Abstract
Sri Lanka has initiated major development programmes over the years to enrich its trade facilitation. Out of all, one of the main objectives is to transform Sri Lanka into a logistics hub to smoothly operate international trade. The perspective of the logistics sector in introducing such programmes is helpfulin planning and finalizing development policies. Potential investors investigate LPI as a multi-dimensional indicator before placing investment decisions.When compared to other competing countries in the region, the LPI scores of Sri Lanka have not been satisfactory.Quality of trade and transport related infrastructure dimension is underperforming since 2007.In that scenario, it is a contemporary requirement to evaluate the logistics performance index and test the construct validity of the index in Sri Lanka.Therefore, the objective of this research was to conduct a confirmatory factor analysis for the infrastructure dimension of logistics performance index based on Sri Lanka. The results were grounded on a questionnairesurveyfrom a sample of 60 industry professionals from 20 freight forwarding companies.The date collection was limited to registered freight forwarding companies atthe Sri Lanka Freight Forwarders Association.The indicators of each dimension of the infrastructure dimension of LPI was verified through a Confirmatory Factory Analysis using IBM SPSS Amos. The study confirms the construct validity of the infrastructure dimension and the results were in consistent with the conceptual framework of LPI.
Highlights
Sri Lanka has initiated major development programmes over the years to enrich its trade facilitation
Potential investors investigate Logistics Performance Index (LPI) as a multidimensional indicator before placing investment decisions.When compared to other competing countries in the region, the LPI scores of Sri Lanka have not been satisfactory.Quality of trade and transport related infrastructure dimension is underperforming since 2007.In that scenario, it is a contemporary requirement to evaluate the logistics performance index and test the construct validity of the index in Sri
Lanka.the objective of this research was to conduct a confirmatory factor analysis for the infrastructure dimension of logistics performance index based on Sri Lanka
Summary
The quality of port infrastructure, airport infrastructure, road infrastructure, rail infrastructure, warehousing andtransloading facilities, telecommunication infrastructure and IT servicesare the determinants of the quality of trade and transport related infrastructure (Arvis, et al, 2016).The quality of freight transport related infrastructure has a positive relationship with the LPI score of a country (Celebi, et al, 2014). Port storage/ warehousing and port facilities, port capacity, accessibility and water depth adequacy are significant infrastructure indicators that help to determine the port logistics performance.The World Bank (2010) has recognized container traffic: inbound and outbound, loaded and empty, traffic growth (Twenty foot Equivalent Units), number of berths and ship to shore gantry cranes, available draft, yard storage area, public or private operator, turnaround times and processing of electronic manifests and loading plans (local) as the indicators to assess the port infrastructure.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.