Impact of demand variability and lead time on supply chain performance,Evidence from retail sector of islamabad

Abstract

Time management and demand management is one of the great issues in the retail industry as technology is advancing over time. Lead time and demand is of enormous importance in supply chain while delivering products/services and satisfying needs of customers. Both, lead time and demand play vital role in supply chain performance. However, lead time variations and demand variation are uncontrollable and could not be eliminated completely but could only be reduced to certain limit which affects the performance of supply chain. It is essential for firms to reduce lead time variability and demand variability through effective management strategies to increase supply chain performance. Therefore, this research is based on the impact of lead time variability and demand variability on supply chain performance in retail sector of Islamabad. 150 of sample selected from the target area of Islamabad and data collected through survey questionnaire which included demographic questions and questions regarding the independent variables which includes lead time variability management practices and demand variability management practices and dependent variable includes supply chain performance. Results found through implementing regression analysis that lead time variability management practices and demand variability management practices has significant influence over supply chain performance