Research On Evaluation Of Operations Efficiency And Service Quality Of Seaports In Tanzania

This study is about operations efficiency and service quality of Tanzanian seaports.Study aimed to contribute in improving operations efficiency and service quality of Tanzanian seaports by evolving strategies through academic research which will guide planner,implementers,managers and administrators in the whole process of improving operations efficiency and service quality of seaports in Tanzania.A well-developed seaport in an engine for the stable and fast economic development of the country,hence it is very important to develop operations efficiency and service quality of a seaport for better economic development.The seaport of Dar es Salaam is a major seaport in Tanzania and it handles more than 95% of country’s international maritime trade.The current situation of Dar es Salaam seaport including its capacity,operations efficiency,service quality and its constraints are detailed explained herein.This research applied both quantitative and qualitative research methods.Descriptive,conceptual,exploratory,a descripto-explanatory,case study and empirical research approaches were also used.Descriptive research was used in presenting the logistical connectivity from the seaport,while exploratory design was used to justify that not many studies have been done in this field in Tanzania before,and this applied to provide more insight to this topic.The case study approach was employed in order to draw useful lessons from other areas while empirical approach helped to deduce knowledge by means of direct and indirect observation and experience.Both primary and secondary data were collected.Interviews and questionnaires were used to gather in-depth understanding of operations efficiency and service quality status of Dar es Salaam seaport and the grounds that govern such situation.Research questions were used to lead the early stated objectives of this research paper.Secondary data sources for this study included;review of related literature from books,journal papers and a variety of institutional websites.Also this research employed various research analysis methods such as Partial Least Squares Structural Equation Modelling(PLS-SEM),Delphi method,Fuzzy Entropy and TOPSIS methods,SWOT analysis method,the AHP method,SERVQUAL model,Grey model,Exponential smoothing model,Quadratic model,a Combined forecasting model,a computer aided application(mat-lab),statistical analysis method like SPSS,Stata,Maxdea ultra 8.0,the comparative research method,literature review method,observation method,qualitative and quantitative analysis methods and many other research methods are applied as needed.Eight interrelated chapters are presented in this thesis.The first chapter provided the background of the research,general and specific research objectives,questions of the research,study scope,research significance,research methodology,organization of the research and study limitations.Then the second chapter is literature review of the study which explained about what have been covered and what is not yet covered together with the existing differences between the previous studies and this study is well presented in second chapter of this thesis together with conceptual definitions.Influential factors on seaport efficiency and services quality,efficiency evaluation models,service quality evaluation methods,seaport freight transport services and seaport management model are well covered in the literature review section after broad definitions of seaport,seaport efficiency and seaport service quality.Seaports overview with respect to container throughput volume,economic development,hinterland connectivity and the governance framework in Tanzania are well described in the third chapter of this thesis.The chapter’s scope included the Dar es Salaam seaport profile,seaport container throughput volume,seaport and economic development,seaport hinterland connectivity.Also,the hybrid seaport governance and ownership structure in Tanzania including all challenges it facing.Hinterland and logistics extensions of the Dar es Salaam seaport regarding its scope,performance and hinterland connectivity challenges also are well addressed.A qualitative approach is used in this chapter and study findings revealed that hybrid seaport management model in Tanzania faces several challenges which does not providing essential assurances to private investors like high tariffs,poor service quality,increased bribery level within the seaport.Also another qualitative research conducted about hinterland connectivity from the Dar es Salaam seaport revealed some constraints in Dar es Salaam seaport such as the draft capacity limit of Dar es Salaam seaport which is actually restricting the receiving of very big ships,seaport congestion due to un upgraded infrastructures,poor skills of maritime field by some employees at the Dar es Salaam seaport,high import tariffs at seaport,poor road and rail infrastructures,many road stops and checkpoints and road armed robbery cases were discovered as the challenges which need to be mitigated.Also,this chapter confirms that Dar es Salaam seaport is an important catalyst for the economic development of Tanzania,it promoting country transportation through improving transport infrastructures whereby agricultural products from Tanzania are easily exported.Promoting tourism activities where by country earn foreign currency,revenue generation from tariffs imposed on imports and other seaport charges,also institutional development and the provision of direct and indirect employment opportunities to skilled peoples contributing to economic development.Apart from those mentioned contributions,Dar es Salaam seaport still needs to be well developed in terms of operations efficiency and service quality.Analysis of the factors affecting operations efficiency and service quality of seaports in Tanzania are analysed in chapter four of this thesis whereby SWOT-AHP combined model was used.A comprehensive review of previous studies was conducted,questionnaires were used to collect primary data,Delphi method and interview with the representatives of selected seaport stakeholders and seaport authority were done accurately.Findings showed that Dar es Salaam seaport own more strengths than weaknesses also own more opportunities than threats.Major factors including lack of maritime professionals,seaport congestion,high seaport cost,in adequate seaport management model,lack of modern information and communication technology,poor seaport hinterland connectivity,competition from neighbour seaports namely Mombasa and Djibouti,absence of Tanzania Maritime Authority(TMA),environmental barriers and low level of maritime education in Tanzania.Fifth thesis chapter provided comparative evaluation and analysis concerning operations efficiency of selected six seaports from Southern and Eastern Africa by using DEA window analysis which covered 10 years period from 2010 to 2019.The operations efficiency for all seaports were found and finally comparison between was made.Study findings revealed that East African seaports have smaller seaports size,lower container throughput volume(TEUs)compared to South African seaports,but in regional wise seaports in East Africa are more efficient than seaports in South Africa.Durban seaport found to be the most efficient seaport while Walvis and Dar es Salaam seaport were found to be inefficient.Also,in this chapter various computer softwares like MATLAB,SPSS,STARTA and Excel were applied together with several prediction models to precisely forecasting the Dar es Salaam seaport container throughput volume.The used models were exponential smoothing model,grey model,quadratic model and a combined forecast model.Comparison was made based on their Mean Absolute Percentage Error(MAPE)after the computation of each model.Finally,models result depicted that the combined forecast model has got the smallest number of errors(3.8%).Hence the study confirmed that it has the best data for this research work,making it the best predicting model for container throughput volume of the Dar es Salaam seaport.In chapter six,SERVQUAL model in the dimensions of Tangibility Empathy,Reliability,Assurance and Responsiveness was used in the comparative evaluation of seaport service quality of the selected major seaports from Southern and Eastern Africa.Partial Least Squares Structural Equation Modelling(PLS-SEM)using Amos Graphics software version 26 was also applied to confirm the seaport service quality variables of Dar es Salaam seaport as measured by SERVQUAL model and to examine their relationship with customer satisfaction.Also,quality of freight transport services at Dar es Salaam seaport was evaluated using TOPSIS-FEM hybrid model.Survey method was applied and 314 members of shipping and logistics associations were engaged in a study survey.Study finding revealed that,the most service quality seaport in South Africa is Durban seaport followed by Maputo seaport and the last one is Walvis Bay seaport.Also,the most service quality seaport in East Africa is Djibouti seaport followed by Mombasa seaport and the last one is Dar es Salaam seaport.The composite(Overall Average %)seaport service quality of both selected regions found to have negative values,it explains that all regional seaports are providing poor service quality.Moreover,findings also showed that,the least service quality seaport of the two regions is Walvis Bay seaport.Concerning the evaluation of the service quality delivered by Dar es Salaam seaport and influence of service quality dimensions on the customers’ satisfaction,the study noted the existence of negative gap in all service quality dimensions,meanwhile the service quality of Tanzanian seaports particularly Dar es Salaam seaport is poor.Also,it found that seaport service quality is a five-measure construct;Responsiveness was significantly influence customer satisfaction while empathy and assurance could insignificantly influence customer satisfaction.Reliability was found to significantly cause customer dissatisfaction and tangibility was insignificantly to cause customer dissatisfaction,this study academically contributes to management practice as seaport administrators,managers and executives can use the seaport service quality measurements to evaluate the satisfaction of their customers and defend investments in seaport service quality as a relational marketing strategy.This study also donates to building theory,as it validates and presents the corresponding model of quality services for seaport and satisfaction of seaport customer.Fuzzy Entropy Weight and TOPSIS methods were used to evaluate the quality of freight transport service at Dar es Salaam seaport.Survey method was applied and 50 questionnaires distributed to transport users and transport service providers this were done after intensive literature search for establishing service quality criterions.Findings show that regarding the service quality,recently rail freight transport seems to perform better than road freight transport.Conversely,currently the rail freight transport service is in development progress as resulted to providing its service on limited routes.Proposed strategies for improving operations efficiency and service quality of Dar es Salaam seaport in Tanzania are well presented in the chapter seven of this thesis.Proposed strategies were targeted in two areas namely the government of Tanzania and the Dar es Salaam seaport itself.First of all the government of Tanzania should modify country’s seaport governance framework,establish maritime universities in Tanzania,minimize tariff and seaport charges,formulate stand-alone maritime policy,improve logistics facilities and security,build a new container freight station at Kisarawe,formulate appropriate investment policies and solidify the use of PPP schemes,facilitate modal shifting from road to rail freight transport,enhance regulatory mechanism,minimize the political influence on seaport development issues,construct a new Bagamoyo seaport and implement OBOR strategy.On the other hand,the management of Dar es Salaam seaport should,implement the WO development strategy,adopt total landlord seaport management model,providing regular training to seaport staff,modernize of seaport infrastructures,modernize seaport operating systems,implement new strategic management model,encourage competition among private investors and strengthen security measures at the Dar es Salaam seaport.Finally,thesis ended in chapter eight by providing summary,conclusion and recommended areas for future research.