Outsourcing logistics services and organisational efficiency: the case of DHL Global Forwarding (u) Limited.

Abstract

The study is aimed at ascertaining the relationship between outsourcing of logistics services and organizational efficiency. The objectives of the study were; to establish how planning of outsourcing warehousing and distribution services is done by DHL Global Forwarding, to analyze the influence of implementation of outsourcing warehousing and distribution services decision on operations efficiency in DHL Global Forwarding and to ascertain the influence of evaluation, control and monitoring of outsourcing warehousing and distribution services decision on operations efficiency in DGF UG. In order to achieve the research objectives, the researcher used both qualitative and quantitative research methods. The sample size was selected from different departments and the subjects of the study. The sample under study were therefore made up of one hundred respondents. Purposive sampling was used and questionnaires administered. Structured questionnaires were used in the collection of primary data and this was self-administered. Data was entered into SPSS statistical tool which is a package that was developed for analyzing survey data and here the reliability was tested mainly considering relational statistics. The study reveals that planning helps companies to adopt and install approaches to deal with poor performance which helps uncover scenarios where poor performance could occur. Planning also provides a framework within which threats are managed. The study recommends DGF management should work on some planning issues in respect to quality of service factors, contracting factors and decision making.