Logistic Outsourcing: Lessons from Case Studies

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In this paper, the article written by Aldo Srabotic and Mitja Ruzzier, Logistic Outsourcing: Lessons from Case Studies, will be analyzed and reviewed. The authors make a successful attempt to investigate the main peculiarities of logistic outsourcing, its methodology, and myths to clear up the ways of how to create an appropriate partnership between companies. The article under consideration has a clear structure and is characterized by a logical order of the ideas. Srabotic and Ruzzier divide the article into five main parts, set definite goals, and rely on credible sources to support the information given. Logistic Outsourcing: Lessons from Case Studies is the article in which the authors disclose the essence of outsourcing, define it as a crucial factor of a properly developed partnership, and, using three case studies, prove that outsourcing management methodology and the ability to dispel outsourcing myths may lead to successful outsourcing implementation.  

The purpose of the article under analysis is to study thoroughly logistic outsourcing factors and choose those, which help to avoid partnership failure and minimize the costs of a management process. Srabotic & Ruzziner (2012) admit that the correct implementation of outsourcing methodology and understanding outsourcing myths are the two main points to be considered by any company. They offer three interesting hypotheses by means of which the work of a company has to be evaluated. The first hypothesis indicates that outsourcing methodology should be taken into consideration. The second hypothesis underlines the importance of outsourcing myths’ dispelling. And the third concept touches upon the factors of successful outsourcing such as joint vision, communication, support, trust, and improved service levels (Srabotic & Ruzzier, 2012).

The authors of the article use several models to investigate the work of three different Slovenian companies. Partnership model turns out to be the most appropriate. Still, the article may seem to be weak as the authors chooses three particular companies of the same countries. They fail to consider political, economic, and financial factors globally. Therefore, the article is a credible source of information only for a particular region.

A strong point of the article is its authors’ decision to use two methods to investigate the topic. On the one hand, literature review offers the ideas of different experts in the sphere of management and creates a powerful theoretical basis for a research. On the other hand, case studies taken from real life help to find practical implementation of theoretical knowledge. In my opinion, such approach is the most successful idea due to its possibility to combine practice and theory at the same time instead of making guesses or offering unreliable theories. The reader is able to see how one model is used to analyze the steps taken by different companies, observe the decisions of which companies lead to success or failure, and understand how it is better to avoid challenges in outsourcing implementation.

The article aims at discussing the conditions under which outsourcing management failure is possible in order to identify the main mistakes and think about how to avoid the steps which lead to poor partnership. Srabotic & Ruzzier (2012) try to “improve the understanding of key success factors in logistic outsourcing” (p. 222) but not to give certain hints and directions. This is why their article is considered to be a helpful and credible source for common understanding of a theme.

In general, Logistic Outsourcing: Lessons from Case Studies is a properly written article that explains the main factors of successful outsourcing. Its authors, Srabotic and Ruzzier, do not use too complicated terms or ideas to analyze the concept. They consider interesting case studies and the already known theories, offer their own visions, and prove that it is necessary to do right instead of doing just everything. The research offered in the article may be longitudinal if the authors pay more attention to some global factors or compare logistic outsourcing with some other management tools.

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