ASSESSSEMENT ON THE EFFECTS OF INFORMATION AND COMMUNICATION TECNOLOGY ON THE PERFORMANCE OF ETHIOPIA CROSS BORDER TRANSPORT FIRMS

Abstract

border transport service is a key issue for the country’s foreign trade in order to be more competitive in the global market place. The current rapid economic growth of the country has increased its foreign trade. The majority of the foreign trade facilitated through cross border freight transporters. However, the current cross border freight transport operation is operating at a lower level of efficiency and reliability. In order to improve the efficiency and reliability of cross border freight transport operation, this study aimed at assessing the effects of ICT on the performance of Ethiopia cross border transport firms. The study used descriptive research design to answer the research questions. Stratified sampling method used to select the samples. Hence, 85 firms were included to be the target samples from the total 166 population using proportional stratified method. To select the samples from each stratum simple random sampling method were used. Pilot test conducted to test the reliability and the validity of the questionnaire. The primary data collected through questionnaire and analyzed using SPSS. The results of the study presented in the form of tables, pie chart and graphs. Based on the findings of the study most of the firms were perform their activities through mobile, phone/fax and internet. The levels of usage of more advanced systems providing real-time information were very low. Further, majority firms performed their activities with ineffective equipments. This indicated that majority firms perform their activities with obsolete technological equipment. The results also showed that ICT affect the vehicles operational efficiency by increasing vehicles utilization rate and by assisting for managing the driver in better ways. The results indicated that implementing ICT on customer service delivery enable firms to be more reliable and predictable. The study also indicated that ICT have low impact on safety and security of vehicles. Cost of adoption, lack of adequate supplier, lack of managements and owners awareness about the potential benefits of modern ICT system were the main reasons for cross border transport operators for not using advanced ICT system.