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PurposeDespite over 30 years of focus on supply chain collaboration, companies continue to struggle to achieve collaborative advantage. To better understand why some companies are able to collaborate for competitive advantage and others can't, the authors explore how managerial commitment enables collaborative capabilities.Design/methodology/approachThe authors employed a longitudinal inductive study, interviewing companies with reputations for intense supply chain collaboration at four different times over 20 years.FindingsThe authors identified managerial commitment as a super-ordinate enabler. They describe the dynamics of commitment development and explore three types of commitment: instrumental, normative and transformative. The authors document key antecedents and outcomes of each type of commitment.Research limitations/implicationsTheory regarding the antecedents to commitment to collaborative capability is underdeveloped. The authors elaborate these antecedents and the dynamics that enable or undermine the commitment necessary to build effective collaboration capabilities.Practical implicationsThe authors provide insight (i.e. a practical and actionable roadmap) into the process companies use to cultivate commitment to collaboration and value co-creation.Originality/valueCollaboration is critical to value co-creation, including effective supply chain risk mitigation and lasting sustainability efforts. The authors elaborate a theory of commitment dynamics that explains why most companies never go beyond basic levels of collaboration. At the same time, the authors provide a roadmap for deep, transformative collaboration.

PurposeThis study follows the tenets of the resource dependence theory (RDT) to investigate the effects of four dimensions of industry-level environmental uncertainty – munificence, dynamism, complexity and innovative intensity – on a shipper's cross-buying (i.e. outsourcing across multiple service categories) in logistics outsourcing arrangements.Design/methodology/approachNegative binomial regression was used to test the hypotheses with a sample of US manufacturers. Measures were developed through information acquired from a proprietary database of 3PL companies obtained through Armstrong and Associates, Inc. and publicly available industry measures from the US Manufacturing Census and Compustat.FindingsThe findings indicate that individual dimensions of environmental uncertainty exhibit distinct influences on shippers' cross-buying in their logistics outsourcing arrangements. Specifically, the growth and initial innovative intensity of shippers' industries lead to an increased number of logistics service categories outsourced to 3PLs, while industry dynamism and exceptionally high innovative intensity drive the opposite effect.Practical implicationsThese findings provide valuable guidance to 3PLs with respect to decisions related to the acquisition of specialized transportation, storage, information systems and personnel assets to serve specific industries. The findings highlight industry conditions that are more likely to lead shippers to outsource across a wider array of logistics service categories and, as a result, potentially yield higher customer retention and profit margins.Originality/valueWhile extant 3PL literature posits that shippers' individual strategic orientations and capabilities impact their outsourcing strategy, this study contributes to the literature by providing a theoretical-based empirical examination of the industry-level influencers of such behavior.

PurposeThe rapid advancement of digital technologies has fundamentally changed the competitive dynamics of the logistics service industry and forced incumbent logistics service providers (LSPs) to digitalize. As many LSPs still struggle in advancing their digital transformation (DT), the purpose of this study is to discover barriers and identify organizational elements and associated leading practices for DT success at LSPs.Design/methodology/approachThis study utilizes a two-stage approach. Stage 1 is devoted to a literature review. Stage 2, based on multiple case studies, analyzes information collected across nine international and global LSPs.FindingsThis research derives a practice-based definition of DT in the logistics service industry, and it has identified five barriers, eight success factors and associated leading practices for DT. The main obstacles LSPs struggle with, are the complexity of the logistics network and lack of resources, while the main success factor is a leader having and executing a DT vision, and creating a supportive organizational culture.Practical implicationsThe results contribute to the emerging field of DT within the logistics and supply chain management literature and provide insights for practitioners regarding how to effectively implement it in a complex industry.Originality/valueThe authors analyze DT from the perspective of LSPs, traditionally not viewed as innovative companies. This study compares their DT with that of other companies.

Purpose The purpose of this paper is to explore how big-picture sustainability strategies are translated into tangible product development efforts. The authors assert that most sustainable products currently remain confined to niche markets and do not permeate the mainstream. The authors propose that there is a missing link between strategic sustainability goals and operational product development initiatives. The authors establish a path to bridging this gap. Design/methodology/approach The manuscript is based on a qualitative research design with a sample of 32 companies. Data were collected from semi-structured interviews with product developers as well as secondary data analysis. Findings The authors delineate three empirically derived approaches firms from the sample pursue to develop sustainable products. The authors identify a phenomenon that the authors’ call the fallacy of trickle-down product sustainability. The authors find that only one of the three approaches – codification – is equipped to successfully turn strategic sustainability targets into authentic sustainable products. Practical implications This study provides an actionable guide to executives and product developers with respect to bridging the gap between often elusive sustainability aspirations and tangible product improvements via the process of rigorous codification. Originality/value This study provides a novel and unique perspective into strategy, sustainability and product development. The authors synthesize the extant literature on sustainable product development, juxtapose the emergent structure with primary interview data, and elaborate the resource-based view (RBV) to provide theoretical and practical implications. The authors establish scalability as the missing RBV capability of many attempts toward mass–market compatibility of more sustainable products.

PurposeThe purpose of this paper is to explore resources or capabilities that enable medium-sized firms to be resilient, namely, to avoid and recover from supply chain disruptions.Design/methodology/approachA case-study method is employed with four medium-sized manufacturing firms headquartered in the USA that have global supply chains. Data are collected from semi-structured interviews with key informants from diverse functions and managerial levels, archival documents, observation and a resilience assessment.FindingsInternal social capital emerged as a resilience-enhancing resource, comprising: structural capital grounded in small network size, geographical proximity among decision makers and low hierarchy; relational capital grounded in close relationships, commitment and respect; and cognitive capital grounded in long employee tenure.Originality/valueThis is the first paper in the supply chain management literature to examine the resilience of medium-sized firms, an under-researched context. It is also the first paper to introduce internal social capital as a resilience-enhancing resource. Hence, this is among the few papers to propose a resilience-enhancing resource rooted not in a firm’s supply chain operations but its human resources. This paper, moreover, identifies several facets of internal social capital within medium-sized firms. Finally, the paper makes several managerial contributions.

PurposeThe purpose of this paper is to evaluate how service perceptions influence customer views of the authenticity of corporate sustainability claims. The goal of this paper is to help supply chain decision-makers better understand boundary conditions in order to design more enduring and impactful sustainability programs.Design/methodology/approachThe authors employ behavioral experiments, subjecting two theoretically derived hypotheses to verification across five diverse industries and two distinct sustainability vignettes.FindingsCustomer service perceptions emerge as a significant boundary condition to the perceived authenticity of sustainability efforts. Subjects attributed significantly higher authenticity toward sustainability efforts in above average vs below average service quality contexts. Further, respondents attributed deceptive motivations to sustainability efforts at companies with below average service.Research limitations/implicationsThe authors confirm the underlying tenet of social judgment theory, which suggests thata prioriperceptions create a zone of acceptability or rejection. Ultimately, investing in sustainability can lead to counterproductive cynicism.Practical implicationsThe authors infer that customers’ willingness to give companies credit for sustainability initiatives extends beyond service issues to any practice that influencesa prioriperceptions. Supply chain managers must rethink their role in designing both customer service and sustainability systems to achieve positive returns from sustainability investments.Originality/valueThe authors challenge the assumption that customers universally positively view sustainability efforts. If customers holda priorinegative service perceptions, otherwise well-designed sustainability programs may invoke cynical reactions. Thus, sustainability programs may not inoculate firm reputations from adverse incidents. Given they touch both service and sustainability systems, supply chain managers are positioned to holistically influence their design for competitive advantage.

Over the past several decades, the disciplines of marketing and logistics grew apart from their common historical origins as marketing became more behavioral and more quantitative, while logistics leaned toward a more operational orientation We argue in this editorial that social and technological changes in the past 20 years, coupled with the effects of the COVID pandemic, have created the conditions for the two disciplines to reconnect We propose that scholars and practitioners consider a consumer‐centric approach to supply chain management Such an approach advocates that the entire supply chain should focus on consumer experience rather than mere customer service and that experiences might include issues such as last‐mile delivery, supply chain visibility, and consumer values We also introduce the papers appearing in this issue of the journal

In the years following an initial public offering (IPO), firms have to manage portfolios of customers and suppliers in order to achieve growth goals during this particularly uncertain time in a firm's lifecycle. The current research sheds light on three key questions: (1) Do firms benefit from conducting a large portion of business with a large customer or supplier? (2) Is it beneficial if the focal firm represents a large portion of business for customers and suppliers? And, (3) is balanced portfolio dependence helpful to a focal firm? The extant literature, drawing insights from the logics of power and embeddedness, is divided on these questions. We utilize a secondary data set of focal firms (post-IPO) and their portfolios of relationships with customers and suppliers to explain where each theoretical perspective applies to the management of supply chain portfolios.

Accidents involving large commercial trucks kill over 3,000 motorists every year in the United States. A substantial number of these accidents stem from truck drivers operating their trucks while excessively fatigued. This concern has resulted in regulatory agencies establishing hours-of-service (HOS) rules that carriers must ensure their drivers abide by. In this study we examine the relationship between carriers' capability at monitoring their truck drivers using electronic technologies and carrier-level compliance with HOS rules. Drawing on principles from deterrence theory, we explain why this relationship should be sigmoidal (S-shaped) in nature such that motor carriers receive the greatest gains from investing in electronic monitoring capability when they have a moderate level of this capability. We subject our theorized prediction to empirical testing using a longitudinal research design that combines primary data on motor carriers' electronic monitoring capability and secondary data from regulators regarding carrier-level compliance with HOS rules. Results from our econometric analysis corroborate the hypothesized sigmoidal relationship, which stands up to stringent robustness testing. These results hold important implications for theory and practice.

We analyze the direct and indirect effects of two critical-component supply-disruption attributes (CONTROLLABILITY and RESPONSIBILITY) on supplier non-retention post disruption. Using a scenario-based role-playing experiment with 253 purchasing professionals, we find that the likelihood that a recovery lead (i.e., the individual assigned to the disruption-recovery task) recommends non-retention of an incumbent critical-component supplier post disruption is higher when the recovery lead perceives that the supplier, rather than nature, had control over the supply disruption. Moreover, this direct effect is partially explained by the amount of ANGER that the recovery lead feels due to the supply disruption. Neither the direct nor the indirect effect of RESPONSIBILITY on supplier non-retention post disruption is, however, detected. This paper is among the first to offer theoretical and empirical evidence that supplier non-retention in a supply-disruption context is a function of who had control over the supply disruption. Furthermore, this paper considers the effects of emotions and illustrates that supply-management decisions are not based solely on rational (i.e., cognitive) processes but also on emotional processes. Finally, this paper challenges conceptual arguments about the association between supplier selection and retention, at least in the supply-disruption context and with regard to the individual participating in both tasks. Our findings also have several managerial implications for supplying and buying firms.

Firms interact with other parties in their supply chains to access the resources necessary to operate efficiently and effectively. While much of the extant research focuses on dyadic relationships between two firms, another unit of analysis that can be utilized to augment the current research in supply chain management is the portfolio (Tokman et al. 2007). Firms engage in a diverse set of relationships at any given point in time, and these sets of relationships can be conceptualized as portfolios, defined as the set of direct interfirm relationships for the focal firm. Portfolios provide a useful unit of analysis for research because a firm must also have a vision for how to manage its portfolio in support of value creation and appropriation, in addition to understanding how individual relationships provide access to resources and help the organization adapt to the changing environment. In this research, we utilize a systematic literature review to explore supply chain portfolio research from a variety of academic fields. Our findings include multiple themes with conflicting results in the extant literature. We then utilize the findings to motivate directions for future research.

Corporate sustainability is often articulated as a top strategic priority, equal in importance to corporate social and financial objectives. Companies have, however, struggled to implement profitable sustainability programs. Therefore, the objective of this manuscript is to evaluate the impediments to the design and adoption of viable corporate sustainability programs. An inductive research design that involved 28 in-depth interviews was employed to identify and delineate four manifest motivations for corporate sustainability initiatives. The inductive process helped derive each motivation's mechanisms, outcomes, and limitations. Theoretically, the manuscript explicates how core and augmented value propositions impel or impede the development of corporate sustainability capabilities. The manuscript further defines under which circumstances commitment and capability coincide to promote the long-term viability of a sustainability program. Managerially, the manuscript provides sensible suggestions to help decision makers 1) assess their firm's readiness to pursue corporate sustainability and 2) avoid untenable sustainability strategies.

Purpose Since the emergence of e-commerce uprooted traditional brick-and-mortar retail in the early 2000s, many retailers have reacted by first independently servicing both the online and in-store channels (multichannel retailing) and subsequently integrating both channels to provide a seamless front-end customer interface (omnichannel retailing). Accordingly, firms had to adjust their logistics and supply chain management (SCM) processes from fulfilling orders for each channel separately to integrating channels on the back-end (omnichannel fulfillment). This development is mirrored by an emerging stream of academic publications. The purpose of this paper is to provide a snapshot of the current state of omnichannel fulfillment research via a systematic literature review (SLR) in order to identify omnichannel fulfillment strategies and to establish an agenda for future inquiry. Design/methodology/approach This SLR is based on 104 papers published in peer-reviewed journals through December 2018. It employs a six-step process, from research question to the presentation of the insights. Findings All selected manuscripts are categorized based on demographics such as publication date, outlet, methodology, etc. Analysis of the manuscripts suggests that the integration of fulfillment channel inventory and resources is becoming an important objective of fulfillment management. Appropriate omnichannel strategies based on retailer attributes are not well understood. Industry specific research has been conducted necessitating generalized extension for retailers. These findings provide a clear opportunity for the academic community to take more of the lead in terms of knowledge creation by proposing paths for industry pursuit of channel integration to successfully implement omnichannel fulfillment. Opportunities for future inquiry are highlighted. Originality/value This manuscript proposes a definition of omnichannel fulfillment strategies and identifies fulfillment links that are used interchangeably across channels as the key delimiter between omnichannel fulfillment strategies and related concepts. Six omnichannel fulfillment strategies from the extant literature are identified and conceptualized. Future research opportunities around omnichannel fulfillment, potential interdependencies between the established strategies and their impact on related SCM issues such as distribution and reverse logistics are detailed.

Purpose– Regulatory pressure, consumer awareness, and the quest for competitive advantage place sustainable products in today’s decision-making spotlight. The purpose of this paper is to explore supply chain dynamics as they relate to sustainable product programs and to empirically develop a framework to align efforts across the supply chain to bring sustainable products to market.Design/methodology/approach– Grounded in systems design, stakeholder theory, and the theory of planned behavior, the authors conduct an inductive empirical study of 28 European and US companies.Findings– The authors make three contributions. First, the authors identify six dimensions of product sustainability, which map to the Greenhouse Gas Protocol’s sustainability scope model. Second, the authors model relational dynamics using systems diagrams to provide a framework that: first, communicates a common understanding of product sustainability; and second, facilitates tradeoff analysis. Third, the authors elaborate behaviors needed to reduce ambiguity and compliance costs.Practical implications– Managers can use the framework to assess product sustainability and evaluate tradeoffs across product dimensions and supply chain participants. Using this insight, managers can design sustainable product programs that engage supply chain participants.Social implications– By identifying dimensions, defining costs, and uncovering tradeoffs, managers can more effectively implement sustainable product programs.Originality/value– The framework provides a much needed source of clarity to mitigate role ambiguity, reduce compliance costs, and promote collaborative behavior in bringing sustainable products to market.

Conditions experienced in developing countries are characterized by high levels of uncertainty and differ considerably from those encountered in developed countries. Specifically, operational environments in developing countries constrain the supply chain technology (SCT) used by firms to manage supply chain operations. Hence, it is reasonable to conjecture that firm's operating in these types of environments might rely on and use SCT and the information they provide to manage their supply chain operations differently from firms in less constraining environments. To explore this phenomenon we conducted a grounded theory study collecting interview data from 46 logistics and supply chain managers at 16 firms across India, one of the largest and most dynamic of the developing countries. Our analysis of the data establishes that SCT constraints arise from external, internal, and relationship conditions. Emerging from the data we observed managerial emphasis on a phenomenon whereby management utilizes coping strategies to relax constraints that adversely affect their use of SCT. While our findings also revealed human intervention as a negative externality arising from the use of coping strategies, we found that management were aware of this externality and were actively addressing it as part of their efforts to relax the constraints on SCT.

Responding to calls for replication research in the supply chain management literature, the current article reports the results of a replication study that looked at the performance of logistics outsourcing relationships among German logistics managers. More specifically, this article investigates the performance of logistics outsourcing relationships among Brazilian logistics managers and tests the same hypotheses as the focal study. The results indicate that the Brazilian replication is consistent with the focal study on five of the seven hypotheses. With respect to inconsistencies, the focal study found significant positive relationships between proactive improvement and logistics performance outcomes whereas the Brazilian replication did not find significant relationships between proactive improvement and logistics performance outcomes, which reflects the relevant effect of contextual differences between Germany and Brazil. The article offers both managerial and research implications along with suggestions for future research.

Purpose– The purpose of this paper is to identify and review empirical strategic management articles that pertain to supply chain management (SCM) and are published in top management journals.Design/methodology/approach– The researchers review all articles published in five top management journals, namely,Academy of Management Journal,Administrative Science Quarterly,Management Science,Organization Science, andStrategic Management Journal, from 2004 to 2013, to identify empirical articles relevant to SCM. The researchers subsequently categorize the literature in thematic categories and subcategories, and they identify the theories informing the research and the methodologies applied.Findings– The most prevalent finding of this literature review is that abundant research pertaining to SCM is being published in top management journals. This demonstrates that SCM is a broad phenomenon studied by scholars across disciplines; thus, a broader literature perspective can be beneficial to those working in this area. Moreover, the reviewed studies are informed by theories that extend beyond the “traditionally used” resource-based view and transaction cost economics. Finally, the majority of the research suggests an inter-organizational scope.Originality/value– This study familiarizes logistics/SCM scholars with SCM-related research conducted in the strategic management field, informing them about the types of phenomena studied by strategic management scholars, the theoretical lenses and literature used to enhance understanding of these phenomena, and the empirical methodologies applied to examine those. Importantly, through this familiarization, logistics/SCM scholars can learn from but also contribute to the strategic management literature that pertains to SCM.

Supply chain technology (SCT) facilitates information transfer within and across firm boundaries. However, institutional environments in emerging markets give rise to challenges that inhibit the implementation of SCT and the consequent realization of its benefits. Unfortunately, there is a lack of understanding as to the nature or the extent of these implementation challenges. We undertook a grounded theory study in the emerging market of India to investigate how SCT is implemented when subjected to prevailing institutional pressures. Based on an analysis of interviews with 50 supply chain managers, we find that early adopters of SCT experience significant and numerous unmet expectations associated with SCT implementation. These unmet expectations arise from competing institutional logics with the resultant isomorphic pressure causing the juxtaposition of two incompatible supply chains in India. A key finding of this study contradicts extant research, supporting recent work in emerging markets, to suggest a need to reassess our mental models developed in the West and conceptualize de novo models that are sensitive to the institutional environments of emerging markets.

In service outsourcing, buying organizations frequently experience shortcomings in supplier-initiated innovation. To address this problem, we develop a model that distinguishes two mechanisms for buyer-supplier alignment (i.e. relational and formal innovation alignment) and outlines how their effectiveness differs depending on the level of hierarchy in the relationship. Using data from the logistics service industry, it is shown that when the level of hierarchy is comparatively low, where buyers and suppliers interact participatively, both relational and formal innovation alignment are effective in fostering supplier-initiated innovation. Yet, as the relationship becomes more hierarchical and dominated by the buyer, the effect of relational innovation alignment diminishes and eventually turns negative, while the effect of formal innovation alignment is strengthened.

The findings from an inductive study conducted in the United States and Europe focused on sustainability implementation efforts across supply chains are reported. In particular, the study focuses on developing a better understanding of: “how do companies involve other members of their supply chain into their sustainability efforts?” Building upon themes that emerged from the data, a typology for the supply chain implementation of sustainability initiatives is proposed. A lack of supply chain integration was identified and companies reported a tendency toward a “mandated” implementation when extending efforts across companies. These efforts are generally initiated by the dominant companies and then forced onto the weaker upstream members. The data suggests that the merits of these initiatives are viewed as being disproportionately awarded to the dominant firm and thus did not receive full buy-in from the other party. A common vision by both sides of this relationship is to develop a more collaborative implementation that can be supported by all the involved parties. In theoretical implications, empirical findings are viewed through the lens of several prominent management theories in order to augment and elaborate current theory. Managerial implications, limitations, and opportunities for further research are detailed.

A moderator is any variable that affects the strength of a relationship between a predictor and an outcome variable. While simple in concept, the application of moderation analysis can yield profound implications to research conducted in logistics and supply chain management. Moderation analysis illuminates boundary conditions to purported relationships, providing a deeper perspective on what may, to date, represent generalizable findings and commonly held beliefs in the field. Such findings prove interesting and enrich our theories. Further, moderation relies on precise measurement of theoretical constructs in order to avoid attenuation of statistical tests and detect interaction effects. This thought leadership piece seeks to: (1) assert the value of moderation analysis and encourage a more prominent place in our survey-based research projects, (2) provide best practice approaches for using this type of analysis in pursuit of greater depth and clarity in our research, and (3) provide seeds for potential research projects that could benefit from the use of this type of analysis. Guidance is also provided for reviewers who assess manuscripts featuring moderation.

Purpose – The aim of this paper is to provide a snapshot of the existing research and suggest potential opportunities for academic inquiry related to the concept of sustainable supply chain management.Design/methodology/approach – The researchers review the extant literature at the intersection of “sustainability” and “supply chain management”. This literature is subsequently categorized with the aid of a classification matrix derived from the literature in order to review the current state of thought development across three distinct disciplines (logistics/supply chain management, operations/production management and social/environmental management). The analysis suggests future research opportunities in this area.Findings – The findings indicate that the existing literature is primarily focused on individual sustainability and supply chain dimensions rather than taking a more integrated approach. In addition, the findings suggest both the emergence of a group of themes within an individual dimension, su...

In this paper, the effects of two dimensions of justice—procedural and distributive—on key attitudinal and behavioral elements of logistics outsourcing relationships are investigated. The findings suggest that the fairness of policies adopted by a third-party logistics provider (3PL) and respective outcomes nurtures a customer's trust in and long-term orientation toward the relationship with a 3PL. In such a relationship climate, patterns of cooperative behavior take place, providing an incentive for a 3PL to proactively pursue operational improvements.

The linkage between logistics performance and overall firm performance has received attention in the literature for more than 30 years. However, researchers have not investigated if differences in performance between primary and secondary suppliers affect customer satisfaction and the percentage of business allocated to suppliers. In this research, primary suppliers received more than four times as much business as the secondary suppliers. We investigated the impact of the Marketing Mix on customer satisfaction and share of business for primary suppliers and secondary suppliers, and identified differences between the two groups, using multigroup structural equation modeling. The results indicate that perceived performance on logistics attributes significantly affects customer satisfaction and the percentage of business that is allocated to primary and secondary suppliers, which is key information for developing competitive strategies. Our research findings challenge the practice of providing service levels to customers based on current revenue or profitability which does little to convince customers, who are using a company as secondary source, to make it the primary supplier.

As logistics and supply chain managers face increasingly complex challenges, there is a critical need to better understand the nuances of decision making in today’s global business environment. However, the systematic effect of behavioral biases and cognitive limits on managerial judgment and decision making in our discipline has not received much attention to date. Behavioral experiments represent a potentially valuable and currently underutilized approach for gaining insight into logistics and supply chain decision making that is commonly characterized by departures from rational thought. This article challenges logistics and supply chain researchers to consider the opportunities and realities associated with using behavioral experiments in pursuit of knowledge in this area.

This study examines differences in loyalty formation within logistics outsourcing relationships between Germany and the United States. A model of loyalty formation on the basis of commitment and trust is developed and differences between Germany and the United States are hypothesized. They are tested based on 795 logistics outsourcing relationships in the two countries using structural equation modeling. The results indicate that these relationships differ depending on cultural traits relating to trust and commitment. The findings are relevant for practitioners and academics as they paint a more globally informed picture of loyalty formation within logistics outsourcing relationships in which to base both managerial decisions and future research.

This research examines the moderating effect of conflict frequency on the satisfaction-loyalty linkage in logistics outsourcing relationships. The findings suggest service satisfaction to be the primary driver of loyalty in smoothly running relationships. However, relational satisfaction takes a leading role in high conflict relationships. As turbulence increases in these important logistics service relationships, the quality of the interaction becomes a critical consideration.

PurposeThe 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/approachThis 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.FindingsThe 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/implicationsFuture research should examine more transactional settings as well as other potential moderators that may be consequential to the examination of loyalty formation.Practical implicationsThe 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/valueThe 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.

PurposeThe 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/approachUpon 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.FindingsAfter 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/implicationsResearch 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 implicationsFuture 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/valueThe 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.

The growing adoption of demand collaboration initiatives such as Collaborative Planning, Forecasting, and Replenishment (CPFR) has made judgmental adjustments of forecasts, an already widespread forecasting practice, an increasingly routine part of many logistics managers' responsibilities. This article investigates how logistics managers might improve forecast accuracy by judgmentally adjusting statistical forecasts and potential factors that may influence the effectiveness of such adjustments. In particular, our goal is to expand current knowledge in this area by focusing on individual differences, specifically motivation and gender, which have been thus far neglected in the extant literature. Our findings indicate that motivation has a significant effect on accuracy improvement and this relationship is moderated by gender. Managerial implications of these findings and future research opportunities are also presented.

In order to be successful in today's competitive environment, third-party logistics providers (3PLs) increasingly strive to develop close, mutually beneficial long-term relationships with customers. The current study identifies inter-organizational conditions and firm-specific factors that influence a firm's partnering behavior with its 3PL. A model of the antecedents and dimensions of partnering behavior is developed and tested with a diverse set of relationships between a focal 3PL and members of its customer base.

PurposeThe purpose of this paper is to develop and validate a basic scale for general logistics complexity that allows researchers to control for this issue in their studies.Design/methodology/approachThe methodology consists of developing the scale based on a literature review and discussion with specialists. The proposed scale is then validated through data analysis from a web‐based survey of logistics managers in Brazil.FindingsThe paper provides a valid and reliable scale for general logistics complexity that can be easily incorporated into research surveys. The scale is general enough that it can be used in surveys of firms across diverse industries. In addition, the scale can be further adapted to address more specific logistics complexity issues.Research limitations/implicationsFurther testing of the scales across multiple contexts is necessary for validity enhancement.Originality/valueLogistics complexity corresponds to a latent construct that has not been systematically developed in the logistics literature, but is often mentioned as a potentially important variable to control for in logistics studies. This study provides a general scale that can be used for a control variable as well as providing a base for further development of scales focused on more specific aspects of logistics complexity.

As a growing number of managers consider the decision to outsource logistics activities, it is becoming increasingly critical to understand drivers of success in this area. Using survey data from 549 managers, this research examines the influence of three relationship engagement factors (communication, cooperation, and proactive improvement) on the perceived logistics outsourcing performance achieved by service providers. In particular, logistics outsourcing performance is characterized as consisting of two distinct dimensions: 1) goal achievement, and 2) goal exceedance, which management should consider, respectively, when evaluating their logistics service providers (LSPs).

Supply chains are increasingly vulnerable to catastrophic events such as hurricanes or terrorist attacks. This is not only true because firms are more exposed to catastrophes, but also the result of investments made in recent years to operate supply chains with fewer human and capital resources, especially inventory. Consequently, there is today less “slack” available in supply chains to deal with catastrophic events. Thus, proactively planning for these types of events should be a priority for supply chain managers. A catastrophic event has a very low probability of occurrence but has significant consequences if it does occur. The goal of this research is to develop a process to proactively plan for catastrophic risk events through an integration of diverse research streams related to the management of risk. In particular, the proposed process builds upon an existing risk analysis framework by incorporating an innovative methodology used by the insurance industry to quantify the risk of multiple types of catastrophic events on key supply chain locations.

The Internet has redefined information-sharing boundaries in distribution channels and opened new avenues for managing logistics services. In the process, firms have started to incorporate new service providers in their commercial interactions with customers over the Internet. This paper studies conceptually and empirically why Internet commerce firms (ICFs) have established relationships with these providers. Focusing on logistics services in outbound distribution channels, we rely on transaction cost theory to reveal that low levels of asset specificity and uncertainty drive Internet commerce firms to establish these relationships. Moreover, we apply strategic network theory to show that Internet commerce firms seek these providers because they offer access to relationship networks that bundle many complementary logistics services. In addition, logistics service providers make these services available across new and existing relationships between the Internet commerce firms, their customers, and their vendors.

Logistics services and their providers are helping intermediaries add value to Internet supply chains in ways that are not always immediately obvious. Thus, it is not surprising that there is confusion among academics and practitioners about how best to extract value from such services and providers. This article reports the results of a study of the role and value of logistics services and their providers. It reveals that Internet sellers establish relationships with logistics service providers in order to extract value from the providers' network of logistical resources and better fulfill their customers' orders. Internet sellers establish these relationships to lower the costs they would incur if they attempted to carry out the logistics services internally. They also seek such providers in order to access strong networks that bundle many complementary logistics services among Internet sellers, their customers, and their vendors.

PurposeThis paper provides a comparison of users and providers of third‐party logistics (3PL) services with respect to relationship marketing elements, such as trust and communication, as well as relationship marketing outcomes, such as retention and recovery.Design/methodology/approachConstructs for the relationship marketing elements and outcomes were derived from the extant literature and modified to reflect the nature of 3PL arrangements. The relevant data were collected from separate, but consistent, mail surveys that were sent to users of 3PL services as well as providers of 3PL services.FindingsThe results indicate statistically significant differences between 3PL users and providers across eight of nine relationship marketing elements, with the lone non‐significant comparison involving the communication construct. There are also statistically significant differences between 3PL users and providers for each of the four relationship marketing outcomes.Research limitationsAlthough the present study utilized previously validated relationship marketing elements and outcomes, future research could examine other relationship marketing elements and outcomes. Future research could also investigate relationship marketing issues through dyads/matched pairs of 3PL users and providers.Originality/valueThis manuscript examines 3PL with respect to theories and/or frameworks that comes from outside the logistics discipline, an approach advocated by Stock. Moreover, the paper adds to Moore's 3PL/relationship marketing research by investigating relationship elements and outcomes. The current paper adds to the rather limited literature that incorporates both 3PL user and provider perspectives.

This article uses a relationship marketing perspective as the basis for evaluating third-party logistics arrangements. In particular, the study investigates whether 3PL relationship outcomes (e.g., customer retention, service recovery) are influenced by select relationship characteristics (e.g., communication, reputation) and/or select customer attributes (e.g., firm size, number of outsourced logistics functions). The article reports the findings from a study of 388 users of third-party logistics services that investigated these potential linkages. Regression analyses were applied to the constructs of interest in order to learn about the degree of influence. The findings suggest that “substance trumps style” in the sense that relationship characteristics, rather than customer attributes, have the more significant impacts on relationship outcomes.

Despite the increased importance and corporate visibility of logistics – and its concomitant opportunities – the demand for college educated entry‐level logisticians continues to greatly exceed their supply. The current study, which responds to this persistent shortfall of talented students, was designed to investigate three primary issues: student familiarity with logistics vis‐à‐vis other business disciplines; student perceptions of logistics in terms of academic and career issues; and the potential impact of promoting the value of logistics in a “principles of marketing” course. The findings suggest that students are relatively unfamiliar with logistics as a career choice and have a distinct level of neutrality towards many of the key “selling” points of the discipline. However, the findings also suggest that a focus on promoting the value of logistics in a “principles of marketing” course can have a significant impact on these perceptions. The study concludes with a discussion of the implications of these findings for various logistics constituencies along with suggestions for future research.

SUMMARY By 2005, users of third-party logistics services may be spending an average of nearly one-third of their total logistics budgets (compared to 20 percent today) to support 3PL services (Gooley 2000). Yet, very little research has examined managerial activities that might influence the performance of these logistics outsourcing relationships. Over the past several years, the management approach that views relationships as key assets of the organization has gained increased prominence in the priorities and practices of many companies (Gruen, Summers and Acito 2000). The current study utilizes this relationship marketing perspective as the basis for evaluating the perceived performance of third-party logistics arrangements. In particular, the current study examines the influence of six key relationship marketing dimensions on a customer's perceptions of their 3PL provider's performance. In so doing, the article builds on research (e.g., Goldsby and Stank 2000) that focuses on potential linkages between logistical performance metrics and managerial activities. The results suggest linkages between relationship marketing activities and the perceived performance of the 3PL arrangement.