PROCUREMENT PRACTICES AND SUPPLY CHAIN PERFORMANCE OF FOODBEVERAGE FIRMS IN RIVERS STATE


NENNAATON Alex Akekue, Ph.D
Marketing Department Rivers State University
Nkpolu-Oroworukwo, Port Harcourt, Nigeria
nennyalexa@gmail.com
&
OBIENU, Azubuike Ndubuisi, Ph.D
Department of Logistics and Supply Chain Management
Rivers State University
Nkpolu-Oroworukwo, Port Harcourt, Nigeria.

Abstract
The study examines the nexus between procurement practices (PP) and supply chain performance (SCP) of food and beverage firms in Rivers State. Procurement practices specifically focus on strategic supplier partnership, and reverse logistics as its dimensions while supply chain performance has its measures as flexibility and cost reduction. The study is underpinned by social exchange theory. We adopt a correlational study design with a cross-sectional survey carried out in a contrived study environment. This census study comprises of 25 food and beverages firms in Rivers State and five copies of the questionnaire were administered to respondents in each of the twenty-five companies, thus resulting in a sample size of 125. Data were analysed with Pearson Product Moment Correlation (PPMC) with the aid of SPSS 23.0. Our findings reveal that strategic supplier partnership and reverse logistics both have strong and positive relationship with supply chain performance measures and based on these findings, the study concludes that procurement practices significantly relate to supply chain performance. We therefore recommend that food and beverages firms in Rivers State should acquire, build and maintain collaborative relationship with their suppliers in order to improve supply chain performance and also develop frameworks that ensure recycling, remanufacturing and reuse of materials that will result in flexibility and cost effectiveness.

Keywords: Cost reduction, flexibility, procurement practices, reverse logistics, strategic supplier partnership, supply chain performance.

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