Logistics performance system and their impact on economic corridors: a developing economy perspective
Industrial Management & Data Systems
ISSN: 0263-5577
Article publication date: 25 December 2023
Issue publication date: 16 February 2024
Abstract
Purpose
This study aims to investigate the various systems in logistics industry of Pakistan through the lens of the World Bank's logistics performance indicators (LPI) and understand their impact on the China–Pakistan economic corridor (CPEC) that is a vital part of China's belt and road initiative (BRI).
Design/methodology/approach
In this study thematic analysis was performed on twenty-three semi-structured interviews with experts in Pakistan's logistics and supply chain sector to gain an in-depth insight into the logistics performance relative to CPEC.
Findings
A performance gap exists in the logistics systems in Pakistan, both for hard and soft infrastructure. The significant challenges are the inefficiencies of the government, minimal use of information and computing technology (ICT), and an incapable workforce. It is essential to be cognizant of the ground realities and amendments required in the existing policies and practices in light of the challenges faced and best practices adopted by developed and developing countries with good standing in logistics performance. This study will guide policymakers and practitioners for hard and soft logistics infrastructure improvement, which may benefit economic corridors in general and CPEC in particular.
Originality/value
This study contributes to the existing literature by highlighting the role of ICT in improving both soft and hard logistics infrastructure, which can lead to significant development of economic corridors. The study makes use of a case study of the CPEC to demonstrate the lack of ICT can hamper the growth of an economic corridor despite billions of dollars of investment in the hard infrastructure development projects.
Keywords
Acknowledgements
This work is supported by The Hong Kong Polytechnic University, Hong Kong, under the Project ID: G-UARL.
Since submission of this article, the following authors have updated their affiliations: Muhammad Saleem Sumbal is at Department of HR and Management, Nust Business School, National University of Sciences and Technology, Islamabad, Pakistan and Mujtaba Hassan Agha is at Department of Business Management, Entrepreneurship and Finance, Royal Docks School of Business and Law, University of East London, London, UK.
Citation
Sumbal, M.S., Agha, M.H., Nisar, A. and Chan, F.T.S. (2024), "Logistics performance system and their impact on economic corridors: a developing economy perspective", Industrial Management & Data Systems, Vol. 124 No. 3, pp. 1005-1025. https://doi.org/10.1108/IMDS-03-2023-0151
Publisher
:Emerald Publishing Limited
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