Logistics service quality satisfaction and impacts on financial performance

The study aims to investigate the effects of service quality and customer satisfaction on financial performance with customer satisfaction moderation in Bank Pembangunan Daerah Kalimantan Timur Kalimantan Utara. Based on a sample of 165 respondent and using structural equation modeling with PLS approach, and moderating effect. The results to show that service quality has a positive and significant effect on financial performance and customer satisfaction and shows that customer satisfaction has a positive and signicant effect on financial performance. Another result of this study indicate that work satisfaction is able to moderate the service quality to financial performance.Similarly, work satisfaction is also able to moderate customer satisfaction with financial performance. Thus it was found that financial performance can be achieved better through achieving work satisfaction for employees to create better service quality and customer satisfaction, esspecially in the baking industry. Finally, customer satisfaction partially moderate the relationship between service quality and customer satisfaction on financial performance. Moreover, the managerial and theoretical implications of the study along with limitations and suggestions for future research have also been discussed. Keywords: Service quality, customer satisfaction, work satisfaction, financial performance DOI : 10.7176/EJBM/11-21-14 Publication date :July 31 st 2019

Outsourcing is increasingly being utilised by organisations to improve efficiency and minimise costs in order to effectively compete in the global environment. One of the most commonly outsourced activities is logistics, which typically consists of the transportation and warehousing functions. When logistics activities are outsourced third party logistics service providers (3PLs) undertake part or all logistics activities on behalf of the outsourcing organisation. As outsourcing is often motivated by cost minimisation, past research has mostly focused on assessing how the outsourcing organisation’s financial performance is affected by outsourcing logistics to 3PLs. However, other organisational performance dimensions such as brand equity and corporate reputation have received limited attention. Thus, this study investigates how outsourcing logistics activities to 3PLs affects outsourcing organisations’ brand equity, corporate reputation and financial performance. To determine the effect the 3PL has on outsourcing a multi-research design was used. First, an exploratory study was undertaken. This involved semi-structured in-depth interviews with 15 executives in supply chain, logistics and operations management areas. The results of the in-depth interviews pointed to the need for specific capabilities in both 3PLs and outsourcing organisations in outsourcing relationships. Logistics service quality emerged as the mechanism through which 3PLs and the outsourcing organisations capabilities were assessed. In addition, ensuring ethical behaviour emerged as another important issue in outsourcing partnerships as some organisations viewed ethical integration and alignment of ethical thinking as crucial in outsourcing relationships. In the second stage of the research a quantitative research design utilising a self-administered survey questionnaire was used to test the proposed relationships. Multiple regression and structural equation modeling (SEM) were used to test the direct and mediated relationships, as well as moderated mediated relationships. The results indicate that 3PL capabilities and the outsourcing organisation’s relational capabilities had significant effects on at least one dimension of the outsourcing organisation’s performance. While some of these effects were direct, others were mediated through the 3PLs’ logistics service quality. Ethical integration emerged as a moderator of the mediated relationship through logistics service quality for some dimensions of capabilities. In particular, high ethical integration emerged as a crucial issue in financial performance and corporate reputation gains from the 3PL capabilities dimension of information sharing and the outsourcing organisation’s long-term relationship orientation and communication with the 3PL. This study contributes to resource based view, transaction cost and outsourcing theory and has important implications for managers involved in outsourcing relationships. Specifically, the study fills gaps in existing knowledge on how 3PLs that act as agents of an outsourcing organisation can significantly affect the end customer’s perception of the outsourcing organisation. For managers to maximise the positive outcomes of outsourcing on the outsourcing organisation’s brand, reputation and financial performance, the current study points to the need to take a proactive approach in selecting 3PLs with the right capabilities, as well as developing relational capabilities within the outsourcing organisation to enhance 3PLs’ logistics service quality and maximise performance gains. Additionally, cultivating ethical integration between the outsourcing partners is critical for the success of outsourcing relationships.

The financial performance of local governments plays a critical role in supporting development objectives and improving the quality of public services. However, in practice, challenges such as budget realization deviations, weak accountability, and the limited integration of risk management highlight a research gap in understanding how governance and risk practices jointly influence financial performance. This study aims to examine the effect of Good Governance (GG) on the financial performance of local government agencies in Bontang City, with Risk Management (RM) as a mediating variable. A quantitative approach was employed using Structural Equation Modeling (SEM) through WarpPLS 3.0. The population consisted of 31 government agencies, all of which were included as the research sample through a census method with secondary data such as financial reports, performance reports, and audit evaluations from BPKP and the Regional Inspectorate. The results reveal that GG has a positive and significant effect on RM (β = 0.397; p < 0.05), but does not have significant affect on financial performance (β = -0.211; p = 0.150). Similarly, RM does not significantly influence financial performance (β = 0.120; p = 0.139) and does not mediate the relationship between GG and financial performance (p = 0.135). These findings suggest that while the application of good governance principles enhances risk management practices, improvements in financial performance are more strongly influenced by other factors such as leadership, organizational culture, and human resource competence. The study concludes that integrating GG and RM with broader organizational strategies is essential for strengthening financial performance in local governments.

The role of sustainability has made it a vital point to measure companies’ financial performances and sustainability practices along the overall supply chain. Logistics service providers (LSPs) are among the supply chain actors that need to consider sustainability practices to present a better sustainable service. Therefore, we studied LSPs in Egypt, as Egypt has set sustainability goals in the logistics sector to be achieved by 2030. This research proposes a new sustainable logistics service quality (SLSQ) scale through reviewing the literature on sustainable service quality (SSQ) and logistics service quality (LSQ). While additional semi-structured interviews were conducted with LSP companies in Egypt to formulate the SLSQ scale for this specific region, the Q-sorting technique was used to confirm SLSQ measurements. Hence, we present a scale to evaluate Egypt’s overall LSPs’ service quality. Our research thereby contributes to the theory by proposing a new framework that measures the SLSQ in LSP companies in emerging countries and to the practice by tying the framework to accompany Egyptian law. The results are discussed against previous literature and concluded by showing limitations and potential future research avenues.

In distribution systems, reliability insurance and financial performance are often hard to reconcile due to a natural monopoly. While many studies have proposed regulatory design of reward-penalty scheme (RPS) as an effective performance-based regulation framework to compensate for this natural monopoly, little attention is devoted to consideration of RPS in reliability as service quality. In this paper a novel methodology is proposed for considering an RPS in regard to reliability assessment problems to ensure a reasonable balance between reliability improvement and financial performance. In the proposed methodology, the impact of the utilities' financial and reliability performance in one regulation period is considered as to how it influences the next periods, i.e., multi-period modeling. The implementation results in an IEEE test system are utilized to reveal possible improvements in both reliability and financial performance, which lead to the delivery of a satisfactory level of service quality to customers in both the short- and long-term. The proposed methodology can be regarded as a performance-based standard for reliability improvement and efficient investment in distribution systems.

Purpose – The purpose of this paper is to explore the quality factors influencing customer satisfaction in the electronic commerce (e-commerce) context using a triadic view of customer-e-retailer-third-party logistics provider, and to investigate the impacts of service quality on customer satisfaction and loyalty in the e-retailing supply chain. Design/methodology/approach – A literature review is used to determine the conceptual model and develop the measurement scales. Data are collected through a web survey mainly conducted in China. Structural equation modeling is used to analyze the collected data and test the research hypotheses. Findings – The results verify the proposed service quality framework, consisting of two dimensions (electronic service (e-service) quality and logistics service quality), in the e-commerce context. The results indicate that e-service quality and logistics service quality are strongly linked to customer satisfaction; that is, with e-service and logistics service, respectively. e-Service quality positively impacts customer satisfaction with logistics services, but logistics service quality negatively impacts customer satisfaction with e-services. Moreover, customer satisfaction with e-services is positively associated with customer loyalty for both e-services and logistics services. However, customer satisfaction with logistics services has no direct impact on related customer loyalty, and negatively impacts customer loyalty with e-services. Research limitations/implications – The survey focusses only on China; future data should verify whether different cultural backgrounds will impact the research results. Practical implications – The results show that e-retailers should not only focus on e-service quality, but also logistics service quality, which is critical to the success of e-commerce. Originality/value – A two-dimensional (e-service and logistics) service quality framework is proposed and empirically assessed in the context of the e-retailing supply chain. These impacts of the path of service quality on customer satisfaction and loyalty are highlighted.

Regional Public Service Agency’s Financial Management is one of the new policies from government in order to improve financial performances and public services at Walanda Maramis North Minahasa Public Hospital. The purpose of this research is to analyze Regional Public Service Agency’s Financial Management in Walanda Maramis North Minahasa Public Hospital (before and after implementing). This research uses qualitative approach with descriptive analyze method; secondary data sources from 2020 and 2021 financial reports, journal articles, reference books and interview instruments. Balanced Scorecard and Model Analyze by Miles and Huberman is the analyzing technic used to comprehensively measure the financial and non-financial performances. Result of this research shown: 1) Walanda Maramis North Minahasa Public Hospital had implementing financial management of Regional Public Service Agency in forms of governances, accountabilities and transparency; and 2) performances evaluations is consist of three aspects, financial performance, operational services performance, and service quality improvement performance, which contributing to the public’s services and welfare, which also got Healthy grade financial performance with 74.15 score. Keywords: Implementation, Financial Performances, Regional Public Service Agency

This study employs a discontinuous growth model, a method that captures shifts in trends over time, to explore how the performance of tourism and hospitality firms has evolved from the pre-COVID to the post-COVID period. It uncovers two key insights. Firstly, a substantial decrease in tourism and hospitality firms’ financial and market performance was evident in 2020. For instance, their return on assets in 2020 was 348% lower than in 2019. Secondly, while there was no improvement in their financial performance in 2021, a noteworthy improvement in market performance was observed. In 2022, both financial and market performance exhibited significant recovery. Remarkably, the degree of recovery in market performance in 2021 and financial performance in 2022 mirrored their respective declines in 2020, indicating a restoration of tourism and hospitality firms’ performance to the pre-crisis level. However, this restoration was not observable among firms with low liquidity, little retained earnings, and high financial constraints, suggesting that such firms may take actions (such as cost-cutting) that can lead to a decline in their quality of services and customer experiences. Therefore, this study underscores the importance of government support to some tourism and hospitality firms even in the aftermath of the COVID-19 crisis.

Measurement research on the impact of green logistics activities and logistics service quality in the field of e-commerce on customer satisfaction is based on 5 factors measuring green logistics activities, including green transportation, warehousing, green information, green packaging, and reverse logistics. In addition, the factors considered to measure the quality of logistics services are punctuality, order status, order accuracy, and handling of order discrepancies. Research has shown that green logistics factors have a stronger impact on customer satisfaction than service quality in the field of e-commerce. The research results were conducted by surveying 350 consumers by age and region. By analysing and processing through SPSS 26 and Amos 20 software, the study has shown that green logistics factors and service quality in the field of e-commerce have an impact on customer satisfaction. From this result, the article proposes some solutions to help businesses in the field of e-commerce improve logistics activities and service quality increasingly better in response to increasing market requirements.

As with all their assets, organizations need management when it comes to their reputation. Having a successful corporate reputation is closely related to how corporations manage their existing reputation. The main components of long-term corporate reputation are categorized as appealing to emotions, product and service quality, vision and leadership, financial performance, workplace environment and social responsibility (Fombrun et al., 2013: 253). Among these components, financial performance is positioned as one of the main factors that come to the fore especially in crisis situations. Financial performance is also an effective factor in building trust in all relationships established with the target audience. Therefore, organizations should reflect their financial performance with a good corporate communication strategy in order to create a solid corporate reputation based on trust. The Covid-19 pandemic, which affected the whole world in 2019, negatively affected many corporations in Turkey economically. In the face of this situation, which can be described as a global crisis, corporations carried out corporate communication activities that support corporate reputation management in order to turn the crisis into an opportunity. It is seen that especially the financial performances of the corporations are highlighted among these activities carried out with the aim of strengthening the positive image of the corporations in the eyes of their stakeholders and the public. Within the scope of this research, the press releases published by five companies operating within the automotive sector in Turkey, among the sectors given in the Sectoral Impact of Covid 19 on the Economy report of Global Times (2020), were examined through the content analysis method in the context of financial performance indicators. The purpose of the research is to reveal how organizations reflect their strategies, which include the elements that reflect their financial performance in their press releases, to the public. As a result of the research, the financial performance indicator that took the most place in all the press releases examined was determined as “competitive advantage”.

Due to the globalization of economy, Maritime logistics play a very important role in the field of logistics. The reason for working in this framework is to determine the service capabilities of maritime logistics and to identify the relationships between these capabilities and the company’s performance. For these purposes, research models and hypotheses have been developed based on the literature of business managment, logistics and maritime business managment. The research model and hypotheses have been analyzed using the data obtained from the survey of 377 managers of maritime transport companies, who operate freight forwarders in Turkey. According to the research findings, it was found that there is a significant relationship between maritime logistics service capabilities and financial and customer service performance. In addition, it has been revealed that the ability of information intergration from maritime logistics service capabilities has the greatest influence on financial and customer service performance, and also it has become clear that the speed and reliability of maritime logistics service capabilities have no effect on financial and customer service performance.

Despite the critical role of logistics service providers (LSPs) in improving the environmental sustainability of supply chains, there is still uncertainty about how LSPs can turn environmental management into competitive advantage. Based on a Finnish national logistics survey and financial reporting data from 266 LSPs, this article examines their competitive strategies and green supply chain management (GSCM), and tests their respective relationships with environmental and financial performance. Financial data are used to measure financial performance in a novel way. The findings indicate that leading LSPs with operational excellence and strong brands are more advanced in terms of GSCM than LSPs that do not excel in any competitive priority. GSCM practices are positively related to environmental performance, but not to financial performance. However, managers should not be discouraged by the apparent absence of short‐term financial benefits of GSCM practices, which in any case could enhance future differentiation opportunities.

A sound, well-functioning banking system has an essential role in the economic development and sustained growth of any country. Egypt has faced two unexpected shocks; the global financial crisis at the end of 2008 and the recent 2011, January revolution. The Egyptian banking system in general and public banks in specific have shown resilience to the unexpected shocks in terms of solvency and liquidity. This study is important, examining the banking sector in an emerging Arab market that is rarely studied despite its growth potential and in a period of rapid political and economic changes. It tends to investigate empirically the relationships between customer service, efficiency and financial performance in Egyptian public sector banks and to examine the strength of those relationships if they do exist. For measuring efficiency, Data Envelopment Analysis model (under the constant returns to scale model) is used to calculate both technical and scale efficiency of the sampled public Egyptian banks using annual observations from 2008-2014. Then, for assessing the bank’s financial performance, four financial ratios that are commonly accepted and widely used in the banking industry were calculated for each of the seven years using data from the annual reports of each financial institution. Customers’ service quality is then assessed using the modified SERVQUAL model that consists of six critical dimensions; tangibility, reliability, responsiveness, assurance, empathy and convenience. Then the researchers used the linear programming and regression analysis techniques to examine the relationship between customer service, efficiency and banks’ financial performance. Our results partially supported the hypothesis. By developing knowledge about the way, customers perceive quality and if this affects banks' profits and if efficiency has a significant impact on this relationship, it will be possible for managers and decision makers to take concrete actions for continuous improvements. Additionally, they can identify the service areas that require improvement as a mean to retain customers, and eventually may improve banks' efficiency as well as financial performance.

Background.The article is a study of the quality of transport and logistics services in modern conditions. It analyzes the transport industry of the Russian Federation and assesses its competitive advantages in four main areas: productive factors, related and supporting industries, domestic demand parameters, and the structure and strategies of industry companies and intra-industry competition. Using official statistical data, the article describes and systematizes the characteristics of the stages of economic growth in the transport sector, analyzes the current situation in these areas, and identifies the catalysts for transition from one stage to another. The article also provides a description of the implementation of international transport corridor projects involving Russia as a sign of transition to the innovation stage. The purpose is to apply the product life cycle period to the railway transport service during freight transportation with the subsequent search for opportunities to improve the quality of services provided. The competitive advantages of the domestic transport industry, which are typical for the second and third stages of economic growth, are analyzed, and the resources, technological potential, and quality of transport and logistics services for rail transport are evaluated. A comprehensive indicator of the quality of transport and logistics services is derived, and the conditions for its calculation are determined. Weight coefficients are determined for the implementation of the quality of resources, technology, and the final transport and logistics service. Purpose.Increasing competitive advantages using a comprehensive indicator of the quality of transport and logistics services. Materials and methods.The article used an analysis of the current state of transport and logistics services, formulated the signs of transition to the innovation stage, and derived a formula for a comprehensive indicator of the quality of transport and logistics services. Results.The position of the transport sector is defined as a transition from investment-based competition to innovation-based competition. It is substantiated that the quality of transport and logistics services should be based on three components: the quality of resources, the quality of technologies, and the quality of the final transport and logistics service. The implementation of competitive advantages in transport and logistics services can be achieved by increasing the value of the comprehensive quality indicator, subject to certain conditions. Practical implications.The obtained results can be applied in the railway transportation system, as well as in the work of operator and transport and logistics companies.

The banking industry is essential to the economic progress of a country, because it facilitates investments, mobilizes funds, and offers financial services to a wide range of stakeholders. Private sector banks (PVBs) and public sector banks (PSBs) in India have quite different growth plans, service offerings, and operational methods. The profitability, financial performance, and customer satisfaction of HDFC Bank and the State Bank of India (SBI) are compared in this study for the fiscal years 2016–2025. Using both, primary data from structured SERVQUAL-based questionnaire (through Google Form) filled by 537 customers in Lucknow district of both SBI and HDFC Bank and secondary data from annual reports, RBI publications, and financial databases, a descriptive and comparative research design was used. Financial Performance and Profitability measurements were examined with important financial statistics, such as Return on Equity (ROE), Return on Assets (ROA), Net Interest Margin (NIM), Cost-to-Income Ratio, and Non-Performing Asset (NPA) ratios. The results show that HDFC Bank exhibits better growth rates, operational efficiency, and customer satisfaction, while SBI continues to dominate in terms of absolute asset size, deposits, and branch network. A comprehensive knowledge of how ownership structure, strategic focus, and customer-centric practices affect performance outcomes is possible through the integration of financial and service quality characteristics. By bridging the gap between financial and non-financial performance evaluation in Indian banking, the study adds to the body of existing work.