Practices and Effectiveness of Supply Chain Management of MOHA Soft Drink Company, Mekelle, Ethiopia

Abstract

In this study, the Mekelle plant of MOHA Soft Drink Company's supply chain management (SCM) procedures, efficacy, and difficulties are examined. Supply chain integration, transportation and distribution, inventory management, and procurement are all thoroughly evaluated in this study by combining quantitative and qualitative data using a mixed-methods approach and a descriptive research design. Structured questionnaires, semi-structured interviews, and document reviews were used to gather data. Techniques for stratified random and purposive sampling made sure that every department had equal representation and expert knowledge. The findings indicate that, while MOHA demonstrates notable strengths in areas such as forecasting accuracy, delivery dependability, and the establishment of strong supplier partnerships, persistent challenges remains in strategic sourcing particularly limited supplier diversification and reliance on short-term agreements. Furthermore, flaws in communication, evident in uneven information flow and limited interdepartmental coordination, as well as shortcomings in inventory management, including inadequate stock monitoring and recurrent delivery delays, continue to impair overall supply chain efficiency. Operational effectiveness is hampered by issues including overstocking, the accumulation of outmoded material, ineffective vehicle maintenance, and a lack of real-time data consumption. Three key elements that influence the company's SCM success were found through factor analysis: Collaboration & Feedback, Communication & Information Sharing, and Partnership & Trust. Furthermore, supply chain resilience is threatened by internal inefficiencies as well as external interruptions like political unrest and infrastructure constraints. According to the study's findings, MOHA has to increase worker training, establish sourcing regulations, strengthen digital integration, and implement proactive inventory and logistics tactics. Achieving long-term supply chain sustainability, cutting operational waste, and improving agility all depend on these innovations.