Proximity matters: synergies through co-location of logistics establishments

Heuvel, van den Fp Frank; Langen, de Pw Peter; Donselaar, van Karel Karel; Fransoo, JC Jan

doi:10.1080/13675567.2013.870141

Cited by 29 publications

(16 citation statements)

References 70 publications

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“…The few empirical studies on logistics clustering have been from the perspective of logistics service providers (Hylton and Ross, 2018; van den Heuvel et al , 2014; Rivera, Gligor and Sheffi, 2016; Subramanian et al , 2016). For example, Subramanian et al (2016) studied the role of fourth-party logistics providers in leveraging industrial cluster competiveness.…”

Section: Literature Reviewmentioning

confidence: 99%

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The influence of logistics clustering on distribution capabilities: a qualitative study

Abushaikha

2018

IJRDM

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Purpose The purpose of this paper is to explore why and how firms with logistics-intensive operations such as fast-moving consumer good (FMCG) distributors benefit from residing in logistics clusters. In particular, this study seeks to fill a gap in the understanding of how logistics clustering may influence FMCG firms’ distribution capabilities. Design/methodology/approach Three case studies of FMCG distributors geographically agglomerated within Q Logistics Cluster in Jordan serve to elaborate the existing theory of clustering. Data were collected from 24 interviews as well as observational evidence of the FMCG distributors’ outbound logistics operations. The unit of analysis was the interaction between FMCG distributors and other agents in the logistics cluster. Findings FMCG distributors tend to gravitate to clusters where logistics service providers and other FMCG firms co-locate. FMCG distributors interact intensively and benefit greatly from building ties with non-competitor distributors in a cluster. Informal personal relations, collaborative activities and knowledge sharing, learning opportunities and resource availability were found to act as mechanisms for generating distribution capabilities within a logistics cluster. Practical implications This study provides practical implications for FMCG logistics and distribution managers who make distribution centre (DC) location decisions. The study provides such managers and their firms with a deeper understanding of the importance of co-locating DCs in logistics clusters, and may help them in designing their supply networks. Originality/value This is the first scholarly work to uncover the various ways in which FMCG distributors benefit from logistics clustering and explain why they may differ in performance, building on observations of their capabilities. The study provides insight from an emerging market and encourages future researchers to conduct further studies on logistics clustering in order to bring relevant theory forward.

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Section: Literature Reviewmentioning

confidence: 99%

“…The few empirical studies on logistics clustering have been from the perspective of logistics service providers (Hylton and Ross, 2018; van den Heuvel et al , 2014; Subramanian et al , 2016), and did not focus on a particular industry. This study examines FMCG distributors co-located in a logistics cluster in an emerging economy.…”

Section: Introductionmentioning

confidence: 99%

The influence of logistics clustering on distribution capabilities: a qualitative study

Abushaikha

2018

IJRDM

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“…This is slightly different from the attention paid by LSPs in other countries to market penetration rates. [29][30][31][32][33][34] To promote efficiency, all enterprises hope to reduce their operating costs through HLC; however, Chinese LSPs pay more attention to non-core costs, pursue more comprehensive and detailed resource utilization, and focus on revitalizing assets. This can be attributed to the fact that the Chinese government has focused on cost reduction and efficiency increases in both macro and micro policies in recent years.…”

Section: Differences In Driving Forcesmentioning

confidence: 99%

What drives horizontal logistics collaboration? A grounded theory analysis of Chinese logistics service providers

et al. 2023

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Horizontal logistics collaboration is characterized by the highly professional cooperation of logistics service providers at the same level of the supply chain, which is an effective way to optimize the development and sustainability of modern logistics. Conducting a coding analysis of data from 41 in-depth interviews, this study constructs a theoretical framework of the driving force of horizontal logistics collaboration among Chinese logistics service providers to synchronously improve service, market, efficiency, and emergency competitiveness through cooperation with peer competitors to enhance sustainable comprehensive competitiveness. The four driving forces encourage logistics service providers to adjust their thoughts in the planning stage, change their behavior in the implementation stage, and transform their strategy in the evaluation stage. The results also indicate differences between China and other countries in the driving force, effective utilization of logistics workers, cross-institutional collaboration of state-owned enterprises, and integration of artificial intelligence technology. Finally, we propose relevant recommendations for managers.

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“…DC clusters were assembled in accessible locations not too close to major metropolitan regions, with cheap land and motorway access that allowed for serving the consumer markets within a reasonable amount of time (Hesse, ; Hesse, ). These agglomerations of DCs emerged as inland hubs, gathering together warehousing, transshipment, trucking, and air freight, often conceived of as freight clusters (Chhetri, Butcher, & Corbitt, ; Gouvernal, Lavaux‐Letilleul, & Slack, ; Hesse, ; Sheffi, ; Van den Heuvel, Langen, Donselaar, & Fransoo, ). Prominent cases have emerged for example in the Inland Empire in Southern California or in the Midwest of the U.S., such as Louisville, Kentucky, which Negrey, Osgood, and Goetzke () called the “distributive world city”; in the British midlands halfway to London and in the North; in the Netherlands or in Flanders, Belgium.…”

Section: Logistics In Spatial Contextsmentioning

confidence: 99%

Logistics: Situating flows in a spatial context

Heße

2020

Geography Compass

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The origins of logistics lie in military and imperial methods of expansion and control of geographical space. It is principally associated with the more recent contexts of business management and engineering. Logistics systems are now the conveyor belts of the global system of trade, commerce and production, and its associated techniques and strategies aim at optimizing flows and throughput within discrete units (such as firms), in economic networks and across geographical space. Because flows are important determinants for the development of places, logistics has the power to structure territories. Therefore, it has raised considerable interest in the field of geography, not only with regard to cities and their dense agglomeration of people, buildings, and infrastructure but also in geopolitical terms as it fosters the exploration, control, and surveillance of areas. The paper presents a critical account of logistics operations and their relevance for the making (and unmaking) of territories, related policy dimensions, and future challenges for research.

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Proximity matters: synergies through co-location of logistics establishments

Cited by 29 publications

References 70 publications

The influence of logistics clustering on distribution capabilities: a qualitative study

The influence of logistics clustering on distribution capabilities: a qualitative study

What drives horizontal logistics collaboration? A grounded theory analysis of Chinese logistics service providers

Logistics: Situating flows in a spatial context

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