Strategic Supplier Management Practices and Operational Performance of Commercial Banks, Juba, South Sudan

Abstract

This study examined the impact of strategic supplier management practices and operational performance of commercial Banks in Juba, South Sudan. Based on the descriptive research design, data was collected from a sample of 164 respondents using questionnaire. Data was procecessed and analyzed with the aid of SPSS, using frequency counts, mean, standard deviation, correlation and multiple regression. Main finding of this study was trust-Based relationship and information sharing had a statistically significant relationship with Operational performance of commercial banks whereas supplier collaboration had a non-statistically significant relationship at 0.05 level of significance. The study concludes that strategic supplier management practices with its indicator of Trust based relationship, information sharing and supplier collaboration relationship factors have direct effect on operational performance of Commercial Banks. However, the overall model is significant at 95% level of significance with (F-value 5.188 and sig value 0.001), explaining up to 11.5% (R-squared=0.115) variation in operation performance of the bank. The study recommends that commercial Banks should strategically manage their supply base on the basis of value of spend or nature of items being purchased. This will enable the Banks to categorize its suppliers and thus proper treatment accorded to every supplier based on their importance.