Warehouse Management Practices and Retail Supermarkets Performance: The Case of Ugandan Retail Supermarkets

Abstract

This study examined the role of warehouse management practices on the retail supermarkets' performance in Uganda. The study was guided by Dynamic Capabilities Theory and empirical literature to develop research hypotheses. The study employed a cross-sectional research design with a quantitative approach, and a structured questionnaire was used as the main instrument for data collection. The study used partial least squares structural equation modelling aided by Smart PLS to validate measures of constructs employed in the model and test the hypotheses using data from 100 key respondents from warehouse and operations units of retail supermarkets in Uganda. Findings indicate that order picking accuracy, receiving accuracy, and storage accuracy positively and significantly influence retail supermarkets' performance. This study contributes to the growth of retail supermarkets in the dynamic business environment by finding the role of warehouse management practices on retail supermarkets' performance. Moreover, these results have implications for Dynamic Capability Theory such that dynamism aspects can be reflected in order picking, receiving, and storage through integration, rebuilding and reconfiguration to match with changing business environment. Moreover, the study has implications for warehouse practitioners and policymakers as being dynamic in order picking, receiving and storage tend to shorten lead time, shorten cycle time and increase space utilization respectively. 

Keywords: Retail supermarkets Performance; Warehouse Management Practices; Dynamic Capability Theory; Uganda