KEY SERVICE QUALITY DIMENSIONS FOR LOGISTIC SERVICES

Phusit Wonglorsaichon
School of Business, University of the Thai Chamber of Commerce
126/1 Vibhavadee-Rangsit Road, Dindang, Bangkok 10400, Thailand
Email: phusit_won@utcc.ac.th

ABSTRACT
Recently, Thai logistics service providers have to face the
challenges of both domestic and global competition. They
attempt to decrease the cost and improve the quality of
service. The key service quality dimensions have been
investigated in many logistics service providers in order
to serve for their customers in this decade. Therefore, this
research explores to the concept of service quality in the
logistics service and gains more insight into the most
important dimensions for many services offering in order
that the Thai logistic service provider can use the
information to benefit for the company. This paper
attempt to understand the interesting service quality
dimensions of manufacturers based on a study of 167
respondents via a mail in Bangkok. The research found
that the significant dimensions of all industries were
expertise, trust, reliability, communication and
serviceability, respectively. The least important
dimensions were the aesthetics, extra characteristics,
style, behavior, and adaptability, respectively. The
logistics service providers should concern these
dimension extraordinary and to improve only key
dimension based on limited resources. The results can use
be a direction for the Thai logistic services companies to
add value and competency with service quality.
KEYWORDS
Quality, Logistics, Service

1. Introduction
Thailands advantageous location is one of the reasons for
its continuing prosperity. The country is located on the
center of Southeast Asia. Thailand is a connecting country
from China and South Asia countries such as India
through Indo-China and other Asian countries. This
strategic geographical position supports the Governments
efforts to develop Thailand as a transport and
communications hub in this region. Today highly
competitive global market climate sparks Thai industries
demand for logistics management. Running the old style
management and competing with competitors only lower
labor cost and cheaper raw materials than other exporting
countries are fading out. To stay competitiveness in the
global market, Thai companies have to start cultivating

and applying the supply chain management and logistics

management for their operations.
Logistics is part of the large integrated process, called
supply chain, in which a number of various business
entities, such as suppliers, manufacturers, distributors and
retailers work together for acquiring raw materials,
processing for finish goods and delivering to retailers and
end-users later on (Beamon, 1996) [1]. Logistics
companies play a more important role than in the past,
which in turn they coordinate and accelerate physical and
information flows along multiple levels of the supply
chain. Indeed, in keeping pace with rapid market changes,
the whole logistics system has become more efficient and
flexible. This has forced third party logistics to look for
accurate and real-time information of the status of the
entire shipment process to increase their planning
capacity and to improve customer service levels. Logistic
have influenced the selection of suppliers, purchasing the
raw materials, designing of products and processes,
location of the factories, building the partnership and
alliance, and many other core business processes (Caplice
and Sheffi, 1995) [2] Consequently, the quality of logistic
services is an important condition and element of both
own logistic system and third-party logistic of outsource.
Therefore quality and customer orientation increasingly
becomes a key factor of the market success in the area of
logistic services. For that reason the domestic logistic
companies have to establish their quality strategy
following the practice of the international logistic
companies aiming at the establishment, maintenance
and continuous improvement of the logistic services. The
quality of the logistic services can be established in the
service process, involving essentially the specification of
products and services meeting customers expectations
and market demand. Quality of service could be divided
into transport, service and logistic criterions, which can be
used with the varieties service quality concepts.
The research has been developed in order to find out the
difference in the logistic service quality dimensions when
classified by position, type of industry, size of firms,
nationality of decider. There are main two objectives for
this study. The first purpose will be to identify the logistic
services quality dimensions of the manufacturers from the

logistic services
variables.

companies

by

selecting

specific

The second objective is to find out the most and the least
important in the logistic services quality dimensions,
which are desired from them of manufactures when
classified by the respondent characteristics. The review of
the existing literature on the concept of service quality in
logistic service will be the basis for this research.

2. Literature Review
The basic elements of the quality model of the logistic
services of Rixer et.al.(1995) [3] stated that the quality of
the services can be established in driving essentially the
specification of products and services meeting customers
expectations and market demand. The company has to
create activities to serve customer beyond their
expectation and desire in order to establish the satisfaction
and loyalty. To improve the value and excellent level of
service, core products and services should be defined as
well as process chains and operation of service should be
determined. The properly quality model of products and
services should be selected or elaborated and quality
characteristics should be determined.
The original ten dimensions of service quality, through
empirical research by Parasuraman et al., 1985 [4] that
were identified as following:
Reliability: the ability to provide the pledged
service on time, accurately and dependably.
Responsiveness: the ability to deal effectively
with complaints and promptness of the service.
Credibility: the extent to which the service is
believed and trusted. The service providers
name and reputation, and the personal traits of
front line staff all contribute to credibility.
Competence: staff should possess the necessary
skill, knowledge and information to perform the
service effectively.
Access: the ease of approachability and contact.
Expertise: the politeness, respect, consideration
and friendliness shown to the customers by the
contact personnel.
Security: the freedom from danger, risk and
doubt. It involves physical safety, financial
security and confidentiality.
Communication: keeping customers informed
about the service in a language that they can
understand and listening to the customers.
Tangibles: these include: the state of facilitating
goods; physical condition of the buildings and
the environment; appearance of personnel; and

condition of equipment services such as the

Open University.
Understanding/knowing the customer: this
involves trying to understand the customers
needs and specific requirements; providing
individualized attention; and recognizing the
regular customer.

Measuring perceived service quality requires a

continuum similar to tangible product satisfaction
(Berry, et. al., 1985). The customers satisfaction of
service results only when the service outcomes exceed
initial expectations. Service satisfaction models were
studied by many researchers for long time. Especially the
measurements of service quality with a well known model
know as SERVQUAL was the five key dimensions (Berry
and Parasuraman, 1991) [5] that were identified are as
follows as:
(1) Tangibles: these include: the state of facilitating
goods; physical condition of the buildings and the
environment; appearance of personnel; and condition of
equipment. Tangibles are more important in high-contact
services.
(2) Reliability: the ability to provide the pledged service
on time, accurately and dependably. Reliability is a
customer expectation and means that the service every
time is accomplished on time at approximately the same
time each day is important to the most people. Reliability
extends into the back office, where accuracy in billing and
record keeping is expected.
(3) Responsiveness: the ability to deal effectively with
complaints and promptness of the service. It is the
willingness to help customers and keeping customer
waiting particularly for no apparent reason, creates
ability to recover quickly with professionalism can create
very positive perceptions of the quality For example, in
the case of a package tour operator, it could be dealing
quickly and effectively with a patrons accommodation
problems.
(4) Assurance: the knowledge and courtesy of employees
and their ability to convey truth and confidence. The
assurance dimensions include the following features
competence to perform the service, politeness and respect
for the customer, effective communication with the
customer, and the general attitude that the serve has the
customer.
(5) Empathy: the provision of caring, individualized
attention to understand the customers needs and specific
requirements; providing individualized attention; and
recognizing the regular customer an important
determinant of quality in high-contact customized
services. Through, keeping customers informed about the
service in a language that they can understand and
listening to the customers.

Moreover, Garvin (1987) studied additional service

quality dimensions such as reliability, performance,
specialties,
conformity, durability, serviceability,
aesthetics, perceive of quality.

quality spiral regarding quality contracts, implementation

and
maintenance
of
customer
communication
management system.

Tenner-DeToro described the various models of service

quality such as value dimension, eight quality
characteristics of service, service quality of delivery
things and service quality of interaction. Three-value
dimension is composed of speed, goodness, cheapness or
price. The eight quality characteristics of services were
behavior, politeness, co-operation, thoughtfulness,
reputation, reliability and friendship. For Quality
characteristics, delivered things key dimensions were
composed of price, reliability, performance, extra
characteristics,
serviceability,
perceived
quality,
approachability, comfort, and standardization. The nine
characteristics for service quality of interaction were
reliability, expertise, approachability, communication,
authenticity, safety, empathy, flexibility, and style
(Tenner-DeToro, 1997) [6].

3. Research Methodology

Trust is an important dimension in service quality.

McKnight et al. (1990) [7] and Mooman et al. (1993) [8]
offered definitions of trust which pivot around the same
notions and describe as a state between two partied that
are involved in a relationship. One of the parties is
perceived by the other party values while remaining
convinced that the process or controlling assets (e.g.
know-how, resource). The manufacturers had considered
to the serviceability which is a variable in the quality
dimensions.
In addition, Tenner Detoro (2001) [9] identified the most
important elements of quality strategic planning and
management systems are the following:
Quality policy and strategy fitting to companys
strategy;
Principles and service elements of ISO 9000
series;
Specific quality loop and magic triangle of
service quality;
Value, performance and quality model of
services;
Process schemes, objects and value chains of
services;
Quality characteristics of service;
Quality condition, engagement, inspection
brochures.
The main trends of the improvement of the quality system
after the implementation are improvement toward to total
quality management, tracking, monitoring market trends
and changes of customers needs, more detailed quality
model, and specifications, continuous improvement of

To study the logistic service quality of manufacturers in

Bangkok, a mail survey was conducted for this research.
There were two parts of questionnaires composed with the
respondents profile and thirty three logistic service
quality dimensions, which were responses, were measured
using different scaling techniques as Likert-type scale
(five items). The research method chosen for the analysis
of the obtained data can be clustered in to three types.
Descriptive statistics will explain the characteristics of the
respondents. Cross-tab method will be applied to find out
the relationship between the respondent profile and
logistic service quality dimensions. One-Way ANOVA
will identify whether there are difference in service
quality dimensions when classify by respondents profiles
Target population included all Thai manufacturers in
Bangkok with significant logistic service requirements. In
non-probability sampling of any particular member of the
population being chosen is unknown and the sample being
drawn from people/items that are readily available and
convenient. The sample size of this research is 400
respondents by the survey method, a questionnaire in
particular, in order to obtain data needed for the analysis
in this research. These manufacturers were gotten a mail
and then they returned within sixty days, the researcher
did not specific the position of answers. A total of 167
questionnaires were received in the following eight-week
period.

4. Research Results
Respondents Profile
Of the 167 responses received, the respondents were
officers about 49.7% and the second group was the
managers about 21.6%. Percentage of 15% was the
executives and 13.2% represented the respondents who
were the owners. Accounted for 14.9% was the food and
beverage industry and there were three types of industries;
service, logistic and others which were the same
percentage with 13.9%. Mostly, the sizes of firms were
medium with 48.8%, the large firms were accounted for
36.6% and there were the small firms closely with 14.6%.
The capitals of firms were more than 100 million (baht)
with 40.9%. Accounted for 22%, the capitals of firms
were between 11 million (baht) and 100 million (baht).
Nationality of decider in logistic service management,
56.3% was Thai. Asian was equivalent to 26.3%. There

were many logistic services kinds to be used for business

as shown on table 1. The first was the transportation
accounted for 33.6% of the using logistic services kinds to
serve for businesses. The second and the third were
storage and distribution, which were a little different with
15.4% and 15.1%, respectively. The purchasing or
procurement and inventory management are the forth and
fifth of kinds of logistic service in this survey. All
supporting function such as customer supporting,
personnel supporting, and financial supporting were
included in this study.
Table 1: Types of Logistic Services
Types of logistic services
Transportation
Storage
Distribution
Purchasing or Procurement
Inventory Management
Customer Supporting
Personnel Supporting
Financial Supporting

Percentage
33.6
15.4
15.1
10.2
9.9
7.6
5.5
2.6

Hypotheses Result
From the hypotheses research, there was no difference in
all logistic service quality dimensions when classified by
position that contained with owners, executives, managers
and staff or officers. Size of firms by capital of firms was
an independent variable, which was no difference in
logistic service quality dimensions
There was difference in logistic service quality
dimensions when classified by industry, which was
serviceability dimension. When classified by nationality
of decider, flexibility was a dimension, which was
difference and considered to be a criteria factor of logistic
company; domestic, international and jointed venture
between the both, the result was there was difference in
goodness dimension. Moreover, there was difference in
the logistic service quality dimensions when classified by
kinds of logistic services in flexibility, accessibility,
reputation, and adaptability dimensions.

the forth and the fifth was communication and

serviceability, respectively. In the contrast, the last five of
least important dimensions were described on table 2,
together. The aesthetics was the least mean score which
was considered by all respondents to be the least
important dimension in the logistic service quality. The
second least important dimension was the extra
characteristics. The others dimensions were ranked as the
last five of least important which were style, behavior,
and adaptability.
Table 2: The Ranking of Important Service Quality
Dimensions

Overall of Respondents
Most Important
Expertise
Trust
Reliability
Communication
Serviceability

Least Important
Aesthetics
Extra characteristics
Style
Behavior
Adaptability

Besides the forgoing, the research had studied the

difference in the logistics service dimensions when
classified by each industry and nationality of decider in
the logistic service management. Regarding to the type of
industries, the dominant factors of logistics service quality
in electronic and computers industry were trust,
communication,
serviceability,
co-operation
and
standardization, respectively. For food and beverage
industry; the first of important dimension was the trust,
reliability was the second, speed was the third, cooperation was the forth and the conformity was the fifth,
Top five priorities important dimensions for vehicle and
spare part industry were trust, reliability, speed,
communication and assurance, respectively. Regarding
the most important dimension for electronic and computer
industry, the food and beverage industry, and vehicle and
spare part industry are trust. Logistic industry interested
in the expertise which was the highest mean score. The
other of top five of highest important were reliability,
performance, trust, and communication, respectively. The
top five of highest means score for service industry were
expertise, trust, communication, safety and serviceability,
respectively.

Research Results
Base on the study of all respondents and the logistics
service quality dimensions, top five priorities dimensions
were set to study the importance ranking of the logistics
service dimensions. The first important dimension of
them was the expertise. The second important dimension
was trust, the third important dimension was reliability,

Nevertheless, the table 3 illustrated the least important of

each industry. The price was the least important
dimension for electronic and computers, the style was the
least important in food and beverage, the extra
characteristics was the least important dimension for
vehicle and spare parts industry. The aesthetics was the
least important determinant in logistic, service and others

industry. Two of the least important dimensions were

aesthetics and extra characteristics; the factors were
considered to be the top five of least important factors
Table 3: Relationship between Types of Industries and
Logistic Service Quality Dimensions

Electronic and Computers

Most Important
Least Important
Trust
Communication
Serviceability
Co-operation
Standardization

Price
Aesthetics
Extra characteristics
Adaptability
Accessibility

Food and Beverage

Most Important
Least Important
Trust
Style
Reliability
Aesthetics
Speed
Extra characteristics
Co-operation
Behavior
Conformity
Adaptability
Vehicle and Spare parts
Most Important
Least Important
Trust
Extra characteristics
Reliability
Price
Speed
Aesthetics
Communication
Adaptability
Assurance
Style

Co-operation
Trust

Style
Goodness

For nationality of decider in logistic service management

and logistic service dimensions which stated on table 4.
The study focused on Thai, Asian, American, European,
other nationality of deciders. Thai nationality of decider
concerned the expertise which was the highest mean
score. Other top five of highest means score were
assurance, trust reliability and communication. The least
mean score was aesthetics, extra characteristics, style,
behavior, and reputation respectively. The most important
service quality dimension of Asian decider was the
expertise dimension. The second highest was the
standardization, the third was the trust. The forth and the
fifth were communication and assurance, respectively.
Contrast, extra characteristics, style, aesthetics, price and
style were the least important determinant. American
nationalities of deciders interested to the reputation, the
expertise was the second and safety was the third highest.
Other top five of highest important factors were safety,
co-operation and durability but the least mean score were
the behavior, accessibility, aesthetics, price, and goodness
dimension that were the little importance. For European
nationality of decider, top five of highest important were
expertise,
co-operation,
assurance,
assurance,
serviceability and reliability. The least important of
European nationality was aesthetics, styles, goodness,
adaptability, and price. Others nationalities of deciders,
the first was the co-operation, the second was the
expertise, the third was reliability, the forth and the fifth
were assurance and friendship, respectively.

Logistics
Most Important
Expertise
Reliability
Performance
Trust
Communication

Least Important
Aesthetics
Style
Extra characteristics
Behavior
Flexibility
Service

Most Important
Expertise
Trust
Communication
Safety
Serviceability

Least Important
Aesthetics
Style
Extra characteristics
Tangibles
Comfort
Others

Most Important
Expertise
Serviceability
Assurance

Least Important
Aesthetics
Extra characteristics
Adaptability

Table 4: Relationship between Nationality of Deciders

and Logistic Service Dimensions

Thai
Most Important
Expertise
Assurance
Trust
Reliability
Communication

Least Important
Aesthetics
Extra characteristics
Style
Behavior
Reputation
Asian

Most Important
Expertise
Standardization
Trust
Communication
Assurance

Least Important
Extra characteristics
Style
Aesthetics
Price
Style

Table 4: Relationship between Nationality of Deciders

and Logistic Service Dimensions (Continued)

American
Most Important
Reputation
Expertise
Safety
Co-operation
Durability

Least Important
Behavior
Accessibility
Aesthetics
Price
Goodness
European

Most Important
Expertise
Co-operation
Assurance
Serviceability
Reliability

Least Important
Aesthetics
Style
Goodness
Adaptability
Price
Others

Most Important
Co-operation
Perceived quality
Communication
Responsiveness
Expertise

Least Important
Price
Aesthetics
Extra characteristics
Style
Comfort

Zeithaml can become the basic key factors of the logistic

service quality.
Regarding the result of this study, Thai logistic providers
have to establish and implement the quality strategy
focusing on expertise, trust, reliability, communication
and service ability to their services, speedily to build the
competency in addition to maintain and continue
improving of quality service dimension which are possess
in the company for keeping the current customers and
finding the new customers among the competitive market.
The result of this research generated to explore the major
logistic service quality dimension, which were the most
important for the logistic services management and
gained more insight into their dimensions to meet the
manufactures requirements. The researcher expected to
help the logistics organizations to be better understood the
services quality, which will be expected and perceived by
their customers to create and increase satisfaction of their
client. The limited resource should be allocated to
emphasize the most important service quality dimensions
However, they should not ignore the least important
dimensions; aesthetic, extra characteristics, style,
behavior and adaptability in order that these dimensions
may be very important for some firms such as jewelry,
chemical. They depend on the firms characteristic that
have contacted. Nevertheless, the company can use the
information to be the basic factors to precede your service
and build them to find the competency for your company.

References
5. Discussion and Conclusion
To study the most important dimensions for logistic
service quality, the thirty three factors were investigated
and determined by their customers. The significant
dimensions of all industries were expertise, trust,
reliability, communication and service ability.
Importantly, the expertise was the most important
dimension of all industries for this research. This
dimension was mentioned by Parasuraman, Berry and
Zeithaml (1985). It should be proposed the necessary
skill, knowledge and information to perform the logistic
service effectively for the manufacturers. Moreover, the
result of this research which included two service quality
dimensions in ten general criteria of dimensions by
Parasuraman et.al (1985). Reliability and Communication
were the highest important ranking in the top five of
highest mean scores. Therefore, the logistic service
companies should have the ability to provide the pledged
service on time, accurately and dependably through to the
back office that was accuracy in all documents. Moreover,
they should inform many services in a language that the
customers can understand and listen to them. Thus, the
service quality dimensions; expertise , reliability,
communication which posses by Parasuraman, Berry and

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