IMPACT OF SUPPLIER LINKAGE ON SUPPLY CHAIN PERFORMANCE IMPROVEMENT: AN INVESTIGATION ON A LEADING FMCG COMPANY OF KARACHI.

Abstract

The main puipose of this leseaich is to determine the Impact of supplier linkage on supply chain performance Improvement: An investigation on leading FMCG company of Karachi. It has been observed that globally many research studies have been conducted in the developed countries where the focus is on the integration of supply side with the demand side and the companies are actually moving towards achieving maximum results. However, Pakistan is still is an emerging market, here the practices are still in an adaptive phase and the local companies are trying to mold themselves with the patterns of MNCs to compete with the global environment with ease. Therefore, it is imperative to identify the relationship that how the supplier integration, visibility with a company resulting in cost optimization, will result in overall supply chain performance improvement in the Pakistan’s context. This research will revolves around the following objectives, for instance, to determine how visibility improves supply chain performance. To determine how integration with supplier improves supply chain performance. Further, to find out how cost could be optimized with supplier integration improves supply chain performance. Also, to overall assess how better linkages with supplier impact on supply chain performance While researching, the research questions that were tested using research techniques were Whether or not there’s a supplier’s linkage has an effect on supply chain performance improvement? Which of the three variables (visibility, integration and cost optimization) has the most effect on supply chain performance improvement? Lastly, does the supplier relate practices are satisfactory to run supply chain operations smoothly? Thirdly, the Research hypothesis is based on the previous researches, studies and concepts following hypothesis are formed for testing the impact of supplier linkage on supply chain performance improvement. Hypothesis one is about the Visibility between supplier and company leads to supply chain performance i mprovement. Hypothesis Two is about the Integration between supplier and company which leads to supply chain peifoimance improvement. And Hypothesis three is related to Cost optimization between supplier and company leads to supply chain performance improvement. As fai as the Research Methodology is concerned, data is been collected from primary sources which has been collected from questionnaire based on Likert scale which revolves around the dependent and independent variables. The questionnaire is attested from the management level employees because it is a management related topic. The sampling technique used for the research is convenience sampling technique. Meaning, In this research non-probability sampling technique is used which includes convenience sampling. The overall sample size is taken from a leading FMCG company of Karachi. The sample size included all 123 employees of the targeted population out of 180 we targeted all the employees of the organization including the mangers, assistant manager and the directors. 121 out of 123 employees participated in the survey. The questionnaire were filled out by the participants and returned and they were asked to choose the appropriate relevant to them and rank the variables that could improve the supply chain performance: l=strongly agree.....5= strongly disagree