The Effect of Logistics Service Attributes on Customer Satisfaction: A case of Ethiopian Pharmaceutical Supply Agency of Jimma, Nekemte, and Gambella Hubs

Abstract

These days, Pharmaceutical customers are one of the utmost key stakeholders in the healthcare supply chain, and ensuring their satisfactions with the logistics services have become worthwhile. This study aimed to examine the effect of logistics service attributes on customer satisfaction in the Ethiopian Pharmaceutical Supply Agency of Jimma, Nekemte, and Gambella branches. The study employed a cross-sectional descriptive and explanatory research design. A pretested questionnaire was used to collect data from 237 respondents employing a systematic sampling method. The data were analyzed through SPSS and AMOS software. Regarding customers’ satisfaction level about 62.1%, 37.1%, and 49.1% of respondents expressed that they were satisfied with pre-transaction, during-transaction, and post-transaction logistics services delivery process. All logistics service attributes information quality, ordering procedures, personal contact quality, product availability, timeliness, order accuracy, order discrepancy handling, and complaint handling have affected customer satisfaction positively and significantly explaining 68.9% variation. Thus, it is worth pointing that the higher logistics service attribute is likely to enhance customer satisfaction. Therefore, Logistics managers should strive to ensure customers get the desired products and services reliably with a high level of requested quantities that are delivered on time to satisfy them even by far better than their expectations and perceptions