Contracts for logistics and transportation services : comparing contract content with strategic positioning

Academic and trade literature in the logistics and transportation domain is replete with accounts of the value of partnerships. This literature focuses on the value created by partnering relations and appropriate partnership models. The literature does not discuss the importance of the role the contract has in relationship management nor does it discuss how contracts should be developed to support the relationship. This disconnect represents a measurable knowledge gap. This research examines the content of logistics and transportation contracts in a relational contracting framework. The study examines whether contracts reflect relational or classical contracting and how contracts align with the strategic partnering occurring in the logistics and transportation domain.

The method of investigation was content analysis. Content analysis is used to examine textual documents for discrimination and classification of content. The methodology was employed within the relational contracting framework. The contracts that were examined were gathered via two nationwide mailings.

The findings reveal that contracts in the logistics and transportation domain are primarily classical in nature. The research also revealed a lack of consistency in the clauses used in transportation and logistics contracts.

The researcher concluded the industry benefits from a framework for relational contract development and provision of clauses that are well suited for use in relational contracting.