Logistics Performance Index Research Articles

Investigating the effects of COVID-19 and public health expenditure on global supply chain operations: an empirical study

This fresh examination was a thought-provoking area that was required to be undertaken and to fill this gap, the researchers have examined the impact of Covid-19 and health expenditure on the global supply chain by utilizing balanced panel data for the period from January 2020 to June 2020. This study utilized a random effect, fixed effect, GMM, and FGLS approach. The outcomes of COVID-19 demonstrate a significant negative influence as per the FGLS model, whereas the health expenditure demonstrates a significant negative effect on the global supply chain under both the dynamic models i.e. GMM and FGLS. As far as manufacturing value-added is concerned it indicates a positive and significant influence on the global supply chain according to the FGLS model whereas, last but not least the logistics performance index has a significant positive effect on the global supply chain according to the results of GMM and FGLS models respectively. The global supply chain is the lifeline for the global economy; thus, it is suggested that under COVID-19 pandemic situation policymakers need to react quickly and take suitable policy actions to deal with this unprecedented pandemic driven economic crises and further the cross-border trading activities should not be stopped, rather governments should formulate smart lockdown strategies.

Features of Logistics Development in the BRICS countries

Research background: Brazil, Russia, India, China, as well as South Africa (BRICS) have such economic potential that, according to the expert community, by 2050 they may become the dominant economies of the world. The aim of the scientific contribution is to analyze the BRICS countries about Logistics Performance Index (LPI). Purpose of the article: Using the diagnostic matrix method, the analysis of the logistics development of the BRICS countries according to the estimates presented above makes it possible to characterize them according to each criterion, as well as to form a general characteristic. In addition, it is necessary to calculate the delta of the indicator for each criterion for each country for the selected study period. Methods: We suggest using the Logistics Performance Index (LPI) and Emerging Market Logistics Index (EMLI) ratings as an information base for analyzing the logistics development of the BRICS countries. The LPI rating is calculated every two years by the World Bank, which, together with the University of Turku, developed it in 2007. Findings & Value added: As the analysis has shown, even within the framework of integration groups, such as the BRICS, the level of logistics development is quite different. The undisputed leader according to LPI is China, which bypasses other countries of the grouping not only in terms of the level of infrastructure development, in which some of the world's largest financial investments are made, but also in the quality of logistics services, customs and border clearance, organization of international transport, cargo tracking. timeliness of their delivery.

ПІДХОДИ ДО ОЦІНКИ ЕФЕКТИВНОСТІ ФУНКЦІОНУВАННЯ ТРАНСПОРТНОЇ ІНФРАСТРУКТУРИ УКРАЇНИ

The article considers the essence and components of transport infrastructure, there were analyzed the dynamics of passenger and freight turnover for all modes of transport, and identified favorable and unfavorable factors influencing the domestic transport infrastructure. Thus, in the period 2015–2020, the dynamics of freight and passenger traffic of all modes of transport differed significantly. The data of 2020 have undergone special changes due to the impact of the COVID-19 coronavirus pandemic. Different approaches to assessing the efficiency of transport infrastructure were considered: Logistics Performance Index (LPI – Logistics Performance Index), Global Competitiveness Index (GCI), Global Infrastructure Index, Infrastructure Index of Ukraine. The first two indices are calculated by international organizations. The Global Infrastructure Index has been proposed by a team of scientists, but is not calculated on an ongoing basis. The last approach, which provides for the calculation of the Infrastructure Index of Ukraine, was proposed only in 2020, so it takes into account indicators only for 2020 and does not provide for the reflection of changes in this index in the dynamics. The results of evaluation of these indices for the transport infrastructure of Ukraine were analyzed. Summarizing the results of the evaluation of the efficiency of the transport infrastructure of Ukraine, it currently demonstrates an average level of efficiency. A comparative analysis of these approaches was carried out. Thus, some approaches are assessing the infrastructure of the country as a whole, paying little attention to its transport component. Other approaches evaluate more than once every few years, which does not always take into account the current situation, which is changing rapidly. It was concluded that it is necessary to develop a single methodology for assessing the effectiveness of transport infrastructure, which would be consistent with international approaches and provide an opportunity to constantly monitor (annually) the dynamics of changes in transport infrastructure.

Exploring National Culture Impact on Logistics Performance

Abstract The increased logistics complexity due to supply chain globalization requires deeper understanding of a country's logistics performance. This performance is usually captured through infrastructure, services, and procedure elements and is understood in operational and economical terms. This exploratory research adds a social view to understand logistics performance variation across countries through focusing on their national culture dimensions. Using secondary data from the international Logistics Performance Index (LPI) report as well as the scores from Hofstede national culture dimension surveys, the impact of national culture on logistics performance was explored. Statistical results showed Power Distance and Uncertainty Avoidance dimensions were found to have a negative correlation with LPI while Individualism as well as Long-Term Orientation were both positively correlated to LPI. This cultural understanding adds to the growing social literature research on logistics performance and can guide logistics managers in their decisions regarding where and when to locate their resources.

ПОТЕНЦІАЛ ТА ПЕРСПЕКТИВИ РОЗВИТКУ ТРАСПОРТНОЇ ГАЛУЗІ УКРАЇНИ

In the article considered the current state of the transport industry of Ukraine. The existing strategic direction of development of the transport industry is analyzed on the basis of the document "National Transport Strategy of Ukraine for the period up to 2030". Determined main measures and directions of strategic development of the transport sector of Ukraine. Analyzed world recognition of the transport industry of Ukraine on the basis of the logistics efficiency index (LPI - logistics performance index) of the World Bank. Carried out analysis of the LPI indicator and its elements influencing the calculated value of the logistics efficiency index. The effective values of the logistics efficiency index and its elements are grouped according to the research conducted in 2007, 2010, 2012, 2014, 2016, and 2018 in relation to Ukraine. Researched index of logistics efficiency as a tool for measuring the rating position of the transport industry development among the world countries. Identified main directions and prospects of development of the transport sector of Ukraine in order to achieve the goals in accordance with the strategic document for the development of the transport sector of Ukraine "National Transport Strategy of Ukraine for the period up to 2030". A methodological approach to the statistical calculation of the Logistics Performance Index and its application as an adequate tool for measuring the level of logistics development in different countries is proposed by the World Bank. Increasing the efficiency and competitiveness of the transport sector is an important element for improving the legal mechanism of public-private partnership, strengthening cooperation between the state and the private sector, public authorities, and local governments, carrying out necessary reforms, including decentralization, especially through coordinated initiatives of state policy. Implementation of the National Transport Strategy of Ukraine for the period up to 2030 will provide a solid foundation for sustainable development of the transport sector and the creation of a free and competitive market for transport services.

Exploring the logistics performance index -a comparison of India's lpi statistics with other countries

Logistics Performance Index is an interactive benchmarking tool created to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance. LPI is a set of indicators that measure the performance of the logistics environment of countries on several logistics dimensions. There are two perspectives for LPI - international and domestic. This article describes the conceptual framework of Logistics Performance Index and throws light into India's domestic LPI data as on 2014. Germany and Netherlands are the most efficient and highest ranked LPI countries. LPI overall score reflects perceptions of a country's logistics based on efficiency of customs clearance process, quality of trade- and transport-related infrastructure, ease of arranging competitively priced shipments, quality of logistics services, ability to track and trace consignments, and frequency with which shipments reach the consignee within the scheduled time. The index ranges from 1 to 5, with a higher score representing better performance. The article also analyses the cross country comparisons of LPI scores of India in 2014 according to World Bank statistics.

Analyzing the Railway Network of the Belt and Road Initiative

Rail freight has exhibited significant growth within the last decade between Asia and Europe, especially after the announcement of China’s Belt and Road Initiative in 2013, which consists of seaborne and land routes. Within the latter one, this paper focuses on the railroad network that consists of six major corridors. Using the software AnyLogic (Version 8), we give a macroscopic model designed as a GIS-based discrete-event model of rail freight from China to Germany under existing border control point capacities, eventually providing a general overview toward the classification of different routes and countries and later ranking them according to their criticality index. This criticality index is computed as a product of time variance and the Logistics Performance Index. The former is obtained through various scenario analyses within the paradigm of shortest route and current border control points having constant capacity, but variable number of trains per day. In an attempt to understand the network under stress, the results obtained from this study also establish the need to increase the processing capacity at border control points to maximize the utilizability of this transcontinental railway network. The results show that lower capacity at border control points leads to higher time for trains to reach their destination. Stakeholders who are actively seeking to expand their Belt and Road Initiative investment or using rail transportation may understand when the network would reach peak performance and what measures could help to accomplish its maximum efficiency.

Improving the position of the logistics performance index of Uzbekistan

The purpose of this article is to propose ways to improve Uzbekistan's position in the World Bank Logistics Performance Index. The logistics performance indicator is based on a global survey of logistics specialists who may have a subjective approach to logistics systems of different countries, which leads to a potential rating. According to the account adopted by the Republic of Uzbekistan in 2018, the index is 2.58. According to the analysis, the highest DL (20.0%) was the score received for organizing the timely delivery of goods. The lowest DL was the assessment of the work of customs authorities (13.5%). Specific problems had been identified, and recommendations had been made to improve Uzbekistan's status. These include the effectiveness of the customs clearance process, quality of infrastructure; ease of international transport and competitive prices; staff qualifications and quality of services; Timely delivery of material flows in the procurement process.

Efficiency of scale of logistics in the production of the world’s countries (2007-2018)

Logistics is an important factor in global production. However, this does not mean that we know the impact of logistics on production and its efficiency in the short and long term.The content of the paper reflects the results of research conducted on the contribution of logistics to the scale efficiency of the world’s countries.This research uses a production function of the type proposed by Mankiw et al. (1992) to study the effect of logistics on scale efficiency through data envelopment analysis (DEA) for one hundred and thirty-three countries in the world during the period 2007-2018. This research establishes that logistics is an important channel for improving scale efficiency for the countries of the world in view of the estimation results. This research contributes to the literature by estimating the contribution of each of the components of the Logistics Performance Index (LPI), developed by the World Bank, to scale efficiency.The results highlight the significant impact of logistics on global efficiency. Available World Bank data show that a 1% increase in the logistics performance index increases the current global level of the efficiency scale by 0.42%.

ОПТИМИЗАЦИЯ ЛОГИСТИКИ ТРАНСПОРТНОЙ СФЕРЫ ОСОБОЙ ЭКОНОМИЧЕСКОЙ ЗОНЫ КАК ДРАЙВЕР ЕЕ РАЗВИТИЯ

Attracting investments into the country’s economy is one of the priorities for any state. Investments contribute to economic development, technological progress, professional development, information exchange and other factors that improve the socio-economic life of the state. To attract foreign investors, countries use various instruments, one of which is special economic zones or free economic zones). Today, SEZs play an important role in the development of many countries, including Russia. The article examines the impact of logistics on the development of a special economic zone. As you know, a special economic zone is a territory to which the state has granted a special legal status and economic benefits, but without effective logistics, the work of residents of the zone is not possible. The activities of SEZs in the Russian Federation are regulated by Federal Law No. 116-FZ of July 22, 2005 “On Special Economic Zones in the Russian Federation”. It is necessary to strategically manage supply chains with access to international organizational interaction of both individual participants and the special economic zone as a whole. Logistics special economic zones are important for the state primarily as a basis for generating cargo flows within the country, as well as for creating an integrated network of transport and logistics complexes. The article discusses the criteria determining the effectiveness of logistics Logistics Performance Index (LPI) both at the level of countries and at the level of individual territories and the special economic zone, and also confirmed the hypothesis about the possibility of using the Logistics Performance Index modeling system to assess the prospects for the development of the territory of the special economic zone.

LPI & COVID-19 RESTRICTIONS WITHIN BELT AND ROAD INITIATIVE IMPLEMENTATION

The article considers the peculiarities of the BRI project development and changes in its implementation policy taking into account the COVID-19 pandemic and the corresponding quarantine restrictions. The role of logistics infrastructure and indicators that provides the level of its development in certain countries in the process of BRI project implementation are highlighted. The analysis of predictions regarding the level of impact of infrastructural changes on the level of employment, welfare and economy of the territories where the BRI project will be implemented has been carried out. The key elements of bottlenecks in the railway connection between the EU and China are highlighted. The main factors that impair the efficiency of railway customs have been identified, which includes: technological and qualitative nature. It is suggested to use a combination of GCI (Global Connectedness Index), LPI (Logistics Performance Index) and AEMLI (Agility Emerging Markets Logistics Index) to establish the level of logistics infrastructure of a particular country. The allocation of key infrastructure performance indicators in general and logistics indicators in particular will take into account the potential risks of project implementation, reduce non-strategic investments, increase the investments rate of return on the project, provide a greater effect of scale.

THE CURRENT STATE OF TRANSPORT INFRASTRUCTURE IN THE REPUBLIC OF KAZAKHSTAN

The article discusses the development of transport infrastructure in the Republic of Kazakhstan. This topic is especially relevant to our country with the huge territory and irregular allocation of resources and population. The article analyzes the main indicators of transport infrastructure development, which made it possible to assess its current state. The state of infrastructure is also reflected to the international rankings of the country's competitiveness, so the authors analyzed the World Economic Forum's Global Competitiveness Index by the Infrastructure factor and the World Bank's Logistics Performance Index. Based on the PESTLE analysis, the key environmental factors influencing the functioning and development of the transport industry in Kazakhstan were identified. These facts indicate the need to further improve the policy of transport and infrastructure development of Kazakhstan and develop more effective mechanisms for its implementation.

ЛОГІСТИКА ЯК ЧИННИК ЗАБЕЗПЕЧЕННЯ КОНКУРЕНТОСПРОМОЖНОСТІ УКРАЇНИ У СФЕРІ ЗОВНІШНЬОЕКОНОМІЧНОЇ ДІЯЛЬНОСТІ

The dynamics of the level of global competitiveness of Ukraine according to the rating of the World Economic Forum is studied. Analysis of these trends shows a relatively low rating level of our country in the global dimension. The components of the Global Competitiveness Index of the national economy are analyzed and it is revealed that the main regression can be traced in the sphere of financial systems and healthcare. Instead, the country's position on the criteria of «goods market», «labor market» and «institutional development» is significantly improving. The current state and structure of Ukraine's foreign trade are revealed. It was found that the volumes of exports and imports of goods and services of Ukraine tend to decrease. It is noted that the weak link in Ukraine's foreign trade is the structure of exports, in which most of the raw materials and primary products. It is noted that Ukraine's logistics system is progressing. This is clearly demonstrated by the dynamics of the national Logistics Performance Index (LPI). In 2018, Ukraine ranks 66th among 160 countries in terms of the efficiency of the logistics system. The value of the LPI in 2018 is 2.83 points. The most developed component of the domestic logistics system is the timeliness (3.42), and the least developed –infrastructure (2.22). Ways to increase Ukraine's competitiveness in the field of foreign economic activity through the efficient use of logistics are considered. A set of measures to optimize the logistics of Ukraine's foreign trade is proposed, which should be aimed at unification of national legislation, harmonization of transport and logistics infrastructure so that it has common technical parameters and ensures the use of a single technology of international delivery. The proposed recommendations for the development of national logistics infrastructure are aimed at ensuring the competitiveness of national logistics operators at the international level, improving the efficiency of export-import operations, increasing the level of national competitiveness of Ukraine.

The assessment of the logistics performance index of cee countries with the new combination of sv and mabac methods

The assessment of the logistics performance index of cee countries with the new combination of sv and mabac methods

G-7 ve E-7 Ülkelerinde Lojistik Performans, Ekonomik Büyüme ve Finansal Gelişme İlişkisi

Logistics refers to the processes such as transportation, storage, customs clearance, packaging, distribution of a product from the first manufacturer to the end consumer. The logistics sector, whose importance is increasing day by day with globalization, plays an important role in the development of countries. Especially today, the increasing international trade activities between countries have increased the importance of the logistics sector. The logistics sector also plays an important role in the developing industry and the transportation of raw materials required for this (iron, steel, petroleum, etc.). The aim of this study is to analyze the relationship between logistics performance, economic growth and financial development econometric for E-7 countries and G-7 countries for the period 2007-2018. For this purpose, a total of four models related to E-7 countries and G-7 countries were established, and the long-term relationship and long-term coefficients were examined in the models. According to the findings; It is determined that there is no long term relationship between financial development and logistics performance index for E-7 countries. In G-7 countries, due to the high financial depth, it has been determined that there is a long-term relationship between financial development and logistics performance, but the long-term relationship coefficient is statistically insignificant. It has been determined that there is a long term relationship between economic growth and logistics performance for both G-7 countries and E-7 countries. However, the long-term relationship coefficient for E-7 countries was statistically insignificant, whereas the logistics performance index positively affected economic growth in G-7 countries. In this context, it should be kept in mind that from a policy perspective, investment in logistics infrastructure will be the most beneficial investment that can have high returns for future economic growth and financial growth in countries. Therefore, it is essential for the economic growth and financial development that policy makers give due importance to the issue of logistics and develop the necessary policies.

OVERVIEW – ISSUES AND CHALLENGES FOR FREIGHT LOGISTICS INDUSTRY IN MALAYSIA

In Malaysia, majority of the freight logistics companies has placed priority in enhancing their operational performances and its sustainable competitiveness. Ten (10) preliminary face-to-face interviews have been conducted. The informants have been selected based on the researcher’s network using the snowballing techniques. The purpose of this paper intents to review the issues and challenges faced by freight logistics companies in Malaysia: Logistics Performance Index, Container Deposits Payment, Freight Logistics Workforce and Employment Compensation, Logistic Social Responsibility. The researchers have conveyed these 4 issues and challenges influencing the freight logistics operational performances in Malaysia. The freight logistics risks management model has provided a base for the future researcher in examining the relevant relationships empirically.

Freight Transport Service on International Trade with Its Implication for Global Competitiveness

Freight transportation is the process of conveying different types of goods from one point to another using a variety of transport modes. The main objective of this study was to assess the fright transport service on international trade with its implications for global competitiveness. A descriptive followed by a longitudinal research design was used. Secondary data were collected from international organizations policy, standards documents, and annual reports for the year 2007-2018 by using the two indexing systems. Moreover, a quantitative research approach had been used. The data were entered, manipulated, organized, and analyzed using Excel and SPSS. Both descriptive and inferential analyses were used to examine the extent of fright transport service and its implications on global competitiveness and the interrelationship between international trade and freight transport service with its implication on global competitiveness. According to the result, European countries highly dominated the top 10 world rank logistic performance. Therefore, these countries were devoted to providing maximum efficiency and commitments on the Six Logistics Performance Index (LPI) as well as 12 pillars of GCI pillars than the others. Besides both, LPI and GCI were linearly associated with each other except for the 2016 fiscal year. This improved that tread and logistic services had an association.

Does bureaucracy affect the outcome of logistics performance? Empirical evidence from South Asia

PurposeThe purpose of this paper is to develop and test theory-driven hypothesis on trade costs’ effect of logistics performance (LP) and bureaucratic efficiency, primarily from SAARC (South Asian Association for Regional Cooperation) perspective.Design/methodology/approachThe paper develops hypothesis based on the review of the literature and theory linking LP, trade costs and institutions. The authors test the hypothesis using secondary data sources: World Bank-UNESCAP trade costs database, World Bank Logistics Performance Index (LPI) and Political Risk Service's Political Risk Rating. Fixed-effect approach is used to test the hypothesis.FindingsThe influential role of bureaucratic quality on relationship between LPI and South Asian trade costs (inter-SAARC and intra-SAARC) is evident. The results also point out that bureaucratic quality also conditions the effect of different dimensions of LPI on South Asian trade costs. Further, it is found that bureaucratic inefficiency mitigates the effects of LPI on South Asia's trade costs with its proximate trading partners APEC (Asia–Pacific Economic Cooperation) and ASEAN (Association of Southeast Asia Nations).Research limitations/implicationsThe analysis is conducted using short span of data. With the availability of long span of data, the understanding of the relationship studies in this paper will improve.Practical implicationsThe results suggests policymakers to improve bureaucratic efficiency for utilizing the full potential effect of LPI in deceasing trade costs. The study inspires businesses to act and advocate in favor of reforms in governance system.Originality/valueThis paper is among the first, which investigates the possibility that the relationship between LPI and trade costs depends on the bureaucratic efficiency. It provides a more detailed description of the LPI-trade costs relationship.

Design of Conceptual Framework for Measuring Operational Performance of Third-Party Logistics

Abstract— The logistics business is expected to soar significantly, for which will reach 30 percent by 2020, driven by the growth of transaction of e-commerce. This growth, indeed, requires an apparent concern from the transporter logistics to continuously enhance their performance. On the other hand, the performance of logistics transporters will provide a positive contribution to the increase of LPI (Logistics Performance Index) score of Indonesia. Thus, the development of performance measurement systems is necessary to maintain the competitiveness level of logistic actors. This study provides a comprehensive overview of performance measurement systems in regard to the 3PL (third party logistics) companies. The goal of this study is to develop such a conceptual framework that portrays the essential elements necessary to take into account when implementing performance monitoring system to the 3PL companies. The conceptual framework is established using grounded-theory approach which comprises of four main steps: collecting and mapping data sources, categorizing the data, identifying and naming concepts, and establishing a conceptual model. The framework itself, is constructed into two main stages: 1) developing KPIs, 2) measuring the performance. To exhibit the applicability of the proposed approach, a numerical experiment is provided. This research has two main contributions. First, the study fills the theoretical gap pertaining to the concept of performance assessment systems in case of 3PL companies. Second, in practical view the proposed conceptual framework contributes to the academia by describing the basis of establishing performance monitoring as well as to the practitioners who wish to better measure performance in the transporter logistics.

LOGISTIC PERFORMANCE INDEX OF OECD MEMBERS

Logistics Performance Index (LPI) values of the countries are considered in order to show the development levels of the countries' logistics infrastructure. In this study, the LPI values of the next period were calculated by considering the current LPI values of OECD members. Estimation series method was developed by using nonlinear equations for this study. The estimation data differed according to the degree of reliability of the equations. Estimated LPI data ranged from 2.869 to 4.206 with an average value of 3.611 based on equations. According to developed method of the study, the maximum value of LPI was estimated for Sweden, while the lowest value of LPI was determined for Slovenia among the members of OECD. In brief, a significant decrease in the estimated LPI values was observed in the majority of OECD members.