By Zelalem Gebreyesus GSR/3845/10
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EFFECT OF SUPPLY CHAIN INTEGRATION ON OPERATIONAL PERFORMANCE IN ETHIOPIAN WASH SECTOR A THESIS SUBMITTED TO SCHOOL OF COMMERCE, ADDIS ABABA UNIVERSITY IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF ARTS IN LOGISTICS AND SUPPLY CHAIN MANAGEMENT DEPARTMENT OF LOGISTICS AND SUPPLY CHAIN MANAGEMENT SCHOOL OF COMMERCE ADDIS ABABA UNIVERSITY By Zelalem Gebreyesus GSR/3845/10 ADVISOR: MATIWOS ENSERMU (PhD) MAY, 2019 ADDIS ABABA ETHIOPIA Addis Ababa University School of Commerce Graduate Studies Approved by Board of Examiners MATIWOS ENSERMU (PhD) ___________________ ________________ ________________ Advisor Name Signature Date Berhanu Denu (PhD) ____________________ _________________ ________________ Internal examiner Name Signature Date Delesa Daba (PhD) ____________________ _________________ ________________ External Examiner Name Signature Date ___________________ _________________ _______________ Chairman of Signature Date Graduate Committee DECLARATION “I hereby declare that this research paper entitled “The effect of supply chain integration on operational performance in Ethiopian WASH sector” is my own and to the best of my knowledge and belief, it contains no material previously published or written by another person (except where explicitly defined in the acknowledgements), nor material which to a substantial extent that has been submitted for the award of any other degree or diploma of a university or other institution of higher learning.” Student Researcher Signature Date Zelalem Gebreyesus _____________ ___________ LETTER OF CERTEFICATION This to certify that Zelalem Gebreyesus has carried out his thesis work on the topic entitled “The effect of supply chain integration on operational performance in Ethiopian WASH sector” under my guidance and supervision. Accordingly, I here assure that his work is appropriate and standard enough to be submitted for the award of Master of Arts in Logistics and Supply Chain Management. Research Advisor Signature Date Matiwos Ensermu (PhD) ________________ ___________ CONTENTS LIST OF FIGURES ...................................................................................................................... v ACRONYMS ................................................................................................................................ vi ACKNOWLEDGEMENTS ....................................................................................................... vii CHAPTER ONE: INTRODUCTION ......................................................................................... 1 1.1. Background of the study ...................................................................................................... 1 1.2. Statement of the problem ..................................................................................................... 3 1.3. Research Question ................................................................................................................ 5 1.4. Objective of the Study .......................................................................................................... 5 1.5. Scope of the Study................................................................................................................ 6 1.6. Significance of the Study ..................................................................................................... 6 1.7 Definitions of Terms ............................................................................................................. 7 1.8 Organization of the Study ..................................................................................................... 9 CHAPTER TWO: RELATED LITERATURE REVIEW ..................................................... 10 2.1 Introduction ......................................................................................................................... 10 2.2. Theoretical Perspectives ..................................................................................................... 10 2.3 Emperical Review ............................................................................................................... 20 2.4 Supply chain integration and performance .......................................................................... 22 2.5. Overview of WASH Sector ................................................................................................ 24 2.5.1. WASH Sector: Ethiopian perspective ............................................................................. 25 2.5.2. Supply chain integration of Ethiopian WASH Sector ..................................................... 27 2.6. Literature gap ..................................................................................................................... 28 2.7. Conceptual framework ....................................................................................................... 29 2.8. Hypothesis .......................................................................................................................... 29 CHAPTER THREE: RESEARCH METHODOLOGY ......................................................... 32 ii 3.1 Introduction ......................................................................................................................... 32 3.2. Description of the study area .............................................................................................. 32 3.3. Research Design ................................................................................................................. 33 3.4. RESEARCHAPPROACH .................................................................................................. 34 3.5 Study population, Sampling and Unit of analysis ............................................................... 34 3.4 Data Source and Type ......................................................................................................... 36 3.6. Data Analysis ..................................................................................................................... 38 3.7. Ethical Consideration ......................................................................................................... 41 CHAPTER FOUR: RESULTS AND DISCUSSION ............................................................... 43 4.1 Introduction ......................................................................................................................... 43 4.2 Data Editing and Coding ..................................................................................................... 43 4.3. Data Screning ..................................................................................................................... 44 4.4. Demographic data presentation and Analysis .................................................................... 46 4.5. Descriptive Analysis .......................................................................................................... 49 4.6. Correlation Analysis ........................................................................................................... 58 4.7. Regression Analysis ........................................................................................................... 60 4.8. Hypothesis Testing ............................................................................................................. 63 CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS ............. 66 5.1 Introduction ......................................................................................................................... 66 5.2 Simmary of Findings ........................................................................................................... 66 5.3. Conclusions: ....................................................................................................................... 69 5.4. Recommendation:............................................................................................................... 70 Reference ..................................................................................................................................... 72 Appendix 2: List of sample organization ................................................................................... ix iii LIST OF TABLES Table 1: Stakeholders of WASH service ………………………………………………..………7 Table 2: Representation of Stakeholders………………………………………………..…….. 32 Table 3: Number of sample selected …………………………………………………..……….33 Table 4: Reliability statistics………………………………………………………..…………. 46 Table 5: Missing data on variable basis……………………….……………………..…………47 Table 6: Skewness and kurtosis result ……….………………………………….……..………49 Table7: Cronbach's Alpha result…………………………………………………………….....50 Table 8: Cronbach's Alpha result of variables ………………………………….……….…......50 Table 9: Position of the respondent in the organization ……………………….…………........51 Table 10: Respondents department…………………………………………………………..…52 Table 11: Education level of the respondents………………………………………………...…52 Table 12: Experiences of the Respondents…………………………………………………...…53 Table 13: Mean value of internal integration…………………………………………………...56 Table 14: Mean value of External integration. ..……………………………………………......57 Table 15: Mean value of Information integration……………………………………………….58 Table16: Mean value of operational performance……………………………………...…….…59 Table 17: Summary of Dependent and independent variables …………………………....……61 Table 18: Pearson’s coefficient of correlation……………………………………………......…63 Table