LOGISTICAL INNOVATION ON SERVICE DELIVERY IN 3PL COMPANIES IN KENYA: A CASE STUDY OF SPEDAG INTERFREIGHT LIMITED
Abstract
Logistics activities have been widely studied and measurement scales have been developed to link logistics with competitive advantage. However, in developing countries, more specifically in Kenya, limited research had been conducted on logistical innovation and service delivery, despite the country experiencing a significant increase in its global Logistics Performance Index (LPI). The study sought to establish the influence of logistical innovation on service delivery in 3PL companies in Kenya. Specifically, the study sought to investigate the effect of Omni-Channels and Green Logistics on service delivery of 3PL firms in Kenya. Regarding this, the study adopted a cross-sectional survey design as it was concerned with analyzing the characteristics of third party logistical entities with regards to logistical innovation. The population of interest for this study was the employees of Spedag Inter-freight limited. The study used stratified random sampling to select a sample size of 51 respondents. Both primary and secondary data was used in the study. Primary data was collected using questionnaires and interviews covering on the influence of logistical innovation on service delivery while secondary data consisted of publications and literature related to logistics and logistics management. Descriptive statistics was used aided by Statistical Packages for Social Sciences Version 24 to compute percentages of respondents’ answers. The study found out that Omni-Channels and Green Logistics positively influenced service delivery in 3PL companies in Kenya. In this regard, the study concluded that Green Logistics had the greatest influence on service delivery, followed by Omni-Channels. The study therefore made recommendations that: the 3PL firms in Kenya to fully adopt use of the Omni-channel. This would not only create a seamless customer experience but also adequately improve on the integration of the firm’s supply chain operations. Further, all 3PL companies in Kenya to fully measure and control the ecological impact of their logistical activities. This would be important to the company because today’s consumers are looking for a ‘green’ products delivered in a ‘green’ way. Therefore, minimizing ecological effects is not only going to improve the organization’s service delivery but also enhance the ‘green’ reputation of the organization.
Key Words: Omni-Channel and Green Logistics
Full Text:
PDFReferences
Acedo, F. J., Barroso, C., & Galan, J. L. (2006). The resource‐based theory: dissemination and main trends. Strategic Management Journal, 27(7), 621-636.
Bell, J. (2014). Doing Your Research Project: A guide for first-time researchers. McGraw-Hill Education (UK).
Blom, A., Lange, F., & Hess, J. L. (2017). Omni-channel-based promotions’ effects on purchase behavior and brand image. Journal of Retailing and Consumer Services, 39286-295.
Carroll, D., & Guzmán, I. (2015). The new omni-channel approach to serving customers: Strategy implications for communications service providers.
Chang, J. (2017). The effects of buyer-supplier's collaboration on knowledge and product innovation. Industrial Marketing Management, doi:10.1016/jindmarman.2017.04.00
Fahimnia, B., Bell, M. H., Hensher, D. A., & Sarkis, J. (2015). Green Logistics and Transportation: A Sustainable Supply Chain Perspective. Cham: Springer.
Francisco, K., & Swanson, D. (2018). The Supply Chain Has No Clothes: Technology Adoption of Blockchain for Supply Chain Transparency PDF.
Jankowicz, A. D. (2005). Business research projects. Cengage Learning EMEA.
Kudla, N. L., & Klaas-Wissing, T. (2012). Sustainability in shipper-logistics service provider relationships: A tentative taxonomy based on agency theory and stimulus-response analysis. Journal of Purchasing and Supply Management, 18(Sustainable Procurement, 218-231.
Lai, K. H., Wong, C. W., & Cheng, T. C. E. (2010). Bundling digitized logistics activities and its performance implications. Industrial Marketing Management, 39(2), 273-286.
Mataara, T. G. (2011). Logistics Innovations in The Road Transport Sector in Kenya. Doctoral Dissertation, University of Nairobi.
Mitnick, B. M. (2006). Origin of the Theory of Agency. An account by one of the Theory’s Originators. Rev. University of Pittsburgh.
Mugenda, A. (2003). Research methods Quantitative and qualitative approaches by Mugenda. Nairobi, Kenya.
Njoroge, K. G. (2016). Role of fleet management on supply chain performance in logistics firms based in Nairobi industrial area, Kenya. Strategic Journal of Business & Change Management, 3(3).
Patil, R., Avittathur, B., & Shah J., (2010). Supply chain strategies based on recourse model for very short life cycle products. International Journal of Production Economics. Volume 128, Issue 1 Pages 3-10.
Perotti, S. Micheli, G. J. L.; Cagno, E. (2010). Green supply chain practices (GSCP) adoption: understanding motivations and barriers among 3PLs, in Proceedings of APMS 2010 – International Conference on Advances in Production Management Systems
Pieters, R.; Glöckner, H.; Omta, O.; Weijers, S. (2012). Dutch logistics service providers and sustainable physical distribution: searching for focus, International Food and Agribusiness Management Review 15(SPECIALISSUEB): 107–126.
Plambeck, L., & Gibson, P. R. (2010). Application of agency theory to collaborative supply chains.
Renneboog, L., Simons, T., & Wright, M. (2007). Why do public firms go private in the UK? The impact of private equity investors, incentive realignment and undervaluation. Journal of Corporate Finance, 13(4), 591-628.
Ribeiro, S. K., Kobayashi, S., Beuthe, M., Gasca, J., Greene, D., Lee, D. S., & Wit, R. (2007). Transportation and its infrastructure.
Seddon, P. B. (2014). Implications for strategic IS research of the resource-based theory of the firm: A reflection. Journal of Strategic Information Systems, 23257-269.
Siller-Pagaza, G., Otalora, G., & Cobas-Flores, E. (2006). The Impact of Real Options in Agency Problem.
Shen, X., Li, Y., Sun, Y., & Wang, N. (2018). Channel integration quality, perceived fluency and omnichannel service usage: The moderating roles of internal and external usage experience. Decision Support Systems.
Taufique Hossain, T. M., Akter, S., Kattiyapornpong, U., & Wamba, S. F. (2017). The Impact of Integration Quality on Customer Equity in Data Driven Omnichannel Services Marketing. Procedia Computer Science, 121(CENTERIS 2017.
Verhoef, P. C., Kannan, P. K., & Inman, J. J. (2015). From multi-channel retailing to omni-channel retailing: introduction to the special issue on multi-channel retailing. Journal of retailing, 91(2), 174-181.
Wagner, S. M., & Busse, C. (Eds.). (2008). Managing innovation: the new competitive edge for logistics service providers (Vol. 13). Haupt Verlag AG.
Waters, M. R., & Stafford, T. W. (2007). Redefining the age of Clovis: implications for the peopling of the Americas. Science, 315(5815), 1122-1126.
Wolf, C., & Seuring, S. (2010). Environmental impacts as buying criteria for third party logistical services. International Journal of Physical Distribution & Logistics Management, 40(1/2), 84-102.
Wong C., Y. & Karia, N. (2010) Explaining the competitive advantage of logistics service providers: A resource-based view approach. International Journal of Production Economics. Volume 128, Issue 1 Pages 51-67
Yang, C. C., Marlow, P. B., & Lu, C. S. (2009). Assessing resources, logistics service capabilities, innovation capabilities and the performance of container shipping service in Taiwan. International Journal of Production Economics 122, 4-20.
DOI: http://dx.doi.org/10.61426/sjbcm.v5i4.883
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 3.0 License.
PAST ISSUES:
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.