Factors and impacts of logistics innovation in Tanzania

Firms and companies around the world have to deal with logistics issues. This has made logistics to expand in both volume and intensity. There is also a great need for logistics innovation to meet the demand of customers to get better services on time. This study endeavors to expand the understanding of factors and impacts of logistics innovation in Tanzania because there was a gap in literature on logistics innovation, especially in developing countries. This study had three main objectives: to identify logistics capacity in Tanzania, to identify factors of logistics innovation and to identify effects of logistics innovation in Tanzania. These objectives were thoroughly addressed by this study. This study used survey method which involved forty participants from twenty different companies based in Dar es Salaam. Data were collected using semi-structured questionnaires. The results were summarized and discussed to discover the patterns and deviations to patterns. Correlation Analysis was used in Analyzing Data. The major findings were the following: it was found that there is a positive correlation between knowledge resources, financial resources, managerial resources, and technological resources with logistics innovation. Other factors which contribute to logistics innovation are competition and capital availability. The major effects found, was that the logistics innovation can lead to competitive advantage of the firms; and this can improve their opportunities in today’s globalized world.