• Title/Summary/Keyword: outsourcing logistics

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Determinants and Optimum Modelling of Logistics Outsourcing Strategy (물류(物流) 아웃소싱 전략(戰略) 결정요인(決定要因) 및 최적(最適) 모델)

  • Song, Gye-Eui
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.13
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    • pp.283-302
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    • 2000
  • The firms aim to acquire services and costs advantage from logistics outsourcing strategy. But it is very important to select optimum service provider. A checklist of the criteria for the evaluation of service providers follows : service quality, low cost, logistics information system, service network, financial stability, investments in plant and equipment, management attitude and lookout for the future strategic fit, cultural and psychological barriers etc. Also, a 8-step implement of logistics outsourcing strategy will be of help for maximizing benefits of logistics outsourcing. It follows : 1-step : logistics environment analysis, 2-step : check service provider availability, 3-step : logistics outsourcing determinant analysis, 4-step : select of optimum service provider, 5-step : contract with optimum service provider, 6-step : identify of remaining barriers, 7-step : performance of logistics outsourcing, 8-step : evaluation.

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Logistics Capability, Logistics Outsourcing and Firm Performance in Manufacturing Companies in Pakistan

  • AZIZ, Abdul;MEMON, Javed Ahmed;ALI, Shuaib
    • The Journal of Asian Finance, Economics and Business
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    • v.7 no.8
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    • pp.435-444
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    • 2020
  • This study investigates the role of logistics capability and logistics outsourcing on the performance of manufacturing companies in Pakistan. It examines how logistics capability affects firm's performance, why outsourcing is essential and how firms benefited if they outsource the service rather than establishing their own logistics capability. This research is based on a survey using structured a questionnaire to collect the primary data. The target population is logistics specialists of manufacturing companies in Pakistan with head offices based on Karachi, that have their own logistics or outsource their logistics. The questionnaire has been distributed to 500 respondents in 113 manufacturing companies in Pakistan. Confirmatory factor analysis has been used as statistical techniques to check the factor loading of the components, and SEM (Structural Equation Model) is used to check the impact of logistics capability on firm's performance as well as the role of logistics outsourcing as a mediator. The findings of the research suggest logistics capability has positive impact on the performance of the manufacturing companies in Pakistan, and logistics capability has also an impact on logistics outsourcing. On the other hand, the study found that logistics outsourcing has no significant impact on the manufacturing companies in Pakistan.

A Study on the Effect of the Characteristics of Transaction Stage on the Satisfaction of Logistics Outsourcing (거래단계별 특성이 물류아웃소싱 만족도에 미치는 영향에 관한 연구)

  • Lee, Namseung;Song, Sang Hwa
    • Korea Trade Review
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    • v.44 no.6
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    • pp.69-85
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    • 2019
  • Logistics outsourcing businesses consist of the three main stages of bidding, contracting, and operations. This study focuses on the impacts of factors in the logistics outsourcing stages on outsourcing performance. Key factors in each stage may have direct influences on logistics partnerships and performance. Also, factors of each stage may impact the factors of subsequent stages. The relationships were examined using a structural equation model and verified by PLS (partial least square)-SEM methodology. Study results were as follows. First, the uncertainty of the shipper in the bidding phase affects the flexible contract in the contracting phase, and thus, affects the satisfaction of the logistics outsourcing services. Second, the uncertainty of the shipper in the bidding phase affects operations through contracts, and positively affects logistics outsourcing satisfaction through trust and cooperation.

The Management System of Logistics Outsourcing for Transportation and Distribution : Case Studies (물류 수배송 업무의 아웃소싱 관리 체계 : 사례 연구)

  • 신해웅
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.23 no.61
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    • pp.99-104
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    • 2000
  • Although the outsourcing of logistics is one of the most widely discussed contemporary topics in the field of business logistics, efforts to organize them in an integrated broad-based body of knowledge have so far been rather limited. In order to develop and implement the outsourcing of logistics effectively and efficiently, this paper presents the procedure for establishment of outsourcing logistics systems. Several case studies including 7 firms from X Group in glass manufacturing industry and 1 firm from Y Group in chemical industry, respectively are introduced to determine the benefits of outsourcing according to some criteria, such as performance evaluation of before-outsourcing and after-outsourcing logistics.

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An Empirical Study of Logistics Performance and Outsourcing Types of Korean Distributors (유통업체의 정보물류시스템 아웃소싱 유형과 물류성과에 관한 실증연구)

  • Yoo, Chang-Kwon
    • Journal of Distribution Science
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    • v.12 no.4
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    • pp.41-46
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    • 2014
  • Purpose - This study focused on providing strategic findings that make significant sense for companies that are looking for a future outsourcing strategy. The study analyzes the results of outsourcing in the information logistics systems field and verifies the results through experimental study of the performance delivered by logistics outsourcing types. Research design, data, and methodology - The study sample was assembled based on a random sampling method used to extract the initial 451 companies from a list of Korean distributors, wholesalers, and retailers. Following that sample process, 423 companies were confirmed by verifying their e-mail address and contacts (telephone and fax numbers), and were selected as initial research subjects. We reduced that number to 331 companies for the survey sample through telephone interviews in advance with the 423 companies that were targeted, in order to verify whether they are in the field of outsourcing of information logistics systems. The period of the survey extended from November 10, 2013 to January 10, 2014. The number of collected surveys totaled 181. We reviewed the contents of the survey responses, and reduced the number of research subjects to 175. In this study, we used a standard analysis to investigate whether there is a difference in distribution results based on different types of outsourcing information in the logistics system field and, through T-verification, we investigated whether the difference between distribution results in each group resulting from that standard analysis is statistically significant. Results - These results show that there is a difference in distribution outcome, based upon type of distribution outsourcing. In addition, we determined that they are meaningful results by confirming that, for usability and to improve the capabilities of a third-party logistics service supplier, both the choice of reasonable outsourcing types and the enhancement of various types of alliances are very important success factors. Taken together these study results, with a goal of enhancing the distribution capabilities of a Korean distributor, can be implemented to enhance management results achievable by supplying an information logistics system in the form of strategic outsourcing rather than in the form of simple outsourcing. In addition, the outcomes of logistics distributors in Korea that are using outsourcing in the logistics information systems field show high performance results in commercial endeavors in the following order: competitive, pre-competitive, non-competitive, and pro-competitive. Conclusions - This study focused on providing strategic findings. However, in the case of outsourcing in the field of information logistics systems of Korean distributors, there has been a focus on simple outsourcing rather than on strategic outsourcing; furthermore, there has been a concentration on non-competitive forms instead of pro-competitive forms, which could achieve better distribution results. This discussion is presented in more detail in the analysis results of this study.

The Service Quality of the Logistics Outsourcing in the Korean Apparel Industry (국내 의류산업의 물류 아웃소싱 서비스 품질)

  • Yoon, Seo-Jin;Chun, Jong-Suk
    • IE interfaces
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    • v.20 no.3
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    • pp.333-338
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    • 2007
  • As the logistics management becomes more important with the enormous amount of competition at every level of apparel retailing, the Korean apparel companies are expanding logistics outsourcing for providing to consumers better service. This paper studied about apparel logistics service quality, focusing on the transport part. The results of this study showed that the apparel companies evaluated highly their logistics outsourcing service quality that provided from the logistics companies. The logistics companies were providing high quality logistics service to the apparel companies with relatively advanced service infrastructures such as transportation management system and logistics network, as well as improved service abilities such as exact transport and relationship management. Also, it was identified that the satisfaction with apparel transport service quality gave positive influence on recontract intention toward the logistics companies.

Improving Logistics Services of LSP to Minimize Logistics Outsourcing Risks in the Ceramic Industry

  • SUMANTRI, Yeni;GAPSARI, Femiana;HADIKO, Gunawan;PRAMUDITHA, Vania Putri
    • Journal of Distribution Science
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    • v.20 no.6
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    • pp.87-97
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    • 2022
  • Purpose: In the last few decades, the ceramic industry has become an important industry for Indonesia. The resulting product must be handled properly, because if material & product handling is not carried out properly it will impact on the quality of product. Based on the logistics outsourcing research gaps in the ceramics industry to logistics service provider (LSP), this study aims to analyze the logistics service improvement of LSP in accordance with the needs of the ceramic industry to minimize logistics outsourcing risks. Research design, data and methodology: In the field study, observations, interviews and surveys related to production and logistics activities in the ceramic industry & LSP were carried out. The next step is to analyze logistics service of LSP needed by the ceramic industry. Results: The final findings obtained from this research are the LSP need to improve 1) knowledge; 2) technology capability; 3) relationships; 4) service quality; 5) innovation; 6) commitment in services. Conclusion: In order to reduce logistics outsourcing risks in the ceramic industry, LSP in Indonesia need to improve the logistics services required by the ceramic industry with a focus on six areas of improvement.

Studies on Change of Logistics Concept and Introduction of 4PL

  • KIM, Jin-Hwan
    • East Asian Journal of Business Economics (EAJBE)
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    • v.9 no.1
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    • pp.27-39
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    • 2021
  • Purpose - According to the actual change of the logistics concept, the outsourcing activities of companies are actively progressing, and this is proceeding to third-party logistics and fourth-party logistics. This change in logistics situation raises the need for an in-depth understanding of four-party logistics. Research design, data, and methodology - In this study, first of all, the theoretical aspects of changes in the logistics concept are identified, along with the outsourcing and third-party logistics. Finally, the concept of four-party logistics, the background of its introduction, and future prospects will be explored. Result - The meaning of physical distribution is now passing through the existing three-party logistics and entering the era of four-way logistics. In addition, cost reduction and improvement of customer service through advanced logistics strategy can be said to be the company's competitiveness. Through this study, it can be seen that the conceptual change of logistics and the introduction of four-party logistics are closely related to the survival of the company's deficit in the market. Conclusion - In modern society, logistical competitiveness is the competitiveness of a company, and logistical activities of a company can be achieved through the process of entering the four-party logistics from the existing third-party logistics based on outsourcing. Then more customer-oriented service can be provided.

An Approach to the Logistics Outsourcing Factors of the Korean Companies (한국 기업의 물류아웃소싱 활용요인에 관한 연구)

  • Bang, Hee-Seok;Park, Keun-Sik;Oh, Woon-Yul
    • Journal of Korea Port Economic Association
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    • v.25 no.4
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    • pp.21-44
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    • 2009
  • This study aims to understand the conditions for using logistics outsourcing of Korean enterprises, present existing problems, examine factors affecting utility, and analyze the pattern of logistics outsourcing based on contract term, and to ultimately contribute to enhancing competitiveness of logistics enterprises. Through the literature survey 8 factors were identified as three broad factors of corporate strategy, corporate characteristics, and environment. Factor analysis was conducted on the bases of 155 collected data among 400 distributions for 2 months from April to May in 2008. From the result of analysis, the implication and finding can be summarized into three aspects. Firstly, Korean companies value factors relative to corporate strategies as motivating factors for logistics outsourcing. Secondly, Korean companies consider logistics outsourcing depending on how to handle customers' demands and the severity of competition. Thirdly, it was found that product and organization characteristics are perceived as more important when contract term with logistics business is longer. The implications can be observed into two aspects. Firstly once the logistics outsourcing between manufacturers and logistics companies are determined, it was verified that mutual agreement, particular contracts and periodic communications can increase the outcome. Secondly the logistics outsourcing appeared to be different depending on the level of entering to foreign market and resulted in higher performance as well.

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Logistics Business Model for Win-Win Strategy : Logister & Velcro Structure (윈윈전략을 위한 물류비즈니스 모델 : Logister와 벨크로 조직)

  • Paik, Si-Hyun
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.29 no.3
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    • pp.33-42
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    • 2006
  • From middle of 90's, SCM had emphasized the importance of connection of all companies which participate to a market, and outsourcing has emphasizes the slim structure of companies for pursing cost reduction and service improvement. But outsourcing as '2-1=1' and integration as '1+1=2' not adapt to the advanced market but return to the former state. Besides, it is impossible of subcontractors and logistics companies to execute these strategies which are win-win strategy and outsourcing. So many logistics companies have sharp competition in price recently. Therefore logistics companies have increased the need for a profitable business model and strategy. This paper researches the limitations of logistics market and redefines the role of logistics through the evolution of logistics. Also this paper proposes new role(Logister) and structure(Velcro structure) for not maker-oriented logistics but market-oriented logistics. The introductory case study will help to understand 2 terms(logister and velcro structure).