The Effect of Information and Communication Technologies on Operational Performance of Logistics Management: The Case of Ethiopian Shipping and Logistics Service Enterprise

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Date

2019-06

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Addis Ababa University

Abstract

The major objective of this study was to investigate the effect of ICT implementation on operational performance of logistics management in Ethiopian Shipping and Logistics Service Enterprise. This study employed a quantitative and qualitative approach (a mixed approach). The research design was used to determine the level of ICT implementation and its effect on operational performance of logistics management in ESLSE. This study used explanation study in order to answer questions concerning the current status of the subjects in study. The data for the study was collected from 217 staff of Ethiopian Shipping and Logistics Service Enterprise. Likert scaled questionnaire and interviews were used as instrumentsfor data collection.A descriptive analysis was performed to estimate the level of ICT implementation and the person correlation used to estimate the relationship of information communication technology implementation to the operational performance of logistics management. The regression analysis was used to estimate the effect of ICT on operational performance of logistics management. From the results, the overall level of ICT adoption is fairly high, while the level of ICT usage is low. Based on its system quality, information quality, service quality, and usage the current practice of ICT has been effective at a high extent. There is a significant positive relationship between level of ICT adoption, level of ICT usage, level of ICT effectiveness and operational performance of logistics management in ESLSE. Besides, level of ICT usage and level of ICT effectiveness are significant predictors of the operational performance of logistics management in ESLSE. However, level of ICT adoption was found not to be a significant predictor of operational performance of logistics management in ESLSE. The policy-related barriers were considered the most important barriers to ICT implementation in ESLSE. Finally this study recommends that ESLSE needs to increase the level of ICT usage through advanced ICT tools and improve level of ICT effectiveness in order to improve efficiency and effectiveness of its logistics service because according to the findings they are significant predictors. The main future direction from a research point of view is that more detail similar studies should be done using more qualitative approach to provide in-depth understanding of effect of ICT and how it can improve operational performance of logistics management

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Keywords

Information Communication Technology, CT adoption, ICT Usage, ICT Effectiveness, Operational Performance of Logistics Management

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