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Shi J, Park Y, Sugie R, Fukuzawa M. Long-Term Partnerships in Japanese Firms’ Logistics Outsourcing: From a Sustainable Perspective. Sustainability 2022; 14:6376. [DOI: 10.3390/su14106376] [Citation(s) in RCA: 2] [Impact Index Per Article: 1.0] [Reference Citation Analysis] [What about the content of this article? (0)] [Abstract] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 02/01/2023]
Abstract
This study aimed to reveal the actual state of Japanese firms’ logistics outsourcing, and examine their relationship with LSPs. This study addressed the following issues by conducting a case study of six leading manufacturing firms. First, it clarified the characteristics of Japanese-style logistics outsourcing as: the outsourcing of the total activities, the consigning to a single LSP, and the development of advanced information systems. Moreover, it examined the logistics outsourcing performance from a sustainable perspective, and concluded that Japanese-style logistics management enables firms to achieve high performance in all the economic, environmental, and social dimensions. Second, this study confirms that the traditional Japanese business practice of long-term partnerships is still maintained in logistics outsourcing management. Third, this study also explored how long-term partnerships create sustainable competitive advantages. Finally, based on these findings, a theoretical framework illustrating the relationship between Japanese-style logistics outsourcing and firms’ sustainable competitive advantage is presented. Our findings may encourage companies to develop a long-term partnership with their logistics service providers, and to put environmental and social indicators into their KPI system to achieve a sustainable competitive advantage by balancing the economy, environment, and society.
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Kalubanga M, Namagembe S. Trust, commitment, logistics outsourcing relationship quality, relationship satisfaction, strategy alignment and logistics performance – a case of selected manufacturing firms in Uganda. IJLM 2021; 33:102-40. [DOI: 10.1108/ijlm-05-2020-0215] [Citation(s) in RCA: 0] [Impact Index Per Article: 0] [Reference Citation Analysis] [What about the content of this article? (0)] [Abstract] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 11/17/2022]
Abstract
PurposeThis study examines the relationships among trust, commitment, logistics outsourcing relationship quality (LORQ), relationship satisfaction, strategy alignment and logistics performance considering selected manufacturing firms in a developing country, Uganda.Design/methodology/approachDrawing on insights from the commitment-trust theory and strategy alignment literature, and using a cross-sectional survey design with a self-administered questionnaire, and applying the partial least squares structural equation modeling (PLS-SEM) approach to analyze quantifiable data obtained from managers of 103 manufacturing firms in Uganda outsourcing logistics operations, the study examined the logistics performance effects of trust, through commitment, LORQ and relationship satisfaction.FindingsThe study findings reveal that trust influences logistics performance, indirectly through its effects on commitment, LORQ and relationship satisfaction, sequentially, and that the positive effects of relationship satisfaction on logistics performance strengthen with improvements in LORQ. Strategy alignment exerted a strong positive influence on LORQ.Research limitations/implicationsThe study findings have important implications for theory development and literature. The study applies the commitment-trust view to both theoretically and empirically examine logistics outsourcing as a competitive strategy to enhance logistics performance, and thereby providing a theoretical base for future research. However, this research is confined to manufacturing firms in Uganda, and the results are not necessarily generalizable to other contexts.Practical implicationsThe study findings provide insights for logistics managers regarding the role of trust, commitment, LORQ, relationship satisfaction and strategy alignment in enabling successful logistics outsourcing relationships, and how drawing on these, managers can improve firm logistics performance.Originality/valueThis study contributes to logistics management literature by empirically examining the relationship of trust, commitment, LORQ, relationship satisfaction and strategy alignment with logistics performance, considering manufacturing firms in a developing country, where these aspects have not been largely explored before. It highlights the need to build trust, promote greater commitment of logistics user firms in logistics outsourcing relationships as well as aligning logistics outsourcing strategies to improve LORQ and enhance logistics performance. Additionally, the study provides for the first-time new evidence for the moderation effect of LORQ on the influence of relationship satisfaction on logistics performance. The study findings suggest advancing further scholarly discussions on logistics outsourcing as a critical strategy to enhance firm logistics performance within a developing country context. Due to limitations in logistics infrastructure, and existing low-level technologies, logistics in developing countries still revolves around conventional materials handling, packaging, inventory and transportation operations, and logistics outsourcing is new, thereby presenting an interesting research context for empirical investigations on logistics in general, and logistics outsourcing in particular.
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Premkumar P, Gopinath S, Mateen A. Trends in third party logistics – the past, the present & the future. International Journal of Logistics Research and Applications 2020. [DOI: 10.1080/13675567.2020.1782863] [Citation(s) in RCA: 9] [Impact Index Per Article: 2.3] [Reference Citation Analysis] [What about the content of this article? (0)] [Affiliation(s)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 10/24/2022]
Affiliation(s)
- Prashant Premkumar
- Quantitative Methods and Operations Management Area, Indian Institute of Management Kozhikode, Kozhikode, India
| | - Saji Gopinath
- Quantitative Methods and Operations Management Area, Indian Institute of Management Kozhikode, Kozhikode, India
| | - Arqum Mateen
- Quantitative Methods and Operations Management Area, Indian Institute of Management Kozhikode, Kozhikode, India
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Akter N, Chhetri P, Rahman S. Understanding the usage patterns, practices and decision process of third party logistics outsourcing in Bangladesh. JGOSS 2019; 12:329-54. [DOI: 10.1108/jgoss-08-2018-0027] [Citation(s) in RCA: 4] [Impact Index Per Article: 0.8] [Reference Citation Analysis] [What about the content of this article? (0)] [Abstract] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 11/17/2022]
Abstract
Purpose
Bangladesh is becoming one of the emerging destinations for global outsourcing. However, little is known about the usage patterns of third party logistics (3PL) outsourced services. The purpose of this paper is to examine the extent of 3PL usage, the organisational factors affecting 3PL usage, impacts of 3PL and the future trend of 3PL usage in Bangladesh.
Design/methodology/approach
A survey questionnaire is used to collect data against a number of items pertaining to the extent of 3PL use and its impact on performance. A total of 1,000 organizations were randomly selected from the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) database. The survey resulted in 243 responses, out of which 150 organisations have adopted 3PL services. A chi-square test is conducted to assess statistical significance of the hypothesized relationships among the variables relating to 3PL decision-making process and a regression analysis is conducted to assess the strength of those variables to predict the impact of 3PL usage.
Findings
Overall, the results reveal that 3PL services are extensively adopted by businesses (63 per cent) in Bangladesh. Freight forwarding, order fulfilment and shipment consolidation are the top three most frequently outsourced 3PL services. However, the extent of 3PL use varies between manufacturing and service organisations. Results also suggest that logistics system performance is the key predictor of the overall satisfaction of 3PL users.
Research limitations/implications
The key limitation of this study is that both manufacturing and services firms are collectively analysed. Future research will separately investigate the outsourcing 3PL services requirements for two categories of firms. Characterisation of 3PL usage patterns and their drivers has practical significance and strategic implications for logistics practitioners and decision-makers who opt for global outsourcing.
Originality/value
The implementation in the context of Bangladesh to provide an evidence base to formulate business strategies for increasing the adoption of 3PL usage is novel.
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Tatoglu E, Bayraktar E, Golgeci I, Koh SL, Demirbag M, Zaim S. How do supply chain management and information systems practices influence operational performance? Evidence from emerging country SMEs. International Journal of Logistics Research and Applications 2015. [DOI: 10.1080/13675567.2015.1065802] [Citation(s) in RCA: 29] [Impact Index Per Article: 3.2] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 10/23/2022]
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Min H. Examining logistics outsourcing practices in the United States: from the perspectives of third-party logistics service users. Logist Res 2013. [DOI: 10.1007/s12159-013-0110-8] [Citation(s) in RCA: 19] [Impact Index Per Article: 1.7] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 11/29/2022]
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Vivaldini M, Pires SR. Applying a business cell approach to fourth-party logistics freight management in the food service industry. International Journal of Logistics Research and Applications 2013. [DOI: 10.1080/13675567.2013.815157] [Citation(s) in RCA: 9] [Impact Index Per Article: 0.8] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 10/26/2022]
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Min H, DeMond S, Joo S. Evaluating the comparative managerial efficiency of leading third party logistics providers in North America. Benchmarking 2013. [DOI: 10.1108/14635771311299498] [Citation(s) in RCA: 20] [Impact Index Per Article: 1.8] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 11/17/2022]
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Liu X, Mckinnon AC, Grant DB, Feng Y. Sources of competitiveness for logistics service providers: a UK industry perspective. Logist Res 2010; 2:23-32. [DOI: 10.1007/s12159-010-0024-7] [Citation(s) in RCA: 9] [Impact Index Per Article: 0.6] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 10/19/2022]
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Ahtonen AK, Virolainen VM. Supply strategy in the food industry – value net perspective. International Journal of Logistics Research and Applications 2009. [DOI: 10.1080/13675560903076107] [Citation(s) in RCA: 7] [Impact Index Per Article: 0.5] [Reference Citation Analysis] [What about the content of this article? (0)] [Affiliation(s)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 10/20/2022]
Affiliation(s)
- Anni-Kaisa Ahtonen
- a School of Business, Lappeenranta University of Technology , P.O. Box 20, FI-53851, Lappeenranta, Finland
| | - Veli-Matti Virolainen
- a School of Business, Lappeenranta University of Technology , P.O. Box 20, FI-53851, Lappeenranta, Finland
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Zhou G, Min H, Xu C, Cao Z. Evaluating the comparative efficiency of Chinese third‐party logistics providers using data envelopment analysis. Int Jnl Phys Dist & Log Manage 2008. [DOI: 10.1108/09600030810875373] [Citation(s) in RCA: 106] [Impact Index Per Article: 6.6] [Reference Citation Analysis] [What about the content of this article? (0)] [Track Full Text] [Subscribe] [Scholar Register] [Indexed: 11/17/2022]
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