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     2026:7/2

International Journal of Multidisciplinary Research and Growth Evaluation

ISSN: (Print) | 2582-7138 (Online) | Impact Factor: 9.54 | Open Access

Supply chain management and its impact on profitability in an SME

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Abstract

The main objective es to assess how SCM efficiency can influence the financial performance of a specific SME. A quantitative approaches was used by applying questionnaires to 100 employees of an SME with significant experience in their sector. The questionnaire was divided into two sections: supply chain management and profitability, with a total of eleven questions. The data were analyzed using Pearson correlation techniques to determine the relationship between supply chain management and corporate profitability. The findings indicate a Pearson correlation of 0.892, suggesting a strong positive relationship between efficient supply chain management and firm profitability. Eighty-five percent of respondents expressed satisfaction with supply chain management, highlighting operational efficiency and cost reduction as key factors. Furthermore, 55 % reported an increase in productivity since implementing advanced SCM strategies such as Just in Time. The research confirms that efficient supply chain management has a significance impact on the profitability of SMEs. Companies that adopt advanced technologies and optimization strategies manage not only to improve their operational efficiency but also to increase their profit margins. These results underline the important of investing in advanced SCM practices to ensure the long-term growth and sustainability of SMEs.

How to Cite This Article

Carlos Eduardo Cobos Gutiérrez, Geovanni Tapia-Andino (2024). Supply chain management and its impact on profitability in an SME . International Journal of Multidisciplinary Research and Growth Evaluation (IJMRGE), 5(5), 308-316 . DOI: https://doi.org/10.54660/.IJMRGE.2024.5.5.308-316

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