Impact of Information Sharing on Customer Satisfaction Level in the Fast-Moving Consumer Goods (FMCGs) Industry in Nigeria

Abstract

Manufacturing firms in developing countries are fast catching up with the current trend of globalization and e-commerce, thus, strategically working towards the alignment of their supply networks to balance demand and capacity. This study aims to determine how fast-moving consumer goods (FMCG) firms can satisfy their customers and leverage their brands more effectively by optimizing the information shared along their supply chain network. This study approaches the issue of information sharing and customer satisfaction through theoretical considerations and addresses the issue quantitatively in an empirical study of the triadic relationship in the FMCG industry. The FMCG industry in Nigeria was chosen as the context for this study. To address the objective of this work, a quantitative investigation was designed. Data was generated using two sets of questionnaires administered to FMCGs, their suppliers, and customers. Responses from the survey were statistically analysed using the structural equation model. The study identifies four levels of information sharing as measurement constructs. By establishing the importance of information sharing in the relationship between the firm and its supply chain partners, this research accentuates that all the flows in the supply chain anchor on information sharing which acts as a support to the firm’s overall performance. In particular, our findings suggest the possibility of improving communication among supply chain partners and raising the satisfaction levels of customers by the flow of effective information along the triad relationship in existence. The paper offers several managerial implications that are relevant, especially for FMCGs in production and service delivery settings.