Abstract:
The general objective of the research is to examine the effect of supply chain management on
organizational performance in Amhara Pipe Factory. As the knowledge of the researcher is
concerned, there is an empirical research gap on the effect of supply chain management on
organizational performance under the study. The researcher used explanatory research design to
investigate the effects of these supply chain management dimensions on organizational
performance. The data collection instrument was structured close ended survey questionnaires
using the five point Likert scales by adopting it. The sample size was 128 respondents using
simple random sampling technique. To achieve the objectives of the study, the researcher used
the Statistical Package for Social Science (SPSS) in order to find the results of descriptive and
inferential statistics analysis. The findings of regression coefficients of the three variables
indicates that responsiveness, internal lean practices, and Information quality independent
variables have a significant influence on organizational performance at 95% confidence level in
the study area. Conversely, customer relationship and strategic supplier partnership independent
variables have no significant influence on organizational performance under the study. It is
recommended that Amhara Pipe Factory, in order to make the effects of supply chain
management of the company efficient and effective, the management have to develop strong
strategic supplier partnership strategies by focusing on key and very important suppliers. Since
level of responsiveness, internal lean practices, and information quality have significant effect on
performance of the organization, the management have to foster means to provide and receive
accurate, reliable, and timely information to trading partners by utilizing modern ICT, giving
due focus to the supply side of information.