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Risk management tools in the road transportation industry with mediation and moderation analysis

Ersoy Pervin, Tanyeri Mustafa

LogForum

2021

Vol. 17, no. 4

555--567

Background: This study aims to shed light on risk-mitigating tools and strategies that can be used in third-party logistics (3PL) companies to increase performance. Risk and risk management tools are identified and classified according to the managers’ feedback and the theoretical background. The most important risks for the road transportation industry are analyzed, their implications are discussed, and mitigating strategies are offered. Methodology: The study used purposive sampling from international road freight forwarders that were members of the Association of International Forwarding and Logistics Service Providers (UTIKAD) or International Transporters' Association (UND). The data were collected by questionnaire method and analyzed with SPSS 22 and AMOS programs. Results: The results show that the road transportation industry has important risks that managers have not effectively managed. According to the results, the main problems in 3PL companies are lack of coordination, lack of visibility, and poor service quality. The results support that delivery risk directly affects transportation quality and process risks. Originality In this study, transportation-related risks are analyzed, showing their impact on a company’s overall processes. Additionally, we examine whether the transportation quality creates a mediation effect or information sharing has a moderation effect on a company’s process risks. Few studies exist on transportation risks and the role of mitigating strategies in reducing these risks, and this is also a limitation of our research from the risk perspective.