Rail freight transportation concerns of developing economies: A Namibian perspective

Background: Although rail transport appears to be well established and outperforming other transport modes in Europe and beyond, in the majority of developing economies it was observed that firms and travellers were, on the contrary, shunning from the rail. Despite considerable infrastructural investments in the African rail systems, the sector has been deteriorating over the years. Objectives: This study identifies the freight rail transportation problems faced by African developing economies, focusing on Namibia, and examines the potential actions and factors for minimising such problems, drawing lessons from some of the developed world’s success stories. Method: The objectives of this study are achieved through a survey of Windhoek-based industrial and logistics firms operating in Namibia. Self-administered survey questionnaires were distributed through the aid of trained research assistants. Results: The study’s results show that some of the reasons of shunning rail transport are a matter of attitude, whereas some are related to operational challenges. The study confirms that the transport mode used and ownership of the freight transport services used can affect the degree of satisfaction for the transportation of goods in Namibia. Conclusion: Namibian industrial and logistics firms avoid using rail, owing to its low level of satisfaction obtained from its use. Besides engaging in Public Private Partnerships (PPPs) in rail transport operations, the study contends that rail transport should receive attention similar to that given to other transport modes for African economies such as Namibia to overcome the costs associated with the increasing road congestion

Challenges facing procurement professionals in developing economies: Unlocking value through professional international purchasing

Background: Until recently, procurement was seen as a necessity only. In fact, in many developing economies the profession is still being treated as a ‘back-office’ function. However, not much has been done to explore and address challenges facing procurement professionals in developing economies. Objectives: The purpose of this article was to examine the critical role played by the procurement function in business and to reveal the challenges faced by procurement professionals in developing economies as well as to suggest solutions to these challenges. Method: A sequential literary analysis was used, complemented by cross-country qualitative data gathered from one hundred diverse procurement practitioners from Botswana, Namibia and Zimbabwe. These were primarily participants in a series of procurement workshops run by the researchers from January to June 2014. Results: Findings suggested that limited recognition, increasing unethical behaviour, poor supplier service delivery, poor regulatory environment, varying supplier standards and poor corporate governance are the main challenges faced by the procurement profession in these countries. Conclusion: The study’s findings imply that there is limited understanding regarding the role procurement plays in both government and non-government institutions in developing economies. The article suggests solutions which procurement professionals and organisations can implement in order to unlock the potential value in the procurement function

Digital capital and food agricultural SMEs: Examining the effects on SME performance, inequalities and government role

AbstractThis paper provides an explorative and interrogative profile of digital capital on SMEs within the agricultural food sector, focusing on SME farmers. Digital capital is deemed the new capital essential for farmers. The paper examines the opportunities and threats offered by digital capital and explores how it influences agricultural SME performance and how it leads to digital inequalities. The study purposively sampled three South African agricultural provinces and adopted a purposive sampling technique to collect quantitative and qualitative data. With the undoubted contribution of SMEs to social and economic fronts, the study chronicled how digital capital has improved the value chain processes while unearthing the barriers to digital tools access. It emerged that SMEs face many adoption challenges; hence it is debatable to link positive SME performance to digital capital adoption. It emerged that agricultural SMEs mostly adopt complimentary service digital tools, indicating that digital capital is a catalyst for inequalities. While the government has implemented some initiatives to promote digital capital adoption, such interventions remain inadequate. The study contemplates other initiatives that could be adopted to address the barriers SMEs face in this digital era, hence closing the inequalities gap within the industry. SMEs should be subject to public policy support and protection, particularly on digital capital incentives and sponsorship. The government must regulate some digital capital tools which are more harmful than productive

Land as the nexus in youth, female unemployment and poverty reduction

A position paper on how land can be utilized as a resource to enhance female and youth employment opportunities as well as ensure food security / poverty reduction in the case of Zimbabwe.Land is regarded as the primary natural capital for both economic development and poverty reduction. In its unexploited form, land can only generate limited rent as a natural resource. As an asset, the economic value of land is an imputed value. However, for the youth, the poor and other vulnerable groups, the social value of land carries the hope of uplifting them from poverty. Globally, unemployment among the youth has brought forth the debate on how land can play a central role in mitigating one of the most intractable problems of modern society. Zimbabwe's land reform has not only addressed landlessness and crammed settlement, but has raised hopes for poverty reduction among the unemployed youth and women. For the youth, the land reform in Zimbabwe had limited direct benefit at individual level. It mainly benefitted, among others, the age groups that actively participated in the liberation war and the politically active. The land reform resulted in the resettlement of well over 260 000 individuals and families. The reform process did not, however, prioritise allocation of land to vulnerable groups such as the youth and poor. Long spells of unemployment among the youth, both male and female, have brought forth the debate on the role of agriculture in addressing youth unemployment. In developing countries, youth unemployment and poverty are covariate with landlessness. Access to land by the youth and women remains an unexplored territory with the potential to address the problems of unemployment and poverty. Although traditionally the youth become of age on marriage and in rural areas it opens up access to a piece of land for subsistence farming, there has been very little consideration of extending those ‘rights’ in accessing larger pieces of land for agriculture