Strategic use of informal networks and operational resilience of logistics firms in Nigeria

The logistics sector in Nigeria is a key to the development of the country, however because of a robust institutional vacuum it has been characterized by infrastructural deficiencies, port congestion, insecurity, and red tape among others. These pressures interfere with operations, especially in cases where small and medium sized enterprises (SMEs) are involved but informal networks are still less researched in terms of strategic response to achieve operations resilience. The proposed qualitative multiple-case study focuses on the strategic use of informal networks by logistics companies in Nigeria and how informal networks affect the operational resilience of the company. The data were collected using an interpretivist approach through semi-structured interviews (25 participants of 12 SMEs in major hubs, i.e., Lagos, Kano, and Port Harcourt), observations, and documents. The results show that there are three types of networks: kinship-based (internal trust and redundancies), community-embedded (collective intelligence and collaboration), and regulatory facilitation (bureaucratic navigation). These enhance resilience capabilities, anticipation, robustness, agility, and adaptation, enabling effective disruption mitigation. However, they are associated with their financial and social costs, the possibility of relationship breakdown, and the existence of the vacuum. The study concludes that informal networks act as essential institutional substitutes and bricolage mechanisms, fostering resilience but hindering long-term sustainability. One such framework connects networks with resilience processes/outcomes and elucidates theory and hybrid strategies. Some implications are conscious network management among practitioners and specific reduction of the void among policymakers.