Information Logistics in Value Chain Analysis of Small and Medium Food Processing Enterprises in Tanzania
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Small and Medium Food Processing Enterprises have a signiﬁcant role in the socio-economic developmentofTanzania. However,thesectorischallengedwithincreasedpressurefromglobalization and increased competition in the domestic market. The value chain analysis of small and medium food processing enterprises considers activities that create value with impact on performance. There lacks a model to guide the analysis of information that adds value (termed as information logistics) in the value chain of small and medium food processing enterprises. Eventually, it results into limitations on tracking performance and development of long term strategies to improve the sector. The main objective of this research was therefore, to develop a model of information logistics foranalysisofperformanceinthevaluechainofsmallandmediumfoodprocessingenterprises. This research employed theoretical analysis and synthesis approach to develop a conceptual framework. A conceptual model was then developed and tested with empirical data using a sample of 39 food processing enterprises. Analysis using multiple regression indicated a positive signiﬁcant effect of information logistics on value chain activities of small and medium food processing enterprises. Furthermore, a mobile phone application for data management of the small and medium food processing enterprises was designed and developed using Design Science Research methodology. The synchronization feature of the application allows for usage in Internet resource constrained environment. This demonstrated the implementation of information logistics in the enterprises. Evaluation of performance on the value chain of small and medium food processing enterprises using the mobile application indicated it was 62% usable in terms of efﬁciency, effectiveness and satisfaction. Information logistics is an opportunity to improve performance of small and medium food processing enterprises in Tanzania.