Segmenting logistics service users based on their provider selection criteria to succeed in outsourcing

2020 ◽  
Vol 48 (9) ◽  
pp. 963-984
Author(s):  
Gerald Oeser
Keyword(s):  
Cluster Analysis ◽  
Analysis Of Variance ◽  
Selection Criteria ◽  
Service Providers ◽  
Core Competencies ◽  
Performance Ratio ◽  
Service Users ◽  
Logistics Outsourcing ◽  
Content Type ◽  
Logistics Service

PurposeLogistics service providers (LSPs) may invest a lot of time in tenders unsuccessfully, as they do not meet the expectations of logistics service users (LSUs). In order to help them classify and target their customers more efficiently and effectively and make logistics outsourcing more successful for both LSUs and LSPs, this paper analyzes underlying dimensions of criteria German manufacturing and trading companies actually use in selecting an LSP and clusters of LSUs based on these dimensions.Design/methodology/approachA questionnaire survey with 110 manufacturing and 135 trading companies was conducted in Germany. Principal component analysis (PCA), cluster analysis, multivariate analysis of variance, analysis of variance and discriminant analysis were performed on the sample data.FindingsPCA revealed eight dimensions of LSU criteria in selecting LSPs and that cost alone seems not decisive. Based on these dimensions, cluster analysis produced nine LSU groups. These groups differ the most in the selection criteria dimensions cost-performance ratio, operational collaboration, quality and locations. Recommendations for servicing these groups are given. The two largest groups, which make up 43.5%, seem not that demanding and price sensitive. The selection criteria dimensions and LSU groups enable LSPs to classify and target their customers more efficiently and effectively, to evaluate and develop their core competencies, and contribute to successful logistics-outsourcing relationships.Originality/valueThis research is the first to examine selection criteria dimensions and resulting clusters of German manufacturing and trading companies in order to make logistics outsourcing more successful.

scholarly journals Logistics Service Providers (LSPs) evaluation and selection

2015 ◽  
Vol 8 (1) ◽  
pp. 102-134 ◽  
Author(s):  
Saleh Fahed Alkhatib ◽  
Robert Darlington ◽  
Trung Thanh Nguyen
Keyword(s):  
Selection Criteria ◽  
Service Providers ◽  
Economic Recession ◽  
Previous Literature ◽  
Future Research ◽  
Selection Methods ◽  
Logistics Outsourcing ◽  
Content Type ◽  
Logistics Service ◽  
Selection Framework

Purpose – The purpose of this paper is to provide an insight to the outsourcing decision-making through investigating if the old evaluation/selection criteria and methods still fit with current business priorities or not and, therefore, to identify the appropriate criteria and methods to develop a new selection framework. Since the economic recession of 2008, logistics outsourcing decisions have become more prominent to avoid high fixed costs and heavy investment requirements and to achieve competitive advantages. Design/methodology/approach – This is a focused literature review prepared after analyzing 56 articles related to the logistics service provider (LSP) evaluation and selection methods and criteria during 2008-2013. The academic articles are analyzed based on research focus/area, evaluation and selection methodology/methods and evaluation and selection criteria. Then reviewed result is compared with previous literature studies for the periods (1991-2008) to identify any possible shifts. Findings – The review reveals that: several problems in current LSPs literature have been identified; the reviewed papers can be categorized into seven groups, the usage and importance of evaluation and selection criteria fluctuate during different periods; 12 crucial criteria have been identified, increasing the importance of specific selection methods and the integrated models and fuzzy logic in logistics literature. Then, a comprehensive LSPs’ evaluation and selection framework has been developed. Originality/value – To the best of our knowledge, this is the first focused logistics outsourcing study that reviews the 2008-2013 period in detail, comparing results with previous literature studies, identifies current LSPs literature problems/gaps, new trends and shifts in the way that LSPs are evaluated and selected, identifies crucial selection criteria and proposes a new holistic LSPs evaluation and selection framework. In addition, it identifies important issues for future research.

Logistics outsourcing in omnichannel retail

2019 ◽  
Vol 49 (3) ◽  
pp. 267-286 ◽  
Author(s):  
Heleen Buldeo Rai ◽  
Sara Verlinde ◽  
Cathy Macharis ◽  
Penelope Schoutteet ◽  
Lieselot Vanhaverbeke
Keyword(s):  
Service Providers ◽  
Scientific Information ◽  
Service Differentiation ◽  
Holistic View ◽  
Logistics Outsourcing ◽  
Content Type ◽  
Logistics Service ◽  
Food Retailers ◽  
Logistics Service Providers ◽  
Last Mile

Purpose The purpose of this paper is to identify in what way logistics service providers are involved in the logistics operations of omnichannel retailers. Given the importance of logistics in omnichannel retail and the complexities that it brings forth, it is unclear if the current tendency towards logistics outsourcing continues, and how logistics service providers should adapt to remain relevant in the omnichannel retail environment. Design/methodology/approach The research draws on both desk and field research. The authors analysed the scientific information available on omnichannel retail logistics and conducted semi-structured expert interviews with food and non-food retailers that adopt an omnichannel model. Findings The research demonstrates distinct differences between food and non-food retailers. While food retailers are inclined to organise fulfilment and last mile activities in-house, non-food retailers partner closely with logistics service providers. Nonetheless, the store network of non-food retailers is attracting a growing part of logistics activities, which retailers are building themselves. To sustain their relevance in the omnichannel environment and strengthen their position for the future, the authors created a competency recommendation framework for logistics service providers, in which service differentiation is proposed as a viable direction for growth. Research limitations/implications The research is based on insights from retailers based in the Brussels-Capital Region (Belgium) and requires further and wider testing in other contexts and geographical areas. Practical implications The findings have strategic importance for retailers that are developing an omnichannel retail model and logistics service providers that (aim to) serve clients and operate activities within the retail sector. Originality/value The research provides a holistic view of logistics in omnichannel retail by identifying insourcing and outsourcing mechanisms and developing competency recommendations to fulfilment, internal transport and last mile transport in omnichannel retail.

scholarly journals Outsourcing of humanitarian logistics to commercial logistics service providers

2019 ◽  
Vol 9 (1) ◽  
pp. 47-69 ◽  
Author(s):  
Ioanna Falagara Sigala ◽  
Tina Wakolbinger
Keyword(s):  
Selection Criteria ◽  
Service Providers ◽  
Humanitarian Logistics ◽  
Content Type ◽  
Logistics Service ◽  
Humanitarian Organizations ◽  
Logistics Service Providers ◽  
The Usa ◽  
Managerial Implications ◽  
Context Specific

Purpose The purpose of this paper is to empirically explore the potential of outsourcing of humanitarian logistics activities to commercial logistics service providers (LSPs) throughout the different disaster phases. The authors identify incentives for initiating outsourcing of humanitarian logistics activities to commercial logistics providers, humanitarian logistics activities to be outsourced and selection criteria for partners. Design/methodology/approach This study is based on empirical data collected by interviewing 12 practitioners from commercial LSPs and 12 practitioners from humanitarian organizations (HOs). A review of related literature guided this research. Findings This research shows that incentives for initiating outsourcing engagements, partner selection criteria and activities to be outsourced are changing throughout the different disaster phases. A number of research propositions are presented. Research limitations/implications This research constitutes a first step towards the goal of a comprehensive analysis of humanitarian logistics outsourcing throughout the different disaster phases. The authors collected data from practitioners and large organizations based mainly in Europe and the USA. Hence, insights from national and local organizations of other parts of the world are missing. Practical implications This research provides a deeper understanding of outsourcing of humanitarian logistics activities. As the main implication for practice, the research suggests a strategic use of outsourcing during the three disaster phases. The authors acknowledge that business objectives, risks, stakeholder agendas and requirements, as well as costs play a vital and changing role for outsourcing decision-making during the three disaster stages. The managerial implications arising from the research can provide support to commercial LSPs and HOs that initiate or develop strategic outsourcing relationships. Originality/value This study covers the gap in the humanitarian literature related to context-specific factors of outsourcing in humanitarian logistics by empirically investigating the phenomenon. This is one of the first studies that empirically investigate the potential of outsourcing of humanitarian logistics activities throughout the disaster phases.

Satisfaction of tuberculosis patients with health services in Ghana

2017 ◽  
Vol 30 (6) ◽  
pp. 545-553 ◽  
Author(s):  
Frank Bonsu ◽  
Felix Afutu ◽  
Nii Nortey Hanson-Nortey ◽  
Mary-Anne Ahiabu ◽  
Joshua Amo-Adjei
Keyword(s):  
Client Satisfaction ◽  
Service Providers ◽  
Healthcare Providers ◽  
Large Body ◽  
Service Users ◽  
Content Type ◽  
Sputum Production ◽  
Interview Guide

Purpose Within human services, client satisfaction is highly prioritised and considered a mark of responsiveness in service delivery. A large body of research has examined the concept of satisfaction from the perspective of service users. However, not much is known about how service providers construct client satisfaction. The purpose of this paper is to throw light on healthcare professionals’ perspectives on patient satisfaction, using tuberculosis (TB) clinics as a case study. Design/methodology/approach In-depth interviews were conducted with 35 TB clinic supervisors purposively sampled from six out of the ten regions of Ghana. An unstructured interview guide was employed. The recorded IDIs were transcribed, edited and entered into QSR NVivo 10.0 and analysed inductively. Findings Respondents defined service satisfaction as involving education/counselling (on drugs, nature of condition, sputum production, caregivers and contacts of patients), patient follow-up, assignment of reliable treatment supporters as well as being attentive and receptive to patients, service availability (e.g. punctuality at work, availability of commodities), positive assurances about disease prognosis and respect for patients. Practical implications Complementing opinions of health service users with those of providers can offer key performance improvement areas for health managers. Originality/value To the best of the authors’ knowledge, this is a first study that has examined healthcare providers’ views on what makes their clients satisfied with the services they provide.

Logistics service providers’ engagement in disaster relief initiatives

2017 ◽  
Vol 9 (3/4) ◽  
pp. 269-291 ◽  
Author(s):  
Alessandra Cozzolino ◽  
Ewa Wankowicz ◽  
Enrico Massaroni
Keyword(s):  
Service Providers ◽  
Disaster Relief ◽  
Humanitarian Logistics ◽  
Content Type ◽  
Logistics Service ◽  
Disaster Relief Operations ◽  
Logistics Service Providers ◽  
Logistics Services ◽  
Relief Operations ◽  
Humanitarian Supply Chain

Purpose The purpose of this paper is to explore the contribution of logistics service providers’ (LSPs) initiatives to disaster relief and how LSPs are engaged with humanitarian sector. In recent years, the importance of logistics services in disaster relief operations and the capacity of LSPs to improve humanitarian supply chain management have become an increasingly interesting topic for both professionals and academics. Design/methodology/approach This research follows a qualitative approach based on multiple case studies. Findings The current research, after considering the differences and similarities among collaboration, cooperation and coordination and underlining how crucial these mechanisms are in the humanitarian context, explains the contribution of LSPs to relief operations alongside humanitarians. Research limitations/implications There has been increased interest in humanitarian logistics on the part of international academic and professional communities. This study constitutes a first exploratory step in the research to build a platform for benchmarking analysis of logistics services that aims to ensure the effective implementation of social responsibility principles. Practical implications The managerial implications arising from the research offer a range of current responsible actions from which strategic and operative directions to contribute can be derived. Originality/value Humanitarian logistics represents a crucial field in logistics management. This paper addresses the innovative socially responsible initiatives undertaken by the main international LSPs in the area of humanitarian logistics.

scholarly journals Environmental alignment between logistics service providers and shippers – a supply chain perspective

2020 ◽  
Vol 31 (3) ◽  
pp. 575-605
Author(s):  
Maria Huge-Brodin ◽  
Edward Sweeney ◽  
Pietro Evangelista
Keyword(s):  
Supply Chain ◽  
Stakeholder Theory ◽  
Success Factors ◽  
Service Providers ◽  
Three Dimensional ◽  
Content Type ◽  
Study Approach ◽  
Logistics Service ◽  
Sustainable Logistics ◽  
Logistics Service Providers

PurposeVarious suggested paths for greening logistics and supply chains often address the specific perspectives of single supply chain actors. Drawing on stakeholder theory, the purpose of this paper is to develop a deeper understanding of the alignment between logistics service providers (LSPs) and shippers in the context of adopting more environmentally sustainable logistics practices.Design/methodology/approachWith a case study approach, a dual perspective is taken in which both LSPs and shippers were researched. The cases comprise eight LSPs and six shipper companies in Sweden, Italy and Ireland. Information was first analysed in relation to levels of environmental awareness, customer requirements and provider offerings and critical success factors (CSFs) and inhibitors. In a second step, the findings were analysed using stakeholder theory.FindingsLSPs demonstrate higher ambition levels and more concrete offerings compared to shippers' requirements for green logistics services. Paradoxically, customers are an important CSF and also an inhibitor for both LSPs and shippers. Both LSPs and shippers perceive financial factors and senior management priorities as important CSFs. The application of stakeholder theory helps to illuminate the importance of the many secondary stakeholders vs that of one or a relatively small number of primary stakeholders.Originality/valueThe three-dimensional analysis of environmental alignment between LSPs and shippers reinforces existing knowledge and provides new insights. A novel use of stakeholder theory in a supply chain context underlines its usefulness in research of this kind.

Logistics service quality and customer satisfaction in B2B relationships: a qualitative comparative analysis approach

2020 ◽  
Vol 33 (1) ◽  
pp. 125-140 ◽  
Author(s):  
Barbara Gaudenzi ◽  
Ilenia Confente ◽  
Ivan Russo
Keyword(s):  
Supply Chain ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Service Providers ◽  
Qualitative Comparative Analysis ◽  
Content Type ◽  
Logistics Service ◽  
B2b Relationships ◽  
Logistics Service Quality

PurposeThis study aims to investigate the logistics service quality (LSQ) from a supply chain quality perspective. The purpose is twofold: (1) to investigate how business customers perceive the LSQ dimensions in business-to-business (B2B) relationships, with a particular focus on the role of logistics service providers and (2) to analyse the manner in which such dimensions, when combined, lead to high levels of customer satisfaction.Design/methodology/approachData collected through a survey of a sample of Italian food companies are analysed using a qualitative comparative analysis approach. The analysis explores ways of achieving customer satisfaction through different combinations of LSQ dimensions and not only via a “single recipe,” as in most symmetrical methods.FindingsThe study describes how seven dimensions of LSQ lead to achieve customer satisfaction, particularly highlighting and discussing how the different LSQ constructs lead to gain high customer satisfaction via different configurations. This approach is unique in identifying not only linear relationships among variables as traditional statistical methods do, via a configurational approach.Research limitations/implicationsMost academic studies in the related literature investigate service quality from a quality management and a supply chain management perspective. This study fills the existing gap in the analysis of B2B relationships, focusing on the role of third-party logistics (3PL) service providers.Practical implicationsThe study presents useful implications for practitioners, describing several ways in which 3PL service providers can combine LSQ dimensions to perform a continuous improvement of customer experience and to gain higher levels of customer satisfaction.Originality/valueThis study fills the existing gap in the analysis of B2B relationships, using the lens of quality management and supply chain management perspectives, and focusing on the role of 3PL service providers.

Energy efficiency in logistics through service modularity: the case of household waste

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jessica Wehner ◽  
Ceren Altuntas Vural ◽  
Árni Halldórsson
Keyword(s):  
Energy Efficiency ◽  
Sustainable Development ◽  
Service Providers ◽  
Service Design ◽  
Household Waste ◽  
Waste Collection ◽  
Case Study Methodology ◽  
Content Type ◽  
Logistics Service ◽  
Logistics Services

PurposeService modularity promotes efficiency at the provider end of the supply chain and customisation at the customer end. The purpose of this paper is to investigate how logistics service modularity contributes to sustainable development through the means of energy efficiency. This is analysed in the context of logistics services for household waste collection.Design/methodology/approachA single case study methodology with embedded units is adopted where semi-structured interviews were conducted with a waste service provider (WSP) and buyers (municipalities) in Sweden, focussing on five types of logistics services for waste collection: collection of food and residual waste at apartments and one-family houses, as well as collection of gardening waste. Service modules are identified and analysed by blueprinting the service.FindingsThe findings show different service modules – standardised or customised – and their contribution to sustainable development operationalised through energy efficiency. Principles for an energy-centric service design are proposed.Research limitations/implicationsThe research is limited to Swedish household waste collection setting. Promising efficiency through standardisation, logistics service modularity has a potential to improve energy efficiency as well. This neglected link between sustainability and service modularity offers fruitful research avenues.Practical implicationsThis research is of practical relevance to waste logistics service providers and the municipality by suggesting principles for energy-centric service design. The service blueprint enables using logistics service modularity for improving energy efficiency in different logistics service settings.Originality/valueThis research incorporates an environmentally sustainable development perspective into logistics service modularity and contributes to the literature by exploring how energy efficiency is improved by modular design of logistics services. Furthermore, the study is one of the first to use service blueprinting to analyse logistics service modularity, providing a methodological contribution to that field in general and logistics in particular.

Performance-based contracting for advanced logistics services

2015 ◽  
Vol 45 (6) ◽  
pp. 592-617 ◽  
Author(s):  
Kostas Selviaridis ◽  
Andreas Norrman
Keyword(s):  
Performance Management ◽  
Performance Monitoring ◽  
Service Providers ◽  
Customer Relationship ◽  
Contract Management ◽  
Perceived Fairness ◽  
Structured Interviews ◽  
Content Type ◽  
Logistics Service ◽  
Logistics Services

Purpose – The purpose of this paper is to explore key challenges of adopting, designing and managing performance-based contracts (PBC) for advanced logistics services, as seen by providers. The shift toward performance-based solutions has proved challenging since providers often struggle to link performance to their payment. Despite such managerial challenges, empirical research in this area has been limited. Design/methodology/approach – A multi-case design was adopted. Three cases of logistics service providers were selected based on purposive sampling. Data were collected through 38 semi-structured interviews and review of 43 documents such as contracts and customer target letters. Findings – Key PBC adoption challenges include customer and provider intention to align their goals and incentives as well as their views on risk and reward sharing. Contract design challenges center around performance metric definition and weighting, designing performance monitoring systems that consider service co-production effects and help improve customer relationship and designing incentives with appropriate intensity levels. Contract management challenges include fostering provider pro-activity, provider changes in terms of processes and resource investments, perceived fairness of designed incentives and contract re-design to allow for win-win relationship outcomes. Research limitations/implications – The study empirically contributes to extant logistics service provider literature by identifying specific challenges that extend also beyond PBC adoption and design and cover contract management (and potential contract re-design). It also unpacks the notion of performance attributability by analyzing its role also in terms of contract and performance management as well as its potential effects on customer relationship management. Practical implications – The study presents implications for logistics provider managers regarding how the observed PBC challenges can be overcome. Originality/value – The study unearths several challenges of PBC for advanced logistics services, particularly in connection to contract management and re-design.

Rehab, respite and recovery: the experiences of methadone users in a modified therapeutic community (MTC) in Scotland

2015 ◽  
Vol 36 (2) ◽  
pp. 124-136
Author(s):  
Iain McPhee ◽  
Denice Fenton
Keyword(s):  
Drug Use ◽  
Illicit Drug ◽  
Service Providers ◽  
Therapeutic Community ◽  
Methadone Maintenance ◽  
Illicit Drug Use ◽  
Cultural Norms ◽  
Service Users ◽  
Content Type ◽  
Rich Data

Purpose – There is limited research documenting recovery experiences of residential service users. The purpose of this paper is to explore the perceptions service users on methadone have about recovery. In depth, semi structured 1-1 interviews with seven poly drug using homeless males between the ages of 37 and 46 and analysed using NVivo software. Results are presented thematically. Participants conform to “recovery” norms allowing stigma and shame of illicit drug use to be attributed to former addict identities. Participants on methadone maintenance report inner conflict arising from changing societal and cultural norms that equate recovery with abstinence. Tensions were revealed in true motivations for active rather than passive participation in adopting group work norms. Design/methodology/approach – A qualitative design utilises small numbers of participants to gather rich data. In depth, semi structured 1-1 interviews conducted with seven poly drug using homeless males who have completed between ten and 15 weeks of a minimum 26-week residential treatment programme. Participants were aged 37-46. Results were analysed thematically using NVivo software. Findings – Participants conform to “recovery” norms allowing stigma and shame of illicit drug use to be attributed to a former stigmatised addict identity. Participants on methadone maintenance report inner conflict arising from changing societal and cultural norms regards recovery and abstinence. A significant process of recovery involved adopting the norms of 12-step groups and TC therapy to gain enough trust to leave the therapeutic community (TC) unsupervised. This created tension regards motivation, were these individuals in recovery, or merely “faking it”? Research limitations/implications – A female perspective may have provided a more balanced discussion and yielded greater depth in results. Only one service was studied and the findings may be specific to that cohort. The duration of stay at the service of ten to 15 weeks is a relatively short time and excluded participants resident for six months or more. Longer term residents may have been more reflective and informative. Practical implications – Encourage active options and increased debate on the variety of treatment options available to long term homeless opiate users who have failed to comply with previous treatments. While this is a small modest study, the rich data yields practical advice for policy makers and service providers. Social implications – This research study adds to an informed perspective by encouraging debate on methadone as a challenge to definitions of recovery that infer abstinence as a key definition of success. Originality/value – There is a paucity of research documenting a Scottish TC service user perspective using qualitative methods on experiences of addiction, treatment and recovery.

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