Supply chain management practices and organisational performance in the manufacturing sector in Zimbabwe.

Abstract

Supply chain management practice in Zimbabwe is still in the infancy stages, hence the Zimbabwean food processing industry is faced with problems which impede the firms’ determination to grow fast and compete in the global market, such as insufficient working premises and inadequate link with other sectors. This study was intended to answer some questions related to SCM practices in Zimbabwean food processing firms and their impact on organizational performance. Three objectives were formulated and were focused on assessing the impact of strategic supplier partnership on production efficiency in the manufacturing sector in Zimbabwe, analysing the influence of customer relationship on market performance of manufacturing products in Zimbabwe and evaluating the effect of level of information sharing on product innovation in the manufacturing sector in Zimbabwe Explanatory and descriptive research designs were used to collect data from a sample of 132 respondents in the food processing industry that is, fish and meat processing, grain milling, fruits and vegetables, freezing, dairy and eggs and poultry located in Harare. Semi structured questionnaires were used as research instruments to collect data from respondents applying stratified sampling method. Data was analysed both quantitatively and qualitatively and major findings showed that there is a positive relationship between strategic supplier partnership and production efficiency, strong positive relationship between customer relationship and market performance of manufacturing products and a positive relationship between level of information sharing and product innovation. The study concluded that, involving key suppliers in planning and goal setting activities promotes smooth operations in production and ensures reliable supplies in production and facilitating customer’s ability to seek assistance from firms allows good relations and market performance of manufacturers’ products and guarantee sales. The study further concluded that, informing supply chain partners in advance of changing needs facilitates product improvement and helps in new product development. Based on the conclusions the study recommended that, to boost product innovations, food processing companies should further improve the quality of information sharing performance by improving the timeliness, correctness, completeness, sufficiency, and reliability of the information communicated, companies that produce food should help their staff develop the skills and abilities necessary to adapt to the ever-changing competitive landscape and managers of food processing companies improve the performance of their organizations by creating and enhancing high-quality information sharing