Trust, commitment, logistics outsourcing relationship quality, relationship satisfaction, strategy alignment and logistics performance – a case of selected manufacturing firms in Uganda

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.

Opportunities and Challenges of Artificial Intelligence in Banking: Systematic Literature Review

The primary aim of this systematic literature review (SLR) was to identify, assess and synthesize the extant evidence about the opportunities and challenges concerning the use of Artificial Intelligence (AI) in the banking sector. From the SLR, it is evident that AI has several opportunities for the sector. There are many fin-tech start-ups that offer banking AI solutions, and banking regulators are fostering AI adoption through legislation and collaboration. Other opportunities include the following: personalized services, smart wallets, decision-making and problem-solving, customer satisfaction and loyalty, process automation (especially targeting repetitive tasks), transactional security and cybersecurity improvements, and promotion of digital financial inclusion. Nevertheless, the key banking industry stakeholders have to formulate appropriate strategies aimed at overcoming existing and prospect AI challenges. Among the AI challenges that should be prioritized we include the following: job loss and user acceptance concerns, privacy breaches, creativity and adaptability loss, restrictive implementation and operational requirements, digital divide, availability of vast quality data, AI-business strategy alignment, and loss of emotional “human touch”. However, existing studies are largely descriptive and based on secondary sources of data. This necessitates empirical studies to expand the existing body of knowledge regarding AI opportunities and challenges in the banking industry.

Does the environment matter, a closer look at the environmental approach by small businesses in Africa developing countries.

Environmental Social Responsibility (ESR) is a notion, where business integrates environmental concerns in their operations and the interaction with stakeholders, without compromising profit. To this day, ESR studies are limited to areas of ethics, society and employees while literature is blunt on its impact on societies, consumer behaviour and governments. SMEs in developing countries are not spared their approach to ESR as a sustainability strategy. SMEs’ approach seems to digress from leverage on loyalty which emanates from their nearness to communities who in turn are potential customers. This paper takes a closer look at SMEs’ approach to ESR driven by SME business owners’ perception towards ESR. The paper will take account of SMEs’ behavioural response towards ESR and establish whether they regard ESR a strategic sustainability approach with long-term positive bottom-line benefits. Results were attained through assessing perceptions of SMEs towards ESR; assessing impact practice of ESR by SMEs; exploring factors that undermining practise of ESR by SMEs. A mixed approach was adopted where data was obtained using face to face interviews. Results showed that the majority of SME business owners had a negative approach towards the practice of ESR. SMEs believe ESR was mainly for large corporations since their operations were hideously affecting the environment. As new knowledge, recommendations from this paper will be shared with Chambers of Commerce in Africa developing countries. Some of the recommendations were that the chambers of commerce, local authorities must proactively support SMEs to practise ESR through awareness workshops, train and share the ESR strategy alignment with business strategy.

Alignment strategic in project-based businesses: a review of the literature

Objective: This literature review sought to understand the theoretical-empirical connections of strategic alignment in project-based businessesMethodology: We carried out a systematic review with searches in scientific databases (Web of Science and Scopus) and application of technical snowballing with the intention of finding the most relevant works on the topic. The strings adopted were based on the keywords: project-based businesses and strategy. Filters related to the research area, the document types and the language were applied. The selected articles were analyzed following the steps: removal of duplicates, reading of titles, abstracts and quality assessment. After these steps, 20 papers were analyzed in a descriptive and exploratory way using VOSviewer, Biblioshiny and MS Excel software.Originality: The paper filled a gap concerning strategic alignment in the context of project-based business, which is an emerging concept that is little debated in the literature.Main results: The results showed a mutual influence between strategy alignment and project management. It was found that the first helps organizations to focus on correct projects, while project management helps achieves their strategic objectives. Four research focuses related to the strategic alignment in the PBB were also published in the literature: project management and organizational strategy; interaction between actors in the formation of strategies; program, portfolio and governance management; project management office and organizational design.Contributions: The contribution consists of presenting a set of propositions that systematize the findings of the papers and elucidate ways for the formation of a research agenda.

Lifting the lid on the black box of corporate real estate decision-making; dealing with surplus property

Purpose The purpose of this paper is to identify the variables that influence corporate real estate (CRE) decision-making and gauge their relative importance to each other, thereby understanding the consequent challenges/implications for CRE managers (CREM’s). Design/methodology/approach Interviews were undertaken with experienced CREM’s using the causal network elicitation technique to create decision networks for the variables they considered for the specifically defined scenario: dealing with surplus property from a change of business strategy. These networks illustrate the complexity of the mental representations required for the realignment of the CRE portfolio. The key variables are more extensive than alignment theory suggests, namely, financial stakeholders. Additional variables identified include risk, lease accounting, costs, financial analysis, business metrics and motivational drivers. The latter indicates the importance of self-esteem and peer recognition for CREM’s and financial benefits for the C-suite. Accordingly strategy alignment needs to incorporate CRE both in terms of strategy creation and implementation. Findings These networks illustrate the complexity of the mental representations required for the realignment of the CRE portfolio. The key variables are more extensive than alignment theory suggests, namely, financial stakeholders. Additional variables identified include risk, lease accounting, costs, financial analysis, business metrics and motivational drivers. The latter indicates the importance of self-esteem and peer recognition for CREM’s and financial benefits for the C-suite. Accordingly, strategy alignment needs to incorporate CRE both in terms of strategy creation and implementation. Originality/value This research appears to be the first that looks in detail at the mental representations used by decision-makers while making CRE decisions.