SocioEconomic Challenges In The Shipping Sector: The Impact Of Digital Transformation On The Work Of Freight Forwarders

In the face of growing socioeconomic challenges, digital transformation has become a critical driver of efficiency and competitiveness across industries, particularly in developing economies. This study investigates the impact of digital transformation on the operational and service performance of freight forwarding companies in Alexandria, Egypt, with a particular focus on time efficiency, cost efficiency, and service quality. It also examines the mediating role of organizational readiness and the moderating influence of governmental support. Using a quantitative research approach, data were collected through structured questionnaires from 393 employees working in freight forwarding firms and analyzed using SPSS and AMOS through multiple regression and bootstrapped mediation/moderation analyses. The results reveal that digital transformation (through technology adoption, process automation, and digital integration) significantly enhances time and cost efficiency as well as service quality. Furthermore, organizational readiness partially mediates these relationships, emphasizing the importance of digital preparedness in maximizing transformation benefits. Governmental support was found to positively moderate the relationship between digital transformation and time efficiency, underscoring the critical role of public policies and institutional facilitation in promoting digital logistics performance. The findings contribute theoretically by enriching the understanding of digital transformation dynamics in emerging economies and practically by offering evidence-based recommendations for policymakers and industry leaders to strengthen the competitiveness and operational excellence of Egypt’s freight forwarding sector in addressing contemporary socioeconomic challenges.