Logistics Learning Capability: Sustaining the Competitive Advantage Gained Through Logistics Leverage

Abstract

Many firms now place emphasis on leveraging logistics capabilities as a source of competitive advantage. This manuscript suggests that the key to sustaining this competitive position is through adopting learning principles in logistics. As such, a logistics learning capability framework is presented, including the components of an effective learning‐based logistics organization. Research propositions, an in‐depth case study and implications are presented to further support the learning capability framework suggested and highlight the importance of learning in today's hypercompetitive global supply chain environment.

An Integrated-Empirical Logistics Perspective on Supply Chain Innovation and Firm Performance

“…In contrast, Mentzer et al (2004) classified logistics capa bilities into: demand management interface capability (to manage and fulfill customer requirements; Zhao et al 2001;Lynch et al 2000;Bowersox et al 1999), supply management interface capability (to efficiently manage inflow of raw materials; Morash et al 1996;Lowson 2003), information management capability (to effectively manage information flow both in and out of an organization; Zhao et al 2001;Closs et al 1997) and coordination capability (to align the interests of the participating members; Mentzer et al 2004;Gligor, Holcomb 2012). Esper et al (2007) categorized logistics capabilities into five broad labels: (a) customer focus capability(also known as demand management interface capability and aims for providing differentiated products and services to customers in a way exceeding their expectations), (b) supply manage ment capability (aimed at reducing the cost of total manu facturing or service generating system, optimal utilization of resources and minimizing total distribution cost), (c) Integration capability (aims to achieve unification of effort among different activities both inside and outside the focal firm), (d) measurement capability (degree to which a firm monitors internal and external operations), and (e) infor mation exchange capabilities (indicates the effectiveness with which a firm collects, stores and distributes tactical and strategic information both internally and externally). Cho et al (2008) empirically examined the relationship between firm's logistics capability, logistics outsourcing and its performance in an ecommerce market environment.…”

“…Based on an extensive literature review of logistics capabi lities and supply chain agility; Gligor and Holcomb (2012) argued that logistics capabilities of individual firms must be integrated at the supply chain level for developing supply chain agility. Now in the current investigation, we adopt Mentzer's et al (2004) classification of logistics capabilities as it is the most popular and acceptable classification in supply chain management studies and it covers the dominant logistics capabilities (Esper et al 2007;Gligor, Holcomb 2012). …”

“…For e.g. it aims to minimize was te in inventory, enables the firm to respond to demand flu ctuations with reduced distortion of the order cycle process and optimally utilizes resources for enabling postponement speculation, modularization and standardization (Esper et al 2007). This portrays that supply management interface capability aims for increasing responsiveness when proper ly integrated.…”

“…Arlbjørn, Haas and Munksgaard (2011) noted in this regard "… among the nominees have been prestigious organizations such as capabilities viz. demand management interface capability, supply management interface capability, information ma nagement capability and coordination capability (Mentzer et al 2004;Esper et al 2007;Gligor, Holcomb 2012). Hence the current investigation attempts to address the growing influence of each of the above logistics capabilities on supply chain innovation in an empirical framework.…”

Human Capital and New Product Development Performance Efficiency- The Mediating Role of Organizational Learning Capability

“…Technological innovations and economic uncertainties have changed the face of the competitive arena. In other words, organizations' survival is relied on competitive advantage of their new products (Esper et al 2007). Thus, organizations should ensure from their new products competitive advantage by learning and obtaining new knowledge from environment International Journal of Learning & Development ISSN 2164-4063 2013 41 | P a g e (Winklen.…”