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Article
Publication date: 5 April 2011

Carl Marcus Wallenburg and Peter Lukassen

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…

4233

Abstract

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.

Details

European Journal of Marketing, vol. 45 no. 3
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 25 May 2010

Carl Marcus Wallenburg, A. Michael Knemeyer, Thomas J. Goldsby and David L. Cahill

The purpose of this paper is to establish a scale for the measurement of proactive improvement, in general, and then more specifically in terms of cost‐ and service‐focused…

2124

Abstract

Purpose

The purpose of this paper is to establish a scale for the measurement of proactive improvement, in general, and then more specifically in terms of cost‐ and service‐focused improvement in logistics outsourcing arrangements.

Design/methodology/approach

Upon completing a review of the literature, scale development is completed in five phases. The first two phases focus on item generation and qualitative validation. The third phase (quantitative pilot testing) involves a sample of 220 logistics managers in Germany. The fourth phase replicates these findings with a sample of 250 US logistics managers. The final phase differentiates the general scale tested and replicated in the previous two phases by assessing the merit of cost‐ and service‐focused scales adapted from the general scale among a separate sample of 298 logistics managers in Germany.

Findings

After eliminating one measurement item, the German and US samples provide support for a four‐item scale to measure general proactive improvement. Subsequent analysis with a separate sample finds strong support for scales that are adapted to capture the distinct aspects of cost‐ and service‐focused improvement.

Research limitations/implications

Research indicates that one of the key differentiators in the success of logistics outsourcing relationships is the service provider's ability to achieve proactive improvement, or customer‐oriented ex post adaptations that benefit the customer after the relationship's formation. Little empirical research has been conducted to assess the influence and merit of such improvements. The establishment of valid scales is an important initial step towards understanding the value and nature of proactive improvement in logistics outsourcing relationships.

Practical implications

Future research using the established scales should help provide practitioners with a better understanding of the value and nature of proactive improvement in logistics outsourcing relationships.

Originality/value

The paper employs a thorough multi‐phase/multi‐sample approach across two distinct countries to devise a scale for an important construct in logistics outsourcing research.

Details

The International Journal of Logistics Management, vol. 21 no. 1
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 18 November 2021

Fabian Nevries and Carl Marcus Wallenburg

The study aims to develop an organizational culture typology and explore how different logistics service provider (LSP) and customer archetypes interact to generate performance…

Abstract

Purpose

The study aims to develop an organizational culture typology and explore how different logistics service provider (LSP) and customer archetypes interact to generate performance improvements in logistics outsourcing relationships.

Design/methodology/approach

A multiple case study approach with 12 dyads was employed. Interviews as well as public and internal data from LSPs and customers were analyzed.

Findings

The results reveal four archetypes each for LSPs and customers, characterized by two dimensions: “activeness” and “openness”. Furthermore, analyzing the interaction among the archetypes, three relationship patterns are identified (“static”, “restrained”, and “progressive”) that differ in the exploratory and exploitative improvement outcomes.

Research limitations/implications

The study contributes to theory development at the intersection of organizational culture and logistics outsourcing.

Originality/value

The study provides a typology of organizational culture in logistics outsourcing and how different archetypes interact to generate improvements.

Details

International Journal of Operations & Production Management, vol. 41 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 25 January 2008

I.P.S. Ahuja and J.S. Khamba

The purpose of this paper is to evaluate the contributions of total productive maintenance (TPM) initiatives towards improving manufacturing performance in Indian Manufacturing…

2761

Abstract

Purpose

The purpose of this paper is to evaluate the contributions of total productive maintenance (TPM) initiatives towards improving manufacturing performance in Indian Manufacturing Industry.

Design/methodology/approach

In this study, a large number of manufacturing organizations have been extensively surveyed, to ascertain contributions made by TPM initiatives in the Indian manufacturing industries towards realizing manufacturing performance improvements. The correlations between various TPM implementation dimensions and manufacturing performance improvements have been evaluated and validated by employing various statistical tools.

Findings

The research focuses upon the significant contributions of TPM implementation success factors like top management leadership and involvement, traditional maintenance practices and holistic TPM implementation initiatives, towards affecting improvements in manufacturing performance in the Indian industry. The inter‐relationships between various TPM implementation success factors with the manufacturing performance improvement parameters have been evaluated, to efficiently manage the TPM implementation program to realize organizational objectives of growth and sustainability.

Research limitations/implications

The study establishes that focused TPM implementation over a reasonable time period can strategically contribute towards realization of significant manufacturing performance enhancements.

Practical implications

The study stresses upon the need for improving the synergy between maintenance function and other organizational quality improvement initiatives in the organizations, to establish maintenance as a competitive strategy for meeting the challenges of highly competitive environments.

Originality/value

The study highlights the strong potential of TPM implementation initiatives in affecting organizational performance improvements. The achievements of Indian manufacturing organizations through proactive TPM initiatives have been evaluated and critical TPM success factors identified for enhancing the effectiveness of TPM implementation programs in the Indian context.

Details

International Journal of Quality & Reliability Management, vol. 25 no. 2
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 6 June 2008

I.P.S. Ahuja and J.S. Khamba

The purpose of this paper is to develop an understanding of contributions of total productive maintenance (TPM) initiatives towards building core competencies in Indian…

2059

Abstract

Purpose

The purpose of this paper is to develop an understanding of contributions of total productive maintenance (TPM) initiatives towards building core competencies in Indian manufacturing industry. This paper critically examines the implications of TPM implementation initiatives in Indian manufacturing organizations.

Design/methodology/approach

In this study a large number of manufacturing organizations have been extensively surveyed to ascertain contributions made by TPM initiatives in the Indian manufacturing industries towards realizing core competencies. The study involves working out the correlations between various TPM implementation dimensions and core competencies, and employs various statistical tools for extracting significant factors contributing effectively towards realization of core competencies.

Findings

The study reveals that organizational leadership and involvement, traditional maintenance practices, successful adaptation of effective TPM initiatives can significantly contribute towards accruing core competencies in the organization. The study highlights that the holistic TPM initiatives outscore the traditional maintenance practices towards improving the manufacturing performance (MP). The study establishes that focused TPM implementation over a reasonable time period can significantly contribute towards realization of core competencies in MP.

Research limitations/implications

The study has been conducted to ascertain the contributions of TPM initiatives for achieving core competencies in manufacturing organizations. However, sector‐wise studies can also be conducted to evaluate the contributions of TPM implementation towards performance enhancement under the specific situations.

Practical implications

The present study identifies the impact of key TPM initiatives dimensions on organizational performance and highlights the need for aligning organizational efforts in establishing maintenance improvement initiatives for realizing improvements in performance of manufacturing organizations.

Originality/value

The paper investigates the status of TPM initiatives in the Indian context and the preparedness of Indian manufacturing industry to meet the challenges posed by the western world by employing proactive TPM strategies.

Details

Journal of Manufacturing Technology Management, vol. 19 no. 5
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 15 March 2011

Christian Busse and Carl Marcus Wallenburg

The purpose of this paper is to provide a sound basis to facilitate further research on innovation management at logistics service providers (LSPs).

8363

Abstract

Purpose

The purpose of this paper is to provide a sound basis to facilitate further research on innovation management at logistics service providers (LSPs).

Design/methodology/approach

Content analysis of extant literature was undertaken and supplemented by conceptual deliberations.

Findings

Future LSP‐specific innovation research should be undertaken. While comparatively much knowledge on innovation management by LSPs does already exist, it is hardly integrated. More comprehensive studies of LSPs' innovation processes and systems are required.

Research limitations/implications

The review is limited to articles written in English and published in academic journals from 1999 to mid‐2009. This research should be supplemented by empirical research, in particular case studies.

Practical implications

LSPs can compare their own innovation management concepts to the body of scientific knowledge presented here. As long as research does not take their specific context into account, LSPs are required to adapt more general concepts to their needs.

Originality/value

This paper outlines theoretical features of a research stream on innovation management at LSPs. It integrates previous findings on LSPs' innovation management in a suitable framework, and it proposes an agenda for future research.

Details

International Journal of Physical Distribution & Logistics Management, vol. 41 no. 2
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 1 November 1999

José F.B. Gieskes, Harry Boer, Frank C.M. Baudet and KostasSeferis

Describes a methodology, called CUTE, after the ESPRIT‐project CUTE (Continuous Improvement using Information Technology towards Excellence) which was aimed at the development of…

1165

Abstract

Describes a methodology, called CUTE, after the ESPRIT‐project CUTE (Continuous Improvement using Information Technology towards Excellence) which was aimed at the development of a software‐aided tool to support companies, in particular small and medium‐sized enterprises (SMEs) with the development of a sustained CI process. CUTE is based on a variety of hitherto mostly separate disciplines, in particular organisation design, operations management, innovation management and information technology. The methodology guides the user through a number of steps in which causes of poor performance are revealed, ways to develop improvement suggestions are generated, and the company’s capabilities to further develop and implement those suggestions are assessed. Through the ongoing development, implementation and evaluation of improvements both the company’s performance and its CI capabilities are improved continuously. A first test of the methodology has shown that CUTE helps users to increase their understanding of their operations and performance, and that the methodology provides a stimulus for starting focused improvement activities.

Details

International Journal of Operations & Production Management, vol. 19 no. 11
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 5 September 2008

Seokjin Kim and Behnam Nakhai

The ideals of total quality view contradicts with the traditional prevention‐appraisal‐failure (PAF) model. The PAF model, based on the “higher quality‐higher cost” notion, fails…

4114

Abstract

Purpose

The ideals of total quality view contradicts with the traditional prevention‐appraisal‐failure (PAF) model. The PAF model, based on the “higher quality‐higher cost” notion, fails to explain the “higher quality‐lower cost” premise of total quality. The purpose of this study is to examine the behaviour of quality costs and investigate the two contradicting views.

Design/methodology/approach

Based on the literature, a generic descriptive model is developed to examine the dynamics of quality costs and quality level over time. Through illustrative examples, the behaviour of quality costs is demonstrated and relevant implications are highlighted.

Findings

The proposed model supports continuous improvement regardless of the effectiveness of the firm's quality improvement programs. When the quality improvement program is highly effective, the “higher quality‐lower cost” phenomenon is observed; whereas, in a less effective quality improvement program, the authors observe the “higher quality‐higher cost” phenomenon, which still calls for increased improvement effort necessary for quality sustainability.

Research limitations/implications

The proposed model explains well the dynamics of quality costs, however, it can be further enhanced by incorporating the dynamics of the effectiveness of the firm's quality improvement program and its relation to quality level and quality costs.

Practical implications

The proposed model is a useful tool especially for quality improvement planning and budgeting decisions.

Originality/value

Balancing between the two contradictory views of quality costs, this study provides a deeper understanding of the relationship of quality costs and quality level.

Details

International Journal of Quality & Reliability Management, vol. 25 no. 8
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 11 April 2016

Yong Lin, Jing Luo, Shuqin Cai, Shihua Ma and Ke Rong

The purpose of this paper is to explore the quality factors influencing customer satisfaction in the electronic commerce (e-commerce) context using a triadic view of…

6141

Abstract

Purpose

The purpose of this paper is to explore the quality factors influencing customer satisfaction in the electronic commerce (e-commerce) context using a triadic view of customer-e-retailer-third-party logistics provider, and to investigate the impacts of service quality on customer satisfaction and loyalty in the e-retailing supply chain.

Design/methodology/approach

A literature review is used to determine the conceptual model and develop the measurement scales. Data are collected through a web survey mainly conducted in China. Structural equation modeling is used to analyze the collected data and test the research hypotheses.

Findings

The results verify the proposed service quality framework, consisting of two dimensions (electronic service (e-service) quality and logistics service quality), in the e-commerce context. The results indicate that e-service quality and logistics service quality are strongly linked to customer satisfaction; that is, with e-service and logistics service, respectively. e-Service quality positively impacts customer satisfaction with logistics services, but logistics service quality negatively impacts customer satisfaction with e-services. Moreover, customer satisfaction with e-services is positively associated with customer loyalty for both e-services and logistics services. However, customer satisfaction with logistics services has no direct impact on related customer loyalty, and negatively impacts customer loyalty with e-services.

Research limitations/implications

The survey focusses only on China; future data should verify whether different cultural backgrounds will impact the research results.

Practical implications

The results show that e-retailers should not only focus on e-service quality, but also logistics service quality, which is critical to the success of e-commerce.

Originality/value

A two-dimensional (e-service and logistics) service quality framework is proposed and empirically assessed in the context of the e-retailing supply chain. These impacts of the path of service quality on customer satisfaction and loyalty are highlighted.

Details

Industrial Management & Data Systems, vol. 116 no. 3
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 12 April 2013

Anupama Tiwari and Dilip Roy

To a customer, higher quality is synonymous to higher expected life. Therefore, the purpose of this paper is to determine the existing life of the competing brands in a product…

333

Abstract

Purpose

To a customer, higher quality is synonymous to higher expected life. Therefore, the purpose of this paper is to determine the existing life of the competing brands in a product field and suggest an improvement plan, under cost constraints, so that all the brands can be placed on a comparable scale.

Design/methodology/approach

For this, we consider Cox proportional hazard model for estimation of the mean life and suggest an optimization procedure for improving mean life under cost constraint. As the cost of redesigning the product is mostly known, the authors propose to take corresponding repairing cost as their surrogates and optimize the expected life for each brand subject to a fixed level of cost.

Findings

From Cox's model one can identify the causes of failure for the brands under consideration. Further, under the optimization techniques proposed herein one can order the brands for comparison purpose.

Practical implications

We have applied the proposed optimization techniques for ordering mobile handsets. In fact, based on the result obtained by our proposed method, the design engineers or the brand planners can take necessary actions to increase the product life, correct product design and improve the product performance.

Originality/value

The cost minimization approach under Cox's cause‐wise setup can provide a tool for comparing different brands of different prices and order them to know the best performer.

Details

International Journal of Quality & Reliability Management, vol. 30 no. 4
Type: Research Article
ISSN: 0265-671X

Keywords

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