Employees’ Perception on the Effects of Supply Chain Management Strategy on firm Performance (The Case of MOHA Soft Drinks Industry S.C. Addis Ababa)
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Date
2016-05
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Addis Ababa University
Abstract
Effective supply chain management (SCM) has become a potentially valuable way of securing
competitive advantage through enhancing SC and improving organizational performances since
competition is no longer between organizations, but among supply chains. This research
conceptualizes and develops on five building blocks of SCM strategy (Manufacturing strategy,
Outsourcing strategy, Channel Strategy, Customer service strategy and Asset network) and tests
the employee prospect on effects of SCM Strategy on SC performance, and organizational
performance. The data for the study was collected from 81 employees of MOHA soft drinks
industry S.C. The relationships proposed in the framework were tested using Pearson correlation,
and the causal relations were analyzed using regression analysis. From the result of the analysis
it is concluded that there is strong relationship between SCM strategy, SC performance and
organizational performance. Besides, SCM Strategy has an influence both on SC performance
and organizational performance. On the other hand, SC performance has also an influence on
organizational performance. Therefore, in order to achieve advancement in market share and
profitability in the long-run through enhancing organizational performance, it is better for the
organization to give due emphasis to the constructs of SCM Strategy and the measures of SC
performance.
Keyword: supply chain management Strategy, Supply Chain performance, Organizational
performance
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Keywords
Supply chain management strategy, Supply chain performance, Organizational performance