Role of Supplier Relationship Management on Procurement Performance in Manufacturing Sector in Rwanda: A Case of Skol Breweries Rwanda Limited

This study aimed to show the effects of electronic tax system on the performance of Rwanda revenue authority Supplier relationship is a long-term cooperative effort between a buying firm and its suppliers to upgrade the supplier's technical, quality, delivery and cost capabilities and to foster ongoing improvements. Generally, the study aimed at determining the role of supplier relationship management on procurement performance in manufacturing sector in Rwanda. The study adopted a descriptive survey design. The target population for this is 108 employees of SKOL Rwanda Limited. Primary data were collected using structured questionnaires. The responses from respondents were analyzed through SPSS version 21. Frequencies and percentages were used to describe the relationship between the variables. The findings of the study revealed that 64.7% of respondents strongly agreed that in procurement process of SKOL Rwanda Limited there is open contract negotiation between the procurement unit and the suppliers, 22.4% of respondents agreed that in procurement process of SKOL Rwanda Limited there is open contract negotiation between the procurement unit and the suppliers, 47.1% of respondents agreed that in procurement process of SKOL Rwanda Limited both parties enter into agreement after understanding the terms of contract, 35.3% strongly agreed that in procurement process of SKOL Rwanda Limited both parties enter into agreement after understanding the terms of contract. The researcher concluded a high and positive effect of supplier integration on procurement performance because the results of correlation between the two variables was at 0.747 meaning that supplier integration influences procurement performance at the level of 74.7% which proves a significant relationship between the role of supplier integration and procurement performance. The researcher concluded a positive and high effect of ICT integration and procurement performance since the results of correlation between ICT integration and procurement performance was at 0.757 meaning that ICT integration influence procurement performance at the level of 75.7% which proves a significant relationship between supplier integration and procurement performance. Finally; the researcher concluded a significant effect between contract management techniques and procurement performance since the results of correlation was at 0.609 mean that contract management techniques affect procurement performance at the level of 60.9% that proves a significant relationship between the contract management techniques and procurement performance. The researcher recommended that owners of manufacturing firms in Rwanda should establish a favorable environment between their suppliers and their companies to ensure that the supplier relationship is effectively managed. The managers of manufacturing firms should actively integrate their suppliers in procurement processes so as to ensure the accuracy of inventory forecast. The procurement specialists of manufacturing firms should integrate ICT in their routine works so that they may reduce the paper works and ensure the security and standards of the goods supplied by their suppliers. The managers of manufacturing firms in Rwanda especially the ones involved in the procurement processes of SKOL Rwanda Limited should adopt adequate contract management techniques by fostering open contract negotiation between the procurement unit and the suppliers. Both parties involved in procurement process should enter into agreement after understanding the terms of contract and finally both parties involved in the procurement contract should put in place the mechanisms that help them to monitor contract compliance and establish mechanisms for disputes resolutions so that the relationship between the suppliers and manufacturing might be well managed.