Abstract:
ABSTRACT
This study investigates supply chain transparency (SCT) and firm performance
in Ghana: the role of institutional quality, focusing on agri-food processing
firms. The study relied on the positivists’ research paradigm and employed the
explanatory research design and the quantitative research approach. The
research used a questionnaire to collect data from 320 out of the 396 sampled
agri-food processing firms and analysed using Kendal`s coefficient of
concordance and structural equation modelling. The results show that (1) there
is a high degree of concordance of supply chain transparency practices among
firms in the agri-food processing industry in Ghana, (2) SCT positively
influences the performance of agri-food processing firms in Ghana, (3)
Institutional quality positively influences the performance and (4) supply
chain transparency of agri-food processing firms in Ghana, and (5)
Institutional quality positively moderates the relationship between SCT and
the performance of agri-food processing firms in Ghana. Therefore, the study
recommends that the stakeholders of the agri-food processing sector continue
to institute sound policies that inspire SCT and institutional quality to enhance
firm performance. However, with the fifth hypothesis, such efforts will yield
much more improved firm performance if policies are also implemented to
improve the institutional quality. Additionally, the improvements in
institutional quality on their own will positively impact SCT and firm
performance per the third and fourth hypotheses. For the first hypothesis, the
study recommends that managers diversify their attempts to create transparent
supply chains by giving the needed attention to the other forms of
transparency in addition to the highly held legal requirements.
