EXAMINING HOW LOGISTICS SERVICE PROVIDERS' ADAPTABILITY IMPACTS LOGISTICS OUTSOURCING PERFORMANCE, CUSTOMERS' SATISFACTION AND LOYALTY

Background: This article examines the adaptability of logistics services providers (LSPs), which has been relatively rarely tackled in the literature on supply chain management. We examined the impacts of LSPs' adaptability on logistics outsourcing performance, as well as on satisfaction and loyalty of their customers. Methods: We formulated specific research hypotheses and assessed them using structural equation. The data was obtained via IT survey of 110 companies using LSPs. Our analyses were conducted in the SPSS and R software packages. Results: Based on the estimated path coefficients from the structural equation model, we found evidence of a dependency between the adaptability of LSPs and their logistic services performance, as well as customer satisfaction and loyalty. Conclusions: Our results confirm the importance of adaptability for the development of logistics outsourcing relationships, primarily due to the strong direct impact of LSP adaptability on logistics services performance, as well as the impact of this factor on customer satisfaction and loyalty. Therefore, when struggling to improve relations with customers, LSPs should take adaptive actions that can enhance performance outcomes.