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Article
Publication date: 6 June 2024

Rongrong Shi, Baojun Yang, Zhaofang Chu and Fujun Lai

Digitalization brings complexity and challenges to the relationship governance between logistics outsourcers and their providers. Drawn on resource dependence theory (RDT) and…

Abstract

Purpose

Digitalization brings complexity and challenges to the relationship governance between logistics outsourcers and their providers. Drawn on resource dependence theory (RDT) and resource-based view (RBV), this study aims to examine the role of relationship commitment in simultaneously managing dependence and improving operational performance in logistics outsourcing in the digital economy, as well as the contingent factors (i.e. communication, relationship length, and company size) that affect the effectiveness of relationship commitment.

Design/methodology/approach

Based on data collected from 130 third-party logistics (3PL) users in China, our model was tested with the partial least squares (PLS) approach.

Findings

First, relationship commitment is necessary for 3PL users to manage dependence on 3PL providers and improve operational performance in the digital economy. Second, communication helps 3PL users to develop higher relationship commitment but weakens the motivating effect of dependence on relationship commitment. Third, a long relationship history develops inertia to diminish the effectiveness of dependence on driving relationship commitment while it boosts the impact of relationship commitment on operational performance. Last, company size is an important signal to amplify the effectiveness of relationship commitment for operational performance enhancement.

Originality/value

This study contributes to the logistics outsourcing literature by integrating RDT and RBV to explain the twofold roles of relationship commitment, simultaneously tackling dependence and enhancing operational performance in the digital economy. Additionally, it expands the understanding of the boundary conditions (e.g. communication, relationship length, and company size) on these twofold roles.

Details

Industrial Management & Data Systems, vol. 124 no. 7
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 2 October 2018

Zhaofang Chu, Linlin Wang and Fujun Lai

The purpose of this paper is to investigate how customer pressure influences green innovation in the context of Chinese third-party logistics (3PL) providers, and especially the…

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Abstract

Purpose

The purpose of this paper is to investigate how customer pressure influences green innovation in the context of Chinese third-party logistics (3PL) providers, and especially the role of organizational culture in moderating this relationship.

Design/methodology/approach

Based on survey data collected from 165 3PL providers in China, hierarchical moderated regression analysis was conducted to test the hypotheses.

Findings

Customer pressure is an important driver of green innovation amongst 3PL providers. Flexibility-oriented organizational culture strengthens the effect of this driving force, while control-oriented organizational culture weakens this force. Green innovation significantly contributes to financial performance and flexibility orientation strengthens this contribution, while control orientation weakens it.

Research limitations/implications

This research examines the contingency effect of organizational culture in helping to resolve inconsistencies in the relationship between customer pressure and green innovation. Although the inconsistencies cannot be resolved completely, the research opens an avenue to explore other contingency factors or the possibility of a non-linear relationship.

Practical implications

3PL firms could undertake green innovation to satisfy customers’ environmental requirements. To develop their green innovation initiatives, managers should allow their employees greater autonomy and design (or re-design) operations procedures and regulations to be more flexible, thus enabling the diffusion of green innovation and avoiding or reducing the potential influence of control-oriented organization culture.

Originality/value

The study considers the conditional effect of organizational culture to reconcile the mixed results in the literature regarding the relationship between customer pressure and green innovation of logistics service providers.

Details

The International Journal of Logistics Management, vol. 30 no. 1
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 23 August 2019

Qingyao Wan, Yang Yuan and Fujun Lai

The purpose of this paper is to explore how external pressures, internal capability and transaction attributes of logistics outsourcing synergically influence the extent of…

Abstract

Purpose

The purpose of this paper is to explore how external pressures, internal capability and transaction attributes of logistics outsourcing synergically influence the extent of asset-based and non-asset-based logistics outsourcing.

Design/methodology/approach

Based on the data surveyed from 250 manufacturing companies in China, this study employed fuzzy-set qualitative comparative analysis (fsQCA) to deduce multiple configurations for logistics outsourcing decisions.

Findings

The results suggest that asset-based logistics outsourcing is primarily driven by external imitation pressures or internal demands for logistics technologies, while non-asset-based logistics outsourcing is mainly driven by the demands for external management-based logistics services. Asset specificity plays a positive role in promoting both asset-based and non-asset-based logistics outsourcing. The requirement for third-party logistics (3PL) management capability depends on the outsourcing types and outsourcing causes.

Practical implications

This study provides guidance to practitioners for them to make outsourcing decisions. It suggests that asset-based logistics outsourcing is more appropriate when there are high external imitation pressures or more internal logistics demands, while non-asset-based logistics outsourcing should be used only when a firm needs management-based logistics services. Besides, 3PL users are suggested to outsource their logistics when their 3PL providers are required to make specific investments. In addition, managers should carefully evaluate firms’ capabilities in managing outsourcing relationships.

Originality/value

Previous studies largely ignored the interaction effects of a set of factors on logistics outsourcing decisions, and to date, little research empirically examined how outsourcing is driven in terms of different types of outsourcing. Drawing on the institutional theory, dynamic capability view, and transaction cost theory and overarching under the complexity theory, this study examines how institutional, organizational and transactional factors interplay with each other to influence different types of logistics outsourcing (i.e. asset based and non-asset based). Methodologically, the configural analysis (i.e. fsQCA) is applied to explore complex causal configurations that drive logistics outsourcing.

Details

Journal of Enterprise Information Management, vol. 32 no. 6
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 22 February 2024

Zhongzhi Liu, Fujun Lai and Qiaoyi Yin

As the application of crowdsourcing contests grows, leveraging the participation of superstars (i.e. solvers who have outstanding performance records in a crowdsourcing platform…

Abstract

Purpose

As the application of crowdsourcing contests grows, leveraging the participation of superstars (i.e. solvers who have outstanding performance records in a crowdsourcing platform) becomes an emergent approach for managers to solve crowdsourced problems. Although much is known about superstars’ performance implications, it remains unclear whether and how their participation affects the size of a contest crowd for a crowdsourcing contest. Based on social contagion theory, this paper aims to examine the impact of superstars’ participation on the crowd size and studies how this impact varies across solvers with different heterogeneity in terms of skills, exposure and cultural proximity with superstars in crowdsourcing contests.

Design/methodology/approach

This paper uses secondary data from one crowdsourcing platform that includes 6,587 innovation contests to examine superstars’ main and contextual effects on the crowd size of a contest.

Findings

Our results reveal that superstars’ participation positively affects the crowd size of a contest in general. This finding suggests that social contagion is a fundamental mechanism underlying crowd formation in crowdsourcing contests. Our results also indicate that in contests that involve multiple superstars, superstars’ effect on crowd size becomes negative when we simultaneously consider other solvers’ heterogeneity in terms of skills, exposure and cultural background, and this negative effect will be intensified by increases in the skill gap, extent of exposure and cultural proximity between superstars and other solvers in the same contest.

Originality/value

Our research enhances the understanding of the influence of superstars and the mechanism underlying the emergence of contest crowds in crowdsourcing contests and contributes knowledge to better understand social contagion in a competitive setting. The results are meaningful for sourcing managers and platform supervisors to design contests and supervise crowd size in crowdsourcing contests.

Details

International Journal of Operations & Production Management, vol. 44 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 13 February 2024

Rongrong Shi, Qiaoyi Yin, Yang Yuan, Fujun Lai and Xin (Robert) Luo

Based on signaling theory, this paper aims to explore the impact of supply chain transparency (SCT) on firms' bank loan (BL) and supply chain financing (SCF) in the context of…

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Abstract

Purpose

Based on signaling theory, this paper aims to explore the impact of supply chain transparency (SCT) on firms' bank loan (BL) and supply chain financing (SCF) in the context of voluntary disclosure of supplier and customer lists.

Design/methodology/approach

Based on panel data collected from Chinese-listed firms between 2012 and 2021, fixed-effect models and a series of robustness checks are used to test the predictions.

Findings

First, improving SCT by disclosing major suppliers and customers promotes BL but inhibits SCF. Specifically, customer transparency (CT) is more influential in SCF than supplier transparency (ST). Second, supplier concentration (SC) weakens SCT’s positive impact on BL while reducing its negative impact on SCF. Third, customer concentration (CC) strengthens the positive impact of SCT on BL but intensifies its negative impact on SCF. Last, these findings are basically more pronounced in highly competitive industries.

Originality/value

This study contributes to the SCT literature by investigating the under-explored practice of supply chain list disclosure and revealing its dual impact on firms' access to financing offerings (i.e. BL and SCF) based on signaling theory. Additionally, it expands the understanding of the boundary conditions affecting the relationship between SCT and firm financing, focusing on supply chain concentration. Moreover, it advances signaling theory by exploring how financing providers interpret the SCT signal and enriches the understanding of BL and SCF antecedents from a supply chain perspective.

Details

International Journal of Operations & Production Management, vol. 44 no. 9
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 28 September 2010

Qiang Wang, Baofeng Huo, Fujun Lai and Zhaofang Chu

The paper's aim is to replicate and compare Huo et al.'s study to better understand performance drivers of third‐party logistics (3PL) in mainland China and to disseminate Hong…

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Abstract

Purpose

The paper's aim is to replicate and compare Huo et al.'s study to better understand performance drivers of third‐party logistics (3PL) in mainland China and to disseminate Hong Kong 3PL providers' experience to mainland China's peers.

Design/methodology/approach

A structural model is estimated to test the construct relationships using data collected from 105 mainland China's 3PL providers. The results are compared with the results of Huo et al.'s study of Hong Kong 3PL providers.

Findings

While the operations emphasis of low cost may still be effective for mainland China's 3PL providers, it may result in worse financial performance for Hong Kong 3PL providers. In mainland China, low‐ cost emphasis is affected by local competition, but not by operational challenges, while it is influenced by both local competition and operational challenges in Hong Kong. Operational challenges have a positive impact on low‐cost emphasis in Hong Kong, but no impact in mainland China.

Originality/value

The study enriches the literature on China's logistics and provides mainland China's 3PL managers valuable insights from the business practices of their Hong Kong peers.

Details

Industrial Management & Data Systems, vol. 110 no. 9
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 20 March 2007

Fujun Lai, Joe Hutchinson, Dahui Li and Changhong Bai

The purpose of this study is to assess the SERVQUAL instrument reliability and validity and apply the SERVQUAL instrument in China's mobile communication setting.

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Abstract

Purpose

The purpose of this study is to assess the SERVQUAL instrument reliability and validity and apply the SERVQUAL instrument in China's mobile communication setting.

Design/methodology/approach

A mail survey was conducted at a major mobile communications company in mainland China. Instrument reliability and validity were examined. Exploratory and confirmatory factor analyses were conducted.

Findings

The adapted SERVQUAL instrument is a valid and valuable tool to measure service quality. Service convenience is an important additional dimension of service quality in China's mobile communications setting. The dimension of “empathy” may need revision.

Research limitations/implications

Future research involves assessment of the service convenience dimension and examination of the relative importance of SERVQUAL dimensions in other settings.

Practical implications

SERVQUAL is a valid instrument to measure service quality in China's mobile communications setting. Providing convenience to customers also is critical for service quality improvement. Improvements to some SERVQUAL dimensions may be more beneficial than improvements to others.

Originality/value

This is a pioneer study of the SERVQUAL scale in China's mobile communications setting. This study provides useful insights and guidance for managers to measure and improve service quality.

Details

International Journal of Quality & Reliability Management, vol. 24 no. 3
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 1 December 2006

Fujun Lai, Xiande Zhao and Qiang Wang

This paper seeks to examine the impact of information technology (IT) on the competitive advantages of third‐party logistics (3PL) firms in China.

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Abstract

Purpose

This paper seeks to examine the impact of information technology (IT) on the competitive advantages of third‐party logistics (3PL) firms in China.

Design/methodology/approach

A questionnaire‐based mail survey was conducted in mainland China. Spline regressions were used to model the relationship between IT and competitive advantages.

Findings

This study found that IT could significantly influence a firm's competitive advantage, and the effects are nonlinear.

Research limitations/implications

The modeled relationship between IT and competitive advantages may not hold in different cultural environments and industrial settings. The sample size was small.

Practical implications

A higher IT focus may improve a firm's competitive advantage. To achieve competitive advantages efficiently, it is essential to integrate IT, align IT strategy and business strategy, obtain IT‐related management skills, and achieve IT competency. 3PL managers can expect competitive advantages from their investments in IT to begin showing up when the deployment of IT is higher than the average relative to competitors.

Originality/value

This paper is a pioneering study that investigates the relationship between IT and competitive advantages in 3PL firms; is a pioneering study on IT and its impact on competitive advantages in China's 3PL firms; and provides valuable guidance and insights for 3PL managers to improve competitive advantages using information technology.

Details

Industrial Management & Data Systems, vol. 106 no. 9
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 1 December 2005

Fujun Lai, Joe Hutchinson and Guixian Zhang

RFID has fundamental influences on today's retailing and supply chain management. This article seeks to formulate the opportunities and challenges of RFID adoption in China.

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Abstract

Purpose

RFID has fundamental influences on today's retailing and supply chain management. This article seeks to formulate the opportunities and challenges of RFID adoption in China.

Design/methodology/approach

Field interview and panel discussion were used to explore the opportunities and challenges of RFID adoption in China. An example of successful RFID deployment in China is presented.

Findings

Although Chinese companies are exposed to several challenges in the adoption of RFID, there are numerous opportunities for RFID deployment. Challenges include China's standards, costs, business environment, business models, and untested market. The opportunities include China's huge market size, advances of several industries, a rapid increase in logistics demand, and China's role as a world‐class manufacturing center.

Originality/value

This article represents a pioneer study of RFID adoption in China. Opportunities and challenges of RFID adoption in China were identified, which provide valuable guidance for RFID adoption for Chinese companies and foreign companies operating in China.

Details

International Journal of Retail & Distribution Management, vol. 33 no. 12
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 29 May 2007

Fujun Lai, Jian Wang, Chang‐Tseh Hsieh and Jeng‐Chung (Victor) Chen

This paper seeks to investigate and provide empirical evidence of the interrelationships among network externalities, e‐business adoption and information asymmetry.

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Abstract

Purpose

This paper seeks to investigate and provide empirical evidence of the interrelationships among network externalities, e‐business adoption and information asymmetry.

Design/methodology/approach

A conceptual model was proposed and tested using 307 completed interview cases selected from a database of 2,075 Chinese international trading companies published by the Beijing Municipal Bureau of Commerce for this study.

Findings

The results indicated that network externalities significantly influenced e‐business adoption and information asymmetry, and e‐business adoption influenced information asymmetry through information sharing and collection. A split sample analysis showed that cultural contexts significantly moderated the interrelationships among network externalities, e‐business adoption, and information asymmetry.

Research limitations/implications

Data for this study were collected only from mainland China, therefore, non‐Chinese companies (foreign‐owned) operating in China may have been influenced by Chinese cultures and some of them have been localizing their operations in China. The influences of network externalities on business performance and decision making remain unclear. In addition, data were collected from self‐reported questionnaires, and thus may be subject to self‐reporting bias. Future studies should use more objective measurements to reduce the potential for self‐reporting bias.

Practical implications

This study contributes significantly to the literature by providing empirical evidence on interrelationships among network externalities, e‐business adoption, and information asymmetry. The findings in this study also provide valuable insights for managers to better understand the influence of network externalities on e‐business adoption.

Originality/value

This study contributes significantly to the literature by providing empirical evidence of the interrelationships among network externalities, e‐business adoption, and information asymmetry. The findings also provide managers with valuable insight into better understanding of the nature of these interrelationships.

Details

Industrial Management & Data Systems, vol. 107 no. 5
Type: Research Article
ISSN: 0263-5577

Keywords

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