Exploring knowledge management practices in third-party logistics service providers

Date14 May 2018
Pages162-177
Published date14 May 2018
DOIhttps://doi.org/10.1108/VJIKMS-05-2016-0030
AuthorSusanne Durst,Pietro Evangelista
Subject MatterInformation & knowledge management,Knowledge management,Knowledge management systems
Exploring knowledge
management practices in third-
party logistics service providers
Susanne Durst
School of Business, University of Skövde, Skövde, Sweden, and
Pietro Evangelista
Research Institute on Innovation and Services for Development (IRISS),
National Research Council (CNR), Naples, Italy
Abstract
Purpose This paper aims to exploreknowledge management (KM) practices implementedby third-party
logisticsservice companies (3PLs) and the main barriersslowing down the adoption of such practices.
Design/methodology/approach The methodological approach used in this paper is based on a
multiple case study analysis involving a set of 3PLs operatingin Italy and Sweden. The empirical analysis
has exploredthe KM practices used by 3PLs and the main barrier hindering their adoption.
Findings In spite of some adoption, the ndings suggest that3PLs are not sufciently realizing the full
potential of KM.The evidence also indicates that there is a link between the type of3PL company (in terms of
the breadthand complexityof the services supplied) and the sophistication of KM tools adopted.
Research limitations/implications From a research point of view, further research shouldfocus on
the validationof the link between the number and sophisticationof KM tools used and the breadth of services
supplied. Further researchshould also focus on exploring how KM can support 3PL companies in enhancing
their performance.
Practical implications From a practical point of view, the ndings may help the management of 3PL
companies to take a more strategic approach to KM and thus its contribution to the rmsoverall goals.
Additionally, it is critical to conducta careful analysis of current and future KM needs to identify the most
suitableKM solutions linked to the specic characteristics of the businessin which 3PLs operate.
Originality/value This study provides fresh insights into the adoption of KM practices in logistics
service organizations. The ndings advance the limited body of knowledge regarding this topic and
contributeto the further development of the study of KM.
Keywords Logistics service providers, Knowledge management practices, Barriers to KM adoption,
Country comparison, Italian and Swedish logistics service markets
Paper type Research paper
1. Introduction
In todays dynamic competitive environment, knowledge can be recognized and
accepted as a strategic resource in logistics and supply chain management (Autry and
Grifs, 2008). Knowledge is a sustainable source of competitive advantage, in an
environment where responsiveness is extremely important such as the logistics and the
supply chain (Fugate et al., 2009). Knowledge assets have become particularly critical
for third-party logistics service companies (3PLs) to achieve their performance goals as
logistics services have become even more complex and knowledge-intensive (Neumann
and Tomé, 2006). In fact, the role of 3PLs in the supply chain has evolved substantially
over the past few decades because of an evolutionary process that has shifted the
VJIKMS
48,2
162
Received30 May 2016
Revised2 January 2017
4 April2017
Accepted1 August 2017
VINEJournal of Information and
KnowledgeManagement Systems
Vol.48 No. 2, 2018
pp. 162-177
© Emerald Publishing Limited
2059-5891
DOI 10.1108/VJIKMS-05-2016-0030
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/2059-5891.htm
business model of these companies from an asset-based conguration (e.g. mainly
based on the management of physical assets such as vehicles, warehouses and
facilities) toward a more information- and knowledge-based model (e.g. providing
supply chain information by using several ICT tools and systems) (Evangelista et al.,
2013). The management of knowledge is increasingly considered a strategic resource
for improving the performance of processes and services carried out by 3PLs (Lee and
Song, 2010). In this scenario, the use of sophisticated and integrated knowledge
management (KM) systems is essential to support the 3PLsspecic needs, as well as
collaboration with other supply chain actors and networks (e.g. customers and
suppliers) (Rajesh et al., 2011). Thus, it is crucial to implement a KM approach for
logistics service companies. Although KM research has grown rapidly in recent years,
several disciplines have studied KM from their own perspectives and there are only
limited efforts to study the interfaces of KM from an interdisciplinary perspective
(Evangelista and Durst, 2015). This is the case of the interface between KM and
logistics service businesses. Despite the increasing interest in studying KM in logistics
(Fugate et al., 2012), there is still a gap in understanding the role of KM in the logistics
service industry. In addition, cross-country studies are lacking. As countries are
characterized by different business practices, cultures and logistics systems, the
question of interest would be whether these differences do also lead to different KM
practices.
KM can be divided into a number of practices such as knowledge identication, knowledge
creation, knowledge storage, knowledge dissemination and knowledge application (Wiig, 1997;
McAdam and Reid, 2001;Wong and Aspinwall, 2004), and depending on the organization, the
application of all practices or just a selection takes places. In addition, the implementation of
KM is inuenced by a number of barriers, such as missing motivation and trust (Szulanski,
2000), missing incentives (Geisler, 2007) and missing time and awareness, as well as fear of
change (North, 2002); the persons in charge need to be aware to increase the probability of
success of the planned or already initiated knowledge practices.
Against this background and the important role that logistics play in national and
international economies (World Bank, 2014), it would be interesting to investigate how
logistics service companies take advantage of KM to ensure their business success. More
precisely, we are interested in the KM practices adopted by logistics service companies to
improve their activities and processes and support their strategies behind. In addition, we
want to learn about the perceived barriers to KM implementation. Having this in mind, the
objective of this exploratory study is to investigate the KM practices implemented by
logistics service companiesand the main barriers affecting their implementation. To achieve
this objective, a case study analysis has been conducted involving two 3PLs operating on
the Italian market and two Swedish3PLs. The main research questions that this paper seeks
to answer are as follows:
RQ1. What are the KM practices implementedby logistics service providers?
RQ2. What are the main barriers slowing down the adoption of KM practices in
logistics serviceproviders?
The remainder of the paper is organized as follows. Section2 briey highlights the relevant
literature on KM in general and regardingthe logistics service industry in particular. Section
3 describes the overall research designand the method employed to carry out the case study
analysis. Section 4 presents and discusses the main ndings achieved. Section 5 provides
conclusions and implicationsfor both research and practices.
Knowledge
management
practices
163

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