Digitalised Risk Management and Firm Performance: An Empirical Analysis of Container Freight Stations in Kenya
Keywords:
digitalised risk management, Firm Performance, Surveillance technologies, electronic cargo inspection, gate control systemAbstract
The study evaluated the effect of digitalised risk management on the performance of Container Freight Stations (CFSs) in Kenya. Positivism philosophy guided the adoption of cross-sectional survey design. The target population was 38 Container freight Stations in Kenya. The study adopted a census of all 38 licensed CFSs operating in Kenya, with 136 respondents participating structured questionnaires filling. The quantitative data were analysed based on multiple linear regression model with the help of the Statistical Package for Social Sciences version 25. Surveillance technologies significantly and positively affected all performance indicators of CFSs in Kenya. Further, electronic cargo inspection significantly and positively affected revenue growth and operational efficiency aspects of performance of CFSs in Kenya. Finally, gate control system had a weak positive effect on all performance indicators of CFSs in Kenya. The study concluded that the sub constructs of digitalised risk management were jointly positively associated with performance of CFSs in Kenya. The management of CFSs in Kenya should implement non-intrusive inspection technologies, such as X-ray scanners and radiation detectors to minimize clearance times and improve detection capabilities. Further, the Kenya Ports Authority, Kenya Revenue Authority, and the Ministry of Transport ought to mandate or strongly advocate for the implementation of real-time surveillance infrastructure, and electronic cargo inspection technologies as essential operational and security prerequisites for CFS licensing and compliance.
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