Challenges of Multimodal Transport Services:The Case of Ethiopian Shipping and Logistics Service Enterprise : Ethiopia- Sweden-Denmark and UK trade routes operation

University essay from Linnéuniversitetet/Institutionen för marknadsföring (MF)

Abstract: Abstract Purpose: is to identify the challenges of multimodal transport service of ESLSE in the Europe trade routes operation from origin up to destination and to analyze the contribution of network partners to ESLSE solving these challenges.   Design\Data collection\Approach: This thesis relied on qualitative research design in order to identify the key challenges of multimodal transport services and to show how the network partners contribute to solving these challenges. Moreover, to achieve the objective of the study, semi structure interviews were used, and the responses from 14 experts were analyzed.   Theoretical framework: The theoretical base and concepts are used to determine the theoretical boundaries of the research. It provides an overview of the literature that exists in the challenges of multimodal transport services. The theoretical framework firstly encompassed the logistics performance and personnel, followed by the description of multimodal transport services, customs facilitation, ICT, infrastructure, network partner integration and port administration. Lastly, theoretical synthesis is developed that are identified from the theory to demonstrate the interrelationship between individual concepts.   Findings: The findings of this study revealed that multimodal transport service was impacted by a number of challenges even if the network partners contributed some solutions. The results of the study showed that the lack of skilled logistics personnel; poor ICT system; lack of integration between network partners; lack of effective infrastructure; inadequate and ineffective capacity of trucks; material theft; corruption; security risk; lack of prompt response in the operation between network partners; monopoly of the operation by ESLSE; and lack of quality of transported cargo are the main challenges for multimodal transport services. Managerial implication: For managers of network partners, it is recommended that they should be aware that the challenge of multimodal transport service is the result of poor ICT systems; lack of integration between network partners; lack of effective infrastructure; lack of skilled logistic personnel; inadequate and ineffective capacity of trucks; material theft; corruption; security risk; lack of quality of transported cargo; and lack of prompt response in the operation between the network partners Hence, they should take action to solve the problems by integrating with shipping agents and steering committees such as customers office, transport minister, and maritime authority. Moreover, the shipping agents managers can use the results of the study to enhance their contribution in order to solve the challenges of multimodal transport services by communicating with the ESLSE.   Limitations: The small sample size without adequately diverse geographical spread and sample of shipping agents and dry ports since the study is only limited to Europe trade routes and it did not take in to consideration other continents like Africa and Asia which could have given additional information on the topic. The sample of shipping agent and dry ports was limited with 3 out of 11 and 3 out of 7 respectively.   Originality\Value: This thesis is one of the first to analyze the challenges of multimodal transport in the case of Ethiopia to Europe trade operation by interviewing both the ESLSE and shipping agents.

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