The Role Of Digitization Of Aircraft Ground Handling On Supply Chain Integration Of Ethiopian Cargo & Logistics Service
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Date
2020-06
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Addis Ababa University
Abstract
Supply chain Integration has emerged as a major field of interest over the years that involve the
strategic alignment of functions and processes within an organization as well as outside the
organization. The concept of digitization comes across to be a perfect enabler for the required
supply chain performance which is highly dependent on the integration level that exist within
business partners in terms of cash, resource and information. Digitization, as far more than
automation, reflects on end to end functional and process alignment with the support of the current
ICT capability like internet of things , mobile processing and big data analysis . This study focus on
examining the role of digitization of aircraft ground handling on supply chain integration of
Ethiopian Cargo Logistics Service. Aircraft ground handling value chain involves different airport
players and complex process with time constraint which needs information sharing and data driven
dynamic decision making platform. The supply chain integration expressed in three sub grouped
elements customer integration(integral, supplier and customer integration) , firm to firm
collaboration and planning & control(information & measurement integration ).The study have
three objectives as follow ; assessing the digitization practice, identifying the digitization challenge
of Ethiopian Cargo & Logistics Service and examining digitization role on the supply chain
integration of Ethiopian Cargo & Logistics Service’s aircraft ground handling . The research uses
an explanatory design to understand the problem lying underneath the digitization implementation
limitation within the company. Due to the nature of the study needs a group of experts involving in
the aircraft ground handling directly involved or affected in the digitization process were selected
for data collection. Questionaries’ were developed from similar literature to measure the above
stated objectives and they have under gone with validly test from expert and reliability test using
Cornbrash’s alpha value . The result has discussed a highly positive role of digitization in the
company’s supply chain integration especially the customer integration sub group element while no
significant influence on the firm to firm collaboration and measurement integration . It’s also
indicated that external factors especially technological factors have more influence on the
digitization role of aircraft ground handling. Digitization in the company’s aircraft ground handling
must focus on the end to end output of each major process in the value chain ensuring information
sharing and flow for data driven decisions.
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Keywords
Digitization, Supply chain integration, Aircraft ground handling value chain, information sharing