Assessment On Challenges And Prospects Of Freight Logistics The Case Of Ethiopian Shipping And Logistics Services Enterprise

The paper has made a study on the challenges and prospect of freight logistics in (ESLSE).The general objective ofrnthis study is to examine the challenge and prospect of freight logistics the case of ESLSE. In order to meet thisrngeneral objective, the researcher was collected 283 usable responses from the target population of the study usingrnNon-probability (deliberate or purposive or judgment) sampling technique. The study questionnaire containingrndifferent dimension of variables based on the basic research question which determine the challenges and potentialrnprospects pertaining to freight logistics operation of the enterprise, I:e Information Communication Technologyrn(ICT), Dry port and Terminal Services, Policy and Regulatory Aspects, Custom facilitation, Freight logisticsrnOperation performance. The analysis was conducted using descriptive statistics using Statistical Package for SocialrnScience (SPSS) version 20 and secondary document analysis is done for confirming the findings. Finally, the overallrnconclusions that drown from the result indicates, the prevalence of poor inland transport facilities, lack ofrncommitted and ethically responsible professionals in operational areas, lack of port equipment and facilities,rnfrequent interruption of communication networks, dry ports capacity limitation and extended customs goodsrnclearing procedures were disclosed as the main challenges to system’s operation. As well as, rail road construction,rnEconomic growth, Political stability, Technological development , Foreign direct investment, Being member ofrnWorld Trade Organization WTO were listed as potential prospects for the improvements of freight logisticsrnperformance of the enterprise. In order to become more efficient and effective and to improve the services of freightrnlogistics performance, measures need to take by government of Ethiopia against the described challenges.In orderrnto, taking the necessary corrective action timely as well as exploit the possible solutions helpful to get rid of thosernchallenges which they stated above; from the analysis made during the assessment, the study forwarded thernfollowing recommendations to be considered by concerned body; there is need of development in the followingrnareas to overcome the facing challenges of freight logistics service of the enterprise’s as well as to develop therneconomy of the country. Need to develop more road, rail and airfreight infrastructure to make Ethiopian exportrngoods competitive on the international market. The other thing is need to develop organizational and consolidationrninfrastructure and services to link producers (farmers) to consumers (market) and to create managing body forrnefficient and effective goods flow in the network from producers to consumers. Transport companies need to bernsupported and encouraged to build their capacity in terms of human resources, number and better age of theirrnvehicle fleets, coordination of their services, and integration of their services with the services of warehouses andrnterminals. Warehouses and terminals are recommended to do value adding activities like consolidation, packaging,rnetc.rnKey words:

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