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Analysis reveals management practices reduce production risks in Ethiopian manufacturing, indicating a need for strategic improvements.
Manufacturing plants in Ethiopia face significant operational challenges that increase production risks. Understanding these systems is crucial for improving efficiency and safety. The study employs multilevel regression analysis to assess the impact of various factors on production risks. Data were collected from SMEs across different regions and analysed using statistical software. Multilevel regression analysis revealed that management practices significantly influence risk reduction, with a positive effect observed in SMEs (p<0.05). The findings suggest that adopting structured management strategies can substantially reduce production risks in Ethiopian manufacturing plants. Policy makers should promote the adoption of best management practices to enhance safety and efficiency in Ethiopia's manufacturing sector. The maintenance outcome was modelled as Yᵢₜ=β₀+β₁Xᵢₜ+uᵢ+εᵢₜ, with robustness checked using heteroskedasticity-consistent errors.
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Wolde et al. (2005) studied this question.
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