Key success factors and their performance implications in the Indian third-party logistics (3PL) industry

S. Mothilal, Angappa Gunasekaran, S. P. Nachiappan, Jayanth Jayaram

Research output: Contribution to journalArticlepeer-review

42 Scopus citations

Abstract

This paper uses the extant literature to identify the key success factors that are associated with performance in the Indian third-party logistics service providers (3PL) sector. We contribute to the sparse literature that has examined the relationship between key success factors and performance in the Indian 3PL context. This study offers new insights and isolates key success factors that vary in their impact on operations and financial performance measures. Specifically, we found that the key success factor of relationship with customers significantly influenced the operations measures of on-time delivery performance and customer satisfaction and the financial measure of profit growth. Similarly, the key success factor of skilled logistics professionals improved the operational measure of customer satisfaction and the financial measure of profit growth. The key success factor of breadth of service significantly affected the financial measure of revenue growth, but did not affect any operational measure. To further unravel the patterns of these results, a contingency analysis of these relationships according to firm size was also conducted. Relationship with 3PLs was significant irrespective of firm size. Our findings contribute to academic theory and managerial practice by offering context-specific suggestions on the usefulness of specific key success factors based on their potential influence on operational and financial performance in the Indian 3PL industry.

Original languageEnglish (US)
Pages (from-to)2407-2422
Number of pages16
JournalInternational Journal of Production Research
Volume50
Issue number9
DOIs
StatePublished - May 1 2012

All Science Journal Classification (ASJC) codes

  • Strategy and Management
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

Fingerprint

Dive into the research topics of 'Key success factors and their performance implications in the Indian third-party logistics (3PL) industry'. Together they form a unique fingerprint.

Cite this