The Effect of Information Technology Capabilities on Supply Chain Integration : In the Case of Import-Exporter of General Items Located in Addis Ababa
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Date
2024-06
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Addis Ababa University
Abstract
The study has been conducted with the aim of investigating the effect of informationtechnology capabilities (data consistency, cross functional application and supply chain
applications) on supply chain integration (internal, customer and supplier integrations).The study employed an explanatory research design and both quantitative and qualitative
research approaches were utilized. Accordingly, by selecting supply chain manager/officer using purposive sampling form 150 companies that has been selected from 240
companies using simple random sampling, a questionnaire was distributed for those 150managers/officers of import exporter of general items companies 132 were collected with
a response rate of 88%. The data was analyzed using SPSS version 26. Pearson'scorrelation matrix was used to show the relationship between the dependent and the
independent variables. It was proven that there was a positive and significant correlationbetween the independent and dependent variables. The researcher also employed
multiple regression analysis method to analyze the effect of information technologycapability variables on supply chain integration variables. The Empirical findings of the
study showed that all information technology capability indicators (data consistency,cross functional application and supply chain applications) have a positive and
significant effect on supply chain integration (internal, customer and supplierintegrations) based on the above findings it is better to improve the Integrative inventory
management, data integration, ERP, Real-time searching of logistics-related operatingdata and Real-time integration and connection among internal functions of the supply
chain, Supply chain planning applications, transaction applications, real- time supplychain and customer relationship management applications with internal applications of
the organization.
Key words: Information technology capability, data consistency, cross functional application,supply chain application, supply chain integration, internal integration, customer integration,
supplier integration