Study on Supply Chain Management Practices-A Case Study of Kality Food Share Company
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Date
2011-06
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Addis Ababa University
Abstract
Supply chain management (SCM) is the means by which firms engaged in creating,
distributing, and selling products, can join forces to establish a supply network with an
unbeatable competitive advantage-has emerged as one of the most powerful businessimprovement
tools around. 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. The purpose of this paper is to study the practices of supply chain
management from the five SCM practices perspectives i.e Supplier and customer
relationship, internal operations, information sharing, information technology and training
and to see the integrations among SC partners. 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 KFSC employees are 456 out these, 35 employees was considered as a sample unit
furthermore, 40 customers were interviewed. 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 moderately practiced with
in the KFSC’s SC. where as IT and training practices are poorly applied which represented
with group mean value of 2.12 and 1.95 respectively. Sales forecast information sharing with
customers is poor that convey 2.22 mean value. Based on both quantitative and qualitative
analysis the case company has poor relationship with its customers and suppliers and poor
customers’ services. Manufacturing, supply and demand uncertainties which conveys mean
value of 3.41, 2.83 and 2.77 are the major headaches or challenges of the case company’s SC
which prohibits effective implementation of SCM.
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Keywords
Supply Chain Management Practices