units and first tire of both operational units and MOND Procurement Directory. The primary source of data was collected by using a five-point Likert scale questionnaire and semi-structured interviews. To analyze the data this study applied descriptive and inferential statistics including multiple linear regression that will help to understand which predictor is a statistically significant contributor to the study. The result indicates that 44.1% of the variation in operational performance can be explained by variation in the Supply Chain Integration and Inventory Management Practices have taken together. This leaves 55.9% unexplained. Also, the magnitude of the unique contribution, that is, for one percent increase in the rate of Supply Chain Integration, Operational Performance will increase by 31.6 percent. Similarly, one percent increase in the rate of Inventory Management Practices, Operational Performance will increase by 57.1 percent. Besides, 0.025 value of constant.

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Keywords

Supply Chain Integration, Inventory Management Practices, Operational Performance, Ethiopian Air Force

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