Association between logistics and financial performance: The case of Croatian “best-of-breed” Enterprise Resource Planning (ERP) users
Association between logistics and financial performance: The case of Croatian “best-of-breed” Enterprise Resource Planning (ERP) users

Summary/Abstract: In the era of global business, supply chains become ubiquitous and critical elements of business performance, since contemporary organizations try to improve the performance of their logistics. This optimization is often attempted by introducing modular ERPs, which represent a promising tool for achieving both superior performance in the fields of logistics (as well as other individual functions) and the corporate level. The aim of this study is to assess whether there is a cumulative effect of performance improvement, which flows from a specific functional field of logistics (measured by adequate functional indicators) to the corporate level (measured by the indicators of corporate profitability, including Return on Assets - ROA, Return on Equity – ROE and Return on Sales – ROS). In addition, it will be tested whether the choice of an ERP vendor affects the performance effects in the analyzed sample. The analysis was performed on an indicative sample of 52 large Croatian companies – users of major “best-of-breed” ERP packages.

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