Leveraging Intellectual Capital to Enhance Organizational Efficiency in Public Sector Logistics Firms

Abstract

The continual inefficiencies in the Public Sector  supply chains are observed to jeopardize optimal operational preparedness and mission efficiency, especially in the logistics setting in the public sector logistic firms that follow strict patterns and security limits. This paper discusses the issue of intellectual capital in improving organizational efficiency in the supply chain management of the public sector logistic stores in the Pakistan Public sector logistic firms. The study is based on the Resource-Based View (RBV) theory and explores the contribution of human, structural, and relational capital to the better performance of efficiency. The quantitative exploratory research design was used, and data were gathered by using structured questionnaires of 65 personnel engaged in procurement, inventory control, and logistics functions within the public sector logistic firms establishments. The proposed hypotheses were tested by multiple regression analysis. The result of the findings indicates that the intellectual capital explains 33.2 percent of the variations in the organizational efficiency. The strongest and statistically significant predictor turned out to be human capital, and this demonstrates the significance of the knowledge, skills, and experience of personnel. Relational capital had a minor positive influence, which means that there were partial advantages of coordination and collaboration, whereas structural capital was not significant, which can be interpreted as the lack of use of organizational systems and technologies. The theoretical contribution of the study, as it applies to the RBV and intellectual capital literature, is to apply the area to a scenario involving a Public sector logistic supply chain, and, more practically, provide evidence-based information to train, digitalize, and allocate strategic resources in the context of Public Sector logistics.

Intellectual Capital, Human Capital, Structural Capital, Relational Capital, Organizational Efficiency, Supply Chain Management, Public Sector Logistics, Resource-Based View, Public Sector Logistic Firms