The contribution of performance measurement to the expansion of third party logistics alliances in the supply chain

A special issue on performance measurement interfaces between operations and management control. Therefore, this paper brings together these fields in a specific study. In this paper the role of horizontal control mechanisms, performance measurement in particular, in the development of supply chain operations is assessed. Findings indicate that development of measurement systems contributes significantly to the expansion of third party logistics alliances in the supply chain. Leveraging the supply chain thus requires innovation iii measurement and control. A survey of logistics service suppliers is used to validate the general hypothesis. Cases of companies active in this field are then used to further generate in-depth insights into how horizontal control can be developed and which performance measurement mechanisms to consider.