The Current State of Supplier Relationships and Supply Chain Performance of SMMEs in Vhembe District Municipality

Authors

DOI:

https://doi.org/10.51137/wrp.ijarbm.634

Keywords:

SMMES, Supplier Relationship, Supply Chain Performance, Vhembe District, Rural Supply

Abstract

Small, Medium, and Micro Enterprises (SMMEs) are key drivers of economic growth, employment, and local development in South Africa. In rural areas such as the Vhembe District Municipality, however, these enterprises face significant challenges in maintaining efficient supply chains, largely due to weak supplier relationships. This study examines the relationship between supplier management and supply chain performance among SMMEs in this region, addressing the limited empirical evidence in rural contexts. A quantitative approach, guided by a positivist paradigm, was used. Data were collected from 200 SMME owners and managers across agriculture, retail, and manufacturing using structured questionnaires. Analysis through SPSS produced descriptive statistics on supplier practices and performance outcomes. Findings indicate that many SMMEs struggle with delivery reliability, product quality, and communication. Only 41.5% of respondents reported timely deliveries, while 35.5% found supplier communication effective. Strategic practices, including supplier involvement in planning and cost-reduction collaboration, remain underutilized. Newer businesses showed greater adoption of digital tools, and women-led enterprises emphasized long-term relationships. The study concludes that strengthening supplier relationships through training, digital integration, and collaboration can improve supply chain performance and resilience among rural SMMEs.

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2026-04-08

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Ndou, A. (2026). The Current State of Supplier Relationships and Supply Chain Performance of SMMEs in Vhembe District Municipality. International Journal of Applied Research in Business and Management, 7(4). https://doi.org/10.51137/wrp.ijarbm.634