Supply chain management practices and organizational competitiveness:A case of Airtel Uganda

Abstract

The study examined supply chain management practices and organizational competitiveness at Airtel Uganda Limited. Supply chain management was characterized by supply chain agility, supply chain flexibility, waste management while organizational competitiveness was characterized by profitability and market share Specifically, the study examined the role of supply chain agility, supply chain flexibility and waste elimination on organizational competitiveness at Airtel Uganda. The study was premised on the fact that despite the growth of the entire telecom sector as a whole with commendable supply chains, a number of telecom companies have closed down due to being uncompetitive in the market place. The study thus sought to establish the role of supply chain management practices on organizational competitiveness in the telecom sector. No study has been conducted to establish the role of supply chain management practices on organizational competitiveness in Airtel Uganda limited yet over 60% of the company expenditure is managed through supply chain management The study adopted a cross-sectional study design. Quantitative methods together with qualitative methods were used to assess the role of supply chain management on organizational competitiveness. This particular study was guided by the resource based view theory and was conducted using a cross sectional survey design. Out of a population 147 permanent staff at Airtel Uganda, a sample of 105 was taken. This was really based on krejie and Morgan (1970) proposed formula for finite population samples. Simple random sampling together with purposive sampling were used to select respondents in the study. Out of a sample of 105, there were 97 respondents. Data was collected using questionnaires, interviews and review of documents by the researcher. Data analysis was done using SPSS for quantitative data and thematic and content analysis for qualitative data. The response rate from the sample survey was 86.6%. In relation to the variables under study, it was established that there is a positive correlation between agility. Supply chain flexibility, waste elimination and organizational competitiveness in the telecommunications sector. Thus if there is better management in specific regards to waste elimination, supply chain flexibility and supply chain agility, telecom companies would be more competitive. The study thus recommends enhancement of teamwork and harmony within the various departments at Airtel Uganda in order to boost supply chain agility. This would ensure faster speed to market thus gaining market share. This would thus make Airtel more competitive in the market place. The study also recommends benchmarking of supply chain flexibility especially with the market leader and other players. This would ensure sustenance and adaptation over the long term. The study recommends that Airtel should ensure that it has experts for the management of waste. This is critical in keeping costs low and increasing profitability.