How knowledge resource does matter in technology and cost advantages of a firm? Evidence from Malaysian logistics sector

ABSTRACT

The paper examines firms’ value of technology and knowledge resource for winning the benefits of technologies and sustained competitive advantage by examining the cost advantages and the propositioned mediating effect of knowledge resource in Malaysian logistics firms. Partial least square analysis is performed on the survey of 122 logistics firms. The results verify that knowledge resource has a positive impact on cost advantages and mediate the technology resource-cost advantages relationship. The finding presents that technologies are valuable resources for competitive advantage but easy to be purchased and substituted; hence they serve as a temporary competitive advantage. Instead, knowledge resource is the catalyst of cost advantages and provokes the technology resource to give a greater impact on cost advantages. This study reveals that knowledge resource is too costly and difficult to be imitated, hence becomes the ultimate sources of sustained competitive advantage. Launching information logistics technology is sensitive and expensive; hence, logistics firms need to exploit more on knowledge resources, consolidate them with the relevant technology resources in order to obtain operational efficiency and effectiveness. This paper unveils the theoretical and empirical evidence for insightful understanding concerning the technology-knowledge resource-performance outcome relationship.

KEYWORDS:

• Logistics information technologies
• knowledge resources
• technology resources
• resource-based logistics
• cost advantages

Disclosure statement

No potential conflict of interest was reported by the author.

Notes on contributor

Noorliza Karia is an Associate Professor of Logistics and Operations at the Universiti Sains Malaysia (USM). She received her PhD in Logistics from University of Hull, UK, MBA from USM and Bachelor of Science in Production and Operations Management from University of Denver, Colorado, USA. She is the Chartered Member of the Chartered Institute of Logistics and Transport, United Kingdom. She has gained industrial experiences in production planning, supply management, assembly and mass production in manufacturing industry. Associate Professor Dr. Noorliza has published her works in high impact journals and conferences. Her research interests centre on logistics, operations and quality, resource and capabilities, halal logistics and service, competitive advantage, sustainability and innovation.

ORCID

Noorliza Karia http://orcid.org/0000-0002-1449-9979