Business Process Automation and Firm Performance: Evidence from Container Freight Stations in Kenya

Abstract

The study evaluated the effect of business process automation on the performance of Container Freight Stations (CFSs) in Kenya. Positivism and interpretivism philosophies guided the adoption of an explanatory sequential mixed methods 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 in the survey, while 13 respondents participated in the interview. Structured questionnaires and key informant interviews were administered. The quantitative data were analysed based on a multiple linear regression model with the help of the Statistical Package for Social Sciences version 25. The qualitative data were analysed based on content analysis with the assistance of ATLAS.ti, software. Business process automation sub-constructs: cargo handling automation and the track appointment system significantly affected the performance indicators of CFSs in Kenya. The study concluded that business process automation was significantly associated with revenue growth, operational efficiency, and customer satisfaction. The management of CFSs in Kenya should scale up business process automation via an interoperable cargo clearance system, streamlined cargo handling automation, and track appointment system to improve service efficiency.