The role of innovation capability in the Australian courier industry

The purpose of the paper is to present the empirical evidence of the innovation capability influencing the operation capability and logistics performance in the Australian courier industry. According to resource-based view, firm capabilities including dynamic capabilities and ordinary capabilities play a vital role in a firm to generate competitive advantages. It is important to understand the role of firm capabilities in order to achieve better performance results. Further, innovation capability is one of the dynamic capabilities, which can be deployed to extend, modify or create the ordinary capability in a firm; operation capability is an ordinary capability in the paper. In addition, the logistics performance is critical for courier firms to deliver value and service to customers. This paper, therefore, gives an attempt to investigate the relationships among innovation capability, operation capability and logistics performance. The results show how innovation capability can coordinate with operation capability in order to influence logistics performance. This provides a starting point for understanding of the role of innovation capability in the Australian courier industry. This has important implications for both managers and academics to improve the logistics performance in the logistics and transport firms. Moreover, the paper makes a contribution to strategic management and innovation management literature.