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Impact of Supply Chain Management Practices on Supply Chain performance at Coca Cola
The research has the aim to see the impact of Supply chain management practice on Supply chain performance at beverage Sector in Pakistan. The study has done its research on Coca cola and gathered the data from the 130 employees who were working in different departments. The research has used Convenience sampling method (non-probability) for data collection.
1 CHAPTER
1.1 Introduction of the Project:
A reliable and steadfast material flow is the need of every organization. Supply chain management is the key function in all the organizations, which requires ensuring the efficient movement of materials. Supply chain management is a set of methods and tactics that involves the efficient incorporation of manufacturers, traders, dealers and venders (Galaskiewicz, 2011). Usually the process of supplying goods and materials become difficult for the independent organizations as they have to assign the products to the consumers at the end. In supply chain the producers of products and materials, the wholesale assemblers, retailers and companies related to logistics are all involve in supply chain (Lalonde, 1998).
Supply chain management has gain much the attention from researchers as it has become an important area of research. In order to examine their different effects on the supply chain performance for development of SMC practices, a number of research papers were published (Cook & Heiser, 2011; Flynn at al., 2010; Ibrahim & Ogunyemi, 2012; Li et al., 2004). Supply chain management considers the customer requirements for services, which permits the accessibility of the absolute product at the given time and place with lowest cost. It is indicative of specific alternative in practice of business management (Fantazy, Kumar, & Kumar, 2010). It is most of the most actual methods for firms or organizations to enhance their performance (Yen, 2010).
1.1.1 Supply chain management operations
The complete set of processes involved in companies in order to improve the internal supply chain and efficiency is the main practice of supply chain management. Research suggests that upcoming practices made by SCM involve supplier partnership, cycle time compression, outsourcing continuity of process in flow and utilization of technological information through quality and customer relations. These practices are operations to improve the efficient handling of supply (Handfield, 1998). Furthermore, the supply base management defined as how the companies use the process of manufacturers, skills, and technology to heighten the performance of the task at hand and competitive advantage over other brands and how transportation services, logistics and distribution of goods is maintained with the firms (Lee, 1992)
According to literature, SCM operates on the procedures to combine the manufacturers, distributors and consumers in a better way to enhance the working of the firm on long term basis just as to improve the presentation of inventory network the executives to sort out the plan of action (Chopra, Meindl, 2001). It is suggested that implementation of SCM is to enhance the coordination between upstream manufacturers and customers of down streams which in turn improves customer satisfaction and performance. Previous research suggests the SCM one of the key component of organization’s performance (Wisner, 2005).
Supply chain management can gain a competitive advantage. Maintaining the relationship between logistics, production processes and end users is the main consideration of the supply chain manager. so that the expectation of consumers are achieved at better cost as compared to competitors. In Pakistan, much research has been done on the issue of supply chain management (SCM). The focus of previous researches was the relationship between supply chain practices and performance (Cheng, 2012). However, very few researches have focused on supply chain performance specifically performance metrics (Bhagwat &Milind, 2007).
1.1.2 Rational of the study
The importance of supply chain practices for performance of supply chain systems is of wide importance and supported by literature. But there is a scarcity of research that link the benefits of both management practices for supply and performance, hence the aim of the present study is to support the literature in this area. In numerous developing countries, the supply chain management operations are different as compared to Sudanese manufacturing companies Therefore current study attempts to fill the gap in this area of research by identifying the correlation between management practices of supply on performance of SCM in Beverage sector in Pakistan.
The dimensions of supply chain management practices.
SCM practices could be referred to as the tactics that are used in controlling coordination and incorporation of supply and demand relationships in order to satisfy the needs of customers in a profitable way. In order to find a particular manufacturer absences and to make strategies to tackle them the company sometimes utilize the evaluation of supplier. There are several dimensions and factors recognized by the researchers that can be utilized to measure the supply chain practice for further explanation in the table (see table 1.1)
Table 1.1 Dimensions of Supply Chain management
Authors | Dimensions |
Chin et al. 2011 | This research has identified the following dimensions such as sharing knowledge, relationship with consumer, partnership with manufacturer through strategy, corporate culture, and management of material flow. |
Inda , et al , | Knowledge sharing, client relationship, schematic manufacturer partnership are identified in this study. |
Chowa , et al 1995 | Knowledge exchange between manufacturer and customer, communication, features of supply chain are identified by the author. |
Min & Mentzer. 2004 | In this study seven dimensions of supply practice were recognized i.e. goals and vision, sharing of knowledge, risk and award, integration of process, relationships on long term basis, and insatiable supply chain leadership |
Chen & Paulraj. 2005 | Decreasing supplier base, involvement of dealer for measure, consultation, relationships for longer time, relationship between seller and buyer |
Tan, Lyman and
Wisner, 2002 |
Combination of supply chain, knowledge sharing, geographic area, capability of just in time, management of consumer service. |
Alvarado & Kotzab. 2001 | Utilizing electronic data interface and exclusion of excessive levels of stock by extending the dates of customization to the supply chain end |
Tan , Kannan and
Handfield. 1998 |
The quality of purchase and relations with clients are also part of supply chain practices |
Donlon. 1996 | Outsourcing cycle, partnership with supplier, regular flow of process and knowledge sharing are also included in SCP |
According to literature, supply chain performance can be measured through effectiveness and efficiency as these two are main indicators of supply. the reliability constructs of performance and cost suppression are the key indicators of performance. The in and outbound activities of cost, managing inventory, warehousing and increasing turnover of assets are involved in cost suppression indicator. on the other hand, the indicator of reliability includes fulfilment cost of order, changing inventory, securing stocks, numerous claims of product warranty (Lee, Ik-Whan, & Dennis, 2007).
Supply chain management plays a pivotal role in the success of modern organizations, enabling them to streamline operations, optimize resources, and meet the ever-changing demands of customers. Within the beverage industry, Coca Cola stands as a prominent global leader, managing a vast and intricate supply chain network to ensure the timely production, distribution, and availability of its products worldwide. Understanding the impact of effective supply chain management practices on Coca Cola’s supply chain performance is essential for enhancing operational efficiency, customer satisfaction, and competitive advantage. This research proposal aims to investigate the relationship between supply chain management practices and supply chain performance at Coca Cola, shedding light on the key factors that contribute to its success.
- Background
Supply Chain Management (SCM) has been the subject of extensive research, leading to various definitions in the literature. For instance, Stock and Boyer (2009) describe SCM as an approach used to effectively manage the integration and combination of demand and supply relationships in order to achieve consumer satisfaction. The significance of this research lies in the fact that logistics and supply chain management have become vital tools for enhancing organizational efficacy. The ever-increasing market development, intense competition, and the growing demand for superior customer service present new challenges for firms. To maintain competitiveness and reap the benefits, enterprises must strike a balance in the value generation process, from raw material sourcing to end-client administration (Handfield, 1998).
Several different objectives and aims of SCM practices are proposed by the researchers. Williams (2006) acknowledged that aims of SCM on long term basis comprised of better competence and effectiveness of supply chain associates, maximizing the client’s satisfaction, gaining profits and improving markets shares. Maximizing the productivity, minimizing the cycle time, and inventories are included in the short term aims of the SMC.(Wisner & Tan, 2000).
1.2.1 Dimensions of supply chain management practices
1.2.1.1 Customer management
Organizations work to fulfill the needs of their customers. The products made by the manufacturers are based on the requirements of the consumers. They try to understand the current and future needs of the customers. Customer is the main focus of attention for SCM. The success of organization is based on the relationship of company and its customers. Efforts are made to improve the performance with the help of satisfied customer-organization relationship management. This movement to main the relationship is achieved through integrated selling, service and marketing which help them to identify the needs of consumers. This helps them to integrate several different procedures and technology to investigate how to enhance the service and product (Lauri, 1999).
1.2.1.2 Suppliers Management
Clancy has explained the process of supply chain integration as the process to struggle to remove the involvement in every factor or then again segment of the store network so as to settle on a decent choice and to join every one of the bits of the chain to impart in an increasingly productive manner. This help in production of chain visibility and identification of bottlenecks (Handfield & Nichols, 1999).
1.2.1.3 Speed of Responsiveness
Responsiveness of operating system, logistical procedures, network of suppliers are all part of supply chain responsiveness. Responsiveness of operation system is the inclination and fitness of firm assembling framework to report alterations in client request. It involves both assembling and administration task. Responsiveness of supplier network is the nearness of responsivity and adaptability accomplices upstream and downstream of the organization (Peck, 2004).
1.2.1.4 Information sharing
The limit of association to impart learning and data to the accomplices of supply chain in and efficient and well-organized manner is called information sharing. Furthermore, effective sharing of information is considered to be one of the significant ability of supply chain procedure. In order to achieve a coordinated and integrated supply chain this element is of great value.
1.2.1.5 Supply chain performance Effectiveness
According to literature there are two major concepts that come under notion of effectiveness in organization theory, such as internal and external methods. External resource approach assesses ability of organization in order to handle and take control of values and skills that are less and scarce. The effectiveness theory suggests that the effectiveness of organization can be achieve through setting the goals and aims for the organization (MD & Harashid, 2007).
1.2.1.6 For measurement of performance effectiveness
The current study will use effectiveness and efficiency as main elements to measure the performance of supply chain (dependent variables). The performance reliability contract and cost containment are the two well-known indicators of performance. Cost containment is a process in which costs are judiciously decreased to certain level in order to limit them to a constant level. It involves value activities such as cost of warehousing and supply chain, in and outbound activities and greater turnover of asset. On the other side turns of reliability indicator, warrant claims of several products inventory and safety stocks. Therefore with the help of questionnaires consisting on efficiency and effectiveness will be used for measurement of supply chain performance.
According to literature, in partnership with suppliers, the company gains advantages and extended long term relationships are made between seller and buyer on the basis of quality control (Gharakhani, Mavi & Hamidi, 2012). With the assistance of strategic supplier partnerships, organizations could work in collaboration with suppliers that can place responsibility for the sake of company’s success. The manufacturers have very positive and significant influence on innovative process and on innovation of product (Radas, Bozˇic, 2009) This type of strategic partnership with suppliers allow successful SCM.
1.2.1.7 Supply chain integration
Li (2004) proposed five varying dimensions of SCM such as postponement, sharing the variety of information, supply and demands relationships three are written here. With the impact of supply and demand chain role, different researchers found out an optimistic relationship among the organizational performance and SCM practices. Many dimensions of SCM practices were proposed by researchers. Distribution network structures, , modern planning tools and techniques, informational sharing and long term relationships were all the SCM practices proposed by the (Heiser, 2011).
1.3 Objectives of study
1. To find out the effect of supply chain management practices (supplier integration, information sharing, customers and delivery management, supplier management and Responsiveness) on supply chain performance (SC efficiency and SC effectiveness)
The study found that most of the participants were male and have master degree that filled the survey questionnaires. On the other side, the research has measured the employee’s response towards supply chain management practice and supply chain performance.. Here you can see, most of the employees have showed positive feedback with each practice, according to them their organization is practicing the supplier management, information sharing, customer’s delivery and management and supplier integration effectively. The study also observed that supply chain performance of Coca cola is also increasing due to these practices.
The study has also done correlation and linear regression analysis, the research found that there is significant and strong relationship among all the dimensions of supply chain management and supply chain performance. On the other side, the regression analysis also indicating that model is fit and valid as all the practices have positive impact on supply chain performance. At the end, the study has some recommendations for improvement for Coca cola poor areas.
1.4 Significance of the Study:-
The significance of the study on the impact of supply chain management practices on supply chain performance at Coca Cola is multifaceted and holds relevance for both academia and industry.
• Academic Significance:
Contribution to Knowledge: The study contributes to the existing body of knowledge on supply chain management practices by exploring their impact on supply chain performance in a real-world setting. It provides valuable insights and empirical evidence that can enhance theoretical frameworks and understanding in the field.
Bridging the Gap: By focusing specifically on Coca Cola, a globally renowned organization, the study helps bridge the gap between theoretical concepts and practical implementation. It offers a deeper understanding of how supply chain management practices can be effectively applied in a complex and dynamic business environment.
• Practical Significance:
Industry Insights: The findings of the study provide valuable insights for practitioners in the beverage industry and beyond. By examining the supply chain management practices of Coca Cola, the study identifies best practices and critical success factors that can be emulated by other organizations to enhance their own supply chain performance.
Competitive Advantage: Understanding the impact of supply chain management practices on supply chain performance enables organizations like Coca Cola to gain a competitive edge. The study’s recommendations and insights can help Coca Cola optimize its supply chain operations, improve efficiency, and enhance customer satisfaction, ultimately leading to increased market share and profitability.
Sustainability and Responsiveness: The study explores the impact of supply chain management practices on sustainability and responsiveness. By identifying sustainable practices and strategies, the research promotes environmentally friendly approaches and socially responsible supply chain operations.
Overall, the significance of the study lies in its contribution to academic knowledge, practical insights for industry, and its potential to drive improved supply chain performance, competitiveness, and sustainability for organizations like Coca Cola operating in the beverage industry.
2 Chapter 3 Research Methodology
2.1 Type of Research
This study employed a quantitative research design, wherein the author measured both variables using questionnaires and examined their relationship. Therefore, the study had an explanatory nature. The questionnaires used in the study were previously validated and published in reputable journals focusing on Supply Chain Management (SCM) and Supply Chain Performance (SCP). To analyze the relationship and impact between the variables, the study utilized correlation and regression methods.
2.2 Data Collection Sources:-
Primary Sources:
The primary sources of this study were employees of Coca Cola, from whom data has been collected through questionnaires. Therefore, the primary sources of the study were employees working in different departments and holding various designations within the company.
2.3 Data collection tool
The study was utilize questionnaires with a Likert scale for data collection from the employees. This tool has been selected to minimize the time required from both the respondents and the authors. By using existing questionnaires, the author can efficiently gather relevant data within a short period and from a large sample size. The questionnaires have been divided into three sections. The first section includes all the SCM practice questionnaires, the second section focuses on SCP-related statements, and the third section consists of demographic questionnaires.
2.4 Subjects/participants
2.4.1 The study has selected Coca Cola Company as the target for data gathering. Data has been collected from employees working in various departments, including warehouses and units, and holding different designations. The employees selected for data collection was span from supervisors to senior managers.
2.4.2 Research Population:
The study has targeted two city Islamabad and Rawalpindi for data collection from the employees at mentioned level. Therefore population of the study was employees working in Coca cola in both cities were population of this research. Total # of employees 200
2.4.3 Sample size
Sample size was 130 with 5 % sample error assumed.
2.4.4 Sampling Technique:
The study has used convenience sampling methods for data collection from the employees of Coca Cola. This non-probability sampling approach was enable the authors to collect data from more easily accessible respondents, saving time and resources.
2.5 Fieldwork/Data Collection:
A survey was scheduled to collect data from the employees working at Coca Cola. The author will distribute the pre-developed questionnaires among the employees to be filled out. After the questionnaires are filled, the author has collected and evaluate them to ensure data validity during the survey
2.6 Data processing and Data analysis
After the data is collected from the respondents, it undergo a comprehensive analysis using SPSS software, which is a widely used tool for statistical analysis. The study’s objectives were guided the specific analyses conducted to gain insights into the data.
Firstly, mean analysis was performed to calculate the average values of the variables of interest. This analysis provides an understanding of the central tendency and overall level of the variables in the dataset.
Next, standard deviation calculation was carried out. This measure assesses the variability or dispersion of the data points around the mean. It helps to determine the level of consistency or heterogeneity within the dataset.
Correlation analysis was conducted to examine the relationships between variables. This analysis measures the strength and direction of associations between pairs of variables, providing insights into the patterns of interdependence among them.
Furthermore, regression analysis were employed to explore the relationships between the dependent variable and one or more independent variables. It helps to identify the extent to which the independent variables influence or predict the dependent variable. Regression analysis enables the study to assess the significance and magnitude of these relationships, providing valuable insights into the factors impacting the phenomenon under investigation.
By utilizing these analytical techniques, the study aims to uncover meaningful patterns, trends, and relationships within the collected data. The results of the analysis was contributed to addressing the research objectives, validating hypotheses, and generating valuable insights for understanding the impact of supply chain management practices on supply chain performance at Coca Cola.
1 Chapter 4 Data Analysis
1.1.1 Demographic Section
1.1.1.1 Respondents Gender findings
What is your Gender | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Male | 84 | 64.6 | 64.6 | 64.6 |
Female | 46 | 35.4 | 35.4 | 100.0 | |
Total | 130 | 100.0 | 100.0 |
As per Respondents Gender findings, you can see the frequency for male=84 suggested that 65 % respondents were male, frequency=46 are suggested that 35 % respondents were female who participated in current research.
1.1.1.1 Respondents Qualification
What is your Qualification | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Graduation | 13 | 10.0 | 10.0 | 10.0 |
Master | 60 | 46.2 | 46.2 | 56.2 | |
M.Phil | 57 | 43.8 | 43.8 | 100.0 | |
Total | 130 | 100.0 | 100.0 |
The findings of qualification showed that 46 % respondents have done master, 44 % respondents have done M.Phil degree, 10 % respondents have passed the graduate degree. The analysis related to qualification is stated that most of the respondents were masters and having M.phil degree. The findings also showed respondents were qualified who have filled the questionnaires.
1.1.1.1 Respondents Experience
What is your Experience | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Less than 6 months | 1 | .8 | .8 | .8 |
6 Months to 2 years | 24 | 18.5 | 18.5 | 19.2 | |
2 years to 4 years | 70 | 53.8 | 53.8 | 73.1 | |
More than 4 years | 35 | 26.9 | 26.9 | 100.0 | |
Total | 130 | 100.0 | 100.0 |
Respondents experience analysis findings showed, that 54 % respondents were working in this organization for the last 2 years to 4 years, 26 % respondents were working in the organization more then 4 years, 19 % respondents were working in organization for 6 months to 2 years. The research has noted that most of the respondents were working in this organization from 2 years to 4 years who responded to research questionnaires.
1.1.1 Descriptive Analysis findings related Variables
1.1.1.1 Mean and standard deviation Analysis
Descriptive Statistics | |||
N | Mean | Std. Deviation | |
Supplier integration | 130 | 6.487692 | .4099566 |
Information sharing | 130 | 8.446154 | .4062472 |
Customers and delivery management | 130 | 10.510769 | .3531138 |
Supplier Management | 130 | 8.476923 | .4436526 |
Supply Chain Performance | 130 | 10.41058 | .383222 |
Valid N (listwise) | 130 |
Interpretation and Result
Supplier integration
As per mean findings and standard deviation in above table, the mean score=6.48 which is clearly specifying that most of the employees have picked agree option, the mean value is also near to strongly agree option, the identified mean value also lies that their organization supply chain always build more regular agreement with each other and organization is always building a efficient and compatible, communication and information system. The research also noted that their organization is extending its supply chain beyond its supplier. The positive agreement of employees has also indicated that their organization is always participating in the marketing efforts for their clients and obtaining decisions of its suppliers. The standard deviation value which is .40, it is indicating that there were minor variations in respondent’s response.
Information sharing
As per table of above, the mean score=8.44 which is indicating that most of the participants have chosen agree option with information sharing factor. The value further stated that their organization always shared its business division related information to their clients or trading partners. Employees also shared that their organization is always communicated its trading partners in advance in case of any changes. The analysis findings showed, mentioned organization always shared information with their partner in case of any problem. The standard deviation value which is .40, it is indicating that there were minor variations in respondent’s response.
Customers and delivery management
As per aforementioned table the mean score=10.51 which is indicating that most of the employees have selected strongly agree option with customers and delivery management factor. Mean analysis findings also showed that mentioned organization always shared a sense of fair play with their customers and organization is frequent follow up with their customers for quality feedback. It is also recorded that organization also using different tools for measuring the customers satisfaction and determine future customers’ expectations. Hence the research reached at this point that mentioned organization is practicing the customers and delivery management in effective and efficient ways.
Supplier Management
As per aforementioned table, the mean score=8.47 which is representing that participants of this study has chosen agree option with supplier management factor, the analysis further telling us that everyone in working in organization well aware of the customers’ needs as well the expectations of the suppliers. The result is indicating that suppliers of the company are satisfied with the quality and level of the information contained with contracts published by the organization. The study has also noted that both parties (organization and suppliers) both are efficient to resolve their problems mutually.
Supply Chain Performance
According to mean findings, the mean score=10.41 which is indicating that most of the respondents have picked agree option with supply chain performance (SCP). The identified mean value also lies that association can react and suit request varieties. Analysis showed that organization has the ability to rejoin to and billet the epochs. The analysis also stated that organization is efficient to respond to and accommodate the periods of the supplier performance. It is also observing that Total cost of mentioned organization such as distribution of cost, including transportation and handling cost is decreasing. On the other hand, company is able to reduce minimize the shipping mistakes and re-cost has been reduced.
1.1.1 Total mean value for Variables
Descriptive Statistics | |||
N | Mean | Std. Deviation | |
Supply Chain Management Practice | 130 | 4.480385 | .3242311 |
Supply Chain performance | 130 | 4.41058 | .383222 |
Valid N (listwise) | 130 |
As per table of above, the research has identified the total mean value of each variable, here you can the mean score=4.48 which is indicating that most of respondents have selected agree option with supply chain management performance variable. The value also showed that respondents were also agreeing with the “supplier integration, information sharing, customers and delivery management, supplier management. On the other side, the mean score=4.41 which is indicating that most of the respondents have chosen agree option with supply chain performance. It means they are agreeing with all questions statement of supply chain performance.
1.1.2 Correlation analysis
Correlations | |||
SCMP | SCP | ||
SCMP | Pearson Correlation | 1 | 3.6884** |
Sig. (2-tailed) | .000 | ||
N | 130 | 130 | |
SCP | Pearson Correlation | 3.6884** | 1 |
Sig. (2-tailed) | .000 | ||
N | 130 | 130 | |
**. Correlation is significant at the 0.01 level (2-tailed). |
Interpretation and Result
The above table is holding the correlation findings of both variable, the identified correlation value which is =3.684** which is indicating that there is positive and strong relationship between Supply chain management practice and supply chain performance. The study has also revealed that an effective approach for adopting supply chain management practice causing increase in supply chain performance. Therefore analysis showed that all supply chain management practice and its all dimensions are positively linked with the supply chain performance.
1.1.3 To see the effect of Supply chain management practice on supply chain performance
1.1.3.1 Regression Model Summary
Model Summary | ||||
Model | R | R Square | Adjusted R Square | Std. Error of the Estimate |
1 | 3.689a | 2.475 | 5.458 | 6.282169 |
a. Predictors: (Constant), SM, IS, CDM, SI |
Model summary for regression analysis suggested that R value=3.689 indicating that there is positive linked of Supply chain management practice (SM, IS, CDM,SI) with supply chain performance (SCP). Similarly the R-Square value 2.475 is also justifying that supply chain management has the positive impact on dependent variable (Supply chain performance). Hence the study reveals that Supply chain management practice has positive impact on Supply chain performance.
1.1.3.2 ANOVA findings
ANOVAa | ||||||
Model | Sum of Squares | df | Mean Square | F | Sig. | |
1 | Regression | 88.992 | 4 | 2.248 | 28.236 | .000b |
Residual | 99.952 | 125 | .080 | |||
Total | 118.945 | 129 | ||||
a. Dependent Variable: SCP | ||||||
b. Predictors: (Constant), SM, IS, CDM, SI |
On the base on ANOVA findings, the F value=28.236 is larger than sig level, hence reveals that model is statistically significance and valid, the value also indicating that all the practice such as supplier integration, information sharing, customers and delivery management, supplier management significantly linked with supply chain performance. In increase in one dimension would be leads to increase dependent variable.
1.1.3.3 Linear Regression Coefficient findings
Coefficients | ||||||
Model | Unstandardized Coefficients | Standardized Coefficients | t | Sig. | ||
B | Std. Error | Beta | ||||
1 | (Constant) | 2.742 | 2.368 | 2.017 | .046 | |
SI | 2.120 | 2.080 | .128 | 1.490 | .139 | |
IS | 2.219 | 2.077 | .233 | 2.850 | .005 | |
CDM | 2.262 | .087 | .241 | 3.000 | .003 | |
SM | 2.218 | .085 | .252 | 2.557 | .012 | |
a. Dependent Variable: SCP |
According to above findings, SCM practice (SI, IS, CDM, SM) has revealed that block is positively contributed to the explanation of the variance in the level of Supply chain performance as indicating by (Standardized Coefficients=.2128,.233,.241,.252) and t= value 1.490, 2.850,3.00,2.557). As for as each practice, all the dimensions for supply chain management is positively and significantly impacted on supply chain performance. Model is also showing that in increase of unit in each dimensions will increase and enhance the supply chain performance, hence model is fit and valid.
Summary
The research was conducted to know the impact of supply chain management practice on supply chain performance at Beverage Company. The major aim of the research was to know the effect of each practice on supply chain performance. The study has achieved all the objectives through different analysis. The data was collected from the respondents through questionnaires and response was measured through SPSS software. The data analysis has different sections to display the findings such as mean, correlation, linear regression analysis etc.
In data analysis, in table 4.1.1, here, the study has measured the respondent’s response to their profile questionnaires, you can see, most of the participants were male and have master degree and above who respond to questionnaires. Data was displayed in tabulation and graph form for presentation.
In Data analysis, table, 4.1.2, here the research has measured the response regarding each variables through mean analysis and standard deviation. Result was displayed related to each supply chain management practice and supply chain performance. Here you can see, mostly participants have showed agreed response to each factor and standard deviation also showed there were a minor variation in the response of the respondents. Hence, in order to measure the perception of the respondents, the study has done mean analysis. Further in table 4.1.3, here the study has identified the total mean value of each variable, you can see most of the respondents have selected agree option with both variable. It means they have positive thinking about organization supply chain practice and supply chain performance.
The table 4.1.4, here the study has performed Pearson Correlation analysis of both variable findings was displayed in tabulation form with graph. According to correlation findings, there is positive and strong relationship among Supply chain management practice and supply chain performance. Similarly, in order to see the impact of each practice of supply chain management, the study has done Linear Regression analysis; you can see coefficient findings reveals, that supply chain management practices have positive impact on Supply chain performance.
Conclusion, Recommendations and Limitations
Conclusion
The aim of the research was to explore the impact of Supply chain management practices on Supply chain performance. The study has completed through primary data which was obtained from the employees working in Coca cola Company. The study has found that all the employees working in Coca cola has the positive agreement towards Supply chain management practice and according to them, the supply chain performance of Coca cola is increasing due to use of supply chain management practices. On the other hand, the study has also concluded that Supply chain management practice has positive and strong relationship with supply chain performance on the base on following below findings.
Supplier integration.
Analysis findings showed that employees working in Coca cola have showed positive agreement towards supplier integration factor of supply chain management practice. On the base on their true perception, Coca cola is efficient for developing strong supply chain with their partners and company is compatible for developing strong communication and information with their supplier chain partners. As per their feedback, Coca cola is extending its supply chain beyond its clients and their company is also capable to participate in marketing activities. The study has also concluded that Coca Cola Company is always involving their supply chain partner in decision making process.
Information sharing.
According to analysis findings, that employees working in Coca cola has positive perception towards information sharing practice of Coca cola. Overall analysis showed that, employees are satisfied with the information sharing practice. As per findings, Coca cola is always sharing its business division with their supplier without any conflict. The findings further showed that Coca cola always inform their partners in case of change in system related to supply chain. It has also noted from findings, that both supplier and Coca has the mutual understanding about knowledge and skills. The study has reached at this point that Coca cola has strong relationship with their supplier in fair manners.
Customers and delivery management.
Analysis showed that Coca cola has good relationship with the supplier, as Coca cola always share a sense of fair with their supplier and Coca cola always frequently interacts with their supplier to show reliability as well as responsiveness. Analysis showed that Coca cola is always following up their clients for quality improvement and organization has effective tools for measuring customer’s satisfaction. The findings also reveal that Coca Cola Company is determining the future expectations of the supplier and clients.
Supplier Management
Analysis findings showed, employees have positive agreement towards supplier management practice of Coca cola. Employees who were working in senor level are satisfied with the supplier management system of Coca cola. According to employee’s views, Coca cola is full aware of supplier needs and expectations and most of the supplier are satisfied the quality of information provided to them is reasonable. In coca cola problem and issues associated with supply chain performance has been identified on regular basis and payment method of Coca cola is also complex.
Supply Chain Performance
The findings related to supply chain performance is indicating that supply chain performance is increasing due to adopting the above mentioned supply chain management practice. As per analysis, Coca cola is efficient to reducing the shipping errors and total cost related to resources is being reduced. Analysis also indicated that Total cost associated with distribution as well as transportation is reducing day by day. The study has concluded the Coca cola has the ability to accommodate supplier demand, ability to respond and accommodate the periods of poor manufacturing performance.
Relationship and impact of supply chain management practice on supply chain performance
Correlation analysis showed that Supply chain management practices have positive and strong relationship with supply chain performance. It mean adopting the supply chain practices, such as supplier management, information sharing, supplier integration, CRM may help the company to increase supply chain performance. On the other side, as per Linear Regression findings, supply chain management practice has positive impact on supply chain performance as indicated by ANOVA and coefficient findings.
Recommendations
After noting the result of Analysis and conclusion, the recommendations are below:-
• Coca Cola Company should share the share the information related to all units and division with their supplier so that a strong and fair relationship could be develops among both parties.
• Coca cola company should engaged their suppliers in decision making regarding supply chain management so that a trust can be develop with suppliers.
• Coca cola should also inform their supplier in advance in case of any change in decision, planning so that they can manage accordingly.
• Coca cola should make their complaints system more efficient in which they can resolve the supplier issues quickly and on time.
• Coca cola should use more sharp software to manage supplier demand and existing supply so that sound supply chain process can be developed.
• Coca cola should also make their payment system more reliable in which supplier can feel more secure to work with Coca cola. All terms and conditions would be visible to all supplier
Limitations
• The study has used short sample size
• Close ended questions
• Limited time and short resources.
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