Assessment Of The Performance Of Multi modal Transport Service In Ethiopian Shipping And Logistic Services Enterprise

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Addis Ababa University


The Government of Ethiopia introduced multimodal transport system with the intention of providing seamless logistics services with reduced transaction cost. The reviews of literature show that the implementation of multimodal transport system in Ethiopia have been hindered by various problems. These problems include poor existing infrastructure and lack of basic infrastructures, congestion of dry ports, inefficient and ineffective freight vehicles, long and inefficient custom clearance process and lack of competition in multimodal transport. This study was made with the main objective of assessing the performance of multimodal transport service in Ethiopian Shipping and Logistics Services Enterprise in relation to time, cost effectiveness and reliability. Primary data were collected from 138 customers and two managements through interview. Out of the 138 questionnaires distributed all the 138 questionnaires were successfully returned back. Descriptive analysis method was used to calculate the outputs (i.e. mean and standard deviation) using the Statistical Package for Social Sciences. To assess the performance of multimodal transport service the performance measure were categorized in to six dimensions only for the purpose of this study. These are custom, infrastructure, competence, timelines and, competition and tracking and tracing. The findings of the research showed that the majority of customers were either disagreed or strongly disagreed with the many of performance indicator. Although the finding of the research indicated that the majority of the customers were agreed on the improvement of multimodal transport service during the past five years. Hence based on the findings of the research it is possible to conclude that inefficient custom clearance process, poor infrastructure, poor handling equipment and facilities in dry ports, inadequate port, terminal and warehouse spaces, shortage of truck, shortage of skilled manpower in logistic sector, cargo is not delivered as schedule or expected, lack of competitiveness in multimodal transport, tracking and tracing service not supported by automated or computerized system. These challenges were found to be sources of increased transit time, cost increment and unreliability. However, the enterprise has been taking stage by stage measures to upgrade the multimodal transport service quality. Therefore, the government has to invest on road, railway and dry port & terminal infrastructure and the enterprise has to equipped all the ports and terminals with modernized machineries and facilities in the future. The inland transport service should also be enhanced by acquiring latest fuel efficient and high volume vehicles. Upgrading employees professional qualification in logistic sector, create more awareness to customers to receive their cargo from the dry ports within the free time, running digital scanning machine for custom checking, computerized or automated tracking and tracing system benefits the multimodal transport in meeting efficient, cost effective and reliable service.



Multimodal Transport, Dry Ports and Terminal, Multimodal transport operator