Business Models in the Area of Logistics: In Search of Hidden Champions, their Business Principles and Common Industry Misperceptions

Cover......Page 1
Schriftenreihe der\rHHL – Leipzig Graduate School of Management......Page 3
Business Models\rin the Area of Logistics......Page 4
ISBN 9783834925268......Page 5
Foreword......Page 6
Acknowledgements......Page 8
Content......Page 10
List of illustrations......Page 14
List of tables......Page 18
List of abbreviations......Page 22
1 Introduction......Page 27
1.1 Motivation and objectives......Page 30
1.2.1 Origin of the term and criteria......Page 33
1.2.2 Size and profitability......Page 37
1.3 Outline of the study......Page 40
2.1 Industry fundamentals......Page 47
2.1.1 Origin of the term......Page 48
2.1.2 Definitions......Page 49
2.1.3 Similarities and differences with supply chain management......Page 54
2.2.1 From value chain to value network......Page 60
2.2.2.1 Micro environmental factors......Page 67
2.2.2.2 Macro environmental factors......Page 72
2.2.3 Trends and current developments......Page 76
2.3.1 Market volume......Page 78
2.3.2 Market segments......Page 85
2.3.3 Large actors in the industry......Page 88
2.3.4 SMEs and Hidden Champions in the area of logistics......Page 90
3.1.1 Environmental dynamics as a starting point......Page 94
3.1.2 Approaches for analyzing companies......Page 96
3.2.1.1 Evolution of the terminology......Page 101
3.2.1.2 Purpose of business modeling......Page 104
3.2.2 Prevailing approaches......Page 105
3.2.3.1 Requirements of the framework......Page 111
3.2.3.2 Research framework......Page 112
3.2.4 Limits of business models......Page 115
4.1.1 Research challenges......Page 123
4.1.2.1 Classification......Page 125
4.1.2.2 Representative research......Page 126
4.1.2.3 Explorative research......Page 127
4.1.2.4 Experimental research......Page 128
4.1.3.1 Process......Page 129
4.1.3.3 Reality......Page 131
4.1.3.4 Quality......Page 132
4.2.1 Industry developments and business model architectures......Page 133
4.2.2.1 Descriptions and characteristics......Page 134
4.3.1 Typology......Page 139
4.3.2 LSPs relevant for research......Page 145
4.3.3 Selection of LSPs for empirical research......Page 146
4.4 Role of customers in empirical research......Page 148
4.5 Questionnaire design......Page 149
5.1.1.1 Single Source Hypothesis......Page 152
5.1.1.2 Segmentation and Transaction Hypotheses......Page 155
5.1.1.3 Commodity Trap Hypothesis......Page 157
5.1.2.1 Cherry Picking Hypothesis......Page 158
5.1.2.2 Global Standard Hypothesis......Page 160
5.1.2.3 Virtual Logistics Hypothesis......Page 161
5.1.2.4 Complexity Hypothesis......Page 163
5.1.2.5 Information Processing Hypothesis......Page 165
5.1.2.6 Complementarity and Reliability Hypothesis......Page 166
5.1.2.7 Rules Hypothesis30......Page 167
5.1.3.1 Significant Turnover Hypothesis......Page 168
5.1.3.2 Risk Aversion Hypothesis......Page 169
5.2.1 Customer Centricity Hypothesis: Egoism Syndrome as hurdle for Total Integration......Page 171
5.2.2 Partnership Hypothesis: Collaborative entity as solution for Total Integration......Page 174
5.2.3 Size Compatibility Hypothesis: Minor company size as limitation for Total Integration......Page 175
5.2.3.1 Correlation between size of LSP and size of customer......Page 177
5.2.3.2 Critical company size for Total Integration......Page 178
6 Empirical results......Page 180
6.1.1 Misperceptions on Ambitions & Aims......Page 182
6.1.1.2 The sector specificity and selection misperception......Page 190
6.1.1.3 The damnation to low margin business misperception......Page 193
6.1.2 Misperceptions on Implementation......Page 199
6.1.2.2 The global standard misperception......Page 207
6.1.2.3 The asset misperception......Page 210
6.1.2.4 The prevalence of complex internal settings misperception......Page 220
6.1.2.5 The reservation expectation misperception......Page 222
6.1.2.6 The partner relationship misperception......Page 225
6.1.2.7 Formality as a norm......Page 227
6.1.3 Misperceptions on Financials......Page 229
6.1.3.2 The willingness to take risks misperception......Page 232
6.2 Summary of the micro analysis......Page 234
6.3.1.1 Confidence and performance as a basis for innovation and business growth......Page 240
6.3.1.2 The reality of balanced responsibilities: The dream of Total Integration......Page 242
6.3.1.3 Escaping the commodity trap......Page 246
6.3.2 The collaboration misperception: The failure of collaborative integration in the absence of special conditions......Page 248
6.3.3.1 Similarity in company size is a wish but not reality......Page 256
6.3.3.2 Company size and survival......Page 261
6.4 Summary of the macro analysis......Page 265
7.1 Introduction to performance measurement and scoring......Page 268
7.2.1 Incrementalism......Page 272
7.2.2 Scope......Page 276
7.2.3 Gradual Conquest......Page 278
7.2.4 Customer Favor Striving......Page 280
7.2.5 Customer Proximity......Page 283
7.2.6 Entrepreneurship......Page 285
7.2.7 Simple and Fast Decision Making......Page 287
7.2.8 Open Communication and Collaboration......Page 290
7.2.9 Strategic Self-Sufficiency......Page 292
7.2.10 Mutual Trust......Page 296
7.2.11 Niche Sovereignty......Page 298
7.2.12 Customer Granularity......Page 300
7.2.13 Conclusions on scoring the micro dimensions......Page 301
7.3 Scoring performance along the macro dimensions......Page 304
7.3.1 Gradual Service Extension, Role Complementarity, and Continuous Innovation......Page 305
7.3.2 Reliable Execution......Page 309
7.3.3 Courage and Self-Confidence as well as Defense and Attack......Page 310
7.3.4 Conclusions on scoring the macro dimensions......Page 313
7.4.1 Developing the BMPS Framework......Page 314
7.4.1.1 The BMPS Framework’s micro perspective......Page 315
7.4.1.2 The BMPS Framework’s macro perspective......Page 325
7.4.2 Results from the BMPS Framework......Page 332
7.4.3 Identification of starting points for improvements at non-Hidden Champions......Page 339
7.5 Comment on business principles......Page 349
8.1 My main point: fallacy of Total Integration......Page 352
8.2 Market and competitive implications: SMEs can not be neglected in any serious study of the LSP industry......Page 356
8.3 Future research......Page 360
Appendices......Page 363
Appendix 1: Overview of approaches to business models......Page 364
Appendix 2: Overview of approaches to strategy......Page 377
Appendix 3: Questionnaire/Interview Manual Logistics Service Provider......Page 380
Appendix 4: Questionnaire/Interview Manual Customer......Page 391
Bibliograhpy......Page 397