OPERATIONAL PERFORMANCE OF COMPANY ZY LOGISTICS- BACOLOD CITY

A Research Paper
Presented to the Faculty
Of the Yu-An Log College of Business and Accountancy
University of St. La Salle
Bacolod City

In Partial Fulfillment of the Requirements for the Degree

Of Bachelor of Science in Business Administration
Major in Operations Management

Antipatia, Anthony
Cabantan, Joshren
Jong, Jotham
Jumuad, Jerson
Montepio, Vincent
Reyes, Christanie Rose

April 2021
 University of St. La Salle
Bacolod City

February 10, 2021

Sir Archimedes Valderama
Professor
Operations Management Department

Dear Sir Valderama:

Greetings!

We are 3rd year Operation Management Majors taking Operations Research, a venue where we
can enhance our skills in terms of critical thinking and effective communication.
In line with this learning experience, we would like to request you to become our research
adviser, to guide our way until we complete our study. Rest assured that we will do our best to
meet your expectations.

We will greatly appreciate your acceptance.

Thank you and God Bless.
Very truly yours,
Conforme:
Antipatia, Anthony
Cabantan, Joshren
Jong, Jotham
Jumuad, Jerson
Montepio, Vincent
Reyes, Christanie Rose

Archimedes L. Valderama Approved by:

Printed name and signature of Adviser
Dr. Ariadne Socorro R. Cordero
Professor
 ACKNOWLEDGEMENT

The completion of this project would not be possible without the kind support and shared-

expertise of these important people.

The researchers would like to express their profound gratitude and deepest regard to their

Research professor, Dr. Ariadne Socorro Cordero and Research adviser, Mr. Archimedes

Valderama, MBA, for their exemplary guidance, supervision and constant encouragement

throughout the duration of this project. It is whole-heartedly expressed that their advice for this

research proved to be a landmark effort towards the success of this project.

To the panelists, Mrs. Rolena Letran, MBA, Ms. Bea Emma Bachinela, MPA, and Mr.

Tabujara, MBA, the proponents of this study would like to extend their special thanks to all of

them for providing substantial feedback and critique. Through this, they were able to correct the

flaws and consequently improve the quality of the research paper.

To the Ethics Committee, the research team would like to present their heartfelt thanks for

their assistance in making sure that this study follows ethical standards and abides with the

guidelines imposed by the institution.

The researchers would also like to give due appreciation to all the respondents who

participated and exerted extra time and effort in answering the survey questionnaire, the entire

school community for giving the students the opportunity to experience doing this research

project, to their friends, for the continuous inspiration and moral sustenance and to the parents

for their unwavering support and assistance in pursuit of completing the paper.
 Lastly, the researchers recognize the loving God, the source of all wisdom and talents, for

His guidance and presence. He inspired the researchers to pursue the topic in hopes of transpiring

change and shedding light to the research problem.

 TABLE OF CONTENTS

TITLE PAGE

APPROVAL SHEET

TABLE OF CONTENTS

LIST OF TABLES

LIST OF FIGURES

ABSTRACT

INTRODUCTION

Background of the Study

Statement of the Problem

Hypotheses

Conceptual Framework

Scope and Limitation

Significance of the Study

Definition of Terms

Review of Related Literature

METHODS

Research Design

Participants of the Study

Instrumentation

Data Gathering Procedure

Statistical Treatment
 Ethical Consideration

RESULTS AND DISCUSSION

CONCLUSION

RECOMMENDATION

REFERENCES
APPENDICES

Appendix A: Informed Consent Form

Appendix B: Survey Questionnaire
Appendix C: Good and Scates Results
List of Table

Table 1 Verbal Interpretation

Table 2 Frequency of Respondent’s Profile
Table 3 Operational Performance of ZY Logistics Company

List of Figures

Figure 1 Schematic diagram showing the conceptual framework of the study

Figure 2 Organizational Structure of ZY Logistics

 ABSTRACT

This study aims to investigate the operational performance of ZY Logistics during the
pandemic. A descriptive research design was used in this study. Convenience sampling and
interview was used to conduct a survey with 10 participants. The researchers utilized frequency
and percentages to analyze the participants' profile and mean in getting the results for the
operational performance. The results from the interview were narratively stated. The findings
revealed that the majority of the participants are male, aged 25-39, employed as regulars.
Furthermore, the findings revealed that employees of ZY Logistics are performing at their very
great extent for their company. In addition, the strengths and weaknesses of the management
completely helped the manager by recognizing their lapses during the pandemic. These findings
imply that when unfortunate events happen such as the pandemic, a company or a business
should be able to adopt and come up with management style to retain customers. On this basis,
employees must ensure that they adjust to the changes.
 INTRODUCTION

Background of the Study

Today’s business owners are faced with overwhelming, competing challenges and

uncharted waters as they continue to navigate the impacts of the COVID-19 pandemic. Many

organizations are already taking “no regret” actions to emerge from the pandemic stronger.

These leaders are facing the crisis with a spirit of reinvention such as accelerating digital

transformation, establishing variable cost structures, and implementing agile operations.

(Accenture, 2020)

In recent months, the landscape has changed, with the pandemic continuing to peak in

some markets and returning in others. Amidst this uncertainty, the steps for reopening and

reinvention remain unchanged, but companies must now consider how the pandemic’s progress,

strength or recurrence in different geographies is impacting their recovery strategies. Logistics

firms, which are involved in the movement, storage, and flow of goods, have been directly

affected by the COVID-19 pandemic. As an integral part of value chains, both within and across

international borders, logistics firms facilitate trade and commerce and help businesses get their

products to customers. Supply chain disruptions to the sector caused by the pandemic could,

therefore, impact competitiveness, economic growth, and job creation. The pandemic has seen

the e-commerce industry flourish. Retailers and business owners are compelled to transition their

market online to sustain their operations as physical stores were forced to close or to limit their
transactions through take-out and delivery services in keeping with quarantine regulations of

social distancing and staying at home.

People have come to accept online shopping as the new norm as health and safety

protocols force them to stay at home. As a result, e-commerce and companies are on the rise,

which has consequently intensified the logistics industry. Innovations and initiatives in e-

commerce logistics to cater to the enormous logistics demand are becoming more common.

The pandemic’s adverse effects on some industries has consequently affected the

logistics and warehousing industry as it limited the movement of goods nationwide. The

quarantine measures affected the manufacturing sector, in particular, as it focused on the

production and distribution of essential goods. Manufacturing firms were forced to reduce

production costs in response to the decrease in purchases.

E-commerce has been predominant during the COVID-19 pandemic, and retailers have

put much effort into building, improving, and promoting their online stores. Some small retailers

that did not manage online stores before the shutdown developed temporary solutions to sell their

products online, e.g., by posting products on social media sites and by offering product pick-up

or delivery services. Others have offered discounts for their online channels and started

promotion campaigns on social media. (Koch & Frommeyer, 2020)

Today, the need for such services is ever important due to the rise of the coronavirus.

With the pandemic raging, transactions are mostly held online and without close contact.

Bacolod being a highly urbanized city with average to high earning residents are able to shop

online and have their items in means of delivery by a courier. In light of this, couriers are

becoming more and more active since the start of 2020. During quarantine period, most people
flocked to courier services in order to attend to their needs. Food, clothing, documents, etc. are

being sent throughout the city. With the utilization of motorcycles, Company ZY Logistics -

Bacolod can even reach hard to access rural areas within the city.

With the increasing penetration of the internet, online shopping has become ubiquitous

with payments and deliveries made easy. Moreover, owing to COVID-19, online shopping has

become even more attractive, considering the restricted circumstances. Considering the situation

since the pandemic happened, it would best suit the researchers to be able to study Company

ZY’s logistic operational performance based on their quality, speed, dependability, flexibility,

and cost in performing their service to customers. It would be a great knowledge not only for the

researchers but to other significant people who are interested to this kind of research topic.

Statement of the Problem

This study aims to determine the operational performance of ZY Logistics Company-Bacolod

City during the pandemic.

Specifically, it seeks to answer the following questions:

1. What is the business profile of Company ZY in terms of:

a. Form of ownership,

b. Number of Employees; and,

c. Organizational Structure?

2. What is the profile of the Company ZY riders in terms of:

a. Age,
 b. Employment Status,

c. Length of Employment; and,

d. Civil Status?

3. What is the extent of operational performance during pandemic in terms of:

1. Quality,

2. Speed,

3. Dependability,

4. Flexibility; and,

5. Cost?

4. What are the strengths and weaknesses of the operational performance in terms of:

a. Quality,

b. Speed,

c. Dependability,

d. Flexibility; and,

e. Cost?

5. What suitable recommendations can be given by the researchers to improve the operational

performance of ZY Logistics Company?

Conceptual Framework

This study will basically focus on the business operations of a logistic company in

Bacolod. It will focus on their five (5) basic operating performance objectives, the quality, speed,

dependability, flexibility, and cost. Strengths and weaknesses will also be determined based on

the five (5) variables during pandemic. The independent variable of the study is the business

profile of Company ZY in Bacolod City, while the dependent variable are the operating

performance based on the given variables and their strengths and weaknesses. An article from

the International Finance Corporation, 2021 state that the pandemic spread to the rest of the

world, leading to lockdowns and border closures that restricted the movement of goods.

According to Tan, Sue-Ann, 2020, Company ZY has been busier than ever delivering to people

cooped up at home during the circuit breaker period in Singapore, which makes its safety

measures even more vital for both staff and customers, said the express logistics firm. The

company has around 1,000 employees, with those in the corporate office working from home but

the operations team continuing to make deliveries. Ms. Nada R. Sanders, author of the book

entitled “The Definite Guide to Manufacturing and Service Operations”, stated that Operations

Management is the business function responsible for managing the process of creation of goods

and services. It involves planning, organizing, coordinating, and controlling all the resources

needed to produce a company’s goods and services. Because operations management is a

management function, it involves managing people, equipment, technology, information, and all

the other resources needed in the production of goods and services. Operations management is

the central core function of every company. This is true regardless of the size of the company,

the industry it is in, whether it is manufacturing or service, or is for-profit or not-for-profit.

The schematic diagram below shows the dependent and independent variables involved in the

study.

Operational
performance in terms
of:
Business Profile a. Quality
b. Speed
a. Form of c. Dependability
ownership, d. Flexibility
e. Cost
b. Number of
Employees and
Strengths and
employee’s profile Weaknesses in terms of: Recommendations
and;
c. Organizational a. Quality
b. Speed
Structure? c. Dependability
d. Flexibility
e. Cost

Figure 1. Schematic diagram showing the conceptual framework of the study

Scope and Limitations

The research is carried out to understand the impact of the pandemic on the operating

performance of the delivery services. Investigation will be conducted in terms of the flow of the

business, impact, challenges, and changes. Furthermore, recommendation will be provided to

improve the operation of the company. The study is conducted from ZY Logistics Company

point of view on how they are managing their services despite of the pandemic with an increase

in customer demands and what are the strengths and weaknesses of tying up with the third-party

delivery services. The geographical scope of the study is Bacolod City. The respondents of this
study which includes the manager, four (4) office staffs, and five (5) riders Bacolod branch.

Respondents will be only be restricted 10 employees; manager, customer associate, and riders

due to the company’s request to limit the participants. Data gathering will start from the summer

break, June to July of 2021.

Significance of Study

This study is significant and useful to people who are directly and indirectly with the business.

The following specific people have a higher possibility to benefit from the study.

Management of Company ZY. As the company that continues to provide their services

even in the midst of pandemic, this study aims to grant ZY Logistics Company vital data for their

operations. With the data, the company would understand the effects of the pandemic to their

activities. The company would transparently perceive the possible solutions to their problems, so

that they could adjust and create strategies in order to prevent or minimize probable negative

outcomes.

Employees. This study is also vital and indispensable to the morale of the employees.

This study will provide data about the challenges and adjustments made by the employees during

the pandemic. Furthermore, the data provided can be used to help them develop more efficient

ways of conducting their duty.

Customer. As the majority, and the most important factor in any business, this study

aims to provide data that may be used to increase customer satisfaction. The customers of ZY

Logistics Company are the main beneficiaries of this study. Findings will give the customers a
clear and transparent look at the present status of the business and the countermeasures they

enact in order to provide a satisfactory and low-risk service.

Clients. As a contributing foundation on which this country relies, the clients has the

ability to increase productivity and wealth of the people, and the country along with it. This

study provides the clients the information that is needed in order to overcome the challenges

brought on by the pandemic. Furthermore, the data that is gathered in this study allows for

businesses to have the operational flexibility in managing their resources and strengthens the

development of future strategies.

Future Researchers. The findings of the study will provide information that can serve as

baseline data for further research on improving the current study. This study would be a stepping

stone for the future researchers whose aim is to determine possible management strategies amidst

crisis.

Definition of Terms

The following key terms are provided with their conceptual and operational meaning for a clear

interpretation of data.

Adjustments. Conceptually, it is the act of adjusting; adaptation to a particular condition,

position, or purpose. (Collins, 2021).

Operationally, it is the creation of the company with new strategies to survive the

pandemic when it comes to the operational flow.

 Business Owners. Conceptually, it is defined as the legal proprietor of a business. An

individual or group that owns the assets of a firm and profits from them. (Fairlie, R. W. (2020).

Operationally, it is the risk takers especially in this time of pandemic where every

decision matters.

Challenges. Conceptually, it is defined as obstacles that you face in the midst of a certain

situation. (Asian Critical Care Clinical Trials Group, 2020).

Operationally, it defines the hurdle that delivery service business is facing and how they

overcome it.

Cost. Conceptually, is an expenditure required to produce or sell a product or get an asset

ready for normal use. Pandit, P., Nadathur, G. T., & Jose, S. (2019).

Operationally, are the necessary expenditures that must be made in order to run a

business. Every factor of production has an associated cost. The cost of labor, for example, used

in the production of goods and services is measured in terms of wages and benefits.

Delivery services. Conceptually, is a courier to deliver the products bought by the

consumers from a certain place or shop. (Campbell, A. M., & Savelsbergh, M., 2006).

Operationally, it defines as the effort of the courier and how effective it is amidst the pandemic.

Dependability. Conceptually, is defined as the quality of being able to be counted on or

relied upon. Bagchi, S., Siddiqui, M. B., Wood, P., & Zhang, H. (2019).

Operationally, it means that if the company has this kind of trait, it can be considered as

trustworthy and can be easily relied on by others.

 Flexibility. Conceptually, in the workplace means being able to quickly adapt to new

circumstances as they arise. Murakami, H., & Sasaki, H. (2020).

Operationally, flexibility in the business on how you adapt and take care of other things inside

the business. The focus is not only to one but many other departments.

Lockdown. Conceptually defined as a restriction policy for people or community to stay

where they are, usually due to specific risks to themselves or to others if they can move and

interact freely. (Lau, H., Khosrawipour, V., Kocbach, P., Mikolajczyk, A., Schubert, J., Bania, J.,

& Khosrawipour, T. (2020).

Operationally defines that people need to stay indoors but they can go out to buy essential

commodities and essential services using quarantine pass provided by the barangays.

Logistics. Conceptually, is essentially an integrative process that seeks to optimize the

flow of materials and supplies through the organization as well as its operations to the

customer. (Christopher, M. (2018). New directions in logistics. In Global logistics and

distribution planning (pp. 27-38). Routledge.)

Operationally, it defines as processes of moving finished goods, including from the manufacturer

a distribution center, and then to the end user.

Operational Performance. Conceptually, it is best described as the level at which all

business units in an organization work together to achieve core business goals. (Grando, A.,

Tapiero, C. S., & Belvedere, V. (2007). Operational performances in manufacturing and service

industries: conceptual framework and research agenda. International Journal of Business

Performance Management, 9(2), 110-126.)

Operationally, it is a process for ZY Logistics Company- Bacolod to make their operations

successful. It is very important to know the operational performance in order to boost efficiency

within the overall operation before and after the pandemic.

Pandemic. Conceptually, an epidemic occurring worldwide, or over a very wide area,

crossing international boundaries and usually affecting a large number of people. The classical

definition includes nothing about population immunity, virology or disease severity. (Morens, D.

M., Folkers, G. K., & Fauci, A. S. (2009).

Operationally, used for this research that includes pandemic as the reason why people

changed their lifestyle and how business operates during the pandemic.

Protocol. Conceptually, it is defined as the official procedure or system of rules

governing affairs of state or diplomatic occasions. (Galloway, A. R. (2006).

Operationally, it is the protocol or rules implied to a country that the people should

follow in order to avoid further spreading of the virus.

Social Distancing. Conceptually, also called as physical distancing, is a set of non-

pharmaceutical interventions or measures intended to prevent the spread of a contagious disease

by maintaining a physical distance between people and reducing the number of times people

come into close contact with each other. (Greenstone, M., & Nigam, V. (2020).

Operationally, social Distancing is defined as rule for businesses to keep both their

customers and employees’ safety.

Speed. Conceptually, is the time rate at which someone or something is able to move or

operate. Couture, V., Duranton, G., & Turner, M. A. (2018).

 Operationally, it is the amount of time of how much long it takes to efficiently deliver it

to the consumers.

Quality. Conceptually, is the totality of features and characteristics of a product or

service that bear on its ability to satisfy given needs. Shewfelt, R. L. (1999).

Operationally, Quality is regarded as to how the products are still intact and never got any

damage from the time the consumer bought it, until the time it arrives.

Quarantine. Conceptually, it is used to keep someone who might have been exposed to

COVID-19 away from others. (Khan, S., Siddique, R., Ali, A., Xue, M., & Nabi, G. (2020).

Operationally, it is defined as the term to keep yourself at a certain place like home

temporarily to prevent diseases from spreading.

Review of Related Literature

The collection of foreign and local studies below provides information to the researchers

that their proposed study has similarities with other business studies that are widely investigated.

As stated, the pandemic has created stumbling blocks for the current business models. The

studies below are related in the area of importance of operation of business during pandemic,

customer satisfaction and logistical upkeep. Ever since, numerous studies have been conducted

in order to analyze and develop strategies to further enhance the efficacy of courier services and

increase customer satisfaction but little to no studies has been conducted for ZY Logistics

Company and its adaptation amidst an ongoing crisis.

Courier Service

To fully comprehend the research topic at hand, the researchers must first review what a

courier service business is. Courier services are delivery companies that help deliver packages.

Courier companies is a third-party logistics where they act as a courier partner logistics for e-

business firms within supply chain management flow. Operational performance refers to a firm’s

operational outcomes in terms of operational competence such as quality improvement, cost

reduction, on-time delivery, lead-time reduction, and the ability to quickly respond to customer

requests. This kind of service has become one of the robust businesses at the time of the COVID-

19 Pandemic in the Philippines as the people diverted to buying online because of the

community quarantine that is being implemented to prevent the widespread of the virus. In this

kind of service, speed and efficiency of delivery is an important aspect that separates a courier

service from the regular and bigger delivery services. The importance of courier services has

been emphasized as they provide a bridge between businesses and customers. The demand for

receiving the products and packages on the same day or a few days has now been a gold standard

for most countries globally (2020). The demand for courier services has risen significantly

because of the threat of the COVID-19 pandemic. Demand is always followed by supply; courier

services provide the delivery of food, groceries, documents, electronics, clothes, and other

essential items (N. Falzon and T. Bugeja; 2020).

The foundation of courier services is dominantly driven by modern technology and is

based dominantly on the use of cellular smartphones and other devices. Innovation in service of

postal and courier services was catalyzed by the goal of the countries (Singapore, Malaysia,

Philippines) to become fully industrialized (Hasnan et al., 2014).

Effect of Doing Business Amidst Pandemic

With the Coronavirus pandemic still raging, it is difficult to fully realize the impact that

the virus brought to the business industry as a whole. A survey of 5,800 small businesses was

conducted in order to gauge the impact of coronavirus. A theme among businesses emerged,

first, just a few weeks into the crisis, mass layoffs and closures had already occurred. Second, the

likelihood of closure was inversely proportional to the expected duration of the crisis.

Furthermore, businesses had widely differing perspectives on how long COVID-related

disruptions would last. Third, many small businesses are financially vulnerable: at the time of the

survey, the median business with more than $10,000 in monthly expenses had only about two

weeks of cash on hand. Fourth, the majority of businesses intended to use the Coronavirus Aid,

Relief, and Economic Security (CARES) Act to obtain funding (Bartik et al., 2020). Further

studies include the impact of coronavirus on E-commerce. Conducted by Hasanat et al. (2020),

the study showed that most e-commerce business in Malaysia already shut down or suffering

heavy losses. This is due to the fact that most e-commerce business relies on China for supply,

being the largest manufacturer of goods worldwide, this has greatly affected economies and

businesses around the world.

Business Performance

Business performance is the ability of a company, a department or an individual to

achieve its or their objectives and expected results through determined indicators. Courier

service customers avail the service for the broad definition of transporting goods or raw materials

at the right time and at the right place. In order to achieve satisfaction in this field, the company

must have certain quality standards when delivering goods to customers. According to Karcz and

Slusarczyk (2016), there is a quality standard that can be implemented called the 7R: right
product(dependability), right quantity(dependability), right condition(dependability), right

place(dependability), right time (speed), right customer, right price(costs). These indicators

determine the quality of the service, thus indirectly determines the level of customer satisfaction

and business performance. Furthermore, they added, in order to meet requirements, transport and

logistics operators must maintain their flexibility and agility, which necessitates continuous

improvement of internal operations. Operators are unable to focus only on the growth of

transportation departments. It requires businesses to propose a strategy that is in line with the

principles of long-term development for all of the services they provide. This pertains to the

flexibility of the company in meeting different working conditions and improving existing

systems. In a study conducted by Ho et al. (2012), the researchers emphasized the key qualities

that a logistic/courier delivery service should have in order to achieve customer satisfaction

under the SERVQUAL model. Among the list are, timeliness(speed), quality of

information(dependability), availability and quality of personnel(dependability), quality and

accuracy of order, and lastly quality of information. All these listed encompasses a good quality

service, which would inevitably lead to customer satisfaction. Furthermore Ho et al. (2012)

added that, in the service industry, customer satisfaction is a vital element which contributes

heavily to customer loyalty. Customer satisfaction that increases customer loyalty eventually

leads to business profitability. Business performance is widely assessed through profit returns,

thus a profitable company is a high performing and well-oiled machine. (Hu and Liu, 2016)

Employees

Laborers are the backbone of any business, especially service-centric models. Employees

are the crucial component which allows the business to run and be profitable, more skilled

employees also lead to longevity and resilience of a business especially during these trying
times. According to the literature of operational management, previous researchers shows that

operational competence influenced and produced from ability of frontline employees (Y. Yang,

K.C. Peter, and T.C.E. Cheng; 2016). Operations management also claims that frontline

employees have been recognized as a crucial element in service operations (P.K.C. Lee, W.M.

To, B.T. Yu; 2013). Under the similar study, it shows that there is an apparent lack of in-depth

study on the development of creativity in employees. Supported by Yang (2016), authors argue

that continuous improvement is a relevant operations management approach conducive in

frontline employees of service operations, because it emphasizes making constant enhancement

in operational performance. There is evidence suggesting that experience of making changes and

improvements promotes employees’ better thinking, and helps them identify opportunities and

create new ideas (R.W. Hoerl, and Gardner, M.M.; 2010)

Strategic Adaptations, and Logistics

The ongoing crisis has also presented numerous ways for business models to adapt.

According to a study commenced by Seetharaman (2020), entitled Business models shifts:

Impact of Covid-19, he stated that Covid-19 crisis presented opportunities for firms and

businesses to digitize. Anecdotal evidence suggested that businesses were quick to adapt and

utilize digitization in order to combat certain challenges posed by the pandemic through

lockdown and contact restrictions. Seyedghorban et al. (2020) looked at supply chain

digitalization in the enterprise in the past, present, and future. The researchers examined what

constitutes the fundamental structure of digitalization, topics that have been explored, focus

areas, and classification of supply chain digitalization to provide a clear discussion on supply

chain digitalization. Another consequence of lockdowns is the increased usage of internet and

social media by prospective consumers (Donthu, 2020). This change in behavior, or increase in
consumption, allows for e-commerce and courier services to capitalize in order to advocate for

growth. Furthermore, the pandemic exposed dreadful gaps and vulnerabilities in supply chains

around the world forcing businesses to rethink their strategies in combatting the pandemic.

Research done by Sharma et al. (2021), studied the most resilient strategies for retailers to

remain relevant during the crisis. The main criterion for accelerating RSC (Retail Supply Chain)

performance in a dynamic social environment is “Collaboration Efficiency,” according to the

current study. Furthermore, the study finds that "Order Fulfillment" and "Digital RSCs" are the

most appropriate resilient business strategies for mitigating long-term effects of the coronavirus

pandemic. This further supports the idea that digitalization as an adaptive strategy is working for

most businesses and is vital for ZY Logistics Company as a business moving forward.

Synthesis

ZY Logistics Company- Bacolod is one of the many couriers service company here in the

Philippines. As the pandemic continues with its highs and lows, the literature review has proven

that quick adaptation to strategies and recognizing the problems are vital to the survivability of a

company. Recognizing opportunities and building it up is also important. Furthermore, existing

research has proven that without proper management and preparation, most businesses succumb

to the pandemic, which makes it even more so important to explore possible strategies and

preventive measures to ensure the longevity of ZY Logistics. This study aimed to evaluate the

operational management of a company before and during the pandemic. It will focus on the five

(5) operational categories, quality, speed, dependability, flexibility, and, cost. The outcome of

this study will help ZY Logistics assess their operational performance during the pandemic. It

will provide them options and recommendations on areas of weaknesses to determine their
decisions moving forward. As a company that continues to serve the public even in times of

crisis, this study will indirectly assist the citizens of Bacolod City through enabling ZY Logistics

to provide peak customer service and satisfaction.

 METHODS

Presented in this part are the research design, the participants of the study, the

instrument used in accumulating the data, data gathering procedure, statistical

treatment of data, and ethical consideration.

Research Design

In order to meet the needs of this study, a descriptive research design will be used.

According to McCombes (2019), descriptive research aims to accurately and systematically

describe a population, situation or phenomenon. A descriptive research design can use a wide

variety of research methods to investigate one or more variables.

The researchers will describe the operations of the company during pandemic. It will start

by identifying the operational flow, identifying its challenges and adjustment, and will give

recommendation. Thus, descriptive research is the appropriate design for this study.

Participants of the Study

The participants of the study will be the employees of ZY Logistics Company in Bacolod

City. The researchers are obliged to get an approval from the company’s Manager for us to be

formally permitted to conduct a study from their company. The researchers will ask the

employees of the company which includes the manager, four (4) office staff and five (5) riders

who have enough knowledge and experience about resiliency of how they manage their service
to the people. Each respondent will be asked about their profile in terms of their age, position in

the company, and how many years they have been working in ZY Logistics Company.

Instrument

This study will use survey questionnaires and interview guide made by the researchers to

be distributed to the employees of ZY Logistics Company specifically the manager, the office

staff, and riders of the company which will be the source of data. The survey questionnaire will

be given to the riders and office staff that contains three (3) blocks. First block includes the

profile of the employees. Second part will be the operational performance based on the five (5)

qualities: qualities, speed, dependability, flexibility, and cost of the company and the third block,

riders will be asked to provide the strengths and weaknesses of ZY Logistics Company that will

also be based on the five (5) qualities mentioned above. Interview guide will be used in

interviewing the manager. Content of the interview guide are the business profile, manager’s

profile, operational performance, and the strengths and weaknesses of ZY Logistics Company as

well as how the business operates before and after pandemic. To ensure the effectivity of the

interview, it will be reviewed by the research adviser and three business professors. The

instrument was subjected to content validity test using Good and Scates by a panel of evaluator

before it can be used by the researchers for proper interview and survey. The minimum average

score based from the result is 4.

Data Gathering Procedure

 The researchers allotted strenuous time, effort, and teamwork into constructing their

questionnaire so that it would be useful to the people who would fill it out. The survey was made

up of appropriate questions adapted from previous studies as well as unique questions formulated

by the researchers. The survey has three main elements, each of which was subdivided into

different subparts, all of which were related to the participants' perceptions of ZY Logistics

Company's operational performance. Frequency count, mean, and narrative analysis are used to

determine the collected data. An organizational consent was obtained through a well-meaning

negotiation with the manager. After which, hard copies of the questionnaire will be disseminated

at their office by dropping off the questionnaire. Participants will be given time to complete the

survey and to ask questions and clarifications if necessary. After all participants has turned in the

survey, the data collected through this research instrument will be tallied, processed, and

compared for interpretation based on the frequency with which the participants checked the

items.

Statistical Treatment

Data gathered from the employees of ZY Logistics Company will be statistically

analyzed. To determine the percentage of the data of the company the researchers will use

percentile and mean in getting the results as well as to the other questions that the researchers

seek the answer. Only objective number three requires mean as the other contents of the

instrument are open ended questions.

The data will be interpreted as follows:

Table 1

Verbal Interpretation

Scale Range Descriptive Information

4.20-5.00 Very Great Extent

3.40-4.19 Great Extent

2.60-3.39 Moderate Extent

1.80-2.59 Low Extent

1.00-1.79 Very Low Extent

Ethical Consideration

In order to participate in research, potential participants must have the right to regulate

access to themselves and their data. The safety of the participants and the researchers are the

prior objective of the research about how the COVID-19 epidemic has had a direct impact on

logistics companies involved in the delivering services to their customers in Bacolod City. And

the movement, storage, and flow of goods. Therefore, privacy issues may be perceived by the

participants connected to the courier services in Bacolod City. The risks of the study have spread

like an infection, and support delivery and affecting customers all over the world. Executives in

customer service and support should utilize this assessment to develop short and long-term

strategies for dealing with potential consequences. To ensure the safety of the participants and

the researchers, the data gathered will surely be protected by not giving information to anyone

else. The safety of all the people included in this study is the priority. Researchers use a variety

of techniques to maintain their subjects' identities hidden. They signed for a confidentiality

contract that this research would respect the intellectual property of the company. First and

foremost, they secure their data by using password-protected files, encryption when exchanging

information over the web, and even old-fashioned closed doors and drawers. The researcher

collects information from the company, which is then transformed into data to be examined.

They also obtain the necessary authorization and licensing agreements, and rigorously adhere to

the terms of usage. To compromise this research they actively acquire intellectual property rights

worldwide, such as patents that are the result of advanced, creative research and development,

and endeavor to protect our intellectual property rights. They have been informed that no

personally identifiable information will be shared with anybody who is not a participant in the

study.
 Participation is voluntary, and it is risk-free. Participants must understand that their

involvement in this research is voluntary, and they have the freedom or right to withdraw from

the study at any time without repercussions, and that they will not be injured as a result of their

involvement or non-participation. The researchers gave the subjects or the participant’s sufficient

time to determine whether or not to participate in the research project, and to make that decision

without being pressured. They always give their openness and respect to the decision of the

company.

Researchers should take precautions to protect the privacy of study participants and the

information gathered from them. By all means they always ensure the safety of the participants

by always answering their questions with all of the integrity of the research. The inquiries from

the participants are related to power dynamics that are likely to be present in research and pertain

not only to the researcher-researched relationship, but also to the researcher-funding bodies/host

institutions interaction. The assurance is highly presented by being transparent at all times.

The procedure of obtaining informed consent form is crucial to doing research in an

ethical manner. It is a continuous dialogue between the human research subject and the

researchers that begins before consent is given and lasts until the subject's participation in the

study is completed.

The form consists in giving the subject background information on the study. Before

making a decision, answer all of the subject's questions. Ascertain that the subject comprehends

all information. Obtain the subject's informed consent to participate in the study. Ensuring the

confidentiality of the participants. Participant's printed name and signature, and the date signed.
 RESULTS

This section represents the results of the data gathering based on the operational

performance of ZY Logistics Company. The analysis and interpretation were supported by using

the appropriate statistical tools based on the objectives of the study.

This study first objective is to determine the business profile of ZY Logistics and will be

followed by the profile socio-economic profile of the participants in the areas of age, sex, civil

status, employment status, and length of employment. This study included ten (10) employees of

ZY Logistics Company- Bacolod.

According to the manager, ZY Logistics is an incorporated form of ownership which has

10 employees that includes; the manager, 4 office staff/customer assistant, and 5 riders or

logistics driver. Figure 2 below shows the organizational structure of the business.

Figure 2. Organizational Structure of ZY Logistics

 Table 1 below shows the profiles of the employees. Firstly, the gender of the respondents,

where nearly the majority of them, 90% were males and only 1% was female. The

frequency of those aged 25-39 is the highest and only 1 out of 10 participants was aged

54 years old. From the 10 employees only 1 married and the rest were single as their civil

status. When it comes to their employment status, 100% were regularly employed. Out of

10 employees, 10% employed for more than 5 years, 40% were employed between 1-3

years, and 50% were 3-5 years employed. According to Anna Mateu in 2017, One cannot

deny that the logistics sector has traditionally been associated with physical work and,

and consequently, considered a masculine sector. In fact, upon a deeper look into the

logistics industry, we see those jobs involving a considerable amount of physical work

such as machine operators and storage technicians are very much male-dominated.

Table 2

Frequency of Respondents’ Profile

Variables Group Percentage (%)

Sex Male 90

Female 10

25-39 90

Age 40-54 10

55 & Above 90

Civil Status Married 10

 Single 90

Employment Status Regular 100

Probationary 0

Project Base 0

Length of Employment Less than 1 year 0

Between 2-3years 40

Between 3-5 years 50

More than 5 years 10

According to Kaydos (2020), operational performance is the coordination of all business

units inside a company to guarantee that they are working together to fulfill the company's basic

objectives. It is also considered as the level at which all of an organization's business units

collaborate to achieve fundamental business objectives. In addition to that of why operational

performance is important it’s because in order for the company to increase production efficiency

in your whole operation, it's critical to grasp the goals of operational performance inside a

manufacturing operation. The employees have been asked about their company’s operational

performance in terms of quality, speed, dependability, flexibility, and cost. The table 2 below

showed that employees have sufficient knowledge about their own capabilities as a whole.

The data in table 2 shows that the participants gave the highest rating to all terms. The employees

rated the high score in terms of quality. Each parcel is being inspected before and after delivery
with the mean of 4.8. Standard checklist is followed when parcels are checked and surveys are

sent to customers after they have received the parcel and both are rated with 4.7. In speed of the

service and delivery, the variable “parcels are ensured that they are delivered in time” got the

mean of 4.7 as well as the variable “Customers can track the status of the delivery”. Whereas

only the variable “Customers are notified in the morning before parcel will be delivered” was

rated with 5. Based on the survey from the dependability, employees always assure the

customers that the parcels are well taken care of with the mean of 5 and variable “Prompt

response is required every time customers have queries” resulted to 4.8 mean. From the

flexibility part, the variable “Few minutes is given to customers if no one answers during the first

call” received a 4.9 mean. 4.2 for the variable “For missed parcels, customers are contacted right

away” and 4.7 for “Customers are given options in terms of meet up location and schedule.” In

terms of cost, “Delivery rates are affordable and they vary according to the type of parcel.” and

“Customers are given payment options such as cash on delivery or card” have the mean of 5 and

4.7 respectively. Overall, the data indicated that the feedback from the employees and riders on

the very great extent of service provided to the clients and customers.

Table 3

Operational Performance of ZY Logistics Company

Operational Performance
Quality Mean Interpretation

The parcels are being inspected before 4.8 Very Great Extent

and after delivery.

A standard checklist is followed when 4.7 Very Great Extent

parcels are checked.

Surveys are sent to customer after they 4.7 Very Great Extent

received the parcel.

Parcels are ensured that they are 5 Very Great Extent

delivered on time.

Customers can track the status of the 4.9 Very Great Extent

delivery.

Customers are notified in the morning 5 Very Great Extent

before parcel will be delivered.

Customers are assured that their 5 Very Great Extent

parcels are taking care of.

Customers are given riders’ 5 Very Great Extent

information if they cannot be reached.

Prompt response is required every 4.8 Very Great Extent

time customers have queries.

Few minutes is given to customers if 4.9 Very Great Extent

no one answers during the first call.

For missed parcels, customers are 4.2 Very Great Extent

contacted right away.

Customers are given options in terms 4.7 Very Great Extent

of meet up location and schedule.

Delivery rates are affordable and they 5 Very Great Extent

vary according to the type of parcel.

Customers are given payment options 4.7 Very Great Extent

such as cash on delivery or card.

The strengths and weaknesses of COMPANY ZY LOGISTICS in terms of:

Quality

Strengths:

 Leading courier services

 Company ZY has agents to satisfy the multi-services requirements of individual clients and

business entities.

 It has its own commercial vehicles, cargo vessels and airline services.

Weaknesses:

 Lost/Damaged Parcels

 Lenient security measures in branches and stores such as no employment of security guards

and defective CCTVs.

 Small and narrow spaces of stores and branches resulting in queuing and overcrowding.

Speed

Strengths:

 Company ZY Logistics is the fastest in their segment

 Utilization of advanced technologies such as mobile apps and websites for tracking - to
update status of cargoes, accommodation of inquiries and others.

Weaknesses:

 Delay of delivery time

 The scheduled delivery are sometimes not in order.

Dependability

Strengths:

 Company ZY is considered as the safest courier service.

 Global Positioning System (GPS) compliant.

 Reliable Courier

Weaknesses:

 Lost/Damaged Parcels

 Needs more security

Flexibility

Strengths:

 Company ZY has extensive network of local and international branches, hubs, warehouses,

partners.

 Due to the popularity of Company ZY, it is accesible for people to send/receive their

packages.

Weaknesses:

 Restricted breadth of coverage for delivery services for e-commerce platforms like Lazada

and Shopee.

 Non-presence of branches in small and remote places.

Cost

Strengths:

 Company ZY has the lowest rates.

 Affordable and competitive prices of products and services.

Weaknesses:

 Distance will affect pricing

Business operation before and after pandemic

Conclusion
 Personal profile is one way the researchers can examine the background of the

employees. It’s way of knowing their status as well as knowing the participant’s age. Being able

to know the specific background of the employees, the researchers are able to extinguish the

number of years from when they were employed, knowing whether they’re a regular employee, a

probationary, or a project based. It’s all essential to our paper. The next part is they’re being

asked about their operational performance. In conclusion to the data gathered, the overall results

of the operational performance of ZY Logistics showed a very great extent level of service. It

signifies that the employees were performing well which can be seen through in the results

section. The researchers have divided it into five terms. The questionnaire asked the employees

about their operational performance in terms of Quality, Speed, Dependability, Flexibility, and

Cost. It was stated that they inspect every parcel that arrives and is to be delivered. Both the

riders and employees are making sure that packages don’t have any form of damage. Surveys are

also handed to customers for them to provide feedback whenever there’s a problem during the

delivery. Customers can also track their packages in the use of an app. The employees were able

to provide satisfactory results that suffice our research.

Recommendations
Based on the findings and conclusion of the study, the researchers recommend the following;

a. For the quality of their services, they should avoid being careless of the parcels that may

be a reason for damages and loss.

b. Expand the function room to provide quality service for the customers and to avoid

overcrowding.

c. Feedbacks from customers should be recognized and acknowledged from the provided

survey to the customers.

d. The app should be updated with the right information of the parcel to avoid

miscalculation of the day the parcel should be delivered.

e. For the dependability, employees should appear honorable to earn customer’s trust from

creating transactions.

f. For flexibility, they should engage more with e-commerce platforms to provide more

convenience to the customers with lowest rates of shipping fee.

g. For cost, the company should maintain the lower rates for specific parcels.

h. Implement a double-checking system to reduce human error and duplicate shipments.

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 APPENDICES
Appendix A
INFORMED CONSENT FORM

University of St. La Salle

Yu An Log College of Business and Accountancy
Bacolod City

Dear each participant,

Greetings. This study entitled “OPERATIONAL PERFORMANCE OF COMPANY ZY

LOGISTICS-BACOLOD CITY “is aimed at determining valuable insights from employees like you.
We are really thankful for your participation for it will help us learn more about the company as well as
accomplishing our tasks.
 Kindly read the details for the study enumerated below so that you can ask questions.

The Researchers

Purpose of the study

The primary objective of this study is to determine the operational performance of Company
ZY Logistics -Bacolod.

Participant Selection
You have been invited to participate because your company is in line with our research study and
it was stated that the HR manager and a number of employees can be our respondents.

Funder/Sponsor
This study is part of the requirements for us Operations Management students to finish our
research paper here in University of St. La Salle.

Benefits of the Study

While this research does not give you any direct benefit, your participation to this study will be
specifically insightful in determining your company’s operational flow terms of quality,
dependability, speed, flexibility, and cost.

Duration
Answering both open-ended questions and fixed alternatives in the survey questionnaire through
Google Form may take 10 – 15 minutes of your time.

Risks of the Study

You may have to share some personal information that makes you feel uncomfortable. Should
this happen, know that you may not have to answer or take part in this survey, especially if you feel that
the questions are too personal. Please let us know of any unintended harm so that we can ask for the
assistance of an expert in this field.
Confidentiality, Privacy and Anonymity
The anonymity, privacy, confidentiality, and will be ensured in the collection, storage and
publication of this research material.

Identifiers about you (such as your email/s, names, FB/Messenger accounts) and the information
that you will share are removed from the database during the data processing phase. In addition to this,
only the researchers and data encoders who will process the data are given access to the information you
have provided. The data generated will be kept secured in paper or electronic form for a period of two
years after the completion of the study.

Voluntary Participation
As participation is entirely voluntary on your part, you may or may not take part in this study.
Should you decide not to participate, please know that nothing changes in any or all of your student-
related evaluations. If you withdraw at any time, you may do so. Should you decide to participate, click
on the “Yes” button on the consent certificate following the information sheet.

Who to Contact?

If you have any concerns about their rights or treatment as research participants, they may
contact the Research Ethics Review Office Director, Dr. Anabelle D. Magbanua, through any of the
following contact details: a.magbanua@usls.edu.ph, telephone number (034) 435-2595 or local 137.

For any other concerns or questions, you may contact our leader Joshren G. Cabantan
09076578442, our members, and our research adviser or you can email directly at S1821609@usls.edu.ph
:

Members Contact Info:

Anthony Antipatia – 09183273662
Jotham Jong - 09205151564
Jerson Jumuad - 09993429470
Vincent Montepio - 09395140029
Christanie Rose Reyes - 09183393600

Research Adviser:
Archimedes Valderama - 09217132324

CONSENT CERTIFICATE
OPERATIONAL PERFORMANCE OF COMPANY ZY LOGISTICS-BACOLOD CITY

____ I confirm that the study was fully explained to me; also, I have read and understood the
information sheet for the above study and I have had the opportunity to ask questions.

____ I understand that my participation is voluntary and that I am free to withdraw at any time,
without giving any reason.

____ I agree to take part in the above study.

 _____________________________

Signature of the Participant

Appendix B
SURVEY QUSTIONNAIRE

Part I: Personal Information

Name (optional): ________________________ Age: ____

Please tick () at the appropriate box/column or write in your answers where
appropriate

Sex: Civil Status:

 Male  Single
 Female  Married
Others: _____________

Employment Status Length of Employment

 Probationary  Less than 1 year
  Regular  Between 1-3 years
 Project Base  Between 3-5 years
Others: ______________________  More than 5 years

Part II: Operational Performance

Direction: Please check the box that corresponds to your answer using the guide below.
Numerical Code Interpretation
5 Very Great Extent
4 Great Extent
3 Moderate Extent
2 Low Extent
1 Very Low Extent
Factors Statement Rating
Quality The parcels are being inspected before and after 1 2 3 4 5
delivery.
A standard checklist is followed when parcels are
checked.
Surveys are sent to customer after they received the
parcel.
Speed Parcels are ensured that they are delivered on time.
Customers can track the status of the delivery.
Customers are notified in the morning before parcel
will be delivered.

Dependabilit Customers are assured that their parcels are taking care
y of.
Customers are given riders’ information if they cannot
be reached.
Prompt response is required every time customers have
queries.
 Flexibility Few minutes is given to customers if no one answers
during the first call.
For missed parcels, customers are contacted right away.
Customers are given options in terms of meet up
location and schedule.
Cost Delivery rates are affordable and they vary according to
the type of parcel.
Customers are given payment options such as cash on
delivery or card.

END

Interview Guide

1.Manager will be asked for her personal information:

 Age

 Sex

 Civil Status

 Employment Status

 Years Employed

2. What is the business profile of Company ZY in terms of:

a. Form of ownership,
 b. Number of Employees; and,

c. Organizational Structure?

3. What are the strengths and weaknesses of your company?

Thank you!

Appendix C
VALIDATION OF SURVEY QUESTIONNAIRE
Content Validity Form

Direction: Kindly rate or evaluate the research instrument using the rating scale according to
the following criteria set forth by Calter V. Good and Douglas F. Scates. Please encircle your
rating using the scale below:

1 – Poor 2 – Fair 3 – Good 4 – Very Good 5 - Excellent

Criteria for Evaluation

1. The questionnaire is short enough such that the
respondent will not reject it because it will not
drain much of his precious time. 1 2 3 4 5

2. The questionnaire has face appeal such that the

 respondent will be inclined to accomplish it fully. 1 2 3 4 5

3. The questionnaire can obtain some depth to the

responses & avoid superficial answers or
information. 1 2 3 4 5

4. The items and their alternative responses are not too

suggestive. 1 2 3 4 5

5. The questionnaire can elicit response which are definite

but not mechanically forced. 1 2 3 4 5

6. The items are stated in such a way that the responses

will not be embarrassing to the person concerned. 1 2 3 4 5

7. Items are framed in such a manner as to allay suspicion

on the part of the respondent concerning hidden
purposes in the questionnaire. 1 2 3 4 5

8. The questionnaire is not too narrow, not restricted

or limited in its scope or philosophy. 1 2 3 4 5

9. The responses to the questionnaire, when taken as a

whole, could answer the basic purpose for which the
questionnaire is designed and therefore considered
valid. 1 2 3 4 5

Total Score: _____45______________

Average Score : ________________
Name & Signature of Evaluator: _Dexter Ian M. Tabujara__________________

Content Validity Form

Direction: Kindly rate or evaluate the research instrument using the rating scale according to the
following criteria set forth by Calter V. Good and Douglas F. Scates. Please encircle your rating
using the scale below:

1 – Poor 2 – Fair 3 – Good 4 – Very Good 5 - Excellent

Criteria for Evaluation

1. The questionnaire is short enough such that the
respondent will not reject it because it will not
drain much of his precious time. 1 2 3 4 5

2. The questionnaire has face appeal such that the

 respondent will be inclined to accomplish it fully. 1 2 3 4 5

3. The questionnaire can obtain some depth to the

responses & avoid superficial answers or
information. 1 2 3 4 5

4. The items and their alternative responses are not too

suggestive. 1 2 3 4 5

5. The questionnaire can elicit response which are definite

but not mechanically forced. 1 2 3 4 5

6. The items are stated in such a way that the responses

will not be embarrassing to the person concerned. 1 2 3 4 5

7. Items are framed in such a manner as to allay suspicion

on the part of the respondent concerning hidden
purposes in the questionnaire. 1 2 3 4 5

8. The questionnaire is not too narrow, not restricted

or limited in its scope or philosophy. 1 2 3 4 5

9. The responses to the questionnaire, when taken as a

whole, could answer the basic purpose for which the
questionnaire is designed and therefore considered
valid. 1 2 3 4 5

Total Score: 40
Average Score:
Name & Signature of Evaluator: Bea Emma Bachinela

Content Validity Form

Direction: Kindly rate or evaluate the research instrument using the rating scale according to the
following criteria set forth by Calter V. Good and Douglas F. Scates. Please encircle your rating
using the scale below:

1 – Poor 2 – Fair 3 – Good 4 – Very Good 5 - Excellent

Criteria for Evaluation

1. The questionnaire is short enough such that the
respondent will not reject it because it will not
drain much of his precious time. 1 2 3 4 5

2. The questionnaire has face appeal such that the

respondent will be inclined to accomplish it fully. 1 2 3 4 5
3. The questionnaire can obtain some depth to the
responses & avoid superficial answers or
information. 1 2 3 4 5

4. The items and their alternative responses are not too

suggestive. 1 2 3 4 5

5. The questionnaire can elicit response which are definite

but not mechanically forced. 1 2 3 4 5

6. The items are stated in such a way that the responses

will not be embarrassing to the person concerned. 1 2 3 4 5

7. Items are framed in such a manner as to allay suspicion

on the part of the respondent concerning hidden
purposes in the questionnaire. 1 2 3 4 5

8. The questionnaire is not too narrow, not restricted

or limited in its scope or philosophy. 1 2 3 4 5

9. The responses to the questionnaire, when taken as a

whole, could answer the basic purpose for which the
questionnaire is designed and therefore considered
valid. 1 2 3 4 5

Total Score: ________36____________

Average Score: ________________

Name & Signature of Evaluator: Rolena T. Letran (Signed)