Performance measurement in horizontal LSP cooperation as a field of conflict: the preventive role of collaborative processes
Original Paper
First online: 18.04.2016
DOI: 10.1007/s12159-016-0134-y
Cite this article as: Wallenburg, C.M. & Schäffler, T. Logist. Res. (2016) 9: 7. doi:10.1007/s12159-016-0134-y
Abstract
Engaging in horizontal cooperation is a prevalent strategy of logistics service providers (LSPs) to deal with the challenges they are confronted with by today’s supply chain environment (e.g., complex and global supply chains, increased competition). These horizontal LSP alliances, for example, for providing a national less-than-truck-load network, are complex in nature and characterized by coopetition. This situation provides a fertile soil for conflict. The literature outlines that conflict, the experience that goals or interests are in opposition, emerges in areas of essential activities and that performance measurement is such an area. Yet, when these differences meet, they also become apparent and can potentially be eased. Against this background, we develop a theoretical model and test it with survey data from 193 horizontal LSP alliances. The results show that, in general, applying collaborative processes in the performance measurement reduces overall conflict in horizontal LSP cooperations. Further, based on resource dependency theory and social contract theory, this research identifies the power structure of the alliance as a relevant contingency factor and shows that joint action in PM is effective in reducing conflict in symmetrical power cooperations, while information sharing as less intense form of collaboration is effective in reducing conflict in asymmetrical power cooperations.
Keywords
Alliance management Logistics service provider Performance measurement Conflict Collaborative processes