Information technology has been among the foremost topics within the logistics literature of recent years. However, there has been little empirical evidence relating logistics information system (LIS) capabilities to logistics competence. Seeks to close this gap in the research, identify particular LIS capabilities that contribute most to logistics competence, and develop an understanding of the relationship between LIS development strategy and logistics competence. A review of the LIS literature identifies relevant issues. The research findings suggest four conclusions: world class firms perceive both their logistics operating and planning systems as highly capable; internally controlled characteristics generally receive higher evaluations than criteria requiring external co‐ordination; overall logistics competence is primarily influenced by logistics operating timeliness, usage driven formatting, and flexibility; and LIS development strategy does not significantly influence performance evaluations.

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Logistics has emerged as a subject of considerable interest in the wake of American transport deregulation, European unification efforts, global supply chain management concepts, and growth in regional trading blocs. Traditionally viewed as a cost centre it is now fashionable to speak of logistics in a strategic context -an element of possible advantage in an increasingly competitive international trading environment. Embedded in this view of logistics is the idea of logistics strategy.To date, work in this area has been primarily conducted in the USA and

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In todays business environment outsourcing attracts considerable attention. The general rationale is that anything that is not a core competency of the firm is a candidate for outsourcing. The touted benefits are generally considered to be substantial cost savings, better productivity and more strategic use of scarce resources within the firm. In contrast, vertical integration has to some degree come to be viewed somewhat negatively the argument being that no single firm in todays competitive environment can possibly or should manage an extended enterprise. But as this series of case studies show, some firms are flourishing by going against prevailing logic and vertically integrating their supply chains.