Understanding drivers of performance in the 3PL industry in Hong Kong

Baofeng Huo, Willem Selen, Jeff Hoi Yan Yeung, Xiande Zhao

Research output: Contribution to journalArticlepeer-review

48 Citations (Scopus)

Abstract

Purpose - The aim of this paper is to develop an overarching framework to better understand drivers of performance in third-party logistics (3PL) linked to the operations strategy literature. Design/methodology/approach - A path model is specified and estimated based on constructs and relationships grounded in the literature, as well as self-developed constructs, using empirical data from 159 3PL providers in Hong Kong. Findings - Some dimensions of internal and external environments have positive influences on differing operations emphases. Furthermore, operational performance is positively affected by corresponding operations emphases and functional involvement. Finally, good operational performance can bring about better financial performance. However, strict adherence to the low cost operations emphasis will lead to worse financial performance. Originality/value - This research provides a novel overarching framework to link competition in the market place, challenges in the operations and functional involvement through operations emphases to operational and financial performance.

Original languageEnglish
Pages (from-to)772-800
Number of pages29
JournalInternational Journal of Operations and Production Management
Volume28
Issue number8
DOIs
Publication statusPublished - 2008
Externally publishedYes

Keywords

  • China
  • Competitive analysis
  • Corporate strategy
  • Distribution management
  • Operations management

ASJC Scopus subject areas

  • General Decision Sciences
  • Strategy and Management
  • Management of Technology and Innovation

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