Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)

Abstract

Logistics Sector Development Integration with Oman Logistics Vision 2040: Analyzing Using Porter???s Value Chain Theory

Author(s): Noorul Shaiful Fitri Abdul Rahman, Sara Aadel Mohammed Al-Balushi, Abdelsalam Adam Hamid, Khalid Salim Al-Kalbani, Abebe Ejigu Alemu

 The logistics industry in Oman seems to have a significant gap between present development and the national policy known as the Sultanate of Oman Logistics Strategy (SOLS) 2040 which was introduced in 2015. SOLS 2040 aims to develop Oman's logistics sector and position it as a global logistics center. The strategy also seeks to expand logistics employment to 300,000 by 2040, and the logistics sector's contribution to Oman's GDP to 14%. Using Porter's value chain analysis theory, this research intends to evaluate Oman's logistics sector growth in accordance with the SOLS 2040, as well as to identify the key logistical activities that contribute to the development of Oman's logistics sector. A study was performed among 60 logistics service providers in Oman to identify and assess the major logistical operations that provide value to the sector. The findings indicate that inbound and outbound logistics are the major activities that contribute value to the logistics sector and have a significant influence on markets and trade facilitation. While the major support activities that have a significant influence on the SOLS 2040 goals are human resources and technological development. This study contributes to the analysis of logistics operations that provide value to the Oman economy's logistics sector.

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