Department Of Logistics And Supply Chain Management Study On Supply Chain Management Practices A Case Study Of Fafa Food Share Company

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Addis Ababa University


Different companies may adopt different supply chain management practices to enable them achieve the objectives if their supply chain. This becomes necessary due to the fact that the modern business environment puts managers in demanding situations where they have to balance between the demands of consumers and the company’s desire for growth and enhanced profitability. Most of the managers have therefore realized that for them to efficiently and effectively manage such a situation, they must focus on supply chain management from a strategic perspective. Companies all over the world are pursuing supply chain as the latest methodology to reduce costs, increase customer satisfaction, better utilize assets, and build new revenues. To conduct this study the research has five objectives these are To study the existing practices of supply chain management from the five SCM practices perspectives ,To investigate and get insight about the level of integration and coordination of the case company with its suppliers and customers, To investigate and measure the perceived performance of the supply chain flexibility and adaptability and to get better insight in the case company, To identify factors affecting implementation of supply chain strategies at Faffa Food Share Company and To identify measures to be taken to improve supply chain management at Faffa Food Share Company. For the accomplishment of this, the study was employed through descriptive design in which the selections of the respondents were carried out by using judgmental, purposive and convenience sampling techniques. The total numbers of FFSC employees are 251 out these, 50 employees was considered as a sample unit. Both primary and secondary sources of data were used for this study. Likert scaled questionnaire and interviews were used as instruments for data collection. The data was analyzed by using descriptive statistics and presented in tables. The major findings indicates that, most SCM practices are poorly practiced with in the FFSC’s SC. whereas IT and training practices are poorly applied which represented with group mean value of 2.437 and 1.972 respectively. Sales forecast information sharing with customers is poor that convey 2.34 mean value. Based on both quantitative and qualitative analysis the case company has poor relationship with its customers and suppliers. General management incapability, High management cost, Improper distribution time management and Improper production schedule which conveys mean value of 3.94, 3.84,3.70 and 3.56 are the major headaches or challenges of the case company’s SC which prohibits effective implementation of supply chain management.



qualitative analysis, implementation, factors affecting implementation