| Abstract: | This paper is a survey study on challenges and prospects of Supply Chain Management in
Ethiopian Leather Industry. The objective is to examine the challenges as well as the prospects of
SCM in Ethiopian Leather Industry. The study contributes significantly to academic as well as
firms and policy makers. Accordingly, it will build the existing theories of SCM, indicate a
future research area and further it contributes for firms as well as stakeholders as an input for
their strategic plan. In doing so, 8 firms from Tanneries, Shoe Manufacturers, and Leather Goods
and Garment producers located in Addis Ababa were sampled. Beside 384 questionnaires were
also distributed to end users/consumers. The method of data collection was both interview and
questionnaire in the form of closed and open ended. The questionnaires were rated using five
points Likert Scale. For analyzing SCM practice, mean and standard deviation were used
whereas; to see the significant difference on SCM practices among firms, Analysis of Variance
was used and to see the significant relationship between SCM Challenges and SCM dimensions’,
Correlation were used. Through these methods the data’s were analyzed and the result shows an
average mean value which means, the practice of SCM is average. On the other hand, regarding,
the SCM practice among firm, on some variables there is a significant difference whereas; on
some variables there is no significant difference. On the other hand, there is no significant
relationship between the SCM challenges and SCM dimensions’. Based on these facts, searching
for potential market for raw materials, cooperation of all stakeholders, and establishment of
consultative forum from firms and other stakeholders were recommended in this study. |
