The Effectiveness of Logistics Services on Firms’ Performances – A Literature Review

Abstract

Until a few years ago, logistics was considered a low-value-added sector, just an additional cost in the supply chain that directly impacted the economics of the activity. However, today that perception has changed, and its importance has become paramount. Logistics efficiency is therefore seen as a differentiating strategic element in an organization and an undeniable competitive advantage for companies. In this research, the researchers aim to highlight the components of logistics services, identify the factors affecting the performance of logistics services, and the Impact of Logistics Services on the Company’s performance. The methodology adopted for conducting this study is qualitative as the literature pertaining to the topic of study has been searched and explored to arrive at conclusions. The main findings of the study suggested that logistics service providers should invest in logistics services, adopt best logistics practices, and collaborate with their customers to improve their logistics services and meet the changing demands of customers. Overall, the effectiveness of logistics services is a complex and multifaceted topic that requires a comprehensive understanding of supply chain management principles, transportation and warehousing technologies, and customer service practices. Ongoing research in this area is critical for businesses looking to optimize their logistics operations and improve their competitiveness. Additionally, future research could explore the specific logistics services that have the greatest impact on the performance of logistics service providers.

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