Management Theory and Studies for Rural Business and Infrastructure Development, Volume 19

Sustainable development of logistical organization using the logistics performance index (LPI)

Ligita Šimanskienė, Audrius Kutkaitis

Abstract

The article analyses sustainable development and possibility to use it in logistical organizations.
This is helped by using LPI. It is complemented by a number of qualitative and quantitative
indicators of the domestic logistics environment, institutions, and performance of supply
chains (such as costs and delays). The LPI and its indicators point to significant differences in
logistics performance across countries and regions. Countries that top the LPI ranking are typically
key players in the logistics industry, while those at the bottom are often trapped in a vicious
circle of overregulation, poor quality services, and underinvestment. Among developing countries,
logistics overachievers are also those experiencing economic growth led by manufactured
exports. The authors provide the universal model of sustainable development and logistical organizational
relationships in organisation, which could be successfully used for organisation
management by any manager who has appropriate theoretical and practical background. On this
model there are three levels: ecological, economical and social. In all these levels are some realistic
criteria’s for sustainable development in logistic organizations.

Keyword(s): logistics, logistic organizations, Logistics Performance Index (LPI), the sustainable development of logistic organization


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Management Theory and Studies for Rural Business and Infrastructure Development eISSN 2345-0355

This journal is published under the terms of the Creative Commons Attribution-Noncommercial 3.0 Unported License. Responsible editor: Dr Audrius Gargasas.