Abstract:
Supply chain integration practices are considered a powerful tool to optimize performance of the
organization. The objective of this study was to analyze the role of supply chain integration on
performance of the Berbera port in Somaliland.
Analysis of the supply chain integration dimensions requires determination of major
components: internal integration, supplier integration and customer integration. The need of
development of seaport terminals, in order to achieve for a closer integration into supply chains
Structures have been the essential factors that initiated this study for investigation. Both
descriptive and explanatory research design was employed with the sample of 133 employees,
while 100% of respondents were gathered. A questionnaire was used as a research tool for
collecting data. Available data on these factors was gathered, formatted, processed and
thoroughly checked for continuity and consistency. The supply chain integration and port
performance data were filled using the Five Point Likert-Scale moreover; independent variables
(supply chain integration) and dependent variables (Port Performance) are also cross-checked
from Pearson correlation matrix.
To predict port performance from supply chain integration dimensions, which include internal
integration, supplier integration and customer integration, the multiple linear regression models
were followed. The analysis indicated that the independent variables supply chain integration
with respect supplier, customer and internal integration explained 62.2% of port performance
moreover, out of two of those independent variables (i.e. customer integration and internal
integration) were statistical significant with P- value less than 0.05; whereas the remaining
variable ( supplier integration was statistically insignificant p-value of greater than 0.05.The
study concluded that one variable is relatively low compare to the others (customer integration
and internal integration).This implies that those dimensions of supply chain are not at the optimal
level of the port.
It’s recommended that all three dimensions of the supply chain, (supplier integration, customer
integration and internal integration) needed to be incorporated at the optimal level through
system automation, framework agreement and relationship management in order to be achieved
efficient and effective port performance.