DEMCEN Humphrey Pobul1 NWOKAH N. Gladson2 WORDU Benjamin Chinuru3
1Department of Marketing, Faculty of Administration and Management
Rivers State University Nkpolu-Oroworukwo, Port Harcourt
2, 3Department of Logistics and Supply Chain Management, Faculty of Administration and Management
Rivers State University Nkpolu-Oroworukwo, Port Harcourt
Abstract
This study examined the correlation between supply chain speed and operational efficiency. Supply chain speed was used as the explanatory variable and was treated as a single unit variable. Operational efficiency was used as the explained variable with cost reduction and waste reduction as its measures. The study was anchored on the resource dependency theory. The study adopted an explanatory design. The population of the study comprised 13 cement distribution companies in Rivers State. The study adopts administered 5 copies of the research instrument on to each of the 13 cement distribution companies The respondents include managing director, procurement manager, operations managers, and supervisor. Pearson Moment Correlation was used to test the hypotheses. The findings revealed that there is a significant and very strong correlation between supply chain speed and cost reduction and waste reduction. The study therefore conclude that supply chain speed has significant correlation with operational efficiency; and recommends that management of cement distribution companies should focus on supply chain speed if they seek operational efficiency.
Keywords: cost reduction, operational efficiency, supply chain speed, waste reduction.