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EXCELLENCE IN LOGISTICS PERFORMANCE: THE EFFECT OF LOGISTICS CAPABILITY, INFORMATION SYSTEMS CAPABILITY AND ORGANIZATIONAL LEARNING

Year 2019, Volume: 6 Issue: 3, 136 - 145, 30.09.2019

Cemal Zehir Hacer Yildiz Ozturk

https://doi.org/10.17261/Pressacademia.2019.1127

Abstract

Purpose- The purpose of this paper is to explore the effect of organizational learning on logistics capability and information systems capability, how this relation is affected by the mediating role of information systems capability and finally their effect on the firm performance. For this reason, we also aim to examine the effect of information systems capability on logistics capability and their effect on the overall model.

Methodology- Easy sampling method is used in order to collect survey data. Data collected from manufacturing companies that are operating in Marmara Region in Turkey. We reached 353 companies and 1035 usable surveys. Exploratory factor analysis (EFA) was conducted to see if the observed variables theoretically loaded together and reliability values were evaluated as well as regression analysis, which is to define the direction of relations. SPSS modeling technic has been used in testing the hypotheses.

Findings- Organizational learning has a meaningful effect on Information Systems capability and Logistics capability. We also found the mediating role of Information systems capability on the relationship between Organizational learning and Logistics capability. In addition, Organizational Learning positively affects firm performance through information systems capability, logistics capability and logistics performance.

Conclusion- Managers, who want to have an excellence in logistics performance, should focus on creating an organization culture based on learning that is also supported by key capabilities. A successful firm performance is dependent on a successful logistics performance. In order to achieve this, companies not only must be learning oriented, but also must provide strong information systems capability as well as logistics capability. Logistics excellence is a powerful competence and source of competitive advantage especially for manufacturing companies and considered as a strategic resource that enables new strategic moves in the market.

Keywords

Logistics performance logistics capability information systems capability resource based view organizational learning

References

  • Acar, Z. A. and Zehir, C. (2009). Development and validation of a multidimensional business capabilities measurement instrument. Journal of Transnational Management, 14(3), 215-240.
  • Agarwal, R., Krudys, G. and Tanniru, M. (1997). Infusing learning into the information systems organization. European Journal of Information Systems, 6(1), 25-40.
  • Amit, R. and Schoemaker, P.J.H. (1993). Strategic Assets and Organizational Rents. Strategic Management Journal, 14, 33-46.
  • Andreu, R. and Ciborra, C. (1996). Organisational learning and core capabilities development: the role of IT. The Journal of Strategic Information Systems, 5(2), 111-127.
  • Antoncic, B. and Hisrich, R. D. (2001). Intrapreneurship: Construct refinement and cross-cultural validation. Journal of business venturing, 16(5), 495-527.
  • Argyris, C. and Schon D. (1978). Organizational Learning. Addison- Wesley, London.
  • Baker, W. E. and Sinkula, J. M. (1999). The synergistic effect of market orientation and learning orientation on organizational performance. Journal of the academy of marketing science, 27(4), 411-427.
  • Bapuji, H. and Crossan, M. (2004). From questions to answers: reviewing organizational learning research. Management learning, 35(4), 397- 417.
  • Barney, J. B. (1991), ‘Firm Resources and Sustained Competitive Advantage’, Journal of Management, Vol 17; s 112.
  • Barney, J. B. and Clark, D. N. (2007). Resource-Based Theory: Creating and Sustaining Competitive Advantage, Oxford: Oxford University Press.
  • Bell, J. E., Bradley, R. V., Fugate, B. S. and Hazen, B. T. (2014). Logistics information system evaluation: Assessing external technology integration and supporting organizational learning. Journal of Business Logistics, 35(4), 338-358.
  • Boxall, P. (1996). The strategic HRM debate and the resource-based view of the firm. Human resource management journal, 6(3), 59-75.
  • Canessa-Terrazas, E. C., Morales-Flores, F. J. and Maldifassi-Pohlhammer, J. O. (2017). The impact of IT-enhanced organizational learning on performance: evidence from Chile. Revista Facultad de Ingeniería Universidad de Antioquia, (82), 60-67.
  • Celuch, K. G., Kasouf, C. J. and Peruvemba, V. (2002). The effects of perceived market and learning orientation on assessed organizational capabilities. Industrial marketing management, 31(6), 545-554.
  • Cho, J.J.K, Ozment, J. and Sink, H. (2008). Logistics capability, logistics outsourcing and firm performance in an e-commerce market. International journal of physical distribution & logistics management, 38(5), 336-359.
  • Christopher, M. (2000). The Agile Supply Chain. Industrial Marketing Management 29 (1): 37–44.
  • Collis, D. J. (1994). Research note: how valuable are organizational capabilities?. Strategic management journal, 15(S1), 143-152.
  • Chow, G., Heaver, T. D. and Henriksson, L. E. (1994). Logistics performance: definition and measurement. International journal of physical distribution & logistics management, 24(1), 17-28.
  • Esper, T. L., Fugate, B. S. and Davis‐Sramek, B. (2007). Logistics learning capability: sustaining the competitive advantage gained through logistics leverage. Journal of Business Logistics, 28(2), 57-82.
  • Fahey, L. and Prusak, L. (1998). The eleven deadliest sins of knowledge management. California management review, 40(3), 265-276.
  • Field, A. (2009). Discovering Statistics Using Spss (3rd Ed.). London: Sage.
  • Fiol, C. and Lyles, M. (1985). Organizational Learning. The Academy of Management Review, 10(4), 803-813. Retrieved from http://www.jstor.org/stable/258048.
  • Gligor, D. M. and Holcomb, M. C. (2014). Antecedents and consequences of integrating logistics capabilities across the supply chain. Transportation Journal, 53(2), 211-234.
  • Grant, R.M. (1996). Prospering in dynamically-competitive environments: organizational capability as knowledge integration. Organizational Science 7, 375–87.
  • Hair, J. F. J., Black, W. C., Babin, B. J. and Anderson, R. E. (2010). Multivariate Data Analysis. Seventh Edition Prentice Hall.
  • Hatch, M. J. and Cunliffe, A. L. (2013). Organization theory: modern, symbolic and postmodern perspectives. Oxford university press.
  • Helfat, C.E. and Peteraf, M.A. (2003). The Dynamic Resource-Based View: Capability Lifecycles. Strategic Management Journal, 24, 997– 1010.
  • Kaleka, A. (2002). Resources and capabilities driving competitive advantage in export markets: guidelines for industrial exporters. Industrial Marketing Management, 31(3), 273-283.
  • King, W. R. (2006). The critical role of information processing in creating an effective knowledge organization. Journal of Database Management (JDM), 17(1), 1-15.
  • Levitt, B. and March, J.G. (1988). Organizational learning. Annual Review of Sociology, 14, 319–340.
  • Lynch, D. F., Keller, S. B. and Ozment, J. (2000). The effects of logistics capabilities and strategy on firm performance. Journal of business logistics, 21(2), 47.
  • Mentzer, J. T., Flint, D. J. and Hult, G. T. M. (2001). Logistics service quality as a segment-customized process. Journal of Marketing, 65, 82–104.
  • Mentzer, J. T., Min, S. and Michelle Bobbitt, L. (2004). Toward a unified theory of logistics. International Journal of Physical Distribution & Logistics Management, 34(8), 606-627.
  • Morash, E. A., Droge, C. L. and Vickery, S. K. (1996). Strategic logistics capabilities for competitive advantage and firm success. Journal of business Logistics, 17(1), 1.
  • Nelson, R. R. and Sidney G. W. (1982). An Evolutionary Theory of Economic Change. Belknap Press/Harvard University Press: Cambridge.
  • Nonaka, I. (1994). A dynamic theory of organizational knowledge creation. Organization science, 5(1), 14-37.
  • Porter, M. E. (1985). Competitive Advantage-Creating And Sustaining Superior Performance. The Free Press, New York.
  • Santos-Vijande, M. L., López-Sánchez, J. Á. and Trespalacios, J. A. (2012). How organizational learning affects a firm's flexibility, competitive strategy, and performance. Journal of Business Research, 65(8), 1079-1089.
  • Teece, D. and Pisano, G. (1994). The dynamic capabilities of firms: an introduction. Industrial and corporate change, 3(3), 537-556.
  • Tippins, M. J. and Sohi, R. S. (2003). IT competency and firm performance: is organizational learning a missing link?. Strategic management journal, 24(8), 745-761.
  • Ulrich, D. (1989). Gaining Strategic and Organizational Capability in a Turbulent Business Environment, The Academy of Management Executive, Vol. III (2), pp. 115-122.
  • Winter, S.G. (2000). The Satisficing Principle in Capability Learning. Strategic Management Journal. 21(10-11): 981-996.
  • Wright, P. M. and McMahan, G. C. (1992). Theoretical perspectives for strategic human resource management. Journal of management, 18(2), 295-320.
  • Xu, L. and S. Wang. (2012). “Empirical Research on Construct of Chain Store Logistics Capability System.” I-Business 4 (1): 10–17.
  • Zahra, S. A., Neubaum, D. O. and El–Hagrassey, G. M. (2002). Competitive analysis and new venture performance: Understanding the impact of strategic uncertainty and venture origin. Entrepreneurship Theory and Practice, 27(1), 1-28.

Year 2019, Volume: 6 Issue: 3, 136 - 145, 30.09.2019

Cemal Zehir Hacer Yildiz Ozturk

https://doi.org/10.17261/Pressacademia.2019.1127

Abstract

References

  • Acar, Z. A. and Zehir, C. (2009). Development and validation of a multidimensional business capabilities measurement instrument. Journal of Transnational Management, 14(3), 215-240.
  • Agarwal, R., Krudys, G. and Tanniru, M. (1997). Infusing learning into the information systems organization. European Journal of Information Systems, 6(1), 25-40.
  • Amit, R. and Schoemaker, P.J.H. (1993). Strategic Assets and Organizational Rents. Strategic Management Journal, 14, 33-46.
  • Andreu, R. and Ciborra, C. (1996). Organisational learning and core capabilities development: the role of IT. The Journal of Strategic Information Systems, 5(2), 111-127.
  • Antoncic, B. and Hisrich, R. D. (2001). Intrapreneurship: Construct refinement and cross-cultural validation. Journal of business venturing, 16(5), 495-527.
  • Argyris, C. and Schon D. (1978). Organizational Learning. Addison- Wesley, London.
  • Baker, W. E. and Sinkula, J. M. (1999). The synergistic effect of market orientation and learning orientation on organizational performance. Journal of the academy of marketing science, 27(4), 411-427.
  • Bapuji, H. and Crossan, M. (2004). From questions to answers: reviewing organizational learning research. Management learning, 35(4), 397- 417.
  • Barney, J. B. (1991), ‘Firm Resources and Sustained Competitive Advantage’, Journal of Management, Vol 17; s 112.
  • Barney, J. B. and Clark, D. N. (2007). Resource-Based Theory: Creating and Sustaining Competitive Advantage, Oxford: Oxford University Press.
  • Bell, J. E., Bradley, R. V., Fugate, B. S. and Hazen, B. T. (2014). Logistics information system evaluation: Assessing external technology integration and supporting organizational learning. Journal of Business Logistics, 35(4), 338-358.
  • Boxall, P. (1996). The strategic HRM debate and the resource-based view of the firm. Human resource management journal, 6(3), 59-75.
  • Canessa-Terrazas, E. C., Morales-Flores, F. J. and Maldifassi-Pohlhammer, J. O. (2017). The impact of IT-enhanced organizational learning on performance: evidence from Chile. Revista Facultad de Ingeniería Universidad de Antioquia, (82), 60-67.
  • Celuch, K. G., Kasouf, C. J. and Peruvemba, V. (2002). The effects of perceived market and learning orientation on assessed organizational capabilities. Industrial marketing management, 31(6), 545-554.
  • Cho, J.J.K, Ozment, J. and Sink, H. (2008). Logistics capability, logistics outsourcing and firm performance in an e-commerce market. International journal of physical distribution & logistics management, 38(5), 336-359.
  • Christopher, M. (2000). The Agile Supply Chain. Industrial Marketing Management 29 (1): 37–44.
  • Collis, D. J. (1994). Research note: how valuable are organizational capabilities?. Strategic management journal, 15(S1), 143-152.
  • Chow, G., Heaver, T. D. and Henriksson, L. E. (1994). Logistics performance: definition and measurement. International journal of physical distribution & logistics management, 24(1), 17-28.
  • Esper, T. L., Fugate, B. S. and Davis‐Sramek, B. (2007). Logistics learning capability: sustaining the competitive advantage gained through logistics leverage. Journal of Business Logistics, 28(2), 57-82.
  • Fahey, L. and Prusak, L. (1998). The eleven deadliest sins of knowledge management. California management review, 40(3), 265-276.
  • Field, A. (2009). Discovering Statistics Using Spss (3rd Ed.). London: Sage.
  • Fiol, C. and Lyles, M. (1985). Organizational Learning. The Academy of Management Review, 10(4), 803-813. Retrieved from http://www.jstor.org/stable/258048.
  • Gligor, D. M. and Holcomb, M. C. (2014). Antecedents and consequences of integrating logistics capabilities across the supply chain. Transportation Journal, 53(2), 211-234.
  • Grant, R.M. (1996). Prospering in dynamically-competitive environments: organizational capability as knowledge integration. Organizational Science 7, 375–87.
  • Hair, J. F. J., Black, W. C., Babin, B. J. and Anderson, R. E. (2010). Multivariate Data Analysis. Seventh Edition Prentice Hall.
  • Hatch, M. J. and Cunliffe, A. L. (2013). Organization theory: modern, symbolic and postmodern perspectives. Oxford university press.
  • Helfat, C.E. and Peteraf, M.A. (2003). The Dynamic Resource-Based View: Capability Lifecycles. Strategic Management Journal, 24, 997– 1010.
  • Kaleka, A. (2002). Resources and capabilities driving competitive advantage in export markets: guidelines for industrial exporters. Industrial Marketing Management, 31(3), 273-283.
  • King, W. R. (2006). The critical role of information processing in creating an effective knowledge organization. Journal of Database Management (JDM), 17(1), 1-15.
  • Levitt, B. and March, J.G. (1988). Organizational learning. Annual Review of Sociology, 14, 319–340.
  • Lynch, D. F., Keller, S. B. and Ozment, J. (2000). The effects of logistics capabilities and strategy on firm performance. Journal of business logistics, 21(2), 47.
  • Mentzer, J. T., Flint, D. J. and Hult, G. T. M. (2001). Logistics service quality as a segment-customized process. Journal of Marketing, 65, 82–104.
  • Mentzer, J. T., Min, S. and Michelle Bobbitt, L. (2004). Toward a unified theory of logistics. International Journal of Physical Distribution & Logistics Management, 34(8), 606-627.
  • Morash, E. A., Droge, C. L. and Vickery, S. K. (1996). Strategic logistics capabilities for competitive advantage and firm success. Journal of business Logistics, 17(1), 1.
  • Nelson, R. R. and Sidney G. W. (1982). An Evolutionary Theory of Economic Change. Belknap Press/Harvard University Press: Cambridge.
  • Nonaka, I. (1994). A dynamic theory of organizational knowledge creation. Organization science, 5(1), 14-37.
  • Porter, M. E. (1985). Competitive Advantage-Creating And Sustaining Superior Performance. The Free Press, New York.
  • Santos-Vijande, M. L., López-Sánchez, J. Á. and Trespalacios, J. A. (2012). How organizational learning affects a firm's flexibility, competitive strategy, and performance. Journal of Business Research, 65(8), 1079-1089.
  • Teece, D. and Pisano, G. (1994). The dynamic capabilities of firms: an introduction. Industrial and corporate change, 3(3), 537-556.
  • Tippins, M. J. and Sohi, R. S. (2003). IT competency and firm performance: is organizational learning a missing link?. Strategic management journal, 24(8), 745-761.
  • Ulrich, D. (1989). Gaining Strategic and Organizational Capability in a Turbulent Business Environment, The Academy of Management Executive, Vol. III (2), pp. 115-122.
  • Winter, S.G. (2000). The Satisficing Principle in Capability Learning. Strategic Management Journal. 21(10-11): 981-996.
  • Wright, P. M. and McMahan, G. C. (1992). Theoretical perspectives for strategic human resource management. Journal of management, 18(2), 295-320.
  • Xu, L. and S. Wang. (2012). “Empirical Research on Construct of Chain Store Logistics Capability System.” I-Business 4 (1): 10–17.
  • Zahra, S. A., Neubaum, D. O. and El–Hagrassey, G. M. (2002). Competitive analysis and new venture performance: Understanding the impact of strategic uncertainty and venture origin. Entrepreneurship Theory and Practice, 27(1), 1-28.
There are 45 citations in total.

Details

Primary Language English
Subjects Business Administration
Journal Section Articles
Authors

Cemal Zehir 0000-0003-2584-4480

Hacer Yildiz Ozturk 0000-0002-1679-4883

Publication Date September 30, 2019
Published in Issue Year 2019 Volume: 6 Issue: 3

Cite

APA Zehir, C., & Ozturk, H. Y. (2019). EXCELLENCE IN LOGISTICS PERFORMANCE: THE EFFECT OF LOGISTICS CAPABILITY, INFORMATION SYSTEMS CAPABILITY AND ORGANIZATIONAL LEARNING. Journal of Management Marketing and Logistics, 6(3), 136-145. https://doi.org/10.17261/Pressacademia.2019.1127

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