Efficiency Of Ethiopian Garment Factories Evidence From Addis Ababa

Master's Thesis from the year 2016 in the subject Economics - Job market economics, grade: 1.0, , course: Development Economics, language: English, abstract: The study measures the level of technical efficiency and its determinants in Ethiopian garment factories. The study employs both Data Envelopment Analysis (DEA) and Stochastic Frontier Analysis (SFA) to compute the technical efficiency of Ethiopian garment factories and Tobit model to examine the determinant of technical inefficiency of the garment factories based on a data set of ninety four garment factories over the period of 2014-2015. The study used Akaike Information Criteria (AIC) to opt for the best function between Cobb-Douglas and Translog functions. The result reveals that Cobb-Douglas production functions better explains the production behavior of garment factories. The DEA estimation shows that the mean technical efficiency of garment factories was around to be 0.43 while such figure in SFA goes as high as 0.89 and the research indicated that export do not promote technical efficiency Ethiopian garment factories. The research indicated that DEA is more appropriate for small garment factors while SFA is more suitable to large and medium garment factories. The result from DEA model indicates that educational level of production manager, local fabric sourcing, collaboration with similar factories and membership status with Ethiopian textile and garment institute have positive contribution to efficiency. On the other hand wage rate of semi/unskilled labour, years of establishments, number of production line, educational level of the manager and size have a negative effect to efficiency. While the result from SFA indicates that wage rate of semi/unskilled, year of establishment, size and educational level of the manger have the positive contribution to technical efficiency. On the other hand owners citizenship and collaboration work with similar factories are a negative contribution to SFA technical efficiency. The research recommends that output can be increased by improving the technical efficiency of Ethiopian garment factories. To do so, for large and medium scale firms attention should be given to improve the wage rate of semi/unskilled labour, educational level of the managers and minimize collaboration with similar firms while educational level of the production manager, local fabric sourcing, collaboration with similar factories, and membership status of textile and garment institute should be improved for small firms.

Ethiopia, though remaining one of the least urbanised countries in the world, has taken impressive actions to transform the state into a more industrialized nation.Several industrial parks have been built in recent years throughout the whole country. The textile sector is one of these sectors. The textile industry is expected to provide employment for hundreds of thousands and thus improve people's living conditions and contribute to the development of the country. Major reason for asian investors to shift their focus to Ethiopia are extremely low wages and the lower production costs involved. The Ethiopian textile industry has to deal with high rates of labor turnover and absenteeism. From the perspective of the mostly international managers the reason for turnover and absenteeism is often attributed to the 'mindset' of the predominantly female workforce. A research project financed by the German Bundesministerium für wirtschaftliche Zusammenarbeit und Entwicklung is looking at reasons and possible measures to solve this problem. Results of this project (conducted at the University of Giessen by Michaela Fink and Reimer Gronemeyer together with Ethiopian colleagues are presented in this book. Experts from Ethiopia and Germany are presenting the history of the textile industry in Ethiopia and the coming development. All this is framed by the discussion of present crisis - Covid-19; the war - in Ethiopia).

This book constitutes the refereed post-conference proceedings of the 6th International Conference on Advancement of Science and Technology, ICAST 2018, which took place in Bahir Dar, Ethiopia, in October 2018. The 47 revised full papers were carefully reviewed and selected from 71 submissions. The papers present economic and technologic developments in modern societies in five tracks: agro-processing industries for sustainable development, water resources development for the shared vision in blue Nile basin, IT and computer technology innovation, recent advances in electrical and computer engineering, progresses in product design and system optimization.

Master's Thesis from the year 2021 in the subject Business economics - Business Management, Corporate Governance, grade: Very Good, Wollo University (Kombolcha Institute of Technology(KIOT)), course: Sewing Machine Operator Skill Monitoring, language: English, abstract: Ethiopian garment manufacturers need to improve their manufacturing performance to be competitive in local as well as international markets. The garments need to be of high-quality meeting in international standard, low cost and on-time delivery simultaneously. Some of the Ethiopian garment manufacturer problems like lack of skill monitoring system for employee skill evaluation methods, high levels of competition, low level of production efficiency, produce low-quality product, does not meet daily target, inadequate training, dissatisfaction of sewing operators and absenteeism, are some of the existing problems. Therefore, for such problems focusing on performance of sewing labor is essential. The focus is on raising the production efficiency and multi-skill development in the sewing production line through a skill matrix tool. The workers skill is analyzed on different jobs and based upon his/her performance on a job, a grade is given. This grade defines the level of performance an operator can achieve on that specific job. This study aims to find out the skill gaps of each individual sewing operators and categorization of the workers based on their skill levels and builds up the labor performance monitoring system. The data collection method for this study was both primary and secondary data sources, and for the selection of sample size random sampling technique is used. The categorization is based upon the well-established attributes from literature and relevant websites and done in two ways: Skills on the operation (types and number of operations) and Skills on the machine (types and number of machines). The study will initiate the management to know the performance of their employees and their skill gap, so that employees having better abilities may be rewarded and the wrong selection and placement may be reduced or avoided.

This book encapsulates the advanced concept of sustainable management and will enlighten readers to understand this concept for practical applications. The book's salient features are as follows: • Illustrates the basic concepts of human psychology causing risk factors such as burnout; • Differentiates adaptive sustainable measures and management practices; • Emphasizes sustainable agriculture management to confront the current dynamic environment and defines specific rules for enterprise development while coping with global climate change; • Assesses inertia with respect to economic development; • Constructs the linkage between technological strategies and innovation among construction companies; • Demonstrates non-financial reporting through theoretical and empirical evidence; • Elucidates the principles of equality, elaborating the managing of equality and diversity in a Steiner school

Master's Thesis from the year 2018 in the subject Economics - Foreign Trade Theory, Trade Policy, grade: Excellent, course: Development Economics, language: English, abstract: This study is conducted to investigate Ethiopian exports efficiency by using a stochastic frontier analysis model with panel data to estimate if countries operated at the frontier with its major trading partners. Export efficiency is defined as the ratio of actual exports to the maximum possible volume. In addition, the study investigates the factors of export efficiency, focusing on Ethiopia's exports to its major trading partners during the period 2006 to 2017. The arable land, gross domestic product and population of Ethiopia and of the trade partner's countries, distance between Ethiopia and trade partners' countries, gross capital formation, and geographical location of trade partner's countries determines the export flows of Ethiopian export. As a result the estimated coefficient of determinants shows that population and gross domestic product have significantly and positively affect the Ethiopian export sector. The empirical results show that the volume of Ethiopian actual exports is far below the estimated efficient level, and that there is considerable room for increasing Ethiopia's exports. The trend of agricultural export efficiency shows some improvement over the stated years while manufacturing sector shows decreases. Those findings imply that Ethiopia should search the redemption policy that enables the country to maximize the efficiency of the sector by using all possible potential.

Presents evidence confirming the existence of a wide array of policy options for increasing business competitiveness and reducing dependence on primary commodities in Sub-Saharan Africa.