Value chain management as a strategy to achieve competitive advantage in the railway industry: a case study of Swaziland Railway.

Abstract

The concept of value chain management for competitive advantage is not new in the railway business. However, competition from other modes of transport such as road transportation, has created fierce competition, and as a result some railway companies are still finding it difficult to be sustainable in the industry. The aim of this study was to examine how the value chain systems in the railway sector could be integrated in an organisation mainframe, to gain and maintain competitive advantage within the railway transport sector – using the case of Swaziland Railway (SR). This study adopted a descriptive quantitative research design using the population size of all the managers and technical supervisors at SR. This cohort group was involved in the designing and implementation of a value chain management strategy for the company. A random sampling technique was used and the sample size was forty five (45) employees. Data were collected using a questionnaire and were analysed through a descriptive data analysis technique which projected the findings on a histogram, in terms of frequencies. The findings of the study indicate that most employees (56%) showed a positive response – indicating that technology, train efficiency and rail infrastructure had an impact on the company’s value chain management system. The main recommendation of the study is continuous improvements through engagement of other efficiency-driven service delivery technologies. Introduction of sophisticated electronic measures in respect of the safety and security of customer cargo, and improvements in the adequacy of rolling stock in order to increase capacity, efficiency and effectiveness. Improve safety and reliability of the rail network infrastructure to meet customer demands, provide cost effective and efficient service.