Investigating the transformative effect of technological and service innovations on postal sector adaptability during the pandemic Disruption in India
DOI:
https://doi.org/10.5585/2024.26161Keywords:
innovation, customer satisfaction, logistics efficiency, postal sector, pandemic, disruptionAbstract
Purpose: This study aims to investigate the inventive adjustments that have been made to provide uninterrupted delivery services by the postal sector amidst the COVID-19 pandemic.
Design/methodology/approach: This is an empirical study on the primary data collected from 354 postal users who use the services during and after pandemic disruption. This study uses regression, partial least square structural modeling and correlation to find out the relationship between dependent and independent variables.
Originality/Value: This paper presents an empirical study that examines the determinants of innovation impacting customer satisfaction among postal users in India during the pandemic disruption, addressing the dearth of previous empirical research on the adaptability of the postal system in this context. The results of our study can help the postal sector create more effective strategies for utilizing cutting-edge logistics technology, enabling them to change into delivery service providers that are innovation-driven.
Findings: The postal sector incorporates both service and technological innovation. The study also includes the other two constructs of logistics efficiency and customer satisfaction. Both service and technological innovation have a significant impact on customer satisfaction; however, service innovation is found to be the reason behind the survivability of the postal sector during the pandemic disruptive environment. Logistics efficiency positively affects customer satisfaction. However, logistics efficiency partially mediates the relationship between innovation and customer satisfaction. Overall, postal customers' satisfaction improves when innovation and logistics efficiency are present.
Theoretical/methodological Contributions: This study connects innovation with logistics efficiency and customer satisfaction in the context of Indian postal system and their adaptability during COVID-19
Social/management Contributions: The impact of innovation on logistical efficiency and consumer perception can be better understood with the help of this study. This can then be used to formulate or adjust strategies to boost the India Post’s revenues and productivity.
Downloads
References
Abdallah, A. B., Phan, A. C., & Matsui, Y. (2016). Investigating the effects of managerial and technological innovations on operational performance and customer satisfaction of manufacturing companies. International Journal of Business Innovation and Research, 10(2/3), 153-183. https://doi.org/10.1504/ijbir.2016.074824
Abdallah, A. B., Phan, A. C., & Matsui, Y. (2016). Investigating the effects of managerial and technological innovations on operational performance and customer satisfaction of manufacturing companies. International Journal of Business Innovation and Research, 10(2-3), 153-183.
Alabboodi, A. S. (2019). The effect of customer satisfaction on service quality: The case of Iraqi banks. International Journal of Applied Research, 5(1), 146-152. https://www.researchgate.net/profile/Anas-Alabboodi-2/publication/330385389_The_effect_of_customer_satisfaction_on_service_quality_The_case_of_Iraqi_banks/links/5c3db92945851
a4c726f7c8/The-effect-of-customer-satisfaction-on-service-quality-The-case-of-Iraqi-banks.pdf
Awuku, E., Agyei, P. M. & Gonu E. (2023). Service innovation practices and customer loyalty in the telecommunication industry. PLoS ONE 18(3): e0282588. https://doi.org/10.1371/journal. pone.0282588
Bhattacharya, U., Hsu, P. H., Tian, X., & Xu, Y. (2017). What affects innovation more: Policy or policy uncertainty? Journal of Financial and Quantitative Analysis, 52(5), 1869–1901. https://doi.org/10.1017/ S0022109017000540
Boysen, N., Fedtke, S., & Schwerdfeger, S. (2021). Last-mile delivery concepts: a survey from an operational research perspective. OR Spectrum, 43(1), 1-58. https://doi.org/10.1007/s00291-020-00607-8
Busse, C., & Wallenburg, C. M. (2013). Firm-level innovation management at logistics service providers: an exploration. International Journal of Logistics Research and Applications, 17(5), 396–419. https://doi.org/10.1080/13675567.2013.871509
Cain, M. K., Zhang, Z., & Yuan, K. H. (2016). Univariate and multivariate skewness and kurtosis for measuring nonnormality: Prevalence, influence and estimation. Behavior Research Methods, 49(5), 1716–1735. https://doi.org/10.3758/s13428-016-0814-1
Chu, Z., Feng, B., & Lai, F. (2018). Logistics service innovation by third party logistics providers in China: Aligning guanxi and organizational structure. Transportation Research Part E: Logistics and Transportation Review, 118, 291-307.
Crew, M. A., & Brennan, T. J. (Eds.). (2015). Postal and delivery innovation in the digital economy (pp. 323-325). Springer International Publishing.
Cui, L., Ivan Su, S.-I., & Hertz, S. (2012). Logistics Innovation in China. Transportation Journal, 51 (1), 98–117. https://doi.org/10.5325/transportationj.51.1.0098
Dai, J., Che, W., Lim, J. J., & Shou, Y. (2020). Service innovation of cold chain logistics service providers: A multiple-case study in China. Industrial Marketing Management, 89, 143-156.
Daugherty, P. J., Chen, H., & Ferrin, B. G. (2011). Organizational structure and logistics service innovation. The International Journal of Logistics Management, 22 (1), 26–51. https://doi.org/10.1108/09574091111127543
Drejer IA (2002). Schumpeterian Perspective on Service Innovation. Danish Research Unit for Industrial Dynamics Working Paper No 02–09. Available from: https://ideas.repec.org/p/aal/abbswp/02-09. html
Edquist, C. (2010). Systems of innovation perspectives and challenges. African Journal of Science, Technology, Innovation and Development, 2(3), 14-45. https://hdl.handle.net/10520/EJC10560
Felisberto, C. (2012). Liberalisation, competition and innovation in the postal sector. Empirical Economics, 44(3), 1407–1434. https://doi.org/10.1007/s00181-012-0573-5
Garcia, R., & Calantone, R. (2002). A critical look at technological innovation typology and innovativeness terminology: a literature review. Journal of Product Innovation Management: An international publication of the product development & management association, 19 (2), 110-132. https://doi.org/10.1111/1540-5885.1920110
Gaudenzi, B., Confente, I., & Russo, I. (2020). Logistics service quality and customer satisfaction in B2B relationships: A qualitative comparative analysis approach. The TQM Journal, 33(1), 125–140. https://doi.org/10.1108/TQM-04-2020-0088
Gignac, G. E., & Szodorai, E. T. (2016). Effect size guidelines for individual differences researchers. Personality and individual differences, 102, 74–78. https://doi.org/10.1016/j.paid.2016.06.069
Gil Saura, I., Servera Frances, D., Berenguer Contri, G., & Fuentes Blasco, M. (2008). Logistics service quality: a new way to loyalty. Industrial management & data systems, 108(5), 650-668. https://doi.org/10.1108/02635570810876778
Glenn Richey, R., S. Genchev, and P. Daugherty. 2005. The Role of Resource Commitment and Innovation in Reverse Logistics Performance. International Journal of Physical Distribution and Logistics Management, 35(4), 233–257. https://doi.org/10.1108/09600030510599913
Gulc, A. (2017). Courier service quality from the clients’ perspective. Engineering Management in Production and Services, 9 (1), 36–45. https://doi.org/10.1515/emj-2017-0004
Gunasekaran, A., & Ngai, E. W. T. (2004). 3PL: experiences from China resources logistics (Hong Kong). International Journal of Logistics Systems and Management, 1(1), 81-97. https://doi.org/10.1504/IJLSM.2004.005540
Hair, J. F., LDS Gabriel, M., Silva, D. D., & Braga, S. (2019). Development and validation of attitudes measurement scales: fundamental and practical aspects. RAUSP Management Journal, 54, 490-507. https://doi.org/10.1108/RAUSP-05-2019-0098
Hair, J. F., Sarstedt, M., Ringle, C. M., & Mena, J. A. (2012). An assessment of the use of partial least squares structural equation modeling in marketing research. Journal of the academy of marketing science, 40, 414-433. https://doi.org /10.1007/s11747-011-0261-6
HESKETT, J.L. (1971), "Controlling customer logistics service", International Journal of Physical Distribution, Vol. 1 No. 3, pp. 141-145. https://doi.org/10.1108/eb038839
Hoffmann, A. O., & Birnbrich, C. (2012). The impact of fraud prevention on bank‐customer relationships: An empirical investigation in retail banking. International journal of bank marketing, 30(5), 390–407. https://doi.org/10.1108/02652321211247435
Huang, P.-L., Lee, B. C. Y., & Chen, C.-C. (2019). The influence of service quality on customer satisfaction and loyalty in B2B technology service industry. Total Quality Management & Business Excellence, 30(13/14), 1449–1465. https://doi.org/10.1080/14783363.2017.1372184
Ivanov, D., Dolgui, A., & Sokolov, B. (2019). The impact of digital technology and Industry 4.0 on the ripple effect and supply chain risk analytics. International journal of production research, 57(3), 829-846. https://doi.org/10.1080/00207543.2018.1488086
Kelly, B., Papanikolaou, D., Seru, A., & Taddy, M. (2021). Measuring technological innovation over the long run. American Economic Review: Insights, 3(3), 303-320. https://doi.org/ 10.1257/aeri.20190499
Kline, S. J., & Rosenberg, N. (2010). An overview of innovation. Studies on science and the innovation process: Selected works of Nathan Rosenberg, 173-203. https://doi.org/10.1142/9789814273596_0009
Koncová, D., Kremeňová, I., & Fabuš, J. (2021). Proposal for a change in the type of devices used for submitting of postal items by using the Saaty´ s method, a case study for the postal sector. Transportation Research Procedia, 55, 236-243. https://doi.org/10.1016/j.trpro.2021.06.027
Laseinde, O. T., & Mpofu, K. (2017). Providing solution to last mile challenges in postal operations. International Journal of Logistics Research and Applications, 20(5), 475-490. http://dx.doi.org/10.1080/13675567.2017.1288712
Lin, C. Y. (2007). Factors affecting innovation in logistics technologies for logistics service providers in China. Journal of technology management in china, 2(1), 22-37. https://doi.org/10.1108/17468770710723604
Masudin, I., Restuputri, D. P., Indriani, T. R., Lau, E., & Widayat, W. (2022). Modified-Kansei engineering for the quality of logistics services during the Covid-19 pandemic: Evidence from Indonesia. Cogent Engineering, 9(1), 1-38. https://doi.org/10.1080/23311916.2022.2064588
Novack, R. A., Rinehart, L. M., & Wells, M. V. (1992). Rethinking concept foundations in logistics management. Journal of Business Logistics, 13(2), 233. https://www.proquest.com/openview/85be26a6665a96268574d5a31675560a/1?pq-origsite=gscholar&cbl=36584
Oke, A. (2004). Barriers to innovation management in service companies. Journal of Change Management, 4(1), 31–44. https://doi.org/10.1080/1469701032000154953
Panayides, P. M., & So, M. (2005). Logistics service provider–client relationships”, Transportation Research Part E: Logistics and Transportation Review, 41(3), 179–200. https://doi.org/10.1016/j.tre.2004.05.001
Park, H., Lee, M. & Back, K.-J. (2023). A critical review of technology-driven service innovation in hospitality and tourism: current discussions and future research agendas. International Journal of Contemporary Hospitality Management, 35(12), pp. 4502-4534. https://doi.org/10.1108/IJCHM-07-2022-0875
Persson, G. (1991). Achieving competitiveness through logistics. The International Journal of Logistics Management, 2(1), 1-11. https://doi.org/10.1108/09574099110804625
Rao, R. V., Patel, B. K., & Parnichkun, M. (2011). Industrial robot selection using a novel decision-making method considering objective and subjective preferences. Robotics and Autonomous Systems, 59(6), 367–375. https://doi.org/10.1016/j.robot.2011.01.005
Rao, S., Goldsby, T. J., Griffis, S. E., & Iyengar, D. (2011). Electronic logistics service quality (e‐LSQ): its impact on the customer’s purchase satisfaction and retention. Journal of business logistics, 32(2), 167-179. https://doi.org/10.1111/j.2158-1592.2011.01014.x
Restuputri, D. P., Masudin, I., & Sari, C. P. (2020). Customers perception on logistics service quality using Kansei engineering: Empirical evidence from Indonesian logistics providers. Cogent Business & Management, 7(1), pp. 1-38, 1751021. https://doi.org/10.1080/23311975.2020.1751021
Sund, K. J. (2008). Innovation in the Postal Sector: strategies, barriers and enablers. Paper presented at the DRUID Society Conference 2014, CBS, Copenhagen, June 16-18
Taghizadeh, S.K., Rahman, S.A., Halim, H.A., & Ahmad, N.H. (2017). Dwelling into Service Innovation Management Practices: A Comparison Between Telecommunication Industry in Malaysia and Bangladesh. Global Business Review, 18(1), 87–98. https://doi.org/10.1177/0972150916666880
Tajeddini K, Martin E, Altinay L. (2020). The importance of human-related factors on service innovation and performance. International Journal of Hospitality Management, 85, 102431. https://doi.org/10.1016/ j.ijhm.2019.102431
Tracey, M. (2006). The role of logistics in strategic management. International Journal of Integrated Supply Management, 2(4), 356-382. https://doi.org/10.1504/IJISM.2006.009641
Twede, D. (1992). The Process of Logistical Packaging Innovation. Journal of Business Logistics, 13(1), 69–94. https://www.proquest.com/openview/2f71d3737c60eddd4ce739cdd45142c9/1?pq-origsite=gscholar&cbl=36584
Udofia, E. E., Adejare, B. O., Olaore, G. O., & Udofia, E. E. (2021). Supply disruption in the wake of COVID-19 crisis and organisational performance: mediated by organisational productivity and customer satisfaction. Journal of Humanities and Applied Social Sciences, 3(5), 319-338. DOI 10.1108/JHASS-08-2020-0138
Uzir, Md. U. H., Al Halbusi, H., Thurasamy, R., Thiam Hock, R. L., Aljaberi, M. A., Hasan, N., & Hamid, M. (2021). The effects of service quality, perceived value and trust in home delivery service personnel on customer satisfaction: Evidence from a developing country. Journal of Retailing and Consumer Services, 63, 102721. https://doi.org/10.1016/j.jretconser.2021.102721
Wang, Q., Voss, C., Zhao, X., & Wang, Z. (2015). Modes of service innovation: A typology. Industrial Management & Data Systems, 115(7), 1358–1382.
Warren, C., Becken, S., Coghlan, A. (2018). Sustainability-oriented Service Innovation: fourteen-year longitudinal case study of a tourist accommodation provider. Journal of Sustainable Tourism, 26(10), 1784– 1803. https://doi.org/10.1080/09669582.2018.1511721
Woo, H., Kim, S. J., & Wang, H. (2021). Understanding the role of service innovation behavior on business customer performance and loyalty. Industrial Marketing Management, 93, 41–51. https://doi.org/10.1016/j. indmarman.2020.12.011
World Economic Forum. (2021, October 14). Top-down or bottom-up? How to cultivate a digital culture in your organization. https://www.weforum.org/agenda/2021/10/innovation-as-a-test-case-for-digital-collaboration/
YuSheng K, Ibrahim, M. (2019). Service innovation, service delivery and customer satisfaction and loyalty in the banking sector of Ghana. International Journal of Bank Marketing, 37(5), 1215–1215. https:// doi.org/10.1108/IJBM-06-2018-0142
Zhang, Q., Vonderembse, M. A., & Lim, J. S. (2005). Logistics flexibility and its impact on customer satisfaction. The International journal of logistics management, 16(1), 71-95. https://doi.org/10.1108/09574090510617367
Zhang, Y., Fan, X., & Zhou, L. (2019, March). Analysis and Research on the “last mile” distribution innovation model of e-commerce express delivery. In Journal of Physics: Conference Series, 1176(4), 042044. IOP Publishing. doi:10.1088/1742-6596/1176/4/042044
Zhou, H., Wang, Q., Wang, L., Zhao, X. and Feng, G. (2023). Digitalization and third-party logistics performance: exploring the roles of customer collaboration and government support. International Journal of Physical Distribution & Logistics Management, 53 (4), pp. 467-488. https://doi.org/10.1108/IJPDLM-12-2021-0532
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Jayashree Saha, Dr Tridib Ranjan Sarma
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
