Article

Applied Logistics Knowledge Impact On Financial Performance

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Purpose – The purpose of this paper is to examine the relationships between internal process
improvement investments, applied channel logistics knowledge, and financial performance for
make-to-order (MTO) and make-to-stock (MTS) manufacturers. This study takes the position that
knowledge, specifically tacit or applied knowledge, may serve as a key indicator of organizational
performance. In this study, the tacit knowledge exhibited in intentional logistics integration activities
is captured in the construct applied channel logistics knowledge.
Design/methodology/approach – A structural equation model, controlling for firm size and
demand uncertainty, is used to examine these relationships. A sampling frame of 1,264 senior
manufacturing “executives” provided 222 usable surveys representing 210 firms.
Findings – The results show that for MTO firms, higher investments in internal process
improvement relate to higher applied channel logistics knowledge, whereas for MTS firms, the
relationship does not hold, and this difference is significant. In addition, the results indicate a positive
relationship between internal process improvement investment and financial performance for MTO
firms, whereas again the relationship does not hold for MTS firms. Both MTO and MTS firms show
increased financial performance when applied channel logistics knowledge increases, although the
increase in financial performance is significantly greater for MTO firms.
Originality/value – Historically, the success of integration strategies has been postulated to be
equally effective for MTO and MTS firms, a “one-size-fits-all” approach to improving system
effectiveness. However, given the inherent differences in these manufacturing strategies, this
speculation deserves further investigation and serves as the focus of this research. The use of the tacit
knowledge construct applied

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Ketersediaan

Informasi Detail

Judul Seri

International Journal of Operations & Production Management

No. Panggil

ATC LO BIR a

Penerbit

United States of America : Emerald Insight., 2011

Deskripsi Fisik

21 p

Bahasa

English

ISBN/ISSN

0144-3577

Klasifikasi

LO

Tipe Isi

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Tipe Media

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Tipe Pembawa

online resource

Edisi

Vol. 31 Iss 8 pp

Subjek

Logistics
Manufacturing Strategy
Process Improvements

Info Detail Spesifik

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Pernyataan Tanggungjawab

Birou, Laura

Versi lain/terkait

Lampiran Berkas

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