The impact of a global logistics integration system on localization service and business competitive advantage

Abstract

Purpose The purpose of this paper is to discuss the integration of information technology (IT) systems and the strengthening of customer service to raise business competitive advantage. Design/methodology/approach The case company uses IT systems to integrate customers and suppliers. In this paper, both are interviewed about how they work together for the development and operation of IT systems. A grounded theory approach is followed to develop the theoretical framework from the empirical evidence. Findings This research regards the whole machine industry as having the following influence, beginning with the related innovation business model. Previously, most machine tool companies played the role of product manufacturer, making high‐quality products the goal. This research indicated that not only can Taiwan manufacture high‐quality products but also that it can create product design and support a global localization service to the world. Practical implications In this paper, information architecture planning is designed to strengthen the bonds between the clients and the company. Originality/value This paper may help global companies concerned with the development, support, and operation of IT systems to look beyond the systems of their collaborative working to consider the effect of supporting a localization service in their systems.