How Kenya plans to use tech platform to curb cost of logistics

Lori Systems, a leading e-logistics marketplace for trucking in Kenya, has recently been chosen as one of three Kenyan startups to host the Global Entrepreneurship Lab (GLAB) program. The company's Co-founder and Chief Product Officer, Jean-Claude Homawoo, shared insights into this exciting opportunity in an interview with CNBC Africa. Homawoo explained that working closely with the Massachusetts Institute of Technology (MIT), Lori Systems has been collaborating with MBA students to leverage their logistics expertise and apply innovative solutions to enhance the company's operations. The GLAB program will see a team of five logisticians from MIT working with Lori Systems to explore global best practices in e-logistics and optimize customer service. One of the key challenges the team aims to tackle is lowering the cost of goods in frontier markets, aligning with Lori Systems' mission to drive efficiency and affordability in the logistics sector. By examining and integrating best practices from around the world, the company seeks to enhance its service offerings and deliver greater value to its customers. Amidst the dynamic business landscape in Kenya, Homawoo highlighted the attractiveness of Nairobi as a hub for innovation and entrepreneurship, citing the abundance of talent and a supportive environment for startups. However, he also noted the need for governments to further facilitate entrepreneurship by improving access to capital for early-stage companies. Enhancing the funding ecosystem could fuel the growth of entrepreneurial ventures and foster economic development in the region. When questioned about Lori Systems' expansion plans, Homawoo emphasized the company's focus on scaling both its core business and geographical footprint. Having recently launched operations in Ghana and experiencing significant growth in Nigeria, Lori Systems is committed to expanding its presence across the continent and beyond. As Kenya continues to position itself as a burgeoning entrepreneurial hub, collaborations like the GLAB program are instrumental in driving innovation, creativity, and sustainable business practices. By leveraging global expertise and embracing technological advancements, companies like Lori Systems are paving the way for increased efficiency and cost-effectiveness in the logistics industry.