THE IMPACT OF LOGISTICS INTEGRATION ON SUPPLY CHAIN OPERATIONAL EXCELLENCE IN THE SERVICE SECTOR

Abstract

Focal firms have strategically used cooperative linkages to establish operational excellence in the service sector. The operational efficiency of a firm in the service sector highly depends on logistics practices, functions and activities and how all that is unified with those of other players in the supply chain, especially logistics service providers. The objective of this paper is to provide a review of literature and based on this, provide an insight into the factors affecting logistics integration capability and there on operational excellence of the firms. A structured analysis of 72 papers published in Scopus indexed journals in logistics, supply chain and operations management during the period 2015 to 2021 conducted. A multidimensional conceptual framework for logistics integration and operational excellence is proposed. The literature review has noticed the logistics process and operations, information and communication integration, value-added services offered by logistics service providers, and logistics practices being significant factors in logistics integration capability and supply chain operational performances. The research discussion and conclusion offer a foundation for future research in the field of 3PL roles and definitions and theoretical foundation in LSP’s integration. Further testing and examination of the framework are needed to be conducted for the validity of the results. This study highlights the role of partner (actor) integration on logistics integration capability towards SC operational excellence.