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International Journal of Accounting, Finance, Auditing, Management and Economics -IJAFAME L'impact de la performance de l'externalisation logistique sur l'engagement envers le prestataire : étude empirique The impact of logistics outsourcing performance on provider commitment: an empirical study
Abstract
Since the 2000s, the relationship marketing approach starts to take place and change the philosophy of classic transactional marketing. It is a new way of marketing where customizing is the key element of the marketing action. Of particular importance is giving to building a long-term relationship allowing the company not only to have a loyal customer but also an ambassador who is spreading the company's image across the network. That is to say, building loyalty always costs less than having a new customer.
Also, commitment plays an important role in the inter-organizational relationship. For (Berry, 2002), a service performance offered by the company strengthens the customer's trust in the company and gives maintain his commitment in the relationship or even mutual commitment. Likewise, an engaged partner in the relationship is less likely to change his partner and suffers less from the effects of competitive distortions even in the case of low performance. Hence, customer commitment contributes to the stabilization and maintenance of the long-term relationship (Ulaga & Eggert, 2006).
This paper focuses on studying the impact of logistics outsourcing performance on customer commitment through an empirical study using in the analysis the PLS method. The results show a significant relationship between customer satisfaction and commitment.
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Despite the growing trend of logistics outsourcing, there are very limited sources of literature on logistics outsourcing, especially in determining the relationship between factors influencing outsourcing and the extent of logistics out-sourcing practices. In this study, we tap into the field of strategic management to help clarify the mechanisms underlying the links between factors influencing, logistics outsourcing practices and outsourcing performance. A model based on the resource based view illustrates the hypothetical connections among these variables. The data gathered from the survey were analysed using SmartPLS software. A response rate of 21 % out of the 486 firms selected was achieved and fixed as the empirical data for this study. The results of this study provide support that superior performance is correlated to the resources of the firm. The analysis shows that lack of human and physical asset capabilities, as well as transaction uncertainty influence the extent of different logistics outsourcing practices. The four logistics outsourcing practices under study were found to have a positive relationship with logistics outsourcing performance, particularly strategic focus. This study shows that although theoretically firms aim at cost reduction by employing a logistics
The following paper presents current thinking and research on fit indices for structural equation modelling. The paper presents a selection of fit indices that are widely regarded as the most informative indices available to researchers. As well as outlining each of these indices, guidelines are presented on their use. The paper also provides reporting strategies of these indices and concludes with a discussion on the future of fit indices.
Purpose
Despite intense research interest in supply chain management (SCM) over two decades, there is still uncertainty as to what SCM is and how behavioural determinants have an impact on it. The purpose of this study is to explore the linkages between the behavioural and marketing determinants of SCM and their impact on commitment and process integration.
Design/methodology/approach
The approach takes the form of descriptive research leading into causal research, using survey data and testing relationships with Structural Equation Modelling.
Findings
The study found that there are significant behavioural dimensions in SCM and identified the impact of those dimensions on supply chain commitment and process integration. One noticeable finding of this study was the nature of supply chain commitment within Confucian culture.
Research limitations/implications
Data for the study were drawn from one single industry, so the findings are indicative but not representative of all supply chains. Also, the results cannot be generalised to other countries and industries. However, this study acts as a starting‐point to understand how behavioural and marketing determinants may impact supply chain commitment and business process integration. A series of future studies may follow this study to develop a comprehensive understanding of the nature, structures and strategies of supply chain commitment in Confucian culture.
Practical implications
This study will enable supply chain managers to understand the role of behavioural and marketing factors in managing supply chains. The root of Confucian culture lies in Asia, and Asia is an integral part of global supply chains. An understanding of Confucian dynamics will enable practitioners to manage these supply chains efficiently.
Originality/value
This paper contributes to an understanding of the behavioural/soft determinants in managing supply chains, particularly in Asia. This study also highlights the role of Confucian dynamism in shaping supply chain commitment. Both these areas had previously been under‐researched.
This paper investigates customer perceptions on three key logistics outsourcing decisions: why to outsource, what to outsource and how to manage satisfaction within third party logistics providers (3PLs) partnerships. In addition to an analysis of the current literature, a Europe-wide postal and telephone survey revealed that outsourcing in the consumer good industry is heavily service driven and focused on the traditional logistics functions. The key findings of the work are that cost aspects play a smaller role for outsourcing in the consumer goods industry than anticipated, and that performance measurement systems will require increased sophistication over the coming years. It was found that a considerable number of consumer goods companies admitting that soft issues, such as cultural incompatibility and poor communication, may lead to the failure of the 3PL partnership.
Purpose: This paper discusses partial least squares path modeling (PLS), a powerful structural equation modeling technique for research on international marketing. While a significant body of research provides guidance for the use of covariance-based structural equation modeling (CBSEM) in international marketing, there are no subject-specific guidelines for the use of PLS so far. / Methodology/approach: A literature review of the use of PLS in international marketing reveals the increasing application of this methodology. / Findings: This paper reveals the strengths and weaknesses of PLS in the context of research on international marketing, and provides guidance for multi-group analysis. / Originality/value of paper: The paper assists researchers in making well-grounded decisions regarding the application of PLS in certain research situations and provides specific implications for an appropriate application of the methodology.
The research examines the relationships among three dimensions of logistics service performance (operational, relational, and cost performance), customer satisfaction, customer loyalty, and market share. Perceptions of customers of third party logistics (3PL) providers are used to assess 3PL performance constructs. Of the three dimensions of service performance, relational performance is the single most important factor in engendering customer satisfaction. The research supports the strong relationship between customer satisfaction and loyalty identified in previous studies. It also establishes an empirical link between customer loyalty and a measure of market share that is anchored by objective, secondary data.
In this paper, the authors show that PLS path modeling can be used to assess a hierarchical construct model. They pro-vide guidelines outlining four key steps to construct a hier-1 Carol Saunders was the accepting senior editor for this paper. archical construct model using PLS path modeling. This approach is illustrated empirically using a reflective, fourth-order latent variable model of online experiential value in the context of online book and CD retailing. Moreover, the guidelines for the use of PLS path modeling to estimate parameters in a hierarchical construct model are extended beyond the scope of the empirical illustration. The findings of the empirical illustration are used to discuss the use of covariance-based SEM versus PLS path modeling. The authors conclude with the limitations of their study and suggestions for future research.
textlessptextgreaterThe attainment of quality in products and services has become a pivotal concern of the 1980s. While quality in tangible goods has been described and measured by marketers, quality in services is largely undefined and unresearched. The authors attempt to rectify this situation by reporting the insights obtained in an extensive exploratory investigation of quality in four service businesses and by developing a model of service quality. Propositions and recommendations to stimulate future research about service quality are offered.
Although previous studies have extensively examined the effectiveness of the two important control mechanisms in inter-firm relationship management—contracts and relational norms—their relative usefulness under different transaction constraints is still unclear. This study extends existing research on relationship management by exploring the effects of various transaction constraints on the use of contracts and relational norms. It also examines the effects of these two mechanisms on outsourcing performance. The analysis of data from 264 Chinese firms engaged in logistics outsourcing indicates that demand volatility has a negative effect on contracts but has no significant effect on relational norms. Supply volatility exerts an inverse U-shape effect on relational norms, but has no significant effect on contracts. When technology uncertainty prevails, firms are likely to increase their use of either contracts or relational norms. In contrast, when vendor contribution is highly unpredictable, firms will simultaneously reduce their use of contracts and relational norms. Furthermore, although relational norms enhance satisfaction more effectively than contracts, their positive effects on financial performance are not significantly different. These findings enrich relationship management research, especially with regard to control mode selection in situations of transaction uncertainty.
In 1983 the author presented a paper entitled simply “Relationship Marketing” at the American Marketing Association's Services Marketing Conference. The paper was published in the conference proceedings and for the first time the phrase “relationship marketing” appeared in the marketing literature. For this charter issue of the Journal of Relationship Marketing, the original 1983 paper is reprinted in full. The author then offers fresh perspectives on his paper in the form of a commentary.
Driven by more demanding customers, global competition, and slow-growth economies and industries, many organizations search for new ways to achieve and retain a competitive advantage. Past attempts have largely looked internally within the organization for improvement, such as reflected by quality management, reengineering, downsizing, and restructuring. The next major source for competitive advantage likely will come from more outward orientation toward customers, as indicated by the many calls for organizations to compete on superior customer value delivery. Although the reasons for these calls are sound, what are the implications for managing organizations in the next decade and beyond? This article addresses this question. It presents frameworks for thinking about customer value, customer value learning, and the related skills that managers will need to create and implement superior customer value strategies.
Customer loyalty is viewed as the strength of the relationship between an individual’s relative attitude and repeat patronage.
The relationship is seen as mediated by social norms and situational factors. Cognitive, affective, and conative antecedents
of relative attitude are identified as contributing to loyalty, along with motivational, perceptual, and behavioral consequences.
Implications for research and for the management of loyalty are derived.
Purpose – The purpose of the study is to examine and develop a better understanding of triangle relationship between quality, customer relationship management (CRM) and customer loyalty (CL) which might lead to companies' competitiveness (CC). Design/methodology/approach – A research model (5Qs) was designed to measure satisfaction and loyalty. This model is based on two conditions: the customer database and CRM strategy are well structured; and that management control systems have the capacity to produce required data for the analysis. Findings – Changing in quality over time within various segments or related to specific products or categories of products/services can be used as an indicator the level of loyalty. By linking infrastructure, interaction and atmosphere indicators to the quality of object and processes, researchers and managers can document which changes in CRM strategy improve the overall satisfaction and loyalty, hence the ultimate outcomes. Practical implications – Key ways to build a strong competitive position are through customer relationship management (CRM) and product/service quality. A company has to create customer relationships that deliver value beyond the provided by the core products. This involves added tangible and intangible elements to the core products thus creating and enhancing the “product surrounding”. One necessary expecting result of the creation of value added is customer loyalty. This is an important function to ensure the fulfilment of given customer requirements and companies profits, survival and competitive positioning. Originality/value – In this study a new technical-functional 5 qualities model (5Qs) is created and utilized to measure the quality and loyalty. The paper suggests how to incorporate the infrastructure, interaction and atmosphere indicators into the quality of object and processes to identify changes and improvement in CRM strategies.
Social exchange theory (SET) has been used extensively by marketing scholars to explain business-to-business relational exchange. Despite its popularity as a theoretical explanatory mechanism, there is no recent literature review that delineates SET's foundational premises, how it has been used in the marketing literature, and its theoretical limitations. This article provides such a review and is intended to assist researchers who wish to use SET to examine business-to-business relational exchange.
Purpose
The purpose of this paper is to investigate how perceived service quality influences both a shipper's satisfaction and subsequent loyalty in third‐party logistics outsourcing relationships.
Design/methodology/approach
Critical service dimensions are identified and their impact on satisfaction and loyalty are developed into a theoretical model, which in turn is examined empirically using structural equation modelling from a survey of 235 industrial companies in Finland.
Findings
The results support the satisfaction‐loyalty model in a logistics outsourcing context confirming that service perceptions influence loyalty through a shipper's overall satisfaction with the service provider.
Research limitation/implications
The empirical study is limited to Finland and data were collected before the financial crisis of 2008‐2009 which affected the economy and this industrial sector. The theoretical constructs and model also need to be validated and tested further across a wider empirical context.
Practical implications
Logistics service providers recognise the importance of service quality in outsourcing relationships. However, while the continuity of the current relationship is supported by good service quality, the efforts to extend the scope of the outsourcing arrangement need to be examined on a different basis.
Originality/value
The paper is one of the first to investigate and confirm the service‐satisfaction‐loyalty paradigm in a logistics outsourcing context.
Purpose
This paper aims to introduce the special issue on the marketing perspectives of logistics service providers and the relevant papers. The paper also aims to introduce the concept of outsourcing in general and logistics outsourcing in particular that is directly relevant to the genesis of third‐party logistics firms.
Design/methodology/approach
This is a conceptual paper largely based on analysis and discussion of the relevant literature.
Findings
The paper suggests possible avenues for future research in terms of this special issue and illustrates the contribution of the selected papers to the current literature.
Research limitations/implications
This is a conceptual paper that offers a plethora of suggestions for future research. Subsequently, the empirical testing of these suggestions is urgently required.
Originality/value
The value of this paper lies in examining a topic that has attracted limited attention by marketing scholars so far. The selected papers illustrate the possibilities for further original research in that area.
Purpose
The purpose of this paper is to provide a differentiated view of relationship‐specific proactive improvement of logistics service providers (LSPs) that distinguishes between the cost and performance and the effect that these two dimensions of innovation have on three distinct customer loyalty dimensions (retention, extension, and referrals).
Design/methodology/approach
A confirmatory empirical study was conducted based on social exchange theory and customer value theory. The survey responses from 298 firms were analysed using structural equation modelling and multi‐group analysis to test for direct effects and moderation.
Findings
Both dimensions of relationship‐specific proactive improvement by LSPs (cost and performance) are strong drivers of all three customer loyalty dimensions and, thus, are important to customer relationship management and relevant areas to be considered within innovation management. The effect on customer loyalty is moderated by the dynamism of the customer's market. Proactive cost improvements are more important under high dynamism, while proactive performance improvements, contrary to initial assumptions, are more important when dynamism is low.
Research limitations/implications
Future studies should analyse other cultural settings, differentiate between functional and relationship value provided, consider other services, investigate how LSPs can facilitate proactive improvement and improve innovation management, and explore how customers can foster proactive improvement.
Practical implications
The currently low level of proactive improvement should be increased if LSPs want to enhance customer loyalty. In doing so, LSPs ought to consider the dynamism of their customers' markets.
Originality/value
The paper is the first to provide a differentiated view on the role of relationship‐specific proactive innovation that distinguishes between cost and performance improvements and illustrates their effects on three distinct customer loyalty dimensions.
Purpose
The purpose of this paper is to examine how goal achievement and goal exceedance influence the aspects of loyalty in logistics outsourcing relationships. Specifically, it aims to develop and test a model of customer loyalty across two cultures to determine if dedicated strategies for building loyalty are required.
Design/methodology/approach
This effort develops a conceptual model that provides a better understanding of the relationship between two dimensions of logistics outsourcing performance (goal achievement and goal exceedance) to loyalty across cultures. The model is then tested using structural equation modeling along with multi‐group analysis.
Findings
The findings indicate that goal achievement strongly influences the loyalty aspects of retention and referrals, but not extension. Meanwhile, all three dimensions of loyalty were influenced by goal exceedance of the logistics provider. Further, goal achievement was found to have a stronger effect on retention only, with goal exceedance demonstrating a stronger influence on extension and referrals. In addition, cultural differences in the model were identified.
Research limitations/implications
Future research should examine more transactional settings as well as other potential moderators that may be consequential to the examination of loyalty formation.
Practical implications
The findings suggest that logistics service providers (LSPs) need to have an appreciation for the differences between goal achievement and goal exceedance as it relates to loyalty formation. In addition, LSPs need to adapt their performance goals based on cultural differences that may exist across their markets.
Originality/value
The close examination of the two dimensions of outsourcing performance on three aspects of loyalty behavior builds on the extant literature. The examination across the two national settings provides yet another contribution of the study.
This research investigates the antecedents and consequences of customer satisfaction. We develop a model to link explicitly the antecedents and consequences of satisfaction in a utility-oriented framework. We estimate and test the model against alternative hypotheses from the satisfaction literature. In the process, a unique database is analyzed: a nationally representative survey of 22,300 customers of a variety of major products and services in Sweden in 1989–1990. Several well-known experimental findings of satisfaction research are tested in a field setting of national scope. For example, we find that satisfaction is best specified as a function of perceived quality and “disconfirmation”—the extent to which perceived quality fails to match prepurchase expectations. Surprisingly, expectations do not directly affect satisfaction, as is often suggested in the satisfaction literature. In addition, we find quality which falls short of expectations has a greater impact on satisfaction and repurchase intentions than quality which exceeds expectations. Moreover, we find that disconfirmation is more likely to occur when quality is easy to evaluate. Finally, in terms of systematic variation across firms, we find the elasticity of repurchase intentions with respect to satisfaction to be lower for firms that provide high satisfaction. This implies a long-run reputation effect insulating firms which consistently provide high satisfaction.
The demand of third-party logistics (3PL) provider becomes an increasingly important issue for corporations seeking improved customer service and cost reduction. The present paper presents an integrated fuzzy approach for the evaluation and selection of 3PL providers. This method consists of three different techniques: (1) use fuzzy Delphi method to identify important evaluation criteria; (2) apply fuzzy inference method to eliminate unsuitable 3PL providers; and, (3) develop a fuzzy linear assignment approach for the final selection. The proposed method enables decision analysts to better understand the complete evaluation process of 3PL selection. Furthermore, this approach provides a more accurate, effective, and systematic decision support tool for 3PL provider selection. Finally, an actual industrial application is presented to demonstrate the proposed method.
Extant research has widely investigated linear functional forms in satisfaction and loyalty models. Though complex nonlinear nature of satisfaction loyalty link is suggested by several researchers, few attempts have been made to empirically examine nonlinearity. Moreover, researchers have used divergent functional forms to model nonlinearity and their findings are often inconclusive. In this study we use nonlinear form to describe the relationship between satisfaction, attitudinal loyalty, purchase loyalty and customer behavioral intentions such as willingness to pay more and external and internal complaining responses in the context of business-to-consumer ecommerce. We find modest empirical support for nonlinear effects in the relationship. Results support nonlinearity only in the case of attitudinal loyalty to internal complaining response link. Results also present evidence about the mediating role of attitudinal loyalty in the relationship between satisfaction, purchase loyalty, willingness to pay more and internal complaining responses.
Logistics outsourcing, contract complexity and performance of Australian exporters
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