IMPACT OF THIRD-PARTY LOGISTICS (3PL) ON ORGANIZATIONAL PERFORMANCE WITH MEDIATING ROLE OF CUSTOMER SATISFACTION IN THE FMCG'S COMPANIES OF PAKISTAN

Abstract

Purpose The emergence of globalization has made outsourcing to become one ofthe widely embraced business strategy for delivering outstanding services to consumers in the manufacturing However, in spite of the increasing trend in outsourcing arrangements, there are inadequate literature underpinnings on how outsourcing activities affect organization performance. The use of third party logistics consistently increasing trend in FMCG’s companies is the major point of the present research. This research will help FMCG’s in order to boost their performance because it will contribute in the exiting knowledge and literature regarding the FMCG’s adoption of 3PLs. present article will provide a clear picture to the future researches and it will make use of third party logistics more strategic. This research will fill gaps of literature in context of emerging nation like Pakistan. Not only for academic purpose but for industry growth and better attainment oftheir targets, this research will help them too. sector. Methodology & Design Research design selected for the study is descriptive, Polit and Beck (2004) assumes that the utility of descriptive research increases the analysis of relations between the phenomena necessary for quantitative type of analysis. Findings The multifaceted nature of Supply chain in the FMCG industry because of modern business patterns, for example, international business has increased the emphasis on logistics to limit charges/expenses and endangers. The major portion of expenses is logistics. These expenses can be managed greater with the assistance of 3PL companies who can give their expert services to FMCG’s companies. Right now, the SC of the FMCG industry has an immense zone of progress. Here is a major open door for 3PL companies to acquire profit and work in the industry by increasing the efficiency and effectiveness oftheir services to meet the client’s needs.Limitations 1 his lesearch study has been conducted over a limited time frame with a specified sample size. Hence it is difficult to generalize the overall findings. Sampling technique due to which generalizability of this study is limited. This study is specific to FMCG’s companies of Pakistan; therefore all the analysis and outcomes are limited to a chosen companies only. was convenience Recommendations Organizations should not outsource an activity fully until they have confirmed beyond doubt that the service provider is capable of handling the activity. Organizations should outsource with a clear picture in mind as to why they want to outsource. When organizations outsource they should have measurable indicators in form of Key Performance Indicators (KPI) for the service provider.