Abstract

Integration of digitalization and automation with logistics systems promotes effective and efficient flow of goods, information, and services, contributing to economic development. The level of implementation of digitalization and automation in low-income countries is still low, however. The aim of this study is to establish which digitalized logistics practices could best be adopted by firms in low-income countries. A systematic literature review was used to identify state-of-the-art digitalization and automation technologies in logistics chains. Criteria for adopting digitalized logistics practices were also identified in the literature review. An expert survey was conducted to identify criteria weights using analytical hierarchy process (AHP). Economic benefit, infrastructure, and affordability were the criteria that were given the highest weights by the experts. Case studies that applied state-of-the-art technologies such as internet of things (IoT), radio frequency identification (RFID), blockchain, big data analytics (BDA), and sensors mainly for traceability, production operation, and warehouse and inventory management were considered as recommended practices. Identification of suitable practices considering the local conditions in low-income countries could help logistics professionals and policymakers adopt enabling technologies in logistics chains.

Highlights

  • Logistics is crucial for any economy [4], as it affects the productivity of organizations [5]

  • Digitalization technologies improve the performance of logistics chains by reducing logistics costs, lowering lead times, and contributing to sustainability

  • The systematic literature review (SLR) conducted in this study showed that there was no literature on this topic from low-income countries and most papers were from high-income countries

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Summary

Introduction

Logistics has been identified as one of the core pillars of economic development [1] It involves the process of planning, implementing, and controlling effective and efficient forward and reverse flow of goods, information, finances, and services from production to consumption, and vice versa, in a way that satisfies customers and complies with environmental requirements [2] (Figure 1). Digitalization and automation have been introduced in logistics chains to create a logistics system that is interconnected, intelligent, integrated, and automated [8] These technologies are vital to logistics, as they enable proper and sound management of complex logistics environments [9]. Digitalization and automation in logistics decrease the rate of error occurrence and improve the level of quality [11] These technologies are applied for reverse logistics. This increase has led to the application of digital technologies in reverse logistics, to track products and parts that are being returned [12]

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