Global Business and Management Research: An International Journal Vol. 10, No. 1 (2018, Special Issue) 266 Logistics Performance Analysis and Improvement: A Case Study of a Building Materials Company Rosly Othman * Graduate School of Business, Universiti Sains Malaysia Email: rosly@usm.my Wong Sze Voon Graduate School of Business, Universiti Sains Malaysia * Corresponding Author Abstract Purpose: This study investigates the challenges faced by the logistics department of a 3PL building materials company. Design/methodology/approach: A qualitative case study approach was adopted. A total of 15 semi-structured interviews were conducted with *Best Malaysia’s internal management. Best Malaysia was chosen as it is among the largest building materials producer in Malaysia. Interviews were transcribed and analyzed through thematic analysis. Document reviews were added to the information obtained from the interviews. Findings: Best Malaysia faced significant challenges arising principally from late delivery, high volatility orders, insufficient communication and information, and negative attitudes among drivers. These problems were found to negatively affect customer satisfaction and business performance. Research limitations/implications: Future studies in the form of a quantitative study measuring logistics performance and identifying constraints are recommended to help improve building materials companies’ performances. Practical implications: The study highlights the importance of key logistics challenges that can affect logistics performance. Detailed descriptions of key challenges offer a guideline for managers to understand challenges surrounding logistics operations. Originality/value: The present paper offers some insights on challenges of 3PL’s logistics performance. Results from this research contribute to the existing body of knowledge on logistics (as part of supply chain management) in the construction industry, particularly building materials companies. Keywords: Cement Manufacturing, Third Party Logistics, Logistics Performance, Supply Chain Management, Challenges on Logistics Department *not an actual name Introduction Within the supply chain network, logistics is considered the point where acquisition, movement and storage of materials, parts and finished inventory (as well as the relevant information flows) are properly managed through the organization and its marketing channels. Companies like those in the building materials sector usually assign logistics department to be responsible for tasks such