Drivers of logistics outsourcing: examining transaction costs, core competences and planned behavior

Strategy and additive technologies as the catalyst for outsourcing, process innovation and operational effectiveness

PURPOSE

There is rising interest in Industry 4.0 as a factor in the competitiveness of the organization. Although many companies are aware of the importance of Industry 4.0, the development of such initiatives in Colombia is slow. Consequently, this research investigates the impact of additive technologies as part of the Industry 4.0 concept on operational effectiveness and, therefore, the competitiveness of the organization and tries to establish the factors that hinder the adequate implementation of such new, innovative technologies.

DESIGN/METHODOLOGY/APPROACH

Structural equation modeling was used to analyze the antecedents and outcomes of operational effectiveness. To this end, 946 usable questionnaires were collected from managers and personnel from Colombian organizations.

FINDINGS

Initial findings show that management is aware of Industry 4.0 concepts and implements strategies for such initiatives. Nevertheless, neither process innovation nor additive technologies have a significant impact on operational effectiveness and therefore on the competitiveness of the organization.

PRACTICAL IMPLICATIONS

The implementation of new innovative technologies requires the closure of the digital gap between urban and rural areas and between large and medium and small enterprises. Similarly, the concept of Industry 4.0 as a new, innovative manufacturing concept requires a transversal implementation to increase the competitiveness of the organization.

ORIGINALITY/VALUE

The value of this paper lies in discussing the current technological and human capabilities and strategies that Colombian organizations, as an example of a developing nation, should improve to leverage the benefits of Industry 4.0 to remain competitive. The results are probably generalizable to other regions in developing countries throughout the world.

Evaluating logistics outsourcing: a survey conducted with Brazilian industries

Purpose

This research aims to evaluate the factors that influence logistics outsourcing, including the impact of logistics outsourcing on measuring companies' logistics performance. This research provides interactions among the various factors (constructs) such as “financial”, “collaboration and process characteristics”, “external influencer”, and “logistics performance”.

Design/methodology/approach

To investigate the interaction between the constructs, structural equation modelling is proposed to understand what the relevant criteria are while outsourcing logistics. Data were acquired from surveys conducted with 129 managers from Brazilian companies in the industry sector.

Findings

The factor “collaboration and process characteristics” is what most influences the “logistics performance” of companies, highlighting the importance of managing contractors; and the “financial” factor also contributes to the logistic outsourcing decision.

Research limitations/implications

Some limitations of this study need to be clarified. First, the model could test the moderate and mediate aspects by using variables inspired on RBV and TCE. Second, the sample is relatively small and restricted to the Brazilian industries' case, although the results may be useful for other countries in the world. Third, the responses represent viewpoints of the people who work in the companies. To address this issue, the authors asked respondents to fill out the questionnaire from the perspective of the organisation.

Practical implications

Most 3PL come from developed countries and find different requirements in Brazil. Then, this new knowledge may help 3L providers better understand the needs of the local or foreign companies that operate in the local market. The measurement model may also help to construct a new organisational process, as it sheds light on the main elements necessary for gathering logistics performance outcomes.

Originality/value

To the best of the authors' knowledge, the literature lacks studies on the interaction among these logistics outsourcing constructs, mainly in emerging markets where significant growth opportunities have led to logistics activities being outsourced. The literature that examines the impact of these constructs on logistics performance is also limited. Therefore, this research contributes to providing a model that measures these impacts according to the company's point of view.