Abstract
The aim of this paper is to improve the process of physical distribution of consumer goods in the Western Balkans region through defining and analyzing key indicators of physical distribution. Theoretical research identified the most important indicators that affect physical distribution, such as: transport costs, quality of delivery, condition of vehicles, customer relations, and institutional/regulatory factors. The empirical study was conducted on a sample of 166 respondents in the distribution centers and transport companies and 146 end customers. Multiple regression analysis defined the individual contribution of each of these indicators to the process of physical distribution of goods. A comparison of results between the Western Balkan countries that are EU member states and those that are non-EU countries showed statistically significant differences in the impact of these indicators. Based on the obtained results, a model of physical distribution of consumer goods was presented. The results show to managements of distribution centers and transport companies which indicators should be developed to ensure timely and complete delivery of goods according to the 7P concept and thereby create a base of satisfied and loyal end users of transport services. Recommendations for future research are provided in the paper.
References
Gereffi G, Humphrey J, Kaplinsky R, Sturgeon TJ. Introduction: Globalisation, Value Chains and Development. IDS Bulletin. 2001; 32(3): 1-8. doi: 10.1111/j.1759-5436.2001.mp32003001.x
Tseng Y, Yue W, Taylor M. The role of transportation in logistics chain. Proceedings of the Eastern Asia Society for Transportation Studies. 2005; 5: 1657-1672.
Eckhardta J, Rantalab J. The role of intelligent logistics centres in a multimodal and cost-effective transport system. Procedia – Social and Behavioral Sciences. 2012; 48: 612-621. doi: 10.1016/j.sbspro.2012.06.1039.
Manders JHM,. Caniëls MCJ, Ghijsen PWT. Exploring supply chain flexibility in a FMCG food supply chain. Journal of Purchasing and Supply Management. 2016; 22(3): 181-195. doi: 10.1016/j.pursup.2016.06.001.
Rodrigues VS, Stantchev D, Potter A, Naim M, Whiteing A. Establishing a transport operation focused uncertainty model for the supply chain. International Journal of Physical Distribution & Logistics Management. 2008; 38(5): 388 - 411. doi: 10.1108/09600030810882807
Mason R, Chandra Lalwani C, Boughton R. Combining vertical and horizontal collaboration for transport optimisation. Supply Chain Management: An International Journal. 2007; 12(3): 187-199. doi: 10.1108/13598540710742509.
Higgins CD, Ferguson M, Kanaroglou PS. Varieties of Logistics Centres: Developing a Standardized Typology and Hierarchy. TRB 2012 Annual Meeting. 2012; 1-20.
Grundey D, Rimienė K. Logistics Centre Concept through Evolution and Definition. Engineering Economics. 2007; 54(4): 87-95.
Waters D. Logistics: an Introduction to Supply Chain Management. Basingstoke; New York: Palgrave Macmillan, 2003.
Končar J, Leković S. The multichannel strategies in terms of internationalization of retailers. The Annals of the Faculty of Economics in Subotica. 2015; 51(33): 361-371.
Hesse M, Rodrigue JP. The transport geography of logistics and freight distribution. Journal of Transport Geography. 2004; 12(3): 171-184. doi: 10.1016/j.jtrangeo.2003.12.004
Quak H. Sustainability of Urban Freight Transport: Retail Distribution and Local Regulations in Cities. ERIM Ph.D. Series Research in Management. Erasmus Research Institute of Management, 2008.
Bourlakis MA, Bourlakis CA. Deliberate and emergent logistics strategies in food retailing: a case study of the Greek multiple food retail sector. Supply Chain Management: An International Journal. 2001; 6(4): 189 – 200. doi: 10.1108/13598540110402728.
Jean-Francois A, Gaël R, Jean-Francois M. The Cost of Being Landlocked: Logistics Costs and Supply Chain Reliability. World Bank Policy Research Working Paper No. 4258, 2007. Available at SSRN: https://ssrn.com/abstract=995079.
Abad PL, Aggarwal V. Incorporating transport cost in the lot size and pricing decisions with downward sloping demand. International Journal of Production Economics. 2006; 103(2): 893-894. doi: 10.1016/j.ijpe.2003.12.008.
Stanley LL, Wisner JD. Service quality along the supply chain: implications for purchasing. Service quality along the supply chain: implications for purchasing. 2001; 19(3): 287-306. doi: 10.1016/S0272-6963(00)00052-8.
McKinnot AC, Ge Y. Use of a synchronised vehicle audit to determine opportunities for improving transport efficiency in a supply chain. International Journal of Logistics Research and Applications. 2004; 7(3): 219-238. doi: 10.1080/13675560412331298473.
Liao CJ, Lin Y, Shih SC. Vehicle routing with cross-docking in the supply chain. Expert Systems with Applications. 2010; 37(10): 6868-6873. doi: 10.1016/j.eswa.2010.03.035.
Kač SM, Gorenak I, Potočan V. Influence of Relationship Commitment and Trust on Collaborative Behaviour in Supply Chains. PROMET - Traffic&Transportation. 2015; 27(1): 77-84. doi: 10.7307/ptt.v27i1.1575.
Cai S, Jun M, Yang Z. Implementing supply chain information integration in China: The role of institutional forces and trust. Journal of Operations Management. 2010; 28(3): 257-268. doi: 10.1016/j.jom.2009.11.005.
Sullivan M. Statistics: Informed Decisions Using Data. New Jersey: Pearson Prentice Hall, 2007.
McKinnon AC, Button KJ, Nijkamp P. Transport Logistics. Cheltenham Glos: Edward Elgar Publishing Ltd, 2002.