Skip to main content
SpringerLink
Log in

Analysis of Logistical Barriers Faced by MNCs for Business in Indian Smart Cities Using ISM-MICMAC Approach

  • Conference paper
  • First Online:
Smart Cities—Opportunities and Challenges

Part of the book series: Lecture Notes in Civil Engineering ((LNCE,volume 58))

Abstract

India is predicted to be one of the world’s fastest-growing large economies for this decade, according to projections from the World Bank and the International Monetary Fund. A lot of this growth is attributed to the operations of various multinational companies (MNCs) setting up their businesses in the country. Additionally, the plan set in place by the Indian Government to bring up numerous Smart Cities augurs well for the MNCs from a business point of view. But, most MNCs face logistical problems in connection with transportation of their material and the flow of information. The research objective of this paper is to describe the current state of Indian logistics service and identify the logistics barriers that foreign firms have encountered in India. Identification of the barriers in the system is a good first step towards rectifying the logistical systems. This work lays an affirmation to the observation that an ‘Incompatible Supply Chain Model’, along with ‘Poor Skills of Logistics Professionals’ and ‘Low Rate of Technology Adoption’ collectively act as the primary driving barriers to the Indian logistical system. This paper portrays the interdependence between various factors in the logistics industry that act as barriers for MNCs while carrying out business in India. After listing out the barriers, a hierarchy is formed using the Interpretive Structural Modelling (ISM) and MICMAC techniques to find the individual importance of each barrier and in what capacity it contributes to the problem.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 349.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 449.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 449.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Chikhalkar R, Khurana S, Khurdelia A (2014) Analyze and design an efficient logistics system: a case study of mid-size FMCG Company in India

    Google Scholar 

  2. Agarwal C (2017) Budget 2017: India’s logistics sector primary expectation lies with timely implementation of GST, says Chander Agarwal, TCIEXPRESS. Fin Exp, 25 Jan 2017

    Google Scholar 

  3. Ramanathan R (2010) The moderating roles of risk and efficiency on the relationship between logistics performance and customer loyalty in E-commerce. Transp Res Part E: Logistics Transp Rev 46(6):950–962

    Article  Google Scholar 

  4. Yu Y, Wang X, Zhong RY, Huang GQ (2016) E-commerce logistics in supply chain management: practice perspective. Procedia Cirp 52:179–185

    Article  Google Scholar 

  5. Agatz NA, Fleischmann M, Van Nunen JA (2008) Efulfillment and multi-channel distribution–a review. Eur J Oper Res 187(2):339–356

    Article  MATH  Google Scholar 

  6. Esper TL, Jensen TD, Turnipseed FL, Burton S (2003) The last mile: an examination of effects of online retail delivery strategies on consumers. J Bus Logistics 24(2):177–203

    Article  Google Scholar 

  7. Joong-Kun Cho J, Ozment J, Sink H (2008) Logistics capability, logistics outsourcing and firm performance in an E-commerce market. Int J Phys Distrib Logistics Manag 38(5):336–359

    Google Scholar 

  8. Wilding R, Juriado R (2004) Customer perceptions on logistics outsourcing in the European consumer goods industry. Int J Phys Distrib Logistics Manag 34(8):628–644

    Article  Google Scholar 

  9. Bolumole YA (2001) The supply chain role of third-party logistics providers. Int J Logistics Manag 12(2):87–102

    Article  Google Scholar 

  10. Highfield V (2014) The home depot’s Mark Holifield on fulfilling customer needs

    Google Scholar 

  11. Knemeyer AM, Corsi TM, Murphy PR (2003) Logistics outsourcing relationships: customer perspectives. J Bus Logistics 24(1):77–109

    Article  Google Scholar 

  12. Rabinovich E, Windle R, Dresner M, Corsi T (1999) Outsourcing of integrated logistics functions: an examination of industry practices. Int J Phys Distrib Logistics Manag 29(6):353–374

    Article  Google Scholar 

  13. Rao K, Young RR (1994) Global supply chains: barriers influencing outsourcing of logistics functions. Int J Phys Distrib Logistics Manag 24(6):11–19

    Article  Google Scholar 

  14. Kumar D, Jain S, Tyagi M, Kumar P (2018) Quantitative assessment of mutual relationships of issues experienced in greening supply chain using ISM-fuzzy MICMAC approach. Int J Logistics Syst Manag 30(2):162–178

    Article  Google Scholar 

  15. Tyagi M, Kumar P, Kumar D (2015) Analysis of interactions among the drivers of green supply chain management. Int J Bus Perform Supply Chain Model 7

    Google Scholar 

  16. Shuaib M, Khan U, Haleem A (2016) Modeling knowledge sharing factors and understanding its linkage to competitiveness. Int J Glob Bus Compet 11(1):23–36

    Google Scholar 

  17. ‘3PL: The new sunrise industry’, Cargo Connect

    Google Scholar 

  18. ‘Total transport systems study on traffic flows & modal costs: Report for Planning Commission’, RITES

    Google Scholar 

  19. Allcargo Logistics-higher dwell time at CFS’ and lower freight rates boosts profits’, IDFC ‘Cold chain market. Research on India

    Google Scholar 

  20. Report of the Working Group on Warehouse Receipts & Commodity Futures. Reserve Bank of India

    Google Scholar 

  21. Thaller C, Moraitakis N, Rogers H, Sigge D, Clausen U, Pfohl H-C, Hartmann E, Hellingrath B (2011) Analysis of the logistics research in India—white paper

    Google Scholar 

  22. Transportation, Logistics, Warehousing and Packaging Sector (2022) National Skill Development Corporation

    Google Scholar 

  23. ‘Seminar proceedings on Building Warehousing Competitiveness’, CII

    Google Scholar 

  24. Cushman and Wakefield, Logistics industry real estate’s new power house’

    Google Scholar 

  25. Deloitte, Logistics and infrastructure: exploring opportunities

    Google Scholar 

  26. Ernst & Young LLP, CII Institute of Logistics (2013) The Indian warehousing industry: an overview

    Google Scholar 

  27. Neeraja B, Mehta M, Chandani A (2014) Supply chain and logistics for the present day business. Procedia Econ Fin 11:665–675

    Article  Google Scholar 

  28. Carter P, Carter JR (2007) The future of supply management—part III: organization + talent. Supply Chain Manag Rev 11(8):37–43

    Google Scholar 

  29. Closs DJ (2000) Preface. J Bus Logistics 21(1):1

    MathSciNet  Google Scholar 

  30. Green A (2010) Building the skills to support a high-performance supply chain. Supply Chain E-Mag

    Google Scholar 

  31. Thai V, Cahoon S, Tran H (2011) Skill requirements for logistics professionals: findings and implications. Asia Pac J Mark Logistics 23:553–574

    Google Scholar 

  32. By DDC FPO “Top 8 Logistics Challenges Facing the Industry”. www.logisticsmgmt.com, 1 Nov 2017

  33. van der Aalst WMP, ter Hofstede AHM, Weske M (2003) Business process management: a survey. In: Proceedings of the international conference of business process management, Eindhoven, The Netherlands, 26–27 June 2003

    Google Scholar 

  34. Evangelista P, Colicchia C, Creazza A (2017) Is environmental sustainability a strategic priority for logistics service providers? J Environ Manage 198:353–362

    Article  Google Scholar 

  35. Aronsson H, Huge Brodin M (2006) The environmental impact of changing logistics structures. Int J Logistics Manag 17(3):394–415

    Google Scholar 

  36. Daugherty PJ, Bolumole Y, Grawe SJ (2018) The new age of customer impatience: an agenda for reawakening logistics customer service research. Int J Phys Distrib Logistics Manag

    Google Scholar 

  37. Lin Y et al (2016) Exploring the service quality in the e-commerce context: a triadic view. Ind Manag Data Syst 116(3):388–415

    Google Scholar 

  38. Bianchi C (2006) Home depot in Chile: case study. J Bus Res 59(3):391–393

    Article  Google Scholar 

  39. Bianchi CC, Ostale E (2006) Lessons learned from unsuccessful internationalization attempts: examples of multinational retailers in Chile. J Bus Res 59(1):140–147

    Article  Google Scholar 

  40. Babones S (2018) India may be the world’s fastest growing economy, but regional disparity is a serious challenge. www.forbes.com 10 Jan 2018

  41. Kumar GS, Shirisha P (2014) Transportation the key player in logistics management. J Bus Manag Soc Sci Res (JBM&SSR) 3(1). ISSN No: 2319–5614

    Google Scholar 

  42. Ravi V, Shankar R (2004) Analysis of interactions among the barriers of reverse logistics. Technol Forecast Soc Change

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Delhi Technological University, New Delhi, 110042, India

    Nikhil Gandhi, Mohd Shuaib & Deepak Kumar

  2. Jamia Millia Islamia University, New Delhi, 110025, India

    Abid Haleem

Authors
  1. Nikhil Gandhi
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Abid Haleem
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Mohd Shuaib
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Deepak Kumar
    View author publications

    You can also search for this author in PubMed Google Scholar

Editor information

Editors and Affiliations

  1. Jamia Millia Islamia, New Delhi, India

    Sirajuddin Ahmed

  2. Jamia Millia Islamia, New Delhi, India

    S. M. Abbas

  3. Jamia Millia Islamia, New Delhi, India

    Hina Zia

Rights and permissions

Reprints and permissions

Copyright information

© 2020 Springer Nature Singapore Pte Ltd.

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Gandhi, N., Haleem, A., Shuaib, M., Kumar, D. (2020). Analysis of Logistical Barriers Faced by MNCs for Business in Indian Smart Cities Using ISM-MICMAC Approach. In: Ahmed, S., Abbas, S., Zia, H. (eds) Smart Cities—Opportunities and Challenges. Lecture Notes in Civil Engineering, vol 58. Springer, Singapore. https://doi.org/10.1007/978-981-15-2545-2_47

Download citation

  • DOI: https://doi.org/10.1007/978-981-15-2545-2_47

  • Published:

  • Publisher Name: Springer, Singapore

  • Print ISBN: 978-981-15-2544-5

  • Online ISBN: 978-981-15-2545-2

  • eBook Packages: EngineeringEngineering (R0)

Publish with us

Policies and ethics

Search

Navigation