Infrastructure & Logistics Issues in BPO Sector

Infrastructure & Logistics Issues in BPO Sector


Abstract

The logistics industry in emerging countries like India is growing and seizing chances to expand indefinitely. In India, the logistics industry now contributes approximately 14% of GDP. The development of the e-commerce sector, as well as initiatives like MAKE in India, would undoubtedly benefit Logistics Service Providers (LSPs). LSPs must rethink their strategy in order to seize all available possibilities. Logistics service companies confront many difficulties in order to deliver goods on time and in good condition. Despite the fact that the government has previously launched many major initiatives to assist LSPs, they are still out of step with industry demands. The major difficulties that come across in providing high quality services to end consumers include a fragmented and unorganised industry, infrastructure constraints, and cost implications, among others.

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Introduction

In the age of e-commerce and global competition, logistics service providers' breadth of services has expanded dramatically in emerging countries like India. The logistics industry now accounts for approximately 14% of India's GDP and is expected to expand at 1.5 to 2 times the present rate (Novonous, 2015-2020). With a score of 3.08, India was placed 54th out of 160 nations in the Logistics Performance Index (LPI Survey, 2014). In order to survive and develop in today's competitive market, LSPs must maintain high service quality across all logistical operations. LSPs must take on the difficult task of providing high-quality services to their clients in order to maintain their current and future business (Liu and Xie, 2013).

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Conclusion

The lack of performance measurements is a connecting variable that connects all of the other issues. As a result, there is a critical need to define and implement rigorous performance standards in order to simplify and enhance the quality of services provided. Sustainability techniques are considered to be detached from the system when people are unaware of them. Currently, logistics service providers are not actively contributing to sustainable practises, but it is essential that limited resources be used to their full potential. The connection between difficulties is now recovered utilising ISM technique in this study, however the findings are not statistically verified and validated. SEM (Structured Equation Modeling), often known as the linear structural connection method, may be utilised to make it statistically valid.

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