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Balancing in-house and outsourced logistics services: effects on supply chain agility and firm performance

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  • Taewon Hwang

    (Valdosta State University)

  • Sung Tae Kim

    (St. Mary’s University)

Abstract

The purpose of this study is to explore the role of logistics strategies (flexibility, collaboration, and differentiation) as antecedents of supply chain agility (SCA) and financial performance. Toward this end, we develop an integrative model based on the strategy–structure–performance paradigm, the resource-based view, and the relational view. Using structural equation modeling, we test the model with survey data gathered from 279 companies. The findings indicate that logistics strategies influence financial performance both directly and indirectly through SCA, providing empirical evidence for SCA’s central role in helping firms quickly sense and respond to changing environments.

Suggested Citation

  • Taewon Hwang & Sung Tae Kim, 2019. "Balancing in-house and outsourced logistics services: effects on supply chain agility and firm performance," Service Business, Springer;Pan-Pacific Business Association, vol. 13(3), pages 531-556, September.
  • Handle: RePEc:spr:svcbiz:v:13:y:2019:i:3:d:10.1007_s11628-018-00394-x
    DOI: 10.1007/s11628-018-00394-x
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    Cited by:

    1. He, Peng & He, Yong & Tang, Xiaoying & Ma, Shigui & Xu, Henry, 2022. "Channel encroachment and logistics integration strategies in an e-commerce platform service supply chain," International Journal of Production Economics, Elsevier, vol. 244(C).
    2. Joash Mageto, 2022. "Current and Future Trends of Information Technology and Sustainability in Logistics Outsourcing," Sustainability, MDPI, vol. 14(13), pages 1-27, June.
    3. Man Zhu & Hongyan Gao, 2021. "The antecedents of supply chain agility and their effect on business performance: an organizational strategy perspective," Operations Management Research, Springer, vol. 14(1), pages 166-176, June.
    4. Ray Qing Cao & Dara G. Schniederjans & Vicky Ching Gu, 2021. "Stakeholder sentiment in service supply chains: big data meets agenda-setting theory," Service Business, Springer;Pan-Pacific Business Association, vol. 15(1), pages 151-175, March.
    5. Abdelkebir Sahid & Yassine Maleh & Shahram Atashi Asemanjerdi & Pedro Antonio Martín-Cervantes, 2023. "A Bibliometric Analysis of the FinTech Agility Literature: Evolution and Review," IJFS, MDPI, vol. 11(4), pages 1-32, October.
    6. Yong-Jeong Kim & Sang-Gun Lee & Silvana Trimi, 2021. "Industrial linkage and spillover effects of the logistics service industry: an input–output analysis," Service Business, Springer;Pan-Pacific Business Association, vol. 15(2), pages 231-252, June.
    7. Sung Tae Kim & Hong-Hee Lee & Taewon Hwang, 2020. "Logistics integration in the supply chain: a resource dependence theory perspective," International Journal of Quality Innovation, Springer, vol. 6(1), pages 1-14, December.
    8. Brilka, Tim & Clausen, Uwe, 2021. "An approach to analyzing shippers' transportation management organization," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Jahn, Carlos & Kersten, Wolfgang & Ringle, Christian M. (ed.), Adapting to the Future: Maritime and City Logistics in the Context of Digitalization and Sustainability. Proceedings of the Hamburg International Conf, volume 32, pages 259-288, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.

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