Digitalization and third-party logistics performance: exploring the roles of customer collaboration and government support

Abstract

Purpose

The authors investigate how logistics digitalization affects two types of third-party logistics (3PL) performance: financial performance and service performance. In particular, the authors explore the mediating role of customer collaboration between logistics digitalization and firm performance based on organizational information processing theory and examine the moderating role of government support.

Design/methodology/approach

The authors use an SPSS macro program (PROCESS regression analysis) to analyze survey data from 235 3PL firms in China. The mediation model, moderation model and moderated mediation model are tested.

Findings

The empirical results show that in the new age of digitalization transformation, logistics digitalization positively affects 3PL's financial performance and service performance by strengthening customer collaboration. Additionally, government support amplifies the positive effect of customer collaboration on service performance but not financial performance. The moderated mediation test further indicates that government support strengthens the positive indirect effect of digitalization on service performance through customer collaboration.

Originality/value

This study offers empirical insights into the growing body of 3PL literature, and the findings contribute to the theoretical and practical understanding of the emerging research topic of digital transformation (DT) and sustainability issues in 3PL firms.

Citation

Zhou, H., Wang, Q., Wang, L., Zhao, X. and Feng, G. (2023), "Digitalization and third-party logistics performance: exploring the roles of customer collaboration and government support", International Journal of Physical Distribution & Logistics Management, Vol. 53 No. 4, pp. 467-488. https://doi.org/10.1108/IJPDLM-12-2021-0532