Effects of Supply Chain Management Practices on Agribusiness Performance Empirical Evidence from Oromia, Ethiopia

Abstract

Supply chain management is essential for business firms to succeed in today’s competitive global marketplace. The purpose of this paper is to examine the impacts of supply chain management practices on the performance of agribusiness firms in the Oromia regional state of Ethiopia. Information sharing, customer relationship management, strategic supplier relationships, and supply chain responsiveness are used to measure supply chain management practices. The study employed both descriptive and explanatory research designs with a quantitative approach. The data were collected from 265 agribusiness firms in the Oromia region of Ethiopia using a structured questionnaire and analyzed through multiple regressions. The results indicated that supply chain management practices significantly enhance performance, with information sharing emerging as the strongest predictor, followed by customer relationship management, strategic supplier relationships, and responsiveness. The study underscores the urgency for Oromian agribusinesses to adopt robust information systems and strengthen stakeholder relationships to mitigate inefficiencies and drive sustainable growth. This research would contribute to sparse literature on SCM in Ethiopian agribusiness contexts, specifically the Oromian context, offering practical insights for policymakers and firm managers.