Process Optimization Practices and Employee Performance in Supply Chain Operations of Selected Logistics Companies: Towards the Development of Sustainable Productivity Enhancement Program

Abstract

The study examined process optimization practices and employee performance in the supply chain operations of selected logistics companies and used the findings to develop a Sustainable Productivity Enhancement Program. It employed a descriptive-quantitative research design and involved 813 employees from Ninja Van, Airspeed, and LOCAD. The study assessed process optimization practices in terms of Process Mapping, Analysis, Redesign, Implementation, Measurement, and Continuous Improvement, and employee performance through Task Performance, Contextual Performance, Adaptive Performance, and Counterproductive Work Behavior. Findings showed that process optimization practices were strongly practiced, with an overall combined mean of 3.70 (SD = 0.39). Analysis and Redesign had the highest combined mean (3.73), while Implementation and Measurement had the lowest (3.66). Process optimization practices had a Very High perceived effect on employee performance (M = 3.55, SD = 0.39), with Task Performance and Contextual Performance receiving the highest assessments. Significant differences in process optimization practices were found according to position and length of service, while company affiliation significantly differentiated Analysis and Redesign but not the overall assessment. The perceived effect of process optimization on employee performance also differed significantly according to position, length of service, and company affiliation. A significant moderate positive relationship was found between process optimization practices and employee performance in achieving sustainable productivity (r = .453, p < .001). The findings indicate that stronger process optimization practices are associated with better employee performance and provide an empirical basis for the proposed Sustainable Productivity Enhancement Program. The selected logistics companies are recommended to strengthen implementation, measurement, communication of revised procedures, employee adaptability, and continuous improvement to sustain productivity.