ICT innovation diffusion in small Italian logistics service providers. Future challenges and policy interventions

Information and communication technology (ICT) is considered one of the most important technological innovations that provide companies with a wide range of opportunities to improve efficiency and effectiveness and even gain competitive advantage. Nevertheless, employ ICT is challenging particularly for small and medium sized enterprises (SMEs). This is evident during difficult economic times when SMEs are much more exposed to the negative effects of the economic downturn. Small third-party logistics service providers (3PLs) are no exception as the adoption of ICT innovation presents risks connected to the unclear returns of investment. The objective of this chapter is to investigate ICT innovation adoption in small 3PLs through an empirical research conducted on the Italian logistics service market. The role of ICT in supporting service customization together with inhibitors and enabling factors influencing technology usage are explored. The findings have been used to identify guidelines for devising targeted policy interventions to accelerate the adoption of ICT in the small 3PL sector.