Transportation, The Logistics Capability, Article Review

TRANSPORTATION ARTICLE REVIEW
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Date
Transportation Article Review
Article Reviewed:
Wen, Y. H. (2012). Impact of collaborative transportation management on logistics capability and competitive advantage for the carrier. Transportation Journal, 51(4), 452-473.
Review
The article reviewed highlights the use of collaborative transport management as a contemporary model to address efficiencies in supply chains’ transportation process. Empirically, this article analyses the impacts of CTM on competitive advantage and logistics capability on supply chain carriers. It also establishes the relationship between competitive advantage and logistics capabilities. The article presents factor analysis, framework test, and analytical results. The objective of this paper is to establish the best practices that can be used to improve transport function management.
It is clear from the abstract that this is a critical issue in the supply chain management sector. This is CTM is an important aspect of logistics as it is established through a collaboration between two most important parties in the supply chain department (p. 453). The carriers and traders create a mutual relationship that helps eliminate inefficiencies in distribution and improve the efficiency in supply chain. The article proves this through an empirical analysis of the practice, the competitive advantage, and the logistics capability of CTM and the relationship between these aspects (p. 468). Similarly, the article presents a positive relationship between the aspects.
Another influence of this article is that it identifies the key CTM factors through factor analysis. The article identifies relationship and information integration and collaborative planning which are positive practices of CTM (p. 463). The article also identifies some key logistics capabilities for carriers to be improved service and cost quality and customer service. Additionally, the CTM practice leads to improved internal operations of the trading partners and improved business productivity.
While the SEM results from the article show that CTM practice has positive impacts on the logistics capability as well as the competitive advantage of carriers, it also shows their logistics capability impact their competitive advantages positively. Such key competitive advantages realized by carriers are uncertainty control, cost leadership, and differentiation (p. 464). The analytical results also show that using CTM practice may improve logistics capability as well as the competitive advantage of the carriers. The results also show that the customers establish a better relationship with their customers under CTM...