TECHNOLOGICAL INNOVATIONS AND PERFORMANCE OF LOGISTICS FIRMS IN NAIROBI CITY COUNTY, KENYA
Abstract
In an era marked by increasing globalization and competition, logistics firms must adopt advanced technologies to remain agile and competitive. This study investigates the influence of technological innovations on the performance of logistics firms in Nairobi City County, Kenya. The study focused on key technological tools including car tracking, route monitoring, and smart packaging, and how these innovations contribute to operational efficiency, customer satisfaction, and overall firm performance. Anchored on the Technology Acceptance Model (TAM), the study employed a cross-sectional survey design and targeted 742 logistics firms under the Kenya International Freight and Warehousing Association, using simple random sampling to select 260 respondents. Primary data was collected via structured questionnaires and analyzed using SPSS (version 26). Regression and correlation analyses revealed a strong, positive, and statistically significant relationship between technological innovations and firm performance. The findings underscore the importance of adopting advanced technologies to drive efficiency, reduce costs, and enhance customer experiences in the logistics sector. The study recommends the integration of state-of-the-art systems such as predictive analytics, automation, and digital tracking tools as core elements of strategic planning in logistics firms.
Key words: Technological Innovations, Firm Performance, Logistics Firms, Nairobi, Technology Adoption
Full Text:
PDFReferences
Acar, A. Z., & Atadeniz, M. (2020). Automation tools in logistics: Operational efficiency and revenue impacts. Operations and Supply Chain Management Journal, 13(2), 45–52.
Babbie, E. (2004). The practice of social research (10th ed.). Wadsworth Publishing.
Chuttur, M. Y. (2009). Overview of the Technology Acceptance Model: Origins, developments, and future directions. Sprouts: Working Papers on Information Systems, 9(37). https://aisel.aisnet.org/sprouts_all/290/
Cooper, D. R., & Schindler, P. S. (2011). Business research methods (11th ed.). McGraw-Hill/Irwin.
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319–340. https://doi.org/10.2307/249008
El-Sayed, A. (2019). Technology adoption and TAM: A contemporary review. International Journal of Innovation Science, 11(2), 101–115. https://doi.org/10.1108/IJIS-05-2018-0050
Golicic, S. L., & Smith, C. D. (2020). Revenue growth as a performance measure in logistics. Journal of Business Logistics, 41(1), 25–39. https://doi.org/10.1111/jbl.12223
Government of Kenya. (2019). National transport and logistics policy. Ministry of Transport, Infrastructure, Housing, Urban Development and Public Works.
Huang, Y., Qian, L., & Xu, S. (2019). Logistics innovation capability and performance. Transport Reviews, 39(3), 357–375. https://doi.org/10.1080/01441647.2018.1513254
Johnson, W., Brown, M., & Albrecht, H. (2020). The role of technological innovations in enhancing logistics firm performance in Germany. European Logistics Journal, 7(1), 88–101.
Kamau, M. (2020). Technology acceptance in Kenyan logistics firms: A TAM perspective. Kenya Journal of Business Research, 12(2), 64–79.
KIPPRA. (2023). Logistics sector review. Kenya Institute for Public Policy Research and Analysis.
Kimani, J., & Kihara, A. (2020). Logistics challenges in Nairobi City County: A strategic management perspective. African Journal of Business Strategy, 5(1), 13–26.
Mangiaracina, R., Perego, A., Salvadori, G., & Tumino, A. (2019). A review of digital transformation in logistics. International Journal of Physical Distribution & Logistics Management, 49(10), 1213–1235. https://doi.org/10.1108/IJPDLM-11-2018-0352
Meidutė-Kavaliauskienė, I., Aranskis, A., & Litvinenko, M. (2021). Consumer satisfaction in the logistics sector. Transport, 36(2), 131–139. https://doi.org/10.3846/transport.2021.14743
Mugenda, O. M., & Mugenda, A. G. (2003). Research methods: Quantitative and qualitative approaches. ACTS Press.
Mungai, J., & Karanja, G. (2021). Adoption of logistics innovations in emerging markets: Evidence from Kenya. International Journal of Supply Chain Innovation, 6(3), 77–89.
Mutua, K., Ochieng, J., & Ogada, T. (2020). Organizational performance and strategy in the logistics sector: A Kenyan perspective. Journal of Strategic Business Management, 9(2), 53–69.
Mwangi, P., & Muturi, W. (2021). Strategic integration practices and logistics performance in Kenya. Journal of Logistics and Supply Chain Management, 8(1), 23–35.
Mwangi, P., & Ngugi, M. (2021). Operational inefficiencies and logistics firm performance in Nairobi. East African Journal of Business and Economics, 3(2), 42–55.
Mwangi, P., & Wanjiku, C. (2020). Technological innovations and firm performance in the Kenyan logistics sector. Kenya Journal of Logistics and Procurement, 5(1), 14–29.
Njoroge, J. (2021). The impact of technology on logistics performance in Kenya. African Journal of Logistics and Supply Chain, 6(2), 89–105.
Okafor, C. J., & Adebayo, R. A. (2019). Technological innovations and logistics efficiency in Nigeria. African Journal of Logistics and Supply Chain, 5(2), 56–68.
Pawaskar, M., & Khan, S. (2021). Organizational performance and strategic alignment: Logistics sector case study. Indian Journal of Management Research, 14(4), 200–216.
Prajogo, D., & Olhager, J. (2019). Technological innovation and logistics performance: A review of empirical evidence. International Journal of Operations & Production Management, 39(1), 88–113. https://doi.org/10.1108/IJOPM-12-2017-0784
Ravitch, S. M., & Riggan, M. (2019). Reason & rigor: How conceptual frameworks guide research (2nd ed.). SAGE Publications.
Tang, C. S., & Veelenturf, L. P. (2019). The strategic role of logistics in a digital future. Transportation Research Part E: Logistics and Transportation Review, 129, 1–11. https://doi.org/10.1016/j.tre.2019.06.002
Wang, X., Yu, Y., & Frazelle, E. (2020). Predictive analytics in logistics: A case study approach. Journal of Business Logistics, 41(2), 132–149. https://doi.org/10.1111/jbl.12223
World Bank. (2023). Logistics performance index: Global ranking report. https://lpi.worldbank.org
Refbacks
- There are currently no refbacks.