Title: Supply Chain Management Practices And Their Impact On Business Performance: A Case Study Of Uganda's Agricultural Sector
Authors: Dr Ariyo Gracious Kazaara
Volume: 9
Issue: 2
Pages: 36-41
Publication Date: 2025/02/28
Abstract:
This study examined the impact of supply chain management practices on business performance in Uganda's agricultural sector, focusing on procurement practices, inventory management, logistics management, and technology adoption. A quantitative research design was employed, utilizing regression analysis to determine the relationship between these variables. Primary data were collected from key stakeholders in the agricultural sector, including agribusiness firms and supply chain managers. The findings revealed that procurement practices had the strongest influence on business performance (coefficient = 0.320, p-value = 0.000), followed by inventory management (coefficient = 0.270, p-value = 0.003) and technology adoption (coefficient = 0.210, p-value = 0.015), while logistics management showed a marginally significant effect (coefficient = 0.190, p-value = 0.058). The model explained 68.2% of the variance in business performance (Rē = 0.682). Further analysis indicated that supplier relationship management (coefficient = 0.420, p-value = 0.000), sourcing strategy (coefficient = 0.310, p-value = 0.000), and procurement timeliness (coefficient = 0.150, p-value = 0.014) significantly enhanced efficiency and profitability, accounting for 54% of the variation (Rē = 0.540). Additionally, stock management (coefficient = 0.350, p-value = 0.000), demand forecasting (coefficient = 0.270, p-value = 0.000), and order fulfillment efficiency (coefficient = 0.190, p-value = 0.036) were found to be key drivers of operational performance and cost reduction, with an explanatory power of 61.2% (Rē = 0.612). The study recommended that agribusinesses strengthen supplier relationships, optimize sourcing strategies, improve stock control and forecasting, and invest in technology to enhance efficiency. Policymakers were urged to support infrastructure development and capacity-building initiatives to facilitate effective supply chain management.