Assessment Of Logistics Practices & Challenges In Ethiopian Plastic Recycling Companies
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Date
2018-06-23
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Addis Ababa University
Abstract
The paper has made a study on the practices and challenges of logistics in Ethiopian plastic recycling companies with regard to customer service, inventory management, supply, transportation and warehousing activities. The main objective of the study was to describe the current logistics practices. Descriptive research type was used, and quantitative and qualitative data was collected related with the extent of companies’ logistics practices using structured questionnaires and different secondary documents. Since the total population is small in number, the target population covers all the seventeen Plastic recycling companies and from logistics perspective, 3 respondents selected by using expert purposive sampling who work in main logistics activity of Purchasing, Production & Marketing and have glean knowledge in particular expertise in logistics activity. Questionnaires distributed to 48 respondents but filled and returned only from 42. Finally, the collected data was analysed using descriptive statistics, and secondary document analysis is done for confirming the findings. The result indicates almost all the modern logistics infrastructures like ERP, EDI and Radio frequency are not applied by these firms for ease of logistics operation, and commonly logistics is practiced at the lesser extent. Even though these firms practiced the logistics activities in their day to day operations, most of the firms have no logistics department in their organizational structure. Foreign currency shortages, higher taxes, lack of integrated system and long lead time in ports are found to be the critical challenges of logistics for plastic recycling companies in Ethiopia. It is recommended that, the companies can measure their logistics performance by applying different metrics like financial, productivity, quality and cycle time that help to know the gaps easily and to take corrective actions.
Key words: Logistics Practices, Logistics Challenges, plastic recycling companies
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Keywords
plastic recycling companies, logistics perspective, logistics performance