The Impact of Digital Transformation on the Micrologistic System, and the Open Innovation in Logistics

Nikolay Didenko,Eryk Kosinski,Djamilia Skripnuk,Olga Kalinina,Kseniia Kikkas

doi:10.3390/joitmc7020115

Abstract

This paper investigates the effects of digital production and information technologies on the development of logistic systems of different kinds: megalogistic, macrologistic, and micrologistic. The notions of a logistic system and types of logistic systems imply that logistics is considered in its broad sense as a modern methodology for managing all types of flows that appear in the process of socioeconomic activities of society and business: material, information, energy, financial and labor flows. The methodology discussed in this paper gives the answer to the question of what impact digital production and information technologies have on the development of various types of logistic systems. The methodology includes building a mathematical model in which the endogenous variables of the model reflect the resulting variables of the logistic system, while the exogenous variables reflect digital production and information technologies. The mathematical model is a system of interdependent dynamic econometric equations. Each equation is an autoregressive distributed lags model. In the model, the current values of an endogenous variable depend on their previous values, as well as on the current and previous values of other endogenous and exogenous variables. The novelty of the research is in the developed methodology for a comprehensive assessment of the impact made by digitalization on a totality of the interrelated and interdependent resulting indicators of the logistic system. A comprehensive assessment of the impact made by digitalization on a totality of interrelated and interdependent indicators of the logistic system is understood as a change in the indicators of the logistic system due to the effect of digitalization. The proposed methodology for a comprehensive assessment was empirically tested for Salesforce company.

Highlights

What is logistics? If we put it logistics is the science of minimizing the costs of human, material and other resources with the optimization of all processes.This paper considers logistics in its broad sense as a modern methodology for managing all types of flows that appear in the course of economic activities
At the end of the literature review, we present an analysis of sources showing the relationship between the subject of the article and the methodology for causal assessment of the impact of digital transformation on company performance
In this research we studied how digital transformation affects the indicators of a logistic system

Summary

Introduction

If we put it logistics is the science of minimizing the costs of human, material and other resources with the optimization of all processes. This paper considers logistics in its broad sense as a modern methodology for managing all types of flows that appear in the course of economic activities. Logistics as the science of flow management is a paradigm of doing business that implies, in contrast to previous approaches, general principles in relation to various types of flows: material, information, energy, financial and labor flows. To how Yun, Won, and Park [1] present today’s economy as three subeconomies, we model the modern economy in the form of the following types of logistic systems: megalogistic, macrologistic, and micrologistic systems. The types of logistic systems can be perceived as open innovation. Open innovation is a new innovative trend, which is being gradually accepted by large companies all over the

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Discussion

Conclusion