Digital Transformation and Business Growth in Logistics Companies: An Empirical Assessment

Purpose: This study explored how digital transformation impacts business growth in selected logistics and supply chain companies in Lagos State, Nigeria. It specifically looked at the roles of business intelligence, automation, and leadership support. The motivation behind this research was to shed light on how technological and organisational capabilities can lead to better business outcomes in the context of logistics within a developing economy. Methodology: We used a descriptive survey research design for this study. The target population included 357 employees from Transport Services Limited (TSL), and we determined a sample size of 189 using the Yamane formula. Data collection was done through a structured questionnaire, yielding 146 valid responses, which gives us a solid 77.2% response rate. To test our hypotheses and assess the individual and combined effects of the predictors on business growth, we employed multiple regression analysis. Findings: The regression model proved to be statistically significant, with F(3, 142) = 75.56, p < 0.001, explaining 61.5% of the variance in business growth (R² = 0.615). Among the predictors, business intelligence had the most substantial positive impact (β = 0.301, p < 0.001), followed by automation (β = 0.257, p = 0.001) and leadership support (β = 0.216, p = 0.003). All three factors significantly contributed to enhancing business growth. Implications: For logistics managers, it’s crucial to focus on data-driven decision-making, increase the automation of operational processes, and bolster leadership commitment, resource allocation, employee development, and organisational support for digital transformation. Value/Originality: This study builds on the Dynamic Capabilities View by merging technological capabilities and leadership support into a cohesive empirical framework that explains business growth in the logistics sector. It offers context-specific insights from Lagos State, Nigeria, highlighting that digital transformation can yield greater business value when technological investments are backed by strong organisational capabilities and effective leadership.