THE EFFECTS OF SUPPLY CHAIN INTEGRATION ON OPERATIONAL PERFORMANCE OF BUSSINSE IN CASE OF RORANK BUSSINS SC

Abstract

This paper makes an assessment on the effects of supply chain integration on the operational performance of the company in the case of Rorank Business SC located in Debre Birhan, a sub- city of Cha Cha. The main objective of this paper is to assess the effects supply chain integration on the operational performance of Rorank Business SC. The study discusses different concepts on supply chain integration of supplier, information, customer and internal integration and operation performance of firms. The study used both descriptive and explanatory research design and to generate the answer for the research question uses purposive simple random sampling technique. To determine the sample size for selecting the respondents the researcher employed a sample size determination formula developed by Yemenis 1967.Accordingly, an aggregate of 166 respondents were selected, and participated in this study and out of these, data were obtained from106 respondents of Rorank business Sc. Both Primary and secondary data types was used and the primary data was collected with the help of questionnaires and personal interviews. The collected data was analyzed by both descriptive by mean and standard deviation and inferential statistics of correlation and regression. In order to examine the relationship between the independent (supplier, information, customer and internal integration) variable and dependent variable (operational performance). Pearson correlations analysis was used. And to see the impact of independent variables on dependent variable regression model developed and tested with ANOVA test, model summery test, coefficients analysis, and collinearity test. And the research got the following findings, the results of the analysis also demonstrated that there is a strong and significant relationship between supply chain integration and operational performance. SCI also has a strong, positive impact on operational performance. Finally based on the finding the recommendations forwarded as follow. Therefore, this study recommends jointly improving four closely interrelated supply chain components (SCs) to improve operational performance.