Logistics Performances of Gulf Cooperation Council’s Countries in Global Supply Chains

Ilija Stojanović,Adis Puška

doi:10.31181/dmame2104174s

Abstract

Regional integration into the Gulf Cooperation Council has enabled respective countries to effectively participate in global supply chains. To ensure effective integration of this region into global supply chains, logistics operations are a very important determinant. The aim of this study was to assess logistical performances of GCC countries, and to identify which country has the best conditions for establishing a regional logistic center. For this study, we used relevant data from Logistics Performance Index (LPI) developed by the World Bank. The research was conducted using a hybrid multicriteria approach based on the CRITIC and MABAC methods. The findings of this study indicate that the United Arab Emirates has the best conditions for establishing a regional logistics center. This study also releveled the areas of logistics in which other GCC countries should make an improvement to improve their logistical performance.

Highlights

Global competitive pressure is forcing countries to strengthen their position in the world market through regional integration
Our findings have shown that the United Arab Emirates leads the Gulf Cooperation Council (GCC) region when it comes to logistics performance
In our study we used data from the Logistics Performance Index developed by the World Bank and applied a hybrid multi-criteria approach based on the CRITIC and MABAC methods

Summary

Introduction

Global competitive pressure is forcing countries to strengthen their position in the world market through regional integration. Having this in mind, Durugbo et al (2020) pointed out the strategic global importance for supply chains for these countries These scholars found that supply chains in the GCC region confront 3 main complexity management challenges including “strategically selecting and integrating network resources’, ‘reliably contracting and delivering high-quality solutions’, and ‘cost effectively controlling and financing operational expansions” (Durugbo et al, 2020, p.13). They proposed to GCC-based companies to work closely in enabling optimization of their export activities to maximize competitiveness and minimize operational risks and uncertainty

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Methods

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Discussion

Conclusion