Developing A Competitive Supply Chain Practice Model for Lebu Industry Zone by Sharing Knowledge from Multinational Companies in Bole Lemi Industrial Park

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Date

2019-10

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Addis Ababa University

Abstract

One of the most important competitive resources that a business can have is knowledge. This has been repetitively emphasized in the literature of knowledge management. One of the most significant aspect of knowledge management is knowledge sharing. Ethiopia has a good advantage because of the multinational companies working on the various industry parks in the country, one of the industry park is Bole Lemi.The need to develop a competitive advantage model in Ethiopia has long been recognized an important consideration. More ironically, there is inadequate knowledge on how Ethiopia’s textiles and apparel manufactures can adopt contemporary competitiveness attributes to become more innovative and produce unique products that can penetrate both local and foreign markets. This research used both qualitative and quantitative methods and a combination of both primary and secondary sources of data. The research conducts an extensive literature review of knowledge transfer models, multinational companies, and supply chain practices of garment industries. The purpose of this research is developing a competitive supply chain practice transfer model. Forty-three (43) persons of managers and experts in the garment industry are selected as the sample volume. The tool for data collection is questionnaire and the researcher used AMOS software to analyze data. The data collected for the purpose of this study is analyzed analysis include two parts: first, descriptive analysis is presented. second factor analysis is conducted using the Structural Equation Modeling (SEM), applying expletory factor analysis in the first stage to identify the model that contains the factor that have the most significant impact on competitive advantage using spss-20 then the second stage the fitness of the models tested through confirmatory factor analysis using Amos. Before implementing SEM reliability and consistency of the data was tested, in order to ensure its validity for the analysis. The finding of this thesis largely support hypothesis relationship proposed in the theoretical model. Indicates that Effectiveness of supply chain practice transfer which is measured by changes in the practice and perceived supply chain practice usefulness will have a positive impact on competitive advantage.

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Keywords

Competitiveness, supply chain practice, structural equation modeling, knowledge transfer

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