DILLA UNIVERSITY

COLLEGE OF BUSSINESS AND ECONOMICS

DEPARTMENT OF LOGISTICS AND TRANSPORT MANAGEMENT

TITLE: ASSESSMENTS OF THE FACTORS THAT AFFECT SUPPLY

CHAIN MANAGEMENT PRACTICE (IN CASE OF HAWASSA
MILLENNIUM PEPSI COLA SHARE COMPANY)
BY:
JEMAL TESHOME
ID NO: 8432/17
ADVISOR: ENDRIS A.

A FINAL RESEARCH SUBMITTED TO THE DEPARTMENT OF

LOGISTICS AND TRANSPORT MANAGEMENT AT DILLA
UNIVERSITY COLLEGE OF BUSINESS AND ECONOMICS, IN
PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR (BA)
DEGREE IN LOGISTICS AND TRANSPORT MANAGEMENT.

JANUARY , 2021
DILLA, ETHIOPIA
 DILLA UNIVERSITY
COLLAGE OF BUSINESS AND ECONOMICS
Department of logistics and Transport Management

Title: Assessments of the Factors that Affect Supply Chain Management Practice
(in Case of Hawassa Millennium Pepsi Cola Share Company)

Approved By the Committee of Examiners:

Name Date Signature

___________________________ _________________ _______________

Department Head

___________________________ _________________ _______________

Advisor

___________________________ _________________ _______________

External Examiner
 DECLARATION
I declare that this work entitled Study on impact of cross functional integration to supply chain
performance. I have produced it independently except for the guidance and suggestion of the
research advisor. This study had not been submitted for any degree in this University or any
other University. It is offered for the partial fulfillment of the degree of bachelor of art .

Name: _____________________________

Signature_____________________________

Date of submission: ___________

This paper has been submitted for examination with my appropriate approval as university
advisor.

Name: _____________

Signature:_____________
Date: _____________
 ACKNOWLEDGEMENT
First and for most I would like to give special thanks to the almighty creature of universe,
ALLAH who helped me in every aspect of my life give me health and strength and also I would
like to acknowledge my research advisor Endris A. for encouraging me who made it fruit full.

Secondly I would like to thanks Department of Logistics and Transport Management for
providing me the chance to conduct this study.

Last but not list, I wish to thanks all contributors who provides for their enormous emotional
support throughout my graduate career. Without their words of wisdom and encouragement, this
would not have been possible to accomplish my research paper.

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 ABSTRACT
Supply chain Management has been many components of competitive strategy to improve
organizational productivity and profitability. Firms are starting to be aware the importance of
network practice with links of supply chain. The supply chain management practice was to
facilitate the work within the company fast and with cost effective.

The study had been focused on factors affecting supply chain management practice in case of
Hawassa millennium Pepsi cola Share Company. In order to achieve the supply chain
management practice in effectively and efficiently within the organization are create a strategic
objective by setting clear and realistic goals. The researcher used descriptive research methods.
Simple random sampling method was used to select a sample size of 81employees drawn from the target
population of 417. The relevant data have been gathered from primary and secondary through
questionnaire by using random sampling technique particularly purposive sampling. After the
relevant data analysis tools collected the researcher used quantitative data analysis tools. So,
the findings that the organization assesses the criteria to perform supply chain management
practice and real information exchange within the organization do perform accordingly. As a
result there is a problem related to this activity that the company must give attention.

Finally, after data collected and analyzed the researcher interpreted the data collected from
different respondents and give recommendation and conclusion for the problems observed from
the company.

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 TABLE OF CONTENTS

Contents Pages
ACKNOWLEDGEMENT............................................................................................................................i
ABSTRACT................................................................................................................................................ii
TABLE OF CONTENTS………………………………….…………………..…………………………..iii
LIST OF TABLES......................................................................................................................................v
ACRONYMS.............................................................................................................................................vi
CHAPTER ONE..........................................................................................................................................1
1. INTRODUCTION...................................................................................................................................1
1.1 Background of the study....................................................................................................................1
1.2 Statement of the Problem...................................................................................................................4
1.3 Basic Research Questions..................................................................................................................5
1.4 Objective of the Study.......................................................................................................................5
1.4.1General Objectives.......................................................................................................................5
1.4.2 Specific Objectives.....................................................................................................................5
1.5 Significance of the Study...................................................................................................................6
1.6 Scope of the Study.............................................................................................................................6
1.7 Limitation of the Study......................................................................................................................6
1.8. Definition of Used Term...................................................................................................................7
1.9 Organization of the Study..................................................................................................................7
CHAPTER TWO.........................................................................................................................................8
2. REVIEW OF RELATED LITERATURE...............................................................................................8
2.1 Definition of Supply Chain Management..........................................................................................8
2.2 Supply Chain Integrations and Collaboration....................................................................................9
2.2.1 Supply Chain Integrations...........................................................................................................9
2.3 Importance of Supply Chain Integration..........................................................................................11
2.4 Supply Relationship Management...................................................................................................12
2.5 Designing Customer Relationship Process......................................................................................13
2.6 Selecting Network Design...............................................................................................................14
2.7 Supply Chain Network Structure.....................................................................................................14
2.8 Factors Influencing Supply Chain Network.....................................................................................16
CHAPTER THREE...................................................................................................................................18

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3. Research Design and Methodology.......................................................................................................18
3.1 Research Design..............................................................................................................................18
3.2 Target population, Sampling Techniques and Sample Size.............................................................18
3.3 Sources and Types of Data..............................................................................................................19
3.4 Method of Data collection and Instruments.....................................................................................19
3.5 Method of Data Analysis.................................................................................................................19
CHAPTER FOUR....................................................................................................................................20
4. DATA ANALYSIS AND PRESENTATION........................................................................................20
4.1 The general process of supply chain management practice in the company....................................21
4.3 The appropriate supply chain network practice (SCNP )....................................................................23
4.4 customer satisfaction from supply chain practice............................................................................24
4.5 customers service from supply chain practice..................................................................................26
CHAPTER FIVE.......................................................................................................................................29
5. SUMMARY, CONCLUSION, AND RECOMMENDATION..............................................................29
5.1 summary finding..............................................................................................................................29
5.2 Conclusions.....................................................................................................................................29
5.3 Recommendations...........................................................................................................................30
Reference...................................................................................................................................................31
APPENDIX...............................................................................................................................................32

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 LIST OF TABLES

ACRONYMS
CSC………………..Millennium Pepsi cola share company
EAB………………..East African Bottling Share Company
EDI………………...Electronic Data Interchange
HMPCSC………...…Hawassa millennium Pepsi cola share company
SC……………..……Supply Chain

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SCC……….………...Supply Chain Collaboration
SCI………………….Supply Chain Integration
SCIP…………………Supply Chain Integration Practice
SCM…………...……..Supply Chain Management
SCN…………………Supply Chain Network
SCNP……………….Supply Chain Network Practice
SCP…………………..Supply Chain Practice
SRDM………………..Supply Relationship Data Management

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 CHAPTER ONE
1. INTRODUCTION
This chapter introduces the research by presenting background of the study and demonstrating
the need for the research. An explanation as to why this research has conducted within the
Hawassa Millennium Pepsi Cola Share Company S.C has given. The research objectives and
questions has presented in the context of the conceptual framework and scope. Limitations and
definitions of terms have presented.

1.1 Background of the study

Quesada, Gazo& Sanchez (2012) indicates that supply chain management is applied by
companies across the globe due to its demonstrated results such as delivery time reduction,
improved financial performance, greater customer satisfaction, building trust among suppliers,
and [Link] chain management engaged in activities from raw material resource collection
to manufactured goods, order communication and management, product, ware housing and the
delivery path, and the final customer satisfaction hence firms seek the best way supply chain
practice for the cheapest and cost effective manner. In supply chain practice a networks of supply
chain are many factors obstacles (Hummus and vakurk, 1990).

According to kompstra et al., (2000) changes in the environmental (socio-political changing

demand) are the cause for increasing uncertainty in market place. In order to deal with this
flexibility in supply chain management as developed from the mid. 1960 to the mid 1990 paid
more attention to logistics and purchasing within supply chain channels. Supply chain network
refers to the steps taken to move and store product from suppliers stage to customers stage. It
occurs between every pair of stages overall profitability of a firm because it affect both the
supply chain and customer experience (Chopra et al, 2007).

A few studies has been identify the critical factors that affect SC practice and activities based on
based on previous work by Li (2002), and Quesada and Menses (2010) such as Environmental
uncertainty which is refers to the environmental issues in the product chain (Dwivedi and
Butcher, 2009). In supporting them, Ettlie and Reza (1992) described this as the unexpected
changes of customer, supplier, competitor, and technology. Moreover, Quesada et al, (2012)
reports that supply chain relationships play an important role in achieving the firm’s goals. The

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coordination and integration of activities with suppliers and understanding of customer’s needs
results in greater benefits for companies.

Quesada et al., (2012) argues that company’s relationship with suppliers and their level of trust
and commitment also affects firms supply chain performance. Company environment is also
related to the company’s expectations of quality, on time delivery, competition in the sector, and
the level of rivalry among firms.

Furthermore, Quesada et al, (2012) mentioned that telecommunications and computer technology
allow all the actors in the supply chain to communicate among each other. The use of
information technology allows suppliers, manufacturers, distributors, retailers, and customers to
reduce lead time, paperwork, and other unnecessary activities. It is also mentioned that managers
would experience considerable advantages with its use such as the flow of information in a
coordinated manner, access to information and data interchange, improved customer and supplier
relationships, and inventory management not only at the national level but also internationally
(Hadfield and Nichols, 1999).

Also the advantages would include supply contracts via internet, distribution of strategies,
outsourcing and procurement (Simchi-Levi et al, 2003). All companies are looking for cost and
lead time reductions with the purpose of improving the level of service but also to enhance inter-
organizational relationships (Humphreys et al, 2001).

Turner (1993) mentions that without the use of information systems, companies cannot handle
costs, offer superior customer service and lead in logistics performance. Additionally, he
indicates that firms cannot effectively manage cost, offer high customer service, and become
leaders in supply chain management without the incorporation of top of-the-line information
technologies.

Therefore, rise in complaints by the public, professionals, customers; others stake holders about
the supply chain management performance with in the non-governmental organization.

 Problems of sc company which is related to sc practices are

 Distribution network configuration
 Distribution strategy

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  Trade off in logistical activates
 Information
 Inventory management
 Cash flow

In this regard the research has under taken the study to assess and evaluate the root causes of the
supply chain management practices in Pepsi cola share company since sc management practices
in has not under taken in Hawassa millennium Pepsi cola company for a long time, this study
helps presently to fill the gap related to the company sc management practices Pepsi cola
companies ,product quality customer satisfaction ,supplier relationship and information
technologies are seen by the researcher.

 Merit and demerit effects of those factors on sc practices on your case area
 Merits of factors on sc practices are
 Information technology
 Supply chain relationship
 Value added process (manufacture)
 Business performance
 Customer satisfaction
 Demerit of factor on sc practices are
 Environmental uncertainty
 Government support
 Company environment
 Uncertainty aspects from overseas
 The possible solution of those factor on sc practices are
 quality customer services
 costing
 risk management
 supply relation ship
 qualified personnel and
 fast changing markets

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Therefore, the researcher would focus on supply chain management practice, and also
investigating the overall supply chain process. The reasons that the overall supply chain assess
the factors affecting the supply chain practice in the organization.

1.2 Statement of the Problem

The organization which has recognized opportunity wants to develop and use the existence of
supply chain management based on speed, flexibility, innovation, quality and responsiveness in
improving customer services and productivity. In current business world supply chain does not
lies with an individual company. Conversely supply chain would not be managed separately. So,
firms are required to combine along with others supply chain networks partners in a way that
enables them to be mutually benefited and enhance customers service (Kim 2006).

Ambe (2009) indicates that supply chain management efficiency and effectiveness has profound
implications on any organization’s ability to meet its customer’s demands, its reputation, and its
overall financial success. On the other hand, Feldman (2003) argues that supply chain
management inefficiency presents the single biggest opportunity for operational inefficiencies in
any organization.

Supply chain management is applied by companies across the globe due to its demonstrated
results such as delivery time reduction, improved financial performance, greater customer
satisfaction, building trust among suppliers, and others. According to Ronnqvist and Weintraub
(2008), companies resort to supply chain practices to improve their performance. Recently, firms
particularly aid firms have become increasingly interested in how Supply chain and their
stakeholders impact on the organizational strategy (Walker and Wendy, 2006).

Vollman et al, (2005); Ngoto&Kagiri (2016) reports that successful implementation of SCM is
seen as closely dependent upon the need for breaking down barriers not only between internal
departments and business processes, but also across companies within the whole supply chain.
Its success is also associated with the challenging development of a new culture based on
empowerment on-going shared learning and continuous improvement.

Agus, Makhbul and Hassan (2015) demonstrate that supply chain management (SCM) involves
challenges such as developing trust and collaboration among supply chain partners. In response,

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Robinson & Malhotra (2005) argues that supply chain management (SCM) identifying best
practices that can facilitate supply chain process alignment and integration, and successfully
implementing the latest collaborative information systems that drive efficiencies, performance,
and quality throughout the supply chain.

The supply chain management practice mostly provided the “bull whip” effect exist in the stages
of supply chain, if they would responded to market demanded and customer service the above
problems occurred due to the shortage of raw materials, bottleneck, between the stages of supply
chain in adequate channels members, fulfilment of their division purpose instead of organization
purpose and break down of machineries. By exploring current practice in supply chain practice
insight way gain in to the development of success full supply chain management practice and the
issue that may present them from reaching their potential in delivering benefits to all partners
(Simatugang & Sridharan 2007). Therefore, this study would focus to assess the factors that
affecting supply chain management practices in Millennium Pepsi Cola Share Company.

1.3 Basic Research Questions

This study would be try to address the following research questions
1. How supply chain integration and collaboration affects supply chain management practice
of the company?
2. Does the organization supply chain network practice affects the company's supply chain
practice?
3. To what extent customers satisfied by organization’s supply chain management practice?
4. What is the relation between organization and its customers as well as suppliers?

1.4 Objective of the Study

1.4.1General Objectives
The general objective of the study would be to assess the factors that affect supply chain
management practice in case of millennium Pepsi Cola Company.

1.4.2 Specific Objectives

Specifically, the study would be aim to achieves the following objectives
 To assess how supply chain integration and collaboration affects supply chain
management practice of the company.

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  To understand the supply chain network practices of the company.
 To investigate customers satisfaction by organization’s supply chain management.
 To examine the interaction of the company with its customers and suppliers.

1.5 Significance of the Study

This paper would have much significance for the organization, for the researcher-s, for the
societies, as well as for other person who wants to conduct the research.

For the organization: If this research paper would be submitted to the organization it would
help the company to know its weakness and strength with regarding to supply chain practice and
to take the corrective measure on the side of their weaknesses. Especially, for the manager of the
company would be help as active to show the problems.

For the societies: If the paper would be published it can provide the customers or the societies
about full information of the company swot analysis and their production as a result this can
create long term relation of the company which result in high satisfaction of customer
requirements.
For Future Studies: The research would be used as a reference for other persons who want to
conduct the research on similar topic for his/her further study.

1.6 Scope of the Study

Due to time limit, inaccessibility, difficulty in manageability and the researcher is interested, this
research conducted in south nation nationalities and peoples of Ethiopia in sidama zone Hawassa
city at Millennium Pepsi Cola S.C. This makes things easier to collect information required for
this research from Hawassa Millennium [Link] is possible to cover all of them, the
results gained from the study could have made the study more complete as a result, the
conclusions that would be derived from this study might not necessarily be the real reflection of
the situation in the country’s another Pepsi S.C

1.7 Limitation of the Study

 The researcher would face many problems in undertaking this study
 The first one is a lack of relevant and well documented data as well as reference material
in the study area

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  Lack of sufficient finance for conduct the study
 Lack of researcher experience and internet access
 Lack of computer centre for typing and editing the manuscript which make the final stage
of the preparation of the paper very difficult.

1.8. Definition of Used Term

Supply chain management: engaged in activities from raw material resource collection to
manufactured goods, order communication and management, product, ware housing and the
delivery path, and the final customer satisfaction hence firms seek the best way supply chain
practice for the cheapest and cost effective manner. In supply chain practice a networks of supply
chain are many factors obstacles (Ummus and vakurk, 1990).

Supply chain integrations: Ayers, (2006) defines supply chain integration as having three
common components in common (information, organizational linkage, coordination).

Integrations: Define integration as the process integrating or building together different groups,
functions, or organizations either formally or informally physically or by information
technology, to work jointly and often concurrently on common business related assignment or
purpose (Robert b. Hand field etal, 2011).

1.9 Organization of the Study

The study would be organized in to five chapters. The first chapter deal with background of the
study background of the organization, statement of the problem, objective of the study,
significance of the study, delimitation of the study, and limitation of the study. The second
chapter would be elaborate review of related literature. The third chapter would be about
research methodology and design. The fourth chapter would be deal with table and analysis. The
fifth and the last chapter would be deals about recommendation, summary and conclusion.

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 CHAPTER TWO
2. REVIEW OF RELATED LITERATURE

2.1 Definition of Supply Chain Management

Different scholars defined the supply chain management in different ways. Among that dace and
stank (2005) defined supply chain management according to the council supply chain
management professionals formally the council of logistics management as follow as “supply
management encompasses the planning and management of all activities involved in souring and
Procurement, conservation and logistics management activities.

Supply chain management involves many organizations in the integration of raw material the
transformation of goods and services and delivery of final product to customer in order to
support all section of the organizations to create an efficiency supply chain channels. Supply
chain management is defined as “all the activities involving in delivering a product from raw
materials and parts manufacturing and assembly, were house and inventory tracking order
management distribution across all channels delivering to the customers and the information
system necessary to monitor all of the activities (i, hummus and vokurks 1999).

A supply chain management is a network consisting of suppliers manufacturing, distributors,

retailers and customers. The network supports three types of flows that require careful planning
and close coordination.
 Material flows: Which represent physical product flow from suppliers to customers’
well reveres flow for product returns, servicing and recycling.
 Information flow: This represents order transformation and order tracking and which
coordinate the physical flows.
 Financial flows: Which represent credit terms, payment schedules and consignments
arrangements. The network in turn is supported by three pillars; process, organizational
structure and enabling technologies (fisher, 1997).

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2.2 Supply Chain Integrations and Collaboration
2.2.1 Supply Chain Integrations
The term of often heard in the popular press, is in many cases not well defined. In this text, we
define integration as the process integrating or building together different groups, functions, or
organizations either formally or informally physically or by information technology, to work
jointly and often concurrently on common business related assignment or purpose. It is not
surprise that “two heads are better than one” when it comes to developing creative strategy or
solving problem but many enterprise do not apply the idea of bringing together people with
different point of view to develop supply chain strategy or solve common problems (robert b.
Hand field etal, 2011).

(James b. Ayers, 2006) noted for his supply chain, defines supply chain integration as having
three common components in common (information, organizational linkage, coordination).
Saddler (2004) summed up the many definition of sic by various authors and researchers as ‘the
task of integrating organizational units alone a supply chain and coordinating materials,
information and financial flows in order to fulfill ultimate customer demands with aim of
improving competitiveness of supply chain as a whole’. The upstream parties, as being described
by hand field and Nicholas (1999) consists of an organizations function, process and networks of
suppliers while the downstream function on the other hand concerns the distribution channels,
process and functions where the product passes through to the end users or customers.

Integration is an externally major action with supply chain management (belles et al 2004)
normally the integration is a <<vertical line>> in the supply chain channels to link supplier to
customers vertical integration may also facilitate stabilization of production quality or quantity
and management process flow of costly or risk technology, promoting a more efficient,
standardized and high volume output. The output is the form the efficient supply chain operation
reflects in the supply chain integration flows (stone bracer and liao, 2004).

A. Supply Chain Integration Practice

Supply chain integration practice has defined as a set of activities under taken in organization to
promote effective integration of its supply chain.(tan et el, 2002) identifies six aspects of scipt
through factor analysis. Sic, information sharing supply chain characteristics, customer service

9
management, and geographical proximity and just in time. In their seminal work, Lawrence and
borsch 19 defined integration as “the quality of the state of collaboration that exists among
departments that are required to achieve unity of effort by the (bowers ox, 2005), have classified
integration in a supply chain context in six different types. Stevens (2011) identified four stages
of supply chain integration, where stage i represents the fragmented operations within the
individual company. Stage ii focused on limited integration between adjustment functions,
example, purchasing and materials control stage iii required the internal truce supply chain
integration including upstream to suppliers and downstream to customer.

Lee (2002) out lines three dimension of supply chain integration i.e. Information integration,
coordination and resource sharing and organizational relationship linkage. Information
integration refers to the sharing of information and knowledge among the members in the supply
chain including sales for casts, production plans.

B. Supply Chain Collaboration

According to simatupang and sridhar an (2002) “ a collaborative supply chain simply means two
or more chain members working together to create a competitive advantage through sharing
information, making joint decision and sharing benefits which result from greater profitability of
satisfying and customer needs than acting alone. The strategy is to focus on the collaborative
partners’ relationship and improvement in supply chain process. Relationship orientation
includes constraints such as trust and power, because most collaborative partners are not
equivalent in terms of bargaining power and, if a partner is to be trusted, that partners cannot
take advantage of a relatively stronger situation or behave opportunistically (sashay, 2003 and
cox, 1999).

Min et el (2005) point out that collaborative processes include information sharing, joint
planning, joint problem solving, joint performance measurement, and the leveraging of resources
and skills. Information sharing becomes a regular norm that encompasses multiple levels across
firms. In addition to this, he seated the integration technologies include electronic data
interchange database, data ware house and data mini techniques, and the internet to illustrate the
collaboration channels.

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 C. The Types of Supply Chain Collaboration
The types of supply chain collaboration, requiring differing degrees of commitment kantar,
(1994) indicated that the creative relationships achieve five types of integration in.
 Strategic integration: This involves continuing contact among the top leaders to discuss
board goals or changes in each company.
 Tactical integration: This brings middle professionals together to develop plans for
specific projects.
 Operational integration: This provides ways for carrying out day to day work.
 Interpersonal integration: This builds a necessary foundation for building and
sustaining the future of relationship.
 Cultural integration: this requires the people involved in re awareness to bring inter –
organizational and interpersonal differences.

2.3 Importance of Supply Chain Integration.

Integration is an extremely major action within the supply chain management normally the
integration is “vertical line” in the supply chain channels the supplies to customers. This is
including all of the partners and operational activities within the whole supply chain
management vertical integration may also facilitate stabilization of product quality or quantity
and management of the processes flow of costly or risky volume output. The output is the value
from the efficient supply chain operation reflects in the supply chain management flow (stone
bracer and liao).

Furthermore, chandler and kumar (2000) said that, it is important to employ across channels
coordination when sharing same of the common resource among different supply chain. The
main job in coordination is to let all of the firms within supply chain channels run very
effectively. This is expecting to a development more competitive ability from the whole supply
chain when the supply chain partners coordinate with each other.

The appropriate distribution network can be used to achieve variety of supply chain regions from
low cost to high responsiveness. In appropriate network can have a significant negative effect in
the profitability of the firm as evident in the failure of much business to customers companies
(bales et al, 2004)?

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2.4 Supply Relationship Management
Supplier relationship management (srm) is a set of principles, processes, templates, and tools that
help companies overhead over the entire supplier relationship lifecycle, srm enables
organizations to effectively : ([Link] [Link]).
 Stratify supplier based on importance and defined relationship expectations.
 Establishes the governance structure and process for internal and supplier.
 Defined formal processes for management involvement in the relationship.
 Clarify internal roles and responsibilities, and required skills.

Supply relationship management is comprised of five key:

1) Supplier stratification: effective srm requires a clear companywide understanding of
which suppliers are the most strategic to the organization and which are less important.
However, in the absence of balanced formal criteria for supplier strategic action,
suppliers on which the organization spends the most are inevitability viewed as the most
important and tend to capture the greatest relationship focus and effort. In addition,
effective stratification requires a set of common definition of how suppliers in strategic
and non – strategic tiers should be managed.

This common set of definitions enables to:

 Optimize resource allocation across a board supplier base.
 Establish and mange relationship expectations by supplier tier, providing a.
 Provide functional and business groups with consistent partnering strategies.
 Provide functional and business groups with a fresh view of their supplier.
 Motivate suppliers to strive for advancement across supplier tiers.
2) governance and organization: once the importance of individuals supplier to the
organizational is established via suppliers stratification, the step is for the organization to
define required to manage the suppliers on a day – to – day basics as well as the roles
involved in table across the organizations typically results in a dramatic ration alizarins of
vender management. Once the team structure with roles and responsibilities is defined,
the next step is to formalize the ongoing governance processes to make supplier
management repeatable, governance practices lays out.
 Schedules, attitude lists, and agendas for key supplier relationship review.

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  Templates for supplier relation review.
 Detailed designs of day-to-day supplier management activities such as contract
management, financial management, and issue resolution.
 Triggers and a selection path for supplier issue resolution.
3) Supplier development: due to increasing supply consolidations a company is overall
performance and efficiency is more and more dependent on the capabilities of its supplier
dramatically reduce costs, introduce new services designed to address the organization
needs, expand their foot print to provide seam less coverage in multiple regions, and
work the organization to stream line joint process.
4) Service level and performance management: effective management of supplier
services levels and performance is a critical element of srm organizations that measures
the supplier impaction business value drivers, hold supplier accountable for poor
performance and provide incentives for outstanding performance, benefit by:
 Enabling continuous improvement in supply performance and efficiency.
 Providing improved visibility and documentation to supplier performance.
 Added to the organization.
5) Effective performance management: the resulting relationship agreement elements
must be captured and presented in an integrated fashion. This is typically accomplished
by creating a ‘performance map’’ that outlines what the supplier is truly accountable for,
what specific steps must occur as consequences of the suppliers non-perform.

2.5 Designing Customer Relationship Process

The customer’s relationship process addresses the interface between firms and its customer
downstream in the supply chain. The purpose of the customer relationship process is to identify,
attract, and build relationship with customers and facilitate transmission and tracking of order
(copra et al, 2004).

Key nested process includes:

Marketing process: focuses on such issue as deterring the customers to target, how to target
them, what service, or product to offer and how to manage promotional campaigns.

13
  Order placement process: involves the activates required to execute a sale register the
specific of the order request, confirm the acceptance of the order and track visits
prospective and current customer to encourage a sale.
 Cost reduction: using the internet can reduce cost of processing orders because it allows
for greater participation by customers.
 Revenue flow increase: the firm webpage can allow to inter credit card information or
purchase order number as part of the order placement process.
 Global assess: another advantage of the order placement process.
 Pricing flexibility: firms with their service and products posted on the web can easily
changes as the need arises thereby avoiding the cost and publishing new catalogue.

2.6 Selecting Network Design

A network designer needs to consider product characteristic as well as network requirement
when designing on the appropriate delivery network. Only which companies would end up using
a single distribution network. Most companies are best serves by combination of delivery
network. The combination used would depend on product characteristic of the product or the nee.
Fast moving and emergence items are stoked locally and customers can either pick them up or
have them shipped on the urgency (copra et al, 2004).

2.7 Supply Chain Network Structure

One key element of managing the supply chain is to have an explicit knowledge and
understanding of how the supply chain network structure is configured. The three primary
structural of a company’s network structure are:
A. The members of supply chain.
B. The creature dimensions of the network and.
C. The different type presses link’s caress the supply chain.

I. Identifying Supply Chain Management

When determining the network structure it is necessary to identify who the members of the
supply chain are including all types of members may cause the total network to became highly
complex since it may explore and manage all process links with all members across supply chain
would, in most case be counterproductive, if not impossible. The key is to sort out some basis for

14
determining which members are critical to the success of the company and thus should be
allocated managerial attention and resources.
The members of supply chain include all companies or organization with whom the focal
companies interact Hawassa city or through its supplier or customer from point of origin to point
of consumption. However to make every complex network more manageable it seems
appropriate to distinguish between primary and supportive members primary members of supply
chain are all these autonomous company or strategic business unit who actually perform
operation or managerial activities in the business process designed to produces specific output
for particular customer or market. In contrast, the supporting members of supply chain are
companies that simply provide resource know ledge, utility asset, for the primary members of the
supply chain. The same company both perform primary and supportive activities likewise the
same company can per farm activities related to one process and supporting activates related to
another process. (chopra et al, 2004).

II. The Structural Dimension of Network

Three structural dimension of network are essential when describing, managing the supply chain.
The horizontal structures, the vertical structures, and horizontal position of the focal company
are within the end point of supply chain. A company can have a narrow vertical structure with
little company at each tire level or a wide vertical structure with many supplies or customers at
each tire level. The third structural dimension is the company can be positioned at or near the
initial source of supply at near to the ultimate customer or some which are between these end
points of the supply chain.

III. Types of Business Process Links

Integrated and managing all business process links throughout entry supply chain is as well as
not appropriate. Since, the drivers for integration are situational and therefore different process
link to process links. The integration also would vary from to link and over time. As a
consequence, curtail task is to allocate scare the supply chain four fundamentally different types
of business process links can be identified between members of supply chain.
These are:

15
  Managing process link: are links that focal company finds important to integrate and
manage. This might be in collaboration with other members of companies of supply
chain.
 Monitoring process link: compared to managed process link, monitored process link are
not as critical to the focal company. However, it is important to the focal company that
process links be integrated and managed these appropriately between the other members
of the company.
 Not managed process link: are links in which the focal company is not activity involved
nor are they critical enough to use resource for monitoring in other words, the focal
company either fully trust the other members to manage the process link appropriately or
because of limited resource leaved it up to them.

2.8 Factors Influencing Supply Chain Network

At the highest level performance of supply chain network should be evaluated along two
dimensions.
These are:
1) Customers need that are met.
2) Cost of customers’ needs meeting.
Also customer’s services consist of many components; use focus on these measures that are
influenced by the structure of the dimensional network. These include; responsive time, product
variety, product availability, customer’s experience, time to markets, order visibility, and return
ability.

 Responsive Time
Is the length of time it takes for a customer to receive and order? In selling physical products that
cannot down loaded, an e-business without a physical retail out let takes longer to fulfill a
customer request than a retail store because of the shipping time involved. Thus customers who
requires a short responsive time may not use internet to order product. There is no such delay,
however, for products that can be down loaded. Going on line may offer a time advantage in
many cases. For example, a mutual fund prophets us or music can be production or even making
a trip to a music can be production or even making a trip to a music store takes much longer
(copra et al 2004).

16
  Product Variety

In the member of different product or configuration that offered by the distribution network. An
e-business finds it easier to offer a large selection than a bricks and mortars store. For example,
[Link] offers a much larger selection of books than typical bookstore. Offering the same
selection at retail store would require a huge location with a corresponding large amount of
inventory (copra et al 2004).

 Product Availability
Is this probability of having a product in stock when customer’s orders arrive? An a business can
greatly increases the speed with which information on customers the speed with which
information on customers demand is disseminated through the supply chain giving, rise to more
accurate forecast these improved for castes and the more accurate view of customers demand
leads to a better much between supply and demand. On the inventory they do not. An e-business
also allows for aggregation of inventory that improved product availability (copra et al 2004).

 Customer Experience
Is the easy winch customers can place and receive order as well as the extent to which this
experience is customized? An e-business affects customers experience in terms of across
customization and convenience. Unlike most retail store that is open during hours, an e-business
allows access to customers who may not be able to place orders during regular business hours
(copra et al 2004).

 Time To Market
Is the time it takes to bring a new product to the market? A firm can use e-business to introduce
new products much more quickly than a firm that use physical channels. A firm that sells
personal computer through physical channels must produce enough units to stock the shelves at
its distribution and retailers before it start to see revenue from the product. An e-business in
contrast, introduces a new product by making it available on the website distribution log if the
physical channels are not present (copra et al 2004).

17
 CHAPTER THREE
3. RESEARCH DESIGN AND METHODOLOGY

3.1 Research Design

The researcher used descriptive type of research which helps to use quantitative data analysis.
This descriptive research helps to describe information at it occurs and it helps that to explain the
studies in terms of the condition and also it is suitable for the availability of secondary data
information sources. The intention of the paper would simply to describe the factors that affect
supply chain management practice.

The study would have conducted in Hawassa millennium Pepsi cola share company which found
in SNNP of Ethiopia in Hawassa city that found about 285 km far away from the capital of
Ethiopia Addis Ababa.

3.2 Target population, Sampling Techniques and Sample Size

Since collecting data from all employees of the organization would be difficult for it has cost and
unmanageable in the given short period of time, for the reason to avoid this problem 81
employees would be selected from 417 total populations of different department of the
organization by using random sampling techniques. The researcher selected 29 respondents from
production department, 27 from marketing department, 12 from purchasing department, and 13
from store department to collect more accurate source of data from each department of the
company. Researcher has used random sampling technique; because this type of sampling
techniques has essential for researcher would select any that may fit to the questions and
researcher asked employees who is to get information from experienced employees of
organization.

In addition, this method is simple and easy, low cost, convenient to use, less time consuming and
as good as probability sampling.
N
n= 2
1+ N (e)

Where
n= represent the sample size,

18
N= is the population size, and

e= is the level of precision or sampling error = (0.01)

417 417 417 417

n= = = =
1+ 417 ¿ ¿ 1+ 417(0.01) 1+ 4.17 5.17

n=80.6576402321 approximately 81
Hence, the total sample size is 81

3.3 Sources and Types of Data

The study has conducted based on the descriptive research technique to describe they received
from Hawassa Millennium Pepsi Cola Share company. The primary data is collected using close
end questionnaire from both management and non-management employees of the all the four
departments of the company in order together pertinent information. Secondary data is collected
from literatures and both published materials (books, journals, articles, proceedings, company
working papers, broachers‟ policy documents, activity reports, etc.) and unpublished materials to
supplement the primary data(questionnaires’,, interview, and observation).

3.4 Method of Data collection and Instruments

Data collection is the process of gathering data and information to address questions of paper. In
order to conduct qualified research the primary data would be collected. Accordingly, the
researcher would use questionnaire. The researcher choose questionnaire due to its simplicity
and clear to analyses.

3.5 Method of Data Analysis

This study used quantitative method of data analysis numerically using tables through frequency
and percentage. The researcher chooses quantitative data analysis because quantitative data
analysis provides precise numerical information in consistent and reproducible ways. It also
allows comparison of scale of developments in various circumstances. Quantitative data analysis
is used in order to discover inherent facts to explore new facts and relatively quick and easy to
understand by users of the study.

19
 CHAPTER FOUR
4. DATA ANALYSIS AND PRESENTATION
The data were collected from Hawassa millennium Pepsi cola Share Company (S.C.) by the use
of questionnaire. Questionnaire data were analyzed in descriptive statistics by using judgmental
sampling technique.

Table 1 characteristic of respondents

No Items Alternatives Respondents
Frequency Percentage (%)
1. Sex Male 54 66.667%
Female 36 33.33%
Total 81 100%
2. Age 18-25 14 17.28%
26-30 27 33.33%
31-36 14 17.28%
36-41 18 22.22%
Above 41 8 0.987%
Total 81 100%
3. Education levels Certificate 18 22.22%
Diploma 23 28.395%
Degree 31 38.27%
Master and above 9 1.11%
Total 81 100%
4. Work experience 1-5 18 22.22%
6-8 27 33.33%
>9 36 44.44%
Total 81 100%
Source: questionnaires (2020)

Sex: table 1 above presented the sex categories of the respondents from total number of
respondents 54(66.67%) respondents are male and 36(33.33%) respondents are female from the
table the researcher analysis that the number of male employees of the company is greater than
the number of female employee.

Age: the table 1 above presented that the different age groups of respondents working in the
factory. From total respondents 14(17.28%) covers whose age groups is from 18 – 25,

20
27(33.33%) covers age groups between 26-30, 14(17.28%) covers age groups between 31-36,
18(22.22%) covers who age group between 36-41 and 8(0.987%) covered by age group 41 and
above. From this the researcher concluded that most of the organizations employees were found
within the productive age group that means the age group between 26-36 which is 72.83%. Age
has its own implication in the working environment which means the employers those who are
age between 18-25 and 41 and above are not punctual to their work on the other side an
employer those who are all most between 26-41 ages are punctual to their work.

Educational background: as depicted table 1 18(22.22%) of respondents were certificate and

23(28.395%), 31(38.27%), 9(1.11) % were diploma, degree and master and above respectively

Work experience: as depicted in the table 1 above the largest portion of respondents
36(44.44%) indicated that they had been working in the organization for more than 9 and above
the remaining 27(33.33%) and 18(22.22%) were 6-8 and under 1-5 year work experience
respectively.

4.1 The general process of supply chain management practice in the company
The aim of every scmp is to minimize system wide costs while satisfying customer service level
requirements. Indeed, it is a customer oriented process for integrating business planning and
balancing supply and demand across the entire value chain system.

Table 2 the general process of supply chain management practice in the company
No Questions Responses
Excellent V-good Good Poor
1. How do you see the organization with the recognition 0 18 36 27
of the factors that affects the company’s' supply chain
management practice?
Percentage (%) - 22.22 44.44 33.33
2. How do you observe the supply chain integration of 5 5 27 44
the company?
Percentage (%) 6.17 6.17 33.33 54.32
3. How do you observe the supply chain collaboration of 0 5 27 49
the company?

21
 Percentage (%) - 6.17 33.33 60.49
4. How do you consider the overall supply chain 9 18 22 32
management practice in your organization?
Percentage (%) 11.11 22.22 27.16 39.51
Source: questionnaires (2020)

The above table 2 shows that the companies supply chain management practices. 18(22.22%) of
the respondents replied that as there is very good recognition of factors affects supply chain
practices in the company 36(44.44%) of respondents reply that there is good recognition for the
factors affects scmp, and 27(33.33%) respondents reply that there is no or poor recognition for
the factors that affects scmp. From the question on the above table the researcher concluded that
as there are no efficient recognitions of the factors affect the scmp of the company.

From question 2 of the above table which indicates the phase of the company’s' sci. 5(6.17%) of
the respondents reply that there is excellent sci in the company, 5(6.17%) of the respondents
reply that there is very good sci in the company, 27(33.33%) of respondents reply there is good
sci and 44(54.32%) of the respondents reply that there is poor sci in the company. Therefore, the
researcher concluded that as there is no or poor supply chain integration in the company.

Question 3 of the above table 2 indicates the supply chain collaboration 5(6.17%) of respondents
replied that there is very good supply chain collaboration in the company, 27(33.33%) of
respondents reply that there is good supply chain collaboration and the remaining 49(60.49%) of
the respondents reply that there is poor supply chain collaboration from the table the researcher
concluded that the company’s supply chain collaboration was poor.

Question 4 of the above table which indicates the overall supply chain management practice
(scmp) of the organization 9(11.11%) of respondents replied that the company’s' overall supply
chain management practice was excellent, 18(22.22%) of respondents reply that there is good
overall supply chain management practice, 22(27.16%) of the respondents reply that there is
good overall scmp in the company and the remaining, 32(39.51%) of the respondents reply that
there is poor overall scmp in the company. Therefore, the researcher concluded that there is poor
overall supply chain management practice.

22
4.3 The appropriate supply chain network practice (SCNP)
The information’s that the organization flow with each other supply chain network in their
effective and efficient performance work were very important. The recent work of (bowers ox et
al, 2020) shows that the company should investigate the critical factor before selecting the
network.

Table 3 the appropriate supply chain network practice

No Questions Responses
Strongly Agree Moderate Disagree Strongly
agree Good disagree
1. The organizations have continuous 0 0 9 27 45
process information sharing with each
supply chain network?
Percentage (%) - - 11.11 33.33 55.56
2. The supply chain network practice of 0 9 4 27 41
the organization satisfies the employees
and the customer?
Percentage (%) - 11.11 4.94 33.33 50.62
3. The supply chain network practice can 0 4 5 22 50
visible to all employees and customers
of the organization?
Percentage (%) - 4.94 6.17 27.16 61.73
4. The supply chain management practices 5 4 18 18 36
of the company can be easily changed
with the expansion of the company?
Percentage (%) 6.17 4.94 22.22 22.22 44.44
Source: questionnaires (2020)

As depicted from the table 3 above four items used to measure the respondents response on the
supply chain network practice 9(11.11%) of the respondents are moderately agree that the
company have continuous process information sharing with each supply chain network,
27(33.33%) of respondents disagree with the statements and the remaining 45(55.56%) of the
respondents are strongly disagree with the statement. Therefore, it can be understood that the
company have no continuous process information sharing with each supply chain network.

From question 2 of table 3 above 9(11.11%) of respondents are agree with the statement,
4(4.94%) of respondents are moderately agree that the companies supply chain network practice
(sncp) of satisfies the employees and the customers, 22(33.33%) of respondents are disagree with
the statement and 41(50.62%) of respondents are strongly disagree with the statement. Therefore,

23
the researcher concluded that the supply chain network practice of the organization do not
satisfies the employees and the customers as needed.

Question 3, above shows the visibility of supply chain network practice to all employees and
customers of the organization 4(4.94%) of respondents are agree that the supply chain network
practice the company’s is visible to all employees and customers of the organization, 5(6.17%)
respondent is moderately agree with the statement on the question 3 of the above table,
22(27.16%) of respondents are disagree with the statement, and 50(61.73%) of the respondents
are strongly disagree with the statement which shows that the greatest percentage of the
respondents. From this it can understand that the supply chain network practice of the company
is not visible to almost all employees and customers of the company.

Question 4 of table 3 above indicates that the supply chain management practices of the
company can be easily changed with the expansion of the company. 5(6.17%) of respondent
replied that as strongly agree with the statement, 4(4.94%) of respondent also agree with
statement, 18(22.22%) of respondents are moderately agree with the statement, 18(22.22%) of
respondents also disagree with the statement and lastly, 36(44.44%) of respondents are strongly
disagree with the statements. Therefore the researcher concluded that as the supply chain
management practices of the company is difficult to be changed with the expansion of the
company.

4.4 customer satisfaction from supply chain practice

Customer satisfaction means, meeting fulfilling the customer wants and needs. Customer are
satisfied when the product or service the organization provide is based on product availability,
variety, quick response or short lead time and quick return ability (bower socks et al 2007). So,
satisfying the customer needs and wants are not an easy task. Considering the customer
satisfaction, the organization evaluates the logistical cost including warehouse, transportation
and human resource management costs is effective and efficient way of one the organization.

Table 4 customer satisfaction from supply chain practice

Questions Responses
No Strongly Agree Moderate Disagree Strongly
agree disagree
1. Customers returned unsatisfactory 9 5 14 31 22

24
 product within a short period of time?
Percentage (%) 11.11% 6.17% 17.28% 38.27% 27.16%
2. The returned product replaced? 36 27 18 0 0
Percentage (%) 44.44% 33.33% 22.22% 0% 0%
3. The organization provides the 0 14 36 22 9
product to the customer with the right
quality?
Percentage (%) 0% 17.28% 44.44% 27.16% 11.11%
4. The supply chain management practices 22 31 14 9 5
of the company can be easily changed
with the expansion of the company?
Percentage (%) 27.16% 38.27% 17.28% 11.11% 6.17%
Source: questionnaires (2020)

The above table 4 shows the customer satisfaction from supply chain management practice.
Accordingly 29(11.11%), 5(6.17%), 14(17.28%), 31(38.27%), 22(27.16%) of the respondents
reply that customers returned unsatisfactory product within a short period of time is strongly
agree, agree, disagree, moderately agree, disagree, and strongly disagree respectively from the
table it can concluded that the greater percentage of the respondents are disagree with the
statement.

Question 2 of the above table shows the returned product replaced easily. 36(44.44%) of
respondents are strongly agree with the statement, 27(33.33%) of respondents are agree with the
statement and the remaining 18(22.22%) of respondents are moderately agree with the statement
that the returned product replaced easily. Therefore, the researcher concluded that the returned
product could easily replace.

Question 3 of the table 4 shows the organization applies mass production based on customer
request 14(17.28%) of respondents are agree with the statements, 36(44.44%) of respondents are
moderately agree with the statement, 22(27.16%) of respondents are disagree with statements
and the remaining 9(11.11%) of respondents are strongly disagree. Therefore it can be concluded
that the organization somewhat applies mass production based on customer request.

Question 4 of the table shows the organization provides the product to the customer with the
right quality 22(27.16%) of respondents are strongly agree with the above statement, 31(38.27%)
of respondents are agree with statement, 14(17.28%), 9(11.11%), 5(6.17%) of respondents are

25
respond moderately, disagree and strongly disagree respectively, therefore this indicate that the
organization provides the product to the customer with right quality

4.5 customers service from supply chain practice

According to lambert and sterling (1994), customer service can be viewed as, a process that takes
place between buyers, sellers, and third parties the elements of basic customer services were
identified as product availability, variety, customer experience, responsiveness to market, return
ability and order visibility (which is reflected, profit for customers, the existence of requirement
product, the uniqueness of product, the time requirements between order place the customer easy
the count act with their supplier, the fair and visible exchange commodity and ability return the
defected material shortly) suggested by (chopra et al 2004)

(Kenneth 2002, christ hoofer, 1998, eyeing 2009 and russell, 2006) in the same manner
conceptual frame work of this study has tried to depicted effect of network designed supply
chain practice on customer service.

Table 5 customer’s service from supply chain practice

No Question Low Medium High
1 How you see the relation of your company with 13 23 45
its customers?
Percentage (%) 16.05 % 28.4% 55.56%
2 How you observe the relationship between your 0 27 54
organization and its other distribution center?
Percentage (%) 0% 33.33% 66.67%
3 What is the effort of the organization in order to 9 32 40
satisfy the needs and wants of its customers?
Percentage (%) 11.11% 38.51% 49.38%

26
4 What do you think the lead time of your 50 18 13
company meet customers’ needs and wants?
Percentage (%) 61.72% 22.22% 16.05%
5 How you get the relation of your company with 0 23 58
its raw material suppliers?
Percentage (%) 0% 28.4% 71.6%
Source: questionnaires (2020)

According to the above table 5 of question one 16(16.05%) of respondents replied that the
relation of the company with its customers was low, 23(28.4%) of respondents reply that there is
medium level of relation between the company and the customers of the company 45(55.56%)
replies that there is high level relation of the company with its customers based on the above
table the majority of respondents replied that, the company has high relation with its customers.

According to the table above 5 question two 27(33.33%) of respondents replied that the
relationship between the organization and its other distribution center was medium and the
remaining 54(66.67%) of respondents replies that there is high interrelationship between the
organization and its other distribution center. Based on the data given on the above table the
researcher concluded that the majority of respondents replied that there is high interrelationship
between the organization and its other distribution center.

From the above table 5 question three 9(11.11%) of the respondents replied that the effort of the
organization to satisfy customer needs and wants was low, 32(38.51%) of respondents says that
the effort of the organization to satisfy customer needs and wants was medium and the remaining
40(49.38%) of respondents replies that the company have high effort to satisfy customer needs
and wants.

From above table, question four 50(61.72%) of the respondents replied that the company meet
customer needs and wants within low or short period of time, 18(22.22%) of respondents reply
that the company lead time to meet customer needs and wants was medium, 13(16.05%) of
respondents reply there is high lead time to the company to meet customer needs and wants. As
indicated in the above table the majority of respondents replied that there is short lead time to the
company to meet customers’ needs and wants.

27
According to the table above 5 question five 23(27.78%) of respondents says that there is
medium relation of the company with its raw material suppliers, 58(72.22%) respondents.

CHAPTER FIVE
5. SUMMARY, CONCLUSION, AND RECOMMENDATION
5.1 summary finding
The purpose of the research was investigating the effective supply chain management practice
(scmp) with regard to hawassa millennium pepsi cola share company(hmpcsc).in this study, it
was necessary to discuss the effect of supply chain practice(scp) to address the research
objectives as the key point of the study. Based on quantitative data analysis, the discussion
question was related to basic research questionnaire was presented. The following were the
summary of major find of the study. With respect to the general process of scmp of the
organization, the quantitative revealed that the organization scmp process was poor, with respect
to the appropriate supply chain network practice (scnp), which was the core drivers of the

28
organization the analyzed data indicates that the organization application was poor, which result
in poor supply chain collaboration and integration.

In relation to network practice for serving and satisfying the customer, quantitative analysis
convey that the organization has moderate relation with its customer’s satisfaction.

5.2 Conclusions
In conclusion at the start of this research, the aim of this study was to analysis the supply chain
management practice in actual setting. Accordingly, hawassa millennium pepsi cola share
company, orientation of supply chain management practice is little successful. However, the
organization poor of successful supply chain practice; the organization didn't recognize the
factors that affect company scmp, poor supply chain integration and collaboration.

The organization has some reasons regarding to this matter. In the first one, the effective supply
chain practice network does not apply in the organization which enables the overall work
performance and interlink the top manager with the operational level one. In other words, the
lack of this supply chain network practice can affect the organization integrations, customer
service, information sharing, and reliability of customer satisfaction. Secondly, the absence of
boosted demand and strategic demand planning, forecasting and replenishment has significantly
affected the organizations performance in relation to customer service.
Finally, as the organization applies little supply chain practice in the case of organizations
information sharing technology and information systems which are the heart of supply chain
management are not given due attention and organization is poorly performing this regard.

5.3 Recommendations
Based on the findings of the study and the conclusion reached, the following recommendation
made by the researcher:

 It was clearly explained that, the network practices is the key driver of the organization to
successful the supply chain management in accordingly. Hence, the hawassa millennium
pepsi cola share company is recommended that, supply chain practice both internally and
externally for bringing flexible, high responsive, high customer experience and short lead

29
 time. This can be organized through networking the functional units of the organization
with appropriate information sharing and information technology.
 In relation to the general process of supply chain management practices of the
organization the organization recommended that first of all the company must gives
recognitions for the factors affects the company supply chain management practice in
order to have integrated and collaborated supply chain practice to accomplish its
supplying process effectively and efficiently.
 With respect to appropriate supply chain network practice the company recommended
that to have continuous process information sharing and supply chain network practice
that satisfies the employees and the customers which can be visible to all employees and
customers of the company and can be easily changed with expansion of the company.
 In relation to customer satisfaction and customer services the company is somewhat in a
good performance but it isn't satisfactory. Therefore the company recommended to
increases the level of customer satisfaction as well as customer service.

Reference
Ayers, J. b. (2004). handbook of supply chain project management. Lucy press.

BM., B. (1999). Measuring supply chain performance. In International Journal of Operations &
Production Management (pp. 275-325).

Chandra, c. a. (2002). supply chain management in theory and practice . In I. m. system, a passing fad or
a fundamental change (p. 100).

Chopra, Mendel and Karl. (2007). supply chain management, strategy, planning, and operation third
edition.

Dave c.c and stank t.p. (2009). applying the strategy- structure performance paradigms to the supply chain
environment . In The international journal of logistic management.

30
Handfield RB, N. E. (1999). Introduction to Supply Chain Management. New Jersey: Prentice Hall, Inc.

Hazier, j, and render, b. . (1999). principle of operation management 3rd edition . Prentice hall.

I, hummus, r, r and vakurk r.j. (11-20). defining supply chain management’s historical perspective and
practical guideline . In Industry management and data system (p. 1999).

J., B. (29-31). Invalue-added manufacturing, customer calls the shots . Forest Industries.

J., D. (n.d.). Results-Driven Approach to Improving Quality and Productivity. State & Private Forestry
(undated.

Lambert DM, C. M. (2008). Issues in supply chain management. Industrial Marketing.

Li, x and wang, q. (2007). Coordination mechanism of supply chain systems. European journal research .

Robinson and amphora. (2005). strategic supply chain management and implementation of supply chain,
2nded . New York.

APPENDIX
DILLA UNIVERSITY
COLLEGE OF BUSINESS AND ECONOMICS
Department of Logistics and Transport Management

Questionnaire filled customers:

Dear respondent:
I am a graduating class student of Dilla University. I am carrying out research entitled to
“assessment of the factors that affect supply chain management performance practice” in partial
fulfillment of acquiring BA degree in Logistics and Transport Management. The objective of the
questionnaires is to gather information which help me to analysis the assessment of the factor

31
that affect supply chain management practice in case of Hawassa millennium Pepsi cola share
company (s.c).

General instruction:
Please put this ( ) emblem on the space provided to indicate your answer. Be free Obey to your
inner feeling while filling the questionnaire, no need of writing name and try to jump questions
or attempt all questions.

Part I.
Personal information
1. Sex: male female

2. Age: 18-25 26-30 31-36 36-40 41 and above

3. qualification: certificate diploma degree master and above

4. work experience: 1-5 years 6-8 year 9 and above

Part II
Questionnaires
1. How do you see the organization with the recognition of the factors that affects the
company's Supply chain management practices?
Excellent very good Good poor
2. What do you think about supply chain integration of the company?
Excellent very good good poor
3. How do you observe the supply chain collaboration in the organization?
Excellent very good good poor
4. How do you consider the supply chain management practices in your organization

32
 Excellent very good Good poor
5. The organization has continuous process information sharing with each supply chain stages.
Strongly agree agree moderate disagree
Strongly disagree
6. The supply chain network practices of the company satisfies the employees and the
customers of the company
Strongly agree agree moderate disagree
Strongly disagree
7. The supply chain network practice can visible to all employees and customers of the
organizations.
Strongly agree agree moderate disagree
Strongly disagree
8. The supply chain management practices of the company can be easily changed with the
expansion of the company.
Strongly agree agree moderate disagree
Strongly disagree
9. Customers returned unsatisfactory product within a short period of time.
Strongly agree agree moderate disagree
Strongly disagree
10. The returned product replaced easily.
Strongly agree agree moderate disagree
Strongly disagree
11. The organization applies mass production based on customer request.
Strongly agree agree moderate disagree
Strongly disagree
12. The organization provides the product to the customers with the right quality.
Strongly agree agree moderate disagree
Strongly disagree
13. How you see the organizations relation with its raw material suppliers
Low medium high
14. How you see the relation of your organization with its customers?

33
 Low medium high
15. How you observe the relationship between your organization and its other distribution
center?
Low medium high
16. What is the effort of your organization in order to satisfy the needs and wants of its
customer?
Low medium high
17. What do you think the lead time of your company to meet customer’s needs and wants?
Low medium high

34