An Exploratory Study of the Supply Chain Logistics (SCL) Optimization of SME Cargo Companies

Abstract

Purpose: The aim of the study was to analyze the challenges faced by SME companies and analyze the opportunities and challenges in the supply chain logistics sector and analyze the best practices and techniques for the optimization of supply chain and logistics. Design/methodology/approach: Exploratory research was carried out using the secondary data collected from the Supply Chain Logistics companies and the analysis of the study was carried out using prior academic literature. Findings: From the study, it was found that the major challenges faced by SMEs in Oman were the lack of finance, lack of marketing knowledge, operational limitations, and lack of entrepreneurial culture and managerial skills. The opportunities in the supply chain sector included the Location, Infrastructure, Economic Opportunities, and Economic Diversification of Oman along with challenges like Human Resource Competency, Competition, Connection, Technology, and Transactions. Research limitations/implications: Based on the results, it was recommended that SMEs should focus on improving their Human Resource Competency, and gain a competitive advantage through optimization of supply chain and logistics activities using technology and implementing optimization strategies. Social Implications: The findings from this study have provided an academic and empirical contribution to the cargo and logistics companies and the SME community in Oman. Furthermore, provides contextual and managerial contributions to the literature on the optimization of supply chain logistics in SMEs. Originality / Value: No prior studies were found addressing optimization challenges and opportunities faced by SME cargo and logistics companies. Through this theoretical study, the researcher attempted to shed light on and tackle this situation. Keywords: SMEs in Oman, Supply Chain and Logistics Optimization, SME Cargo Companies in Oman, Porter’s Value Chain, Challenges and Opportunities faced by SME Cargo companies in Oman.