Performance Implications of Logistics Information Technology Adoption for 3PL Firms (CEIBS Working Paper, No. 005/2020/POM)

Purpose—The third-party logistics (3PL) firms increasingly rely on information technology (IT) to improve the supply chain process and firm performance in the context of the globalized and fiercely competitive market. The purpose of this study is to investigate how logistics IT adoption as a standardized resource affects firm performance. Moreover, we explore the mediating role of customer collaboration and the moderating role of government policy support between logistics IT adoption and firm performance from the resource-based view and socio-technical perspective. Design/ methodology/ approach— Survey data acquired from a sample of 235 3PL firms in China were analyzed using partial least squares structural equation modeling (PLS-SEM). Findings—The empirical results show that logistics IT adoption has a positive effect on both financial and operational performance by strengthening customer collaboration. Additionally, government policy support amplifies the positive effect of customer collaboration on operational performance, rather than on financial performance. Originality/value—This study offers rich empirical insights to the growing body of SCM and 3PL literature. And the findings contribute to our understanding of the technological and developmental issues of 3PL firms both theoretically and practically