Logistics Service Providers and Value Creation Through Collaboration: A Case Study

• Published in: Long range planning Vol. 49; no. 1; pp. 117 - 128
• Main Authors: Wang, Xiaobei, Persson, Gøran, Huemer, Lars
• Format: Journal Article
• Language: English
• Published: London Elsevier Ltd 01.02.2016; Elsevier$h1968; Pergamon Press Inc
• Subjects: Case studies; Collaboration; Competitive advantage; Externality; Freight forwarding; Social networks; Strategic management; Studies; Value creation
• ISSN: 0024-6301; 1873-1872
• DOI: 10.1016/j.lrp.2014.09.004

Logistics service provider (LSP) strategy and value creation is a cooperative endeavor. The study focuses on how LSPs create value by taking advantage of being connected and exploring the presence of various forms of interdependence. Using a single case study and a framework addressing network externalities and the concept of value logic interaction, we identify three types of collaborative value creation; distributive, functional and systemic. Whereas the fundamental logic of the LSP is mediation in terms of performing a distributive service, it is also subject to externalities in its functional and systemic value creation initiatives. LSPs are thereby portrayed as strategic entities dealing with a set of interdependencies in order to facilitate value creation in their networks. These firms need a rather advanced understanding of different types of economies and forms of collaboration to succeed. The study also associates different types of LSPs with the identified types of collaborative value creation.