Integration, supply chain resilience, and service performance in third-party logistics providers

2018 ◽  
Vol 29 (1) ◽  
pp. 5-21 ◽  
Author(s):  
Chiung-Lin Liu ◽  
Ming-Yu Lee

Purpose Supply chain resilience (SCR) is essential to the success of firms. However, very few studies have focused on the relationships between different types of integration, SCR and service performance from the perspective of third-party logistics providers (3PLs). The purpose of this paper is to develop and assesses a conceptual model for these relationships. Design/methodology/approach A total of 161 3PLs in Taiwan were surveyed and their responses were analyzed using partial least squares structural equation modeling (PLS-SEM/PLS). Findings The responses of respondents demonstrated that, of the three types of integration (internal integration, customer integration and logistics collaborator integration) used by 3PLs, internal integration had the greatest effect on SCR. Customer integration was found to have three fully mediating effects on the relationships between internal integration and service performance, between logistics collaborator integration and SCR, and between logistics collaborator integration and service performance. Originality/value This study provides useful information on how different types of integration manifest in the SCR and service performance of 3PLs.

2018 ◽  
Vol 56 (1) ◽  
pp. 143-159 ◽  
Author(s):  
Rameshwar Dubey ◽  
Angappa Gunasekaran ◽  
Stephen J. Childe ◽  
Thanos Papadopoulos

Purpose A shortage of skills is recognized as a major source of risk in supply chain networks. This study uses two independent organizational theories to explain how to build applicable skills for continuous availability of appropriate supply chain talents. The purpose of this paper is to propose an integrated framework that links human agency theory, social capital theory and supply chain skill. Design/methodology/approach This framework is analyzed in third party logistics (3PL) organizations by confirmatory factor analysis and tested using a survey. After pre-testing by six academics and six practitioners, and following the total design method, the data were collected from 183 3PL organizations in India. Data were checked to ensure no non-response bias. Research hypotheses were tested using WarpPLS-structural equation modeling. Findings A primary finding offers guidance to 3PL managers. Their driving role and mediating role of access to information and access to resources facilitate building supply chain skill. Leaders who invest in library, acquiring e-resources, offer financial support and create trust among employees are enablers of building supply chain skill. Originality/value This study classified 14 supply chain skills into three categories as: managerial skill, quantitative skill and supply chain core skill. The study could be extended to similar companies in other developing countries.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shih-Jung Juan ◽  
Eldon Y. Li ◽  
Wei-Hsi Hung

PurposeThis study aims to explore the relationships among the five components of supply chain (SC) resilience (SCRES): visibility, velocity, flexibility, robustness and collaboration and their impacts on the SC performance under disruption (SCPUD).Design/methodology/approachFive SCRES components are identified from the literature review and data are collected using an web survey from 113 manufacturing companies in Taiwan. The data are analyzed by structured equation modeling with the partial least square solution. Two-stage least-squares (2SLS) regression was used to test the potential endogeneity of SC collaboration (SCC).FindingsThe results reveal that SCC is an exogenous driver of SCRES; it directly affects visibility, velocity, flexibility, robustness and SCPUD. Furthermore, SC flexibility is the only component of SC agility that directly affects SCPUD; it is influenced directly by SC velocity and indirectly by SC visibility through SC velocity. SC visibility is a vital agility component that positively influences SC velocity and SC robustness.Research limitations/implicationsThe data in this study are cross-sectional and the sample size of 113 is relatively small. The relationship between SC robustness and SCPUD needs a longer observation period to reveal. The logistic issue in the shortage of carriers caused by the pandemic has been overlooked.Practical implicationsA firm should enhance its collaboration and flexibility in the SC as they both are the critical antecedents of SC performance (SCP) during the disruption period.Originality/valueThis study integrates visibility, velocity, flexibility, robustness and collaboration into a complete framework of SCRES. The dependent variable, SCPUD, measures SC performance (SCP) under the disruption caused by the COVID-19 pandemic. It is the first study to investigate the associations of the six constructs in a research model.


2014 ◽  
Vol 21 (6) ◽  
pp. 944-963 ◽  
Author(s):  
Dhanya Jothimani ◽  
S.P. Sarmah

Purpose – The purpose of the paper is to explore the applicability of the Supply Chain Operations Reference (SCOR) model and to identify the key performance indicators (KPIs) for the service-oriented sector – namely a third-party logistics (3PL) service provider. Design/methodology/approach – The performance attributes of SCOR model (reliability, responsiveness, flexibility, cost measures and asset management efficiency) are used as the basis for defining the KPIs. A questionnaire was sent to relevant decision makers. Findings – This paper illustrates the use of the integrated approach of SCOR, fuzzy analytic hierarchy process (FAHP) and Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) for measuring the supply chain performance (SCP) in the light of a real life case study company. Research limitations/implications – This method forms the basis for performance measurement using the SCOR model to evaluate strategy. In this work, the performance of the company has been compared with its own previous performance. The work can be extended to external benchmarking and also to other sectors. Practical implications – The paper attempts to overcome the conflict between the top-down strategy and bottom-up implementation process. The paper links the strategic objective with operations which would aid managers at different levels of an organization with decision making. The KPIs, when implemented in a business intelligence (BI) tool, would result in real time performance measurement. Originality/value – The paper focusses on 3PLs. It provides a base for measuring the SCP using SCOR model. The paper also identified KPIs for three domains of 3PL, namely freight forwarding, customs and warehousing.


Author(s):  
Mohammad Abdullah Shah ◽  
Muhammad Asim ◽  
Salman Manzoor

The study aims to examine the impact of customer integration, internal integration, logistics collaborator integration and supply chain resilience on the resource efficiency of the supply chain firms in Karachi. Sample size included 181 responses with the help of purposive sampling, and the target population was supply chain firms of Karachi. The data was analyzed using PLS-SEM. The study found that the customer integration was significantly affecting SC resilience but negatively affecting resource efficiency. Also, internal integration was not affecting customer integration and SC resilience and resource efficiency but affecting the logistics collaborator integration. Moreover, LCI was significantly affecting customer integration, SC resilience and resource efficiency. Lastly, SC resilience was negatively affecting resource efficiency. The study recommends that the managers need to enhance their logistics collaborator integration as it was found to be significantly improving the customer integration, supply chain resilience and resource efficiency. Moreover, the managers need to improve their customer and internal integration as they can enhance their logistics collaboration integration and resource efficiency.


2018 ◽  
Vol 29 (4) ◽  
pp. 1306-1324 ◽  
Author(s):  
Jessica L. Robinson ◽  
Karl Manrodt ◽  
Monique Lynn Murfield ◽  
Christopher A. Boone ◽  
Paige Rutner

PurposeThe purpose of this paper is to propose and test a dual pathway model whereby addressing the question, “What are the effects of supply chain orientation and organizational identification on internal integration and supplier integration?”.Design/methodology/approachA survey design was performed to collect data from supply chain professionals regarding their organization’s supply chain orientation (SCO), organizational identification (OI) and achieved states of both internal and supplier integration. Partial least squares-structural equation modeling was performed to test the dual mediating pathways.FindingsThe results show that internal integration partially mediates relationships between SCO and supplier integration and for OI and supplier integration. In comparing the mediating effects to test competing theories, the SCO path yields stronger complementary partial mediation. This supports the proposition that SCO and OI mutually exist within an organization and influence achieved integrative behaviors. Additionally, results suggest the behavioral spillover effect exists for an internally integrated organization that has also achieved supplier integration.Originality/valueThis research makes several contributions to extant literature, including finding that SCO contributes to levels of achieved integration. Also, this research theoretically integrates literature on the social dilemma associated with supplier integration and the behavioral spillover effect, suggesting that SCO allows for positive internal integrative behaviors to spillover to integrated suppliers. Finally, this research contributes to research on OI by finding achieved integration is an outcome, which refutes a dominate theory that explains OI facilitates negative behaviors toward external organizations.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Maryam Al Naimi ◽  
Mohd Nishat Faisal ◽  
Rana Sobh ◽  
S.M. Fatah Uddin

PurposeThe purpose of this paper is twofold: to investigate the antecedents of resilience and to highlight the importance of resilience in achieving reconfiguration in supply chains.Design/methodology/approachThis paper draws on literature on supply chain resilience and collects data from 253 companies in Qatar to understand the influence of the antecedents of supply chain resilience and the impact of resilience on reconfiguration using partial least squares structural equation modeling.FindingsThe findings show that antecedents like risk management culture, agility and collaboration positively affect the supply chain resilience. Further, the study establishes that companies can leverage their supply chain resilience to reconfigure supply chain in case of disruptions.Practical implicationsThis study is important for supply chain managers in Qatar, as the country faced major disruption of supply chains in wake of the blockade imposed by its neighbors with which it had the only land route and maximum trade. The findings from this study should aid mangers in developing resilient supply chains.Originality/valueThis paper highlights the role of supply chain resilience in achieving reconfiguration. Further, novelty of the work reported in this paper lies in its context where supply chains recently faced actual disruptions.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
James Midgley ◽  
Ozlem Bak

PurposeThe third-party logistics (3PL) provider has faced significant change since containerisation with the broadening scope of supply chains and technological developments. With these changes, the required supply chain skills discussions have covered mostly graduate skills or employees' skills with a limited discussion to what extent and whether senior management skills were changing. Hence, 3PL senior management skill requirements will be compiled based on existing studies and assessed to check whether these are still relevant and if so to what extent for today's 3PL senior managers.Design/methodology/approachA questionnaire has been devised based on 3PL senior management skills identified in the academic literature and sent out to senior managers via professional social networks of 3PL. Based on the previous literature, the senior managers selected had to fulfil the selection criteria of a minimum five years' managerial experience in a 3PL, and a minimum of ten years' experience in general, which limited the sample size to twenty-seven senior managers in the 3PL sector.FindingsThe findings indicated that 3PL senior managers’ skills highlighted an increasing dependence on and importance of relational and behavioural skills, particularly when compared with the more traditional functional and managerial skills. The study indicated that the 3PL senior managers highlighted an increasing dependence and importance upon relational and behavioural skills, particularly when compared with the more traditional functional skills.Research limitations/implicationsThe study has explored the senior management skills in 3PL in the UK, albeit the respondents possessing diverse backgrounds. Therefore, it would be beneficial to test whether these findings are exemplary across the wider 3PL sector, not only in the UK but also across Europe to see how corporate agenda for executive supply chain skills could be devised.Practical implicationsCorporate supply chain training and development staff can develop specific programs based on the 3PL senior management skill sets especially on relational and behavioural skills, which are needed for future managers as well as up-skill senior managers' skills which are deemed to be most important in the current 3PL market.Originality/valueThis paper contributes to the supply chain skills discussion and reports subject relevant challenges for today’s senior management in the 3PL industry. The findings have generated preliminary discussions on whether senior management skills are changing with the broadening scope of supply chains.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hwee-Chin Tan ◽  
Keng Lin Soh ◽  
Wai Peng Wong ◽  
Ming-Lang Tseng

PurposeIn the face of information leakage, this study aims to demonstrate pathways to supply chain resilience (SCR) during information sharing by deploying organizational ethical climate (OEC) and information security culture (ISC) as non-punitive mitigation approaches.Design/methodology/approachThis empirical study was conducted to verify the framework using a questionnaire distributed to Malaysian multinational corporations (MNCs) of the manufacturing sector. The data were analysed using structural equation modeling (SEM) techniques with the AMOS software.FindingsThis study has confirmed the adverse impact of intentional and unintentional leakages on information sharing effectiveness. The findings showed ISC could reduce the impact of information leakage, but an OCE could not. This study provides evidence that information sharing effectiveness could impact SCR. The former is a mediator between information leakage and SCR, with information leakage moderated by information security culture. These findings convey that multinationals should set up an ISC to reduce information leakage and enhance their SCR.Originality/valuePrior studies lacked the explanation of the impact of mitigating factors on information leakage in information sharing effectiveness affecting SCR. A framework that explains the relationships add value to organizations making available strategic decisions to curb information leakage and manage SCR.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benjamin R. Tukamuhabwa ◽  
Henry Mutebi ◽  
Rebecca Kwagala

PurposeThe purpose of this paper is to investigate the relationship between geographical traits consisting of institutional traits and cultural traits, and supply chain agility in third-party logistics providers.Design/methodology/approachA theoretical model was developed and assessed through a structured questionnaire survey using cross-sectional data from 170 third-party logistics providers registered in Uganda. To validate the suggested model, data were analysed using exploratory factor analysis, correlations and regressions.FindingsCorrelation results revealed that all institutional and cultural geographical traits in the model, i.e. infrastructural frameworks, regulatory frameworks, organisational culture and national culture are positively and significantly associated with supply chain agility. However, a further analysis using regression revealed that regulatory framework and organisational culture are the only significant predictors of supply chain agility and together, all the four traits account for 28.1% variance in supply chain agility.Research limitations/implicationsThis study applies the institutional theoretical framework to provide an empirical understanding of the role of institutional and cultural factors in supply chain management practice. Furthermore, it confirms and expands on the existing theories about supply chain agility.Practical implicationsThe findings provide firm ground for managerial decisions regarding emphasis on external factors in building firms' supply chain agility. Managers should scan the macro-environment and make conscious firm decisions regarding institutions and culture in certain geographical locations. The host countries should also be aware of their role in building firms' supply chain agility.Originality/valueDistinctive from the literature on antecedents of supply chain agility, which predominantly focuses on the firm and supply chain capabilities, this study utilises the paradigm of institutional fit to empirically show how managers in a developing country wishing to build supply chain agility should not only focus on their supply chains and internal operations, but go beyond and consider geographical traits when making firm location and/or operational decisions for certain geographical contexts in order to achieve fit.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sharfuddin Ahmed Khan ◽  
Shahed Alkhatib ◽  
Zaina Ammar ◽  
Md. Abdul Moktadir ◽  
Anil Kumar

PurposeOutsourcings always affect crucial supply chain functions concerning flexibility and cost. During the decision to outsource and consider third-party logistics service provider selection, decision-makers need to pay more attention to certain critical outsourcing factors such as coordination, integration and cooperation as these key factors are essential to improve overall supply chain performance. The main purpose of this work is to identify the inter-relations among outsourcing decision factors to highlight the most important and influential factors that should be considered and carefully thought through when making outsourcing sustainable decisions.Design/methodology/approachA two-phased methodology has been used in this study. In the first phase, outsourcing decision factors are identified from existing literature and validated by decision-makers from industry and academia. To understand the influential strength and build a sustainable model, the decision-making trial and evaluation laboratory method is used. A courier company in the UAE is considered for implementation.FindingsAll identified and validated factors are segregated into two categories (cause and effect). The result shows that the most influential factors are developing strategic alliances, uncertainty and risk mitigation and deficiency of internal resources for a service.Practical implicationsThere are several insights for industry managers and practitioners. The results of the study may help practitioners and logistics managers to make the logistics service sustainable and more efficient for businesses.Originality/valueThis study focusses on a courier company to understand the interdependencies among outsourcing decision factors; this is unique in this field of literature.


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