Factors that influence the Supply Chain Management practices of selected municipalities in KwaZulu-Natal, South Africa

Abstract

Whilst much research has been conducted on Supply Chain Management (SCM) globally, very little research has been performed on factors influencing SCM practices in the municipalities of KwaZulu-Natal (KZN), South Africa. Therefore, an understanding of these factors is clearly defined and explained in order to assist the municipal administration and academia to improve SCM operations, covering aspects such as policies, procedures, programmes/models and personnel.

The study sample comprised 120 respondent employed at the eThekwini and UMgungundlovu municipalities. Respondents were asked to complete a 5-point Likert-scale questionnaire to collect quantitative data for statistical analysis, with the researcher assisting in questionnaire administration. Analysis of the primary data was performed using the Statistical Package for Social Sciences (SPSS, Version 24.0). The results are presented in a form of diagrams and figures produced using Microsoft Excel and gross tabulation tables.

The primary aims of the study were: to investigate and describe the available understandings and knowledge of SCM in KZN municipalities; to identify and explain factors influencing their SCM; to examine to what extent the factors identified affect or influence municipal SCM in the province; and to suggest and recommend strategies which could be employed to improve the current state of SCM within these municipalities. The findings of this study revealed that factors such as poor purchasing policy, lack of proper guidelines for procurement as well as poor network infrastructure contributed negatively in the SCM in KZN municipalities. The study was limited by its exploratory nature and small sample size. Generalisation of the research findings should therefore be undertaken with care, and further research is encouraged and should include other provinces and areas in the country.