Logistics Performance & Governance

Logistics Performance at firm, industry and national level

Logistic performance relates traditionally to cost and service level, but increasingly also to social and environmental sustainability. As a consequence, a good understanding of how essential Key Performance Indicators should be constructed and utilized is important.

We possess a deep knowledge of performance measurement from firm level to national and even global level, and can provide cost-effective advice and analysis on these.

More on our expertise in this field:

Global coverage (2018) Connecting to Compete 2018: Trade Logistics in the Global Economy, Logistics Performance Index (LPI) and its Indicators, The World Bank

Estimating the size of the national logistics market: A method to include both market-based demand and in-house services
T Solakivi, L Ojala, H Lorentz, J Töyli, S Laari – International Journal of Physical Distribution and Logistics Management, 2018 –
The size of the logistics market is typically estimated from the national accounting and market data. This paper develops a method for estimating the potential size of the logistics market in terms of overall logistics expenditure and to also account for in-house services.

Mexico (2016): Logistics Development Strategies and Performance Measurement

Turkey (2015): Drivers of Logistics Performance – A Case Study of Turkey; OECD / ITF

Finland (2012): Finnish Foreign Trade: Logistic Competitiveness and Needs for Development (Suomen ulkomaankaupan logistinen kilpailukyky ja kehittämistarpeet), Ministry of Transport and Communications

Logistiikkaselvitys 2018, T Solakivi, L Ojala et al. The biennial national Finnish logistics survey with approx. 2,000 to 3,000 firms responses analysed. Editions till 2016 available in the public domain also in English.

Supply chain perspective on competitive strategies and green supply chain management strategies
S Laari, J Töyli, L Ojala – Journal of Cleaner Production, 2017
Due to strategic motivations and pressures from various stakeholders, firms are adopting green supply chain management (GSCM) practices to extend environmental sustainability objectives to suppliers.

Firm performance and customer-driven green supply chain management
S Laari, J Töyli, T Solakivi, L Ojala – Journal of Cleaner Production, 2016.
Key points:

  • Effects of customer-driven GSCM practices on firm performance were identified.
  • PLS was used to test a sample of 119 Finnish manufacturing firms.
  • Manufacturers transfer environmental requirements upstream in the supply chain.
  • Internal GSCM linked with supplier monitoring enhances environmental performance.
  • Collaborative approach with customers is the key to improve financial performance.

Effects of geographic dispersion on intra-firm supply chain performance
T Solakivi, HM Hälinen, L Ojala – Supply Chain Management Journal, 2012
This article aims to quantify and analyse empirically how the geographic dispersion of a firm’s supply chain impacts on intra-firm supply chain performance.

Logistics outsourcing and company performance of SMEs: Evidence from 223 firms operating in Finland
J Töyli, J Engblom, L Ojala – Strategic Outsourcing: An International Journal, 2011 –
The paper explores the current state of and future expectations concerning the usage of the outsourcing of logistics operations in small-and medium-sized enterprises (SMEs), and to analyse and quantify the relationships between logistics outsourcing and firm performance.

Logistics Governance and Policymaking

On a policy level, logistics governance relates to how governments manage their role in the transport sector. This means, inter alia, what role the public sector assumes in the provision of logistics services in general, and how related Competent Authorities and Agencies are organized in particular.

Since the 1990s, Professor Lauri Ojala has worked as an expert for several International Financial Institutions (e.g. The World Bank, Asian Development Bank, African Development Bank, and Nordic Investment Bank) in Trade and Transport Facilitation projects in e.g. the Baltic States, Albania, all former states of the Soviet Union, Southern Africa, Greece, Western Balkans, and in Ukraine.

He has also had numerous expert assignments on logistics, transport and maritime policy issues for Ministries of Transport and related Agencies in e.g. Finland, the Netherlands, Denmark, Sweden, Latvia, Lithuania, Estonia, Italy, Turkey and Mexico.

Transport Facilitation projects, where Prof. Ojala has had a substantial role include, for example, the following:

Ukraine (2016-18): Sustainable Logistics Strategy 2030 and Action Plan for Ukraine

Western Balkans (2014-16): The Regional Balkans Infrastructure Study (REBIS) Update – ENHANCING REGIONAL CONNECTIVITY – Identifying Impediments and Priority Remedies, The World Bank and EU

Greece (2013-2015): Greek Logistics: Unlocking Growth Potential through Regulatory Reform and Complementary Measures, The World Bank

The Baltic Sea Region (2006-2009): Developing Regions through Spatial Planning and Logistics & ICT Competence

The Baltic States (2004): Transport sector restructuring in the Baltic States towards EU accession, The World Bank

Prof. Lauri Ojala is also engaged in several large projects on societal resiliency, such as:

Building European Communities’ Resilience and Social Capital (BuilDERS), a 5 M€ project during 2019-2022 funded by EU’s Horizon 2020 research programme, and

Critical flows and supply chains under threat of change (Kritiska flöden och försörjningskedjor under hot i förändring), a 2 M€ project during 2019-2021 funded by the Swedish Civil Contingencies Agency (MSB).