EFFECT OF SUPPLY CHAIN MANAGEMENT ON ORGANIZATIONAL PERFORMANCE: A STUDY OF NADIA BAKERY, BENIN-CITY, EDO STATE, NIGERIA

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ABSTRACTS

The bakery industry faces significant challenges in supply chain management, particularly in emerging economies like Nigeria, where inconsistent raw material supply, inadequate storage facilities, and limited technological integration hamper operational efficiency. These challenges directly impact organizational performance, affecting critical metrics such as profitability, product quality, and customer satisfaction. Given the dynamic business environment and the critical role of supply chain management in determining organizational success, this study aims to investigate the effect of supply chain management practices on organizational performance at Nadia Bakery in Benin-City, Edo State, Nigeria. The research employed a descriptive survey design, targeting 200 employees at Nadia Bakery, with a sample size of 133 employees selected using simple random sampling. Primary data was collected through a self-structured questionnaire and analyzed using both descriptive and inferential statistical techniques, specifically linear regression analysis using SPSS version 22. The study focused on three key supply chain management dimensions: supplier relationship management, demand forecasting, and supply chain IT integration. The findings revealed significant positive relationships between supply chain management practices and organizational performance. Specifically, supplier relationship management demonstrated the strongest impact with a coefficient of 0.312, followed by demand forecasting (0.276) and supply chain IT integration (0.248). The regression analysis explained 58.4% of the variation in organizational performance, indicating the substantial influence of these supply chain management practices. The study conclusively demonstrated that effective supply chain management practices significantly contribute to improved organizational performance in the bakery sector. Based on these results, the researchers recommend that Nadia Bakery invest in strengthening supplier relationships, enhancing demand forecasting capabilities, and continuously upgrading supply chain IT integration through targeted training programs and technological investments to sustain and improve organizational performance.

 

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