EFFECTS OF LOGISTICS PROBLEMS ON LOGISTICS PERFORMANCE AND CUSTOMER SERVICE SATISFACTION IN RETAIL STORE: THE CASE OF IKEA, JEDDAH, SAUDI ARABIA

Abstract

The study aimed to discuss on logistics problem that affected logistics performance and customer services satisfaction in IKEA=Jeddah branch. The qualitative and quantitative methods had been used to collect the data. The primary data had been collected through interview and survey. Meanwhile, secondary data was collected through Key Performance Index (KPI) reports. The questionnaire survey was present for IKEA customers and manger at IKEA was selected to identify common logistics problems and provided required data for this study. The survey questionnaire used to measure the customer satisfaction for the store service. The result showed common logistics problems at IKEA Jeddah branch related to order cycle time, lead time and stock availability. These problems affected the logistics performance in the store that led to customer dissatisfaction. The service level performance of IKEA Jeddah branch was less improving on their store that led to poor service and customer dissatisfaction