The effects of logistics competency on performance

Title
The effects of logistics competency on performance
Authors
Kuo-Chung Shang; Peter B. Marlow
Keywords
Logistics management, Logistics competency, Structural equation modelling, Performance
Issue Date
2007-12
Publisher
인하대학교 정석물류통상연구원
Series/Report no.
Journal of international logistics and tradevol.5 no.245-66 pp.
Abstract
Logistics and supply chain management has been elevated to a strategic level whereby firms can simultaneously achieve differentiation and low cost for sustained competitive advantage. Empirical studies have often concentrated on logistics management in developed Western countries, displaying a bias towards the USA. This study applies the competency approach to explore logistics in Taiwan. A survey of 1,200 manufacturing firms was undertaken in order to examine the relationships between logistics competency, logistics performance, and financial performance, using exploratory factor analysis and the structural equation modelling technique. Four logistics competencies, namely, integration and knowledge competency, customer focused logistics competency, measurement competency, and agility competency were identified. The research findings revealed that (1) logistics competency was significantly related to logistics performance but not significantly associated with financial performance, and (2) logistics performance was positively associated with financial performance. These findings also implied that logistics competency has an indirect effect on financial performance through logistics performance. This finding confirmed the “world-class” logistics competencies (i.e. positioning, integration, agility, and measurement) as identified by MSUGLRT (1995). In addition, it suggests that logistics competency in a huge geographic area such as America can have the same effect in a smaller geographic area such as Taiwan.
URI
http://dspace.inha.ac.kr/handle/10505/20617
Appears in Collections:
연구기관 > 대학부설 연구소 > 정석물류통상연구원 > Journal of international logistics and trade
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