CHAPTER ONE

GENERAL INTRODUCTION

1.1 Background to the Study

Supply chain management plays an important role in all economy growth in the world as it helps to ensure a permanent flow of goods in the country. As a network of suppliers, manufacturers, distributors that are involved in the ultimate production of goods and services for the market; they have been experiencing a lot of cost, delay and customer dissatisfaction due to the traditional mode of information sharing in the days of paper-based transaction. Information sharing along the supply chain is an important factor for decision making and the slower the sharing of information, the more supply chain responsiveness, integration and resilience are threatened. Information and knowledge’s sharing can help spread the risks, cost and gains for supply chain partners (Harmon, 2010). Because integration, coordination of activities along the value added process was the prime goal of each supply chain management, more and more emphasis had been put in the enhancement of the flow of information such as to quickly coordinate and foster visibility; A lack of supply chain integration causes serious problems such as increased inventory cost, delayed procurement, lowered product quality and inaccurate product forecasts, which may jeopardize both a focal organization and all of its supply chain partners, by worsening customer satisfaction (Yang et al., 2011; Rasib et al., 2021).

The advancement in technology with the internet around the 20 century has led to the development of Information and communication technology tools which has stated being implemented in the business setting progressively and the logistics and supply chain management have not being left behind; The growing of internet and the advancements in information and communication technology(ICT) overtime has led to efficiency in the provision of real time information, timely access, sharing and exchange of data/information, improvements in coordination and interactions, logistics.

In supply chain management ICT has especially been recognised as an enabler for information sharing which companies in the supply chain can use for eliminating the so called bullwhip effect (Lee et al., 1997; Manochehri et al., 2012); ICT helps to enhance operation, reduce cost at all level while ensuring efficiency. In supply chains, the use of information and communication technologies has been shown to exert great impact on SC operational efficiency (Lee 2000) and to sustain the network of relationships (Saraf et al., 2007).

With the advent of global supply chain as a result of globalisation coupled with the advancement in information and communication technology, increasing in sourcing opportunities, market demand as well as competition; the need for collaboration has extended and become more important for supply chain partner than ever before and many manufacturing supply chain in the world in general and particular in Africa has started changing the way of communication from the traditional mode to digitalization ;by implementing one or more ICT in their activities; which led to improvement in information sharing and supply chain integration as well as logistics operation; The increased interest in SCM has been spurred by the development in information and communication technology that enable the frequent exchange of huge information for coordination purpose (jack, 2004). However, a new information technology must fit into existing policies, practice and people and use to its full power.

Due to the use of ICT in the manufacturing sector in Cameroon, companies have seen their activities being streamlined, cost being cut significantly and customer satisfaction being improved; that is why in Today complex market competition, manufacturing supply chain are turned to more and more relying on ICT, which is used as a strategy tool to compete again competitor; it has reached to an extent that ICT is now considered as the backbone of supply chain management beside transportation according to some researchers, scholars and thinkers. however, the problem of choice of the right one for a particular business remains one of the major concerns for the manager; again, the use of ICT in supply chain is subject to much complexity in term of cost, risk associated with as well as skills needed for running and maintaining it. In the other side, because supply chain is made up of many independent entities coming together to fulfilling customer request, in other to easily communicate, they must be fitted with an inter-organisational information technology at the individual level and that is usually a common problem facing nearly all supply chain in the world in general and particular in Africa . In Cameroon for instance due to that issue, the management of the supply chain has become so difficult and subject to persistent price increasing, activities break  down and delay.

1.2 Statement of the research problem

Information technologies is the use of any computer, storage, networking and other physical devices, infrastructure and processes to create, process, store, secure and exchange all forms of electronic data. Information technologies is a tool guiding the management of a supply chain and helping company to gain competitive advantage over their competitor, reduce cost and time for market while improving customer satisfaction. An efficient and proper use of ICT can help the companies to know with accuracy their inventory level, share document timely without movement, get quotation from whoever supplier they want; with the help of ICT, supplier can control the manufacturer stock level and proceed with the delivery without however waiting for the order, customer can check the stock availability from the manufacturer online platform, fill the order form, make payment and get delivery without movement and so on.

ICT usage along the Brasseries du Cameroon supply chain for example help in their internal and external process management, collaboration and communication with their key business partner as well as the general overseeing of their activities. However, due to the underdeveloped state of the country, limited financial resources of key supply chain’s partners to purchase an ICT tool, the lack of appropriate ICT skills, associated with the quality of network; brasseries du Cameroon supply chain management has been encountering difficulties for implementing a good, efficient, sound and accurate ICT software in their business: making them to permanently delay in some of their operation while involving the paper based information sharing. Such lack of ICTs coordination has therefore spread many uncertainty along the supply chain from which the company is facing difficulty to grow adequately compared to those supply chain management in the world with a coordinated ICT between supplier, manufacturer, wholesalers and retailers. To that end, this study aim to investigate about the impacts of ICT usage on brasseries du Cameroon supply chain management performance.

1.3 Research Questions

1.3.1 Main Research Question

The main research question of this study is, what are the impact of ICT usage on the supply chain management performance of Brasseries du Cameroon? It is guided by the following specific research questions:

What are the roles and benefits of ICT usage on Brasseries du Cameroun supply chain management?

What are the ICT tools used along the Brasseries du Cameroon supply chain?

What are the challenges facing the use of ICT in Brasseries du Cameroon?

1.4 Research Objectives

1.4.2 Main Research Objective

The main objective of this study is to investigate about the impact of ICT usage on the supply chain management performance in Brasseries du Cameroun. It is guided by the following specific objectives:

To find out the role and benefits of ICT on brasseries du Cameroon supply chain management.

To examine some ICT tools used along the Brasseries du Cameroon supply chain.

To explore the challenges facing the use of ICT in Brasseries du Cameroon.

1.5 Research hypotheses

1H1: There are significant role and benefits of ICT usage on Brasseries du Cameroon supply chain management.

2H1: There are significant ICT tools used along the Brasseries du Cameroon supply chain.

3H1: There are significant challenges facing the use of ICT in Brasseries du Cameroon SCM.