Modeling enablers of logistics outsourcing adoption: a case of manufacturing industry

Purpose Innovation capabilities, changes in customer expectations and continuous supply chain (SC) network disruptions bring complexity and challenges to manufacturing firms (MFs). This study examines the influence of uncertainty, supplier innovation, cost reduction and integration of third-party logistics (3PLs) and fourth-party logistics (4PLs) on logistics outsourcing adoption. Design/methodology/approach Based on data collected from 180 managers in MFs in Jordan, our proposed research model was tested using partial least squares-SEM (PLS-SEM). Findings The findings suggest that supplier innovation and integration with 3PLs and 4PLs are key enablers of adopting logistics outsourcing in the manufacturing sector. Further, the findings indicate no significant impact of uncertainty and cost reduction as logistics outsourcing enablers. The results also suggest that integration with 3PLs and 4PLs mediate fully and positively the path between supplier innovation and logistics outsourcing adoption. Originality/value This study contributes to the manufacturing literature by providing a better understanding of the main enablers of logistics outsourcing in the manufacturing sector, simultaneously tackling dependence and enhancing adoption performance in the innovation and disruptions SC era. Further, it expands the understanding of the integration between SC partners in these twofold roles.