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A qualitative investigation of innovation between third-‐party logistics providers and customers

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  • Wagner, Stephan M.
  • Sutter, Reto

Abstract

Despite the challenges of creating innovation in third-party logistics (TPL) provider–customer relationships, little is known about how TPL providers and customers engage in joint innovation projects and the benefits that can be obtained from such innovation activities. Therefore, this exploratory study investigates contingency factors that are important in joint TPL provider–customer innovation projects, and the project outcomes for TPL providers and TPL provider–customer relationships. The study applies a multiple case study research design to examine four TPL provider–customer innovation projects. Cross-case analysis reveals that several contingency factors (e.g., high integration with customer, establishing links to customers insisting on new services, complementary relationship-specific investments, agreement of benefit sharing) influence the joint TPL provider–customer innovation projects. Furthermore, the analysis shows that such innovation projects allow the TPL providers to upgrade their positioning, intensify customer relationships and lead to higher performance. Furthermore, this research underlines that innovation in logistics services can be a source of sustainable competitive advantage for TPL providers.

Suggested Citation

  • Wagner, Stephan M. & Sutter, Reto, 2012. "A qualitative investigation of innovation between third-‐party logistics providers and customers," International Journal of Production Economics, Elsevier, vol. 140(2), pages 944-958.
    • Handle: RePEc:eee:proeco:v:140:y:2012:i:2:p:944-958
    DOI: 10.1016/j.ijpe.2012.07.018
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    Cited by:

    1. Agrell, Per J. & Lundin, Johan & Norrman, Andreas, 2017. "Supply Chain Management: Horizontal carrier coordination through cooperative governance structures," International Journal of Production Economics, Elsevier, vol. 194(C), pages 59-72.
    2. Stefano Colombo & Luigi Filippini, 2019. "The choice between product and logistic innovation in a spatial model with income distribution," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 46(4), pages 609-627, December.
    3. Beata Skowron-Grabowska & Monika Osyra, 2013. "Usability Of Intangible Resources In Logistics Centres Strategy," Advanced Logistic systems, University of Miskolc, Department of Material Handling and Logistics, vol. 7(1), pages 79-84, December.
    4. Iwona Wasielewska-Marszalkowska, 2021. "Identification of Innovativeness Provided by Logistics Service Providers," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 1), pages 40-52.
    5. Mahroof, Kamran, 2019. "A human-centric perspective exploring the readiness towards smart warehousing: The case of a large retail distribution warehouse," International Journal of Information Management, Elsevier, vol. 45(C), pages 176-190.
    6. Marta Kad?ubek, 2015. "Innovative solutions in the field of logistics," Proceedings of International Academic Conferences 1003984, International Institute of Social and Economic Sciences.
    7. Prakash, Chandra & Barua, M.K., 2016. "An analysis of integrated robust hybrid model for third-party reverse logistics partner selection under fuzzy environment," Resources, Conservation & Recycling, Elsevier, vol. 108(C), pages 63-81.
    8. Kalogerakis, Katharina & Wagenstetter, Nikolaus, 2014. "A General Framework for Open Service Innovation in Logistics," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Blecker, Thorsten & Kersten, Wolfgang & Ringle, Christian M. (ed.), Innovative Methods in Logistics and Supply Chain Management: Current Issues and Emerging Practices. Proceedings of the Hamburg International Conferenc, volume 19, pages 27-47, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.
    9. Subramanian, Nachiappan & Gunasekaran, Angappa, 2015. "Cleaner supply-chain management practices for twenty-first-century organizational competitiveness: Practice-performance framework and research propositions," International Journal of Production Economics, Elsevier, vol. 164(C), pages 216-233.
    10. Zhou, Yanju & Che, Yuan, 2021. "Research on Government Logistics Subsidies for Poverty Alleviation with Non-uniform Distribution of Consumers," Omega, Elsevier, vol. 104(C).
    11. Negruţiu Cristian & Onea Alexandra & Bădescu Ruxandra, 2020. "Innovation trends in Romanian logistics providers industry," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 14(1), pages 807-818, July.
    12. Ashraf, Muhammad Hasan & Chen, Yuwen & Yalcin, Mehmet G., 2022. "Minding Braess Paradox amid third-party logistics hub capacity expansion triggered by demand surge," International Journal of Production Economics, Elsevier, vol. 248(C).
    13. Zhang, Xuemei & Zhou, Gengui & Cao, Jian & Wu, Anqi, 2020. "Evolving strategies of e-commerce and express delivery enterprises with public supervision," Research in Transportation Economics, Elsevier, vol. 80(C).
    14. Ivan Russo & Daniel Pellathy & Ayman Omar, 2021. "Managing Outsourced Reverse Supply Chain Operations: Middle‐Range Theory Development," Journal of Supply Chain Management, Institute for Supply Management, vol. 57(4), pages 63-85, October.
    15. Richard Yeaw Chong Seow, 2023. "Comparative Financial Performance and Firm Valuation Analysis: A Malaysian Logistics Service Provider Case Study," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(7), pages 594-613, July.
    16. Elia, Valerio & Gnoni, Maria Grazia, 2015. "Designing an effective closed loop system for pallet management," International Journal of Production Economics, Elsevier, vol. 170(PC), pages 730-740.
    17. Suhaiza Zailani & Mohd Rizaimy Shaharudin & Khairul Razmi & Mohammad Iranmanesh, 2017. "Influential factors and performance of logistics outsourcing practices: an evidence of malaysian companies," Review of Managerial Science, Springer, vol. 11(1), pages 53-93, January.
    18. Qining Deng & K. Noorliza, 2023. "Integration, Resilience, and Innovation Capability Enhance LSPs’ Operational Performance," Sustainability, MDPI, vol. 15(2), pages 1-22, January.
    19. Charpin, Remi & Lee, Min Kyung & Wu, Ting, 2021. "Mobile procurement platforms: Bridging the online and offline worlds in China's restaurant industry," International Journal of Production Economics, Elsevier, vol. 241(C).
    20. von See, Birgit & Kalogerakis, Katharina, 2015. "Innovation Contests in Logistics," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Kersten, Wolfgang & Blecker, Thorsten & Ringle, Christian M. (ed.), Innovations and Strategies for Logistics and Supply Chains: Technologies, Business Models and Risk Management. Proceedings of the Hamburg Internationa, volume 20, pages 3-29, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.

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