Author:
Gotzamani Katerina,Longinidis Pantelis,Vouzas Fotis
Abstract
PurposeLogistics has become an essential service for synchronous companies. Many companies have recognized the potential benefits gained through a high quality system of logistics services, which are provided either internally or externally by a third party logistics company (3PL). The 3PL is positioned between the company and its customers, in a new‐shaped logistics triad, having a crucial role in handling end‐customer information and feedback. Thus, service quality becomes one of the most important criteria for a decision to outsource logistics services and further to select a provider. This paper aims to evaluate the dilemma to outsource logistics services and the decision to select a provider based on quality management and financial performances criteria.Design/methodology/approachA survey instrument was provided to a sample of 66 manufacturing and 3PL companies. This instrument explored quality management issues and achievements in logistics services. Statistical inference tests and cluster analysis were employed in order to test the research hypotheses which were built and reflected the basic purpose of the paper.Findings3PL providers are ahead of manufacturing companies that operate logistics departments on quality implementation and improvement issues in logistics services. Furthermore, the research proved a positive relationship between quality performance and financial performance for 3PL providers.Research limitations/implicationsThe research is based on a single country data. Further multi‐country studies will enable the generalization and validation of the findings.Practical implicationsThe paper helps managers evaluate the logistics outsourcing dilemma in terms of quality management and quality service. Also the paper proves the strong relationship between effective quality management and sound financial performance for 3PL providers.Originality/valueThe paper presents substantive evidence supporting: the logistics services outsourcing decision based on quality management and performance criteria, and the importance of quality as a criterion to choose a 3PL provider, based on the positive relationship between effective quality management and financial performance for 3PL providers.
Subject
General Business, Management and Accounting
Reference67 articles.
1. Anderson, R.D., Jerman, R.E. and Crum, M.R. (1998), “Quality management influences on logistics performance”, Transportation Research Part E: Logistics and Transportation Review, Vol. 34 No. 2, pp. 137‐48.
2. Andersson, D. and Norman, A. (2002), “Procurement of logistics services: a minute's work or a multi‐year project?”, European Journal of Purchasing and Supply Management, Vol. 8 No. 1, pp. 3‐14.
3. Armstrong, J.S. and Overton, T.S. (1977), “Estimating nonresponse bias in mail surveys”, Journal of Marketing Research, Vol. 14 No. 3, pp. 396‐402.
4. Bask, A.H. (2001), “Relationships between 3PL providers and members of supply chains – a strategic perspective”, Journal of Business and Industrial Marketing, Vol. 16 No. 6, pp. 470‐86.
5. Beier, F. (1989), “Transportation contracts and the experience effect: a framework for future research”, Journal of Business Logistics, Vol. 10 No. 2, pp. 73‐89.
Cited by
74 articles.
订阅此论文施引文献
订阅此论文施引文献,注册后可以免费订阅5篇论文的施引文献,订阅后可以查看论文全部施引文献