INFLUENTIAL FACTORS IN LOGISTICS MANAGEMENT: AN INVESTIGATIVE STUDY OF CUSTOMER’S CLAIMS
By
Anggita Fedyana 13110159
A thesis submitted to the Faculty of
BUSINESS ADMINISTRATION AND HUMANITIES
in partial fulfillment of the requirements for the
BACHELOR’S DEGREE in
INTERNATIONAL BUSINESS ADMINISTRATION
SWISS GERMAN UNIVERSITY EduTown BSD City
Tangerang 15339 Indonesia
Revision after the Thesis Defense on 15 July 2014
Anggita Fedyana STATEMENT BY THE AUTHOR
I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.
Anggita Fedyana
_____________________________________________
Student Date
Approved by:
Dr. Samuel PD Anatadjaya.
_____________________________________________
Thesis Advisor
Date
Prof Eric Jos Nasution MBA, MA, PhD
_____________________________________________
Dean Date
Anggita Fedyana ABSTRACT
INFLUENTIAL FACTORS IN LOGISTICS MANAGEMENT:
AN INVESTIGATIVE STUDY OF CUSTOMER’S CLAIMS
By
Anggita Fedyana
Dr. Samuel PD Anantadjaya, Advisor
SWISS GERMAN UNIVERSITY
Logistics is the process of planning, implementing, and controlling the efficient, cost effective flow and storage of raw material, in-process inventory (Tseng, Taylor, &
Yue, 2005). Logistics business becomes the trend nowadays in the world, it can increase the competitiveness of the economic in each country. Logistics is related with logistics management for the whole process starts from the warehouse until the end of the customers. Transportation systems influence the logistics performance hugely, transporting is required in the whole production procedures, from manufacturing to delivery to the final consumers and returns (Tseng, Taylor, & Yue, 2005). This study investigates the influence of transportation to logistics management, which caused the customer’s claims. The methodology of this research uses qualitative approach. As a result, there is a significant influence of transportation towards logistics management.
Keywords: Logistics Management, Transportation, Damaged Goods, Claims, Human Error, Speed, Shipment.
Anggita Fedyana
© Copyright 2014 by Anggita Fedyana
All rights reserved
Anggita Fedyana DEDICATION
I would like to dedicate this study to my beloved family: my father, my mother, and my sister.
Anggita Fedyana ACKNOWLEDGEMENTS
First of all, I would like to thank to Allah SWT for the blessings and for giving me the chance to finish my thesis.
Second, I would like to thank and dedicate this my beloved family; my father who always gives strength to me and tells me not to give up, my mother who always be there and very care to me, and my sister who always cheers me up. Thank you so much for always praying for me, supporting and loving me unconditionally, I am so grateful for having them.
Third, I would like to extremely grateful to Dr. Sam Anantadjaya as my thesis advisor for this study who has been patience and help me in giving advices, corrections, and guidance in the whole process of this thesis.
Fourth, I would like to thank Mr. Ilman Faizar from DB Schenker who helped me to get all the internal data for this thesis.
Las but not least, I would like to thank to my fellow Swiss German University friends who always cheer me up through ups and downs, give support, making the class becomes fun, have so many laughter and happiness.
May God bless you all.
Anggita Fedyana TABLE OF CONTENTS
STATEMENT BY THE AUTHOR ... 2
DEDICATION ... 5
ACKNOWLEDGEMENTS ... 6
CHAPTER 1 - INTRODUCTION ... 11
1.1 Background ... 11
1.2 Problem Identification ... 14
1.3 Research Question ... 14
1.4 Research Purposes & Objectives ... 14
1.5 Limitations of Research ... 14
1.6 Thesis Structure ... 15
CHAPTER 2 - LITERATURE REVIEW ... 16
2.1 Framework of Thinking ... 16
2.2 Logistics Management ... 17
2.3 Transportation ... 19
2.3.1. Human Error ... 22
2.3.2 Speed ... 24
2.3.3. Shipment ... 25
2.4 Damage ... 26
2.4 Claims ... 28
2.5 Previous Studies ... 30
2.6 Differences in Studies ... 31
2.7 Research Model ... 32
CHAPTER 3 – RESEARCH METHODS ... 33
3.1 Research Process ... 33
3.2 Type of Research ... 34
3.3 Type of Data ... 34
3.4 Data Gathering ... 35
3.4.1 Primary Data ... 35
3.4.2 Secondary Data Collection ... 35
3.5 Population & Sample ... 36
3.6 Validity & Reliability ... 36
3.7 Data Analysis ... 36
Anggita Fedyana
CHAPTER 4 – RESULTS AND DISCUSSION ... 40
4.1 Company Overview ... 40
4.2 Respondent’s Characteristics ... 41
4.3 Internal Data Analysis ... 42
4.4 Interview Result ... 57
CHAPTER 5 – CONCLUSION AND RECOMMENDATION ... 60
5.1 Conclusion ... 60
5.2 Recommendations ... 61
REFERENCE ... 62
GLOSARRY ... 64
APPENDICES ... 65
Appendix A ... 65
Appendix B ... 72
Appendix C ... 73
Appendix D ... 74
CURRICULUM VITAE ... 76
Anggita Fedyana LIST OF FIGURES
Figure 1 Indonesia Logistic Performance ... 11
Figure 2 Framework of Thinking ... 16
Figure 3 Cost of Logistics ... 20
Figure 4 Classification of Human Failures ... 23
Figure 5 Interaction Diagram ... 26
Figure 6 Pareto Analyses for Delivery Malfunction ... 27
Figure 7 Research Model ... 32
Figure 8 Research Process ... 33
Figure 9 Organization Chart of DB Schenker ... 35
Figure 10 Data Summary of Jotun's Product 2013-2014 ... 42
Figure 11 Root Cause Analysis and Corrective Action ... 43
Figure 12 Causes of Damaged Goods ... 50
Figure 13 Rigid Vehicle Truck ... 57
Figure 14 Articulated Truck ... 58
Figure 15 Pictures of dented & leaked goods ... 58
Anggita Fedyana LIST OF TABLES
Table 1 Previous Studies ... 30
Table 2 Variable & Question ... 36
Table 3 Data Claims & Damaged Goods of Jotun 2013 ... 44
Table 4 Data Claims & Damaged Goods 2014 ... 48
Table 5 Total Amount of Damaged Goods Factors ... 52
Table 6 Data of Claims & Damaged Goods Boehringer Ingelheim 2013 - 2014 ... 53
Table 7 Data of Damaged Goods & Claims of Ericsson of April 2013 ... 54
Table 8 Data of Loss Goods and Claims of Ericsson for 2013 ... 55
Table 9 Summarize causes for customers ... 56