An Investigation of the Impact of Financial Institution’s Digital Transformations Strategies on Agribusiness Supply Chain Management: A Case Study of Stanbic Bank Zambia (SBZ), Mkushi district

Abstract

Digital transformation is redefining the landscape of agribusiness supply chain management (SCM), particularly in regions where financial institutions serve as key enablers of innovation and digital adoption. This study investigates the effects of digital transformation strategies on SCM among agribusiness clients of Stanbic Bank Zambia (SBZ), focusing on the Mkushi branch, a region characterized by a high concentration of commercial and smallholder farming operations. The research applies a mono-method quantitative design within a positivist paradigm and employs the Technology-Organization-Environment (TOE) and Resource-Based View (RBV) theoretical frameworks to analyze factors influencing adoption, challenges encountered, and the impact of institutional policies. Data were collected via structured questionnaires distributed to a stratified sample of 141 agribusiness clients, with analysis conducted using SPSS version 26. Reliability was confirmed through Cronbach’s alpha (α = 0.918), and assumptions of normality were tested using the Shapiro-Wilk test. Key findings include a strong positive relationship between digital adoption and supply chain effectiveness (ρ = 0.822, p < 0.001), a significant inverse relationship between challenges and digital adoption (r = -0.657), and strong influence of institutional policy support (R² = 0.366) on adoption outcomes. These results highlight the role of SBZ's digital tools and strategies such as mobile banking platforms, agribusiness apps, and digital training programs as facilitators of SC improvements. The study confirms the relevance of the TOE framework in analyzing technological, organizational, and environmental adoption factors and supports the RBV perspective that internal resources and capabilities significantly enhance firm competitiveness. However, digital divides and infrastructural limitations persist, especially in rural Zambia, affecting inclusivity and scalability. The dissertation concludes with recommendations for expanding policy-driven support, promoting digital upskilling, strengthening ecosystem collaboration (banks, fintech’s, cooperatives), and conducting comparative studies across other banks and geographic regions to improve generalizability. Ultimately, the findings serve as a blueprint for financial institutions aiming to support inclusive, digitally empowered agribusiness supply chains across Sub-Saharan Africa.