Kum Fai Yuen

Service quality and customer satisfaction in liner shipping

Purpose – This paper aims to identify the dimensions of service quality (SQ) in liner shipping and examine their effects on customer satisfaction. Design/methodology/approach – The indicators of SQ in liner shipping were identified from reviewing the literature and interviewing six qualified industry practitioners. An online survey was then administered to 183 liner shippers in Singapore. Subsequently, exploratory factor analysis and regression analysis were conducted. Findings – SQ in liner shipping can be represented by four key quality dimensions. In descending order of their impact on customer satisfaction, they are reliability, speed, responsiveness and value. Service differentiation by time-related attributes results in greater customer satisfaction than practising cost leadership in liner shipping. Research limitations/implications – Allocation of resources to develop SQ in liner shipping should mirror the priorities established in this research. In addition, the developed measurement model for SQ ...

Service quality appraisal: a study of interactions

Customer satisfaction or dissatisfaction is a direct response from the appraisal of service quality (SQ) attributes. The purpose of this study is to discuss and test for interactions in customers’ appraisal of SQ attributes. A theoretical framework was developed to identify the types of interactions between SQ attributes. A survey was then administered to 203 shippers in Singapore. Subsequently, interactions between SQ attributes were empirically tested using customer satisfaction as the outcome criterion. As compared to linear models, the use of interaction models yielded a 10% increase in their explanatory power on customer satisfaction. Interactions between the SQ attributes generated additive, compensatory, or synergistic effect on customer satisfaction. The results imply that satisfaction derived from the appraisal of a SQ attribute is moderated by the perceived performance of other SQ attributes. To optimise customer satisfaction, interaction effects should be considered in the management of service features. This paper is one of the few studies that examines interactions in customers’ appraisal of SQ attributes. The proposed framework contributes to new theories on consumer satisfaction evaluation and SQ management.

Are customers willing to pay for corporate social responsibility? A study of individual-specific mediators

The objective of this study is to identify, specify, and examine variables that mediate the link between customers’ perceived level of corporate social responsibility (CSR) and their willingness to pay (WTP) premiums for CSR. Drawing on several consumer behaviour theories including perceived value theory, corporate identity theory, and theory of planned behaviour, theoretical and alternative models were proposed. Subsequently, a survey was administered to 212 users of shipping services in Singapore. Thereafter, the proposed models were analysed and compared using structural equation modelling. The link between CSR and WTP for CSR was found to be indirect and mediated by personal factors including customer satisfaction, customer loyalty, and CSR beliefs. Practising CSR in conjunction with service quality results in greater customer satisfaction. However, customer satisfaction is a necessary but insufficient condition for WTP for CSR. Instead, the effect of customer satisfaction on WTP for CSR is channelled via customers’ CSR beliefs and loyalty. This study contributes to consumer behaviour theories by providing a better understanding of the lagging and immediate predictors of WTP for CSR. The results also draw important implications for the management of CSR activities and pricing of services.

Corporate social responsibility and service quality provision in shipping firms: financial synergies or trade-offs?

ABSTRACT This study examines whether the implementation of corporate social responsibility (CSR) and provision of service quality (SQ) to satisfy shippers result in financial synergies or trade-offs for shipping firms. To address this question, a contingency framework was introduced in this study. The literature was first reviewed for hypotheses development, followed by interviews with eight industry practitioners. Subsequently, an internet survey was administered to 156 shipping firms in Singapore, and the obtained data were analysed using path model analysis and simple slope analysis. The results indicate that CSR complements SQ and provides additional but modest financial contribution to shipping firms via customer satisfaction. In addition, synergistic interactions between SQ and CSR were found. Although there are financial synergies from the implementation of CSR and provision of SQ, the analysis reveals that CSR should only be engaged when a shipping firm is fairly competent at delivering quality shipping services. This paper contributes to both theory and practice by framing business decisions on implementing CSR under contingency theory and offering a strategic approach to managing SQ as well as CSR of shipping firms.

The influence of supply chain integration on operational performance: A comparison between product and service supply chains

Purpose An implicit assumption of current supply chain integration (SCI) research is that the results obtained from product supply chains can be directly extrapolated to service supply chains. The purpose of this paper is to question this assumption of equivalence by proposing that the effects of internal integration (II) and external integration (EI) on operational performance (OP) are contingent on whether a firm operates in a product and service supply chain. Design/methodology/approach Drawing on the contingency theory, a model that specifies and contrasts the interrelationships between II, EI, and OP in product and service supply chains was proposed. Subsequently, measures were developed and survey data were collected from 138 product and 174 service companies in Singapore. The data were then analysed using multi-sampling analysis. Findings The effects of II and EI on OP varied significantly between product and service supply chains. In addition, the relationship between II and OP was found to be partially mediated by EI in product supply chains whereas a fully mediated relationship was observed in service supply chains. Research limitations/implications Within the context of SCI, different mediation patterns exist in product and service supply chains. The results suggest adopting a contingency rather than a universalistic approach in the management of firms’ internal and external integrative capabilities to maximise OP. Specifically, managers should adjust their II and EI efforts to achieve congruency with the type of supply chain they serve. Originality/value This paper tests the assumption of equivalence and extends the current scope of SCI contingency research by cross-examining the effects of II and EI on OP in both product and service supply chains simultaneously.

An innovation diffusion perspective of e-consumers’ initial adoption of self-collection service via automated parcel station

As an application of self-service technology, automated parcel station (APS) is emerging as a logistics innovation to address the inefficiency and delivery failure in conventional home delivery. However, the long-term viability of APS depends on the consumers’ acceptance of such concept. In response, the purpose of this paper is to conduct a behavioural study on consumers’ adoption of self-collection service via APS.,By synthesising theoretical insights from the innovation diffusion literature and attitude theories, a conceptual model is developed and empirically validated. Perceived characteristics of APS are present to directly influence the consumers’ adoption intention, or indirectly through attitude. A total of 170 valid responses are collected from a survey conducted in Singapore and the data are analysed using structural equation modelling.,Consumers’ favourable attitude and perceived relative advantage of APS directly lead to stronger adoption intention. On the contrary, consumers’ perceptions on compatibility and trialability and on complexity indirectly influence their adoption intention via attitude, in a positive and in a negative way, respectively. Additionally, attitude is found to be the most influential factor contributing to consumers’ adoption intention.,The scope of this paper is limited to e-consumers’ initial adoption decision. Future research should examine the consumers’ adoption behaviour further down the innovation adoption process, such as continuance and commitment.,This research conceptualises and validates the consumers’ adoption behaviour of APS from a synthesised view of innovation diffusion and attitude theories, theoretically and empirically contributing to the field of study on logistics innovations from the consumers’ perspective.

E-consumer adoption of innovative last-mile logistics services: A comparison of behavioural models

This paper investigates consumers’ behavioural responses to innovative last-mile delivery services (self-collection as an example) in the emerging e-commerce market of Singapore. Anchored on theoretical insights from attitude theories and Diffusion of Innovation (DOI) theory, the mediating role of the e-consumers’ attitude between their beliefs and their behavioural intention is examined in three competing models. A total of 209 valid survey responses are collected and the data are analysed using Structural Equation Modelling (SEM). Our study suggests an irreplaceable mediating role of attitude in determining the desirability of innovative last-mile delivery services. In particular, a sense of relative advantage and compatibility should be communicated to e-consumers. With an inter-disciplinary effort to integrate consumers’ behaviour in the management of last-mile logistics service innovations, this study contributes to the theoretical synthesis of these two streams of research. It also represents a unique angle to manage e-consumers’ service concerns from the perceptual and the behavioural perspectives.

The impact of supply chain relationship quality on performance in the maritime logistics industry in light of firm characteristics

Anchoring on configuration theory, the purpose of this paper is to evaluate how supply chain relationship quality (SCRQ) differs across firm characteristics (FC) in the maritime logistics industry. In addition, it utilises transactional cost theory to establish the relationship between SCRQ and supply chain performance (SCP).,The data were obtained from a survey with 205 maritime logistics service players (shipping firms, shippers and freight forwarders) in Singapore. MANOVA and t-test analyses are used to examine the difference in SCRQ (i.e. trust and commitment) across FC which includes firm types and ownership types. Thereafter, structural equation modelling is employed to examine the influence of SCRQ on SCP.,The results indicate that the effects of trust and commitment on SCRQ vary significantly. It was also found that trust as an aspect of SCRQ has a significant impact on SCP, whereas commitment does not.,As the field data were obtained from only one industry, future replication of the findings to other industries should consider industry-specific factors, if applicable.,It is suggested that maritime logistics service players should carefully manage trust and commitment to simultaneously enable SCP. By identifying the various aspects of FC that contribute to SCRQ, maritime logistics service providers could devise appropriate strategies for different customer segments more effectively.,This study expands current supply chain research by linking two dimensions of SCRQ in relationship marketing with SCP in supply chain management. It is also one of the first empirical attempts to explore the role of FC in the linkage between SCRQ and SCP in the maritime logistics industry.

Portfolio of port-centric supply chain disruption threats

Purpose The purpose of this paper is to provide a risk assessment of port-centric threats that may have adverse effects on supply chain continuity from the perspectives of port operators and port users, thereby determining the significance of these threats to supply chain disruptions. Design/methodology/approach Drawing on literature review and reported cases, 19 port-centric disruptive events were identified. Subsequently, surveys were conducted to collect data from 102 port operators and 123 port users worldwide on the frequencies and consequences of the identified port-centric disruptive events. Risk matrices were then generated to compare the perspectives of port operators and port users. Findings The results show that threats related to the planning of port resources require the highest level of attention. This highlights important areas for port managers seeking to improve port resilience and supply chain continuity through a more prudent management of risks. Research limitations/implications The results help port managers understand where they should establish strategic capability to increase port resilience and enhance sustainability to benefit port users. However, the study could be further enhanced by evaluating the threats based on different regions of ports and port users and making recommendations for port operators to undertake. Originality/value The findings of this paper are significant as they provide an analysis of data gathered from international port operators and port users. Risk matrices have been widely applied in many industries, yet no studies have been conducted to develop a portfolio of port-centric risks at a scale as large as this paper.

The Influence of Supply Chain Integration on Supply Chain Performances

Integration in the shipping industry is increasingly viewed as a significant strategy to achieve responsiveness and efficiency in the transport chain. Previous research work has proposed numerous supply chain integration practices (SCIPs) for firms to achieve desired performances. However, not all practices can be directly translated into realizable benefits. It is contested that SCIPs must be industry-specific (relevant) and feasible to implement. Hence the objectives of this paper are to, firstly, select the best subset of SCI variables which explains for performance in the container shipping industry and secondly, examine the possibility of cumulative capabilities between internal and external SCI. The methodology of this research combined both qualitative and quantitative approach. Structured face-to-face interviews were first conducted on eight individuals of managerial position from the shipping industry. Thereafter, a survey was administered on 1937 maritime firms. The collected data was analysed using multiple regression technique on SPSS. The results showed that the container shipping industry is more integrated internally than externally. However, variables relating to external integration provide greater explanation for driving supply chain performances (SCPs) in the industry. It was also found that there are limited cumulative capabilities between similar variables presented in internal and external integration. This paper has contributed to the literature by establishing the link between SCI and SCP. In addition, the proposed framework in this paper could support management decisions in achieving greater performances. Future research includes expanding the current framework to incorporate other aspect of performances (i.e. financial and other non-financial performances).