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Gupta, Omprakash K., S. Samar Ali, and Rameshwar Dubey. "Third Party Logistics." International Journal of Strategic Decision Sciences 2, no. 4 (October 2011): 29–60. http://dx.doi.org/10.4018/jsds.2011100103.
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Third party logistics (3PL) has been gaining importance in most places in the world. In India the implementation of 3PL practices has made its beginning and it is emerging as one of the fastest growing sectors. It is still a relatively new concept and not well understood among industry or academic professionals in India. This paper examines the Indian 3PL Supply Chain Management and practices with respect to the key success factors and growth strategies. After identifying the critical success factors SERVQUAL is applied to reveal the gap between their achievement and expectation. Respondents to the survey are categorized based on their rating of the key growth strategies on the basis of AHP.
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Shi, Yangyan, Abraham Zhang, Tiru Arthanari, and Yanping Liu. "Third-party purchase: an empirical study of Chinese third-party logistics users." International Journal of Operations & Production Management 36, no. 3 (March 7, 2016): 286–307. http://dx.doi.org/10.1108/ijopm-11-2014-0569.
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Purpose – Third-party purchase (3PP) is a new value-added service offered by third-party logistics (3PL) providers. The purpose of this paper is to examine the perception of 3PP service from the perspective of 3PL users. Design/methodology/approach – The authors conducted a survey of Chinese 3PL users and received 242 usable responses. The authors then employed structural equation modeling to test the conceptual model. Findings – The authors found that the likelihood of 3PL users using a 3PP service is significantly associated with uncertainty, but not with asset specificity or frequency or transaction size. 3PP usage is significantly associated with value-to-client. Originality/value – This research is the first survey study of 3PP as a value-added service offered by 3PL providers, from the perspective of 3PL users. The findings suggest that 3PL users are very positive about the value of 3PP service. The 3PP market is still in its infancy but it has great potential, especially for commodity items that have less demand uncertainty.
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Maloni, Michael. "Management guidelines for third-party logistics." Journal of Transportation Management 17, no. 1 (April 1, 2006): 31–51. http://dx.doi.org/10.22237/jotm/1143849840.
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There is a significant amount of useful yet fragmented research in third-party logistics (3PL). This article seeks to review, summarize, and structure this 3PL research to provide a reference guide for managers interested in exploring, building, or improving logistics outsourcing opportunities. Topics covered include reasons to outsource, functions to outsource, 3PL provider evaluation, implementation and relationship success factors, contracts, and performance measures.
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Roy, Sudipendra Nath, and Tuhin Sengupta. "Quintessence of third party (3PL) logistics." Journal of Global Operations and Strategic Sourcing 11, no. 2 (June 18, 2018): 146–73. http://dx.doi.org/10.1108/jgoss-05-2017-0012.
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Purpose The purpose of this paper is to provide a systematic literature review and contributes to academic understanding and practitioner needs of third party logistics (3PL) which were developed over the past decade. Design/methodology/approach Through a structured selection search of the entire English-language academic literature, after final refinement, the authors identified 95 relevant studies in this context. A succinct classification of literature has been performed to collate the entire literature encompassing viewpoints of both academicians and practitioners. Findings The key finding of this review suggests the opportunities exist in the understanding of the “optimization capabilities” of a 3PL provider. The authors found that when on the one side, constructs such as “supply chain vision”, “creativity”, “impact of geographical reach of services on the selection criteria” need more attention; on the other hand, operational dimensions of 3PL such as packaging ability, repair service, procedural compliance, conflict resolution, role of HR policies and mitigation of external risks provides a chance for future researchers to delve deeper into these domains. Furthermore, the authors also presented a comprehensive research gap framework highlighting potential research topics to be explored in near future. Research limitations/implications The paper captures peer-reviewed literature from the past decade and has been selected from the Web of Science database only. Originality/value The paper identifies different research gaps, namely, conceptual, contextual and methodological, to understand and develop opportunities for future research in the domain of 3PL. The paper makes a careful attempt by linking the synthesis of this literature review to previous literature reviews to establish the knowledge continuum of third party logistics.
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Shi, Yangyan, Tiru Arthanari, and Lincoln Wood. "Developing third-party purchase (3PP) services: New Zealand third-party logistics providers’ perspectives." Supply Chain Management: An International Journal 22, no. 1 (January 9, 2017): 40–57. http://dx.doi.org/10.1108/scm-06-2016-0189.
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Purpose This paper aims to examine the opportunity for third-party logistics providers (3PLs) to develop further value-added services for their clients, focused on purchasing. The provider perspectives on third-party purchase (3PP) services are examined in conjunction with their business environment, with a survey informed by transaction cost economics. Design/methodology/approach New Zealand 3PL providers were surveyed, and 166 responses were received. Structural equation modeling was used to test the conceptual model. Findings From the perspective of 3PL providers, uncertainty, frequency and transaction size, but not asset specificity, are significantly associated with client value from a 3PP service. While asset specificity in investments is not required by 3PLs, they need a high frequency of orders, sufficient order size and low levels of uncertainty as supporting conditions for the development of 3PP services. Research limitations/implications The sample focuses on 3PL providers and therefore does not address the behavioral characteristics of users or customers of the services. Originality/value This study shows that 3PP services may be further developed by 3PL providers to improve the value offered to their clients.
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Kotlars, Aleksandrs. "Resource and Internal Process Management in Third Party Logistics." Economics and Business 32, no. 1 (December 1, 2018): 228–46. http://dx.doi.org/10.2478/eb-2018-0018.
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Abstract Contemporary third-party logistics (3PL) companies tend to broaden their competences in different fields and apart from traditional logistics services provide various value-added services to their customers. A systematic approach of 3PL resource management, as well as performance and quality indicator measurement are needed to forecast development of key performance indicators of a company. The purpose of this study is to discover contemporary tendencies of 3PL with regard to resources, performance and quality related issues, to determine resources, processes and quality indicators of 3PL, and to develop a system dynamics model for optimization of internal resources and processes of a company. The paper provides a systematic review of literature related to management of 3PL resources, quality and performance measurement. A model of management and optimization of 3PL resources and internal processes is developed by applying System Dynamics. The developed model consists of six blocks, namely, commercial activities, operations, procurement, administration, personnel management and quality management, representing different areas of internal activities of 3PL.
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Huo, Baofeng, Qianwen Wang, Xiande Zhao, and Zhongsheng Hua. "Barriers to third-party logistics integration: empirical evidence from China." Industrial Management & Data Systems 117, no. 8 (September 11, 2017): 1738–60. http://dx.doi.org/10.1108/imds-08-2016-0344.
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Purpose The purpose of this paper is to investigate effects of two integrative mechanisms of third-party logistics (3PL) integration (i.e. information sharing and process coordination) between users and providers on relationship satisfaction, and further explores how partnership-surrounding (e.g. legal unprotectability) and partnership-specific barriers (e.g. measurement difficulty and cooperation difficulty) influence 3PL integration in the context of Chinese 3PL practices. Design/methodology/approach Using data collected from 247 3PL users in China, this study uses the structural equation modeling method to empirically examine the relationship among partnership-surrounding/specific barriers, 3PL integration and relationship satisfaction. Findings The results show that information sharing has no significant effect on relationship satisfaction, while process coordination has a positive effect on relationship satisfaction and partially mediates the relationship between information sharing and relationship satisfaction. Furthermore, as partnership-specific barrier, measurement difficulty and cooperation difficulty are negatively related to information sharing and process coordination. Surprisingly, as partnership-surrounding barrier, legal unprotectability is not significantly related to information sharing but is positively related to process coordination. Originality/value As a comprehensive study on 3PL user-provider relationship in China, this study extends existing 3PL literature by providing evidence about the importance of 3PL integration and different types of barriers to 3PL integration, also providing managerial implications for 3PL users, providers, law and regulation makers about how to better implement 3PL integration in China.
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Ali, Ahmed, Kaushal Chauhan, Mahmoud Barakat, and Ahmed Eid. "The Role of Sustainability for Enhancing Third-Party Logistics Management Performance." Journal of Management and Sustainability 9, no. 1 (January 24, 2019): 14. http://dx.doi.org/10.5539/jms.v9n1p14.
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Technological development and globalization made the supply chain more complex in today’s business environment. In competitive market conditions, shippers tend to outsource most of their logistical activities to Third-Party Logistics (3PL) service providers. These activities have drawn attention of decision makers regarding sustainability concerns. This study examines sustainability initiatives which have been implemented particularly for the 3PL functions namely; transportation, warehousing and packaging services and their influence on performances. Empirical data have been collected through a worldwide online survey which has been sent to industrial experts working in logistics and supply chain management fields. The results were analyzed through the Structural Equation Modelling (SEM). The analysis indicated that, the 3PL functions significantly affect environmental, economic, social and operational performance, except packaging which had no significant impact on economic, operational and social performance, in addition to transportation which had no significant impact on social performance. Regarding the performance outcome and its impact on logistics efficiency, logistics effectiveness and competitiveness, empirical results indicated that there is no significant impact between the variables except, social performance which had a significant impact on logistics efficiency and competitiveness, operational performance which had a significant impact on logistics efficiency, logistics effectiveness and competitiveness. The proposed model and hypotheses developed give further understanding regarding 3PL industries thereby help decision makers in solving the problems related to 3PL sustainability initiatives.
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Wee Kwan Tan, Albert, Zhao Yifei, Dali Zhang, and Olli-Pekka Hilmola. "State of third party logistics providers in China." Industrial Management & Data Systems 114, no. 9 (October 7, 2014): 1322–43. http://dx.doi.org/10.1108/imds-06-2014-0179.
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Purpose – The purpose of this paper is to identify global trends in the third-party logistics (3PL) industry, and with that to find out where the opportunities and challenges lie, what the critical success factors are, and how companies can position themselves well in China. As there is currently very limited knowledge about the 3PL industry in China, this study also intends to shed light in this area. Design/methodology/approach – The study is conducted through focus group interviews with senior executives of leading 3PL companies in China followed by a survey with 70 logistics companies. Findings – The key strengths of the logistics industry in China include numerous factors such as good connectivity and new infrastructure, while its main weaknesses are a shortage of qualified staff and slow adoption of technologies. There are a number of concerns and issues raised, such as lack of qualified staff, oversupply of warehousing space in China, competition from the influx of foreign 3PL companies to China, and regulations on free trade zones, seaports and airports, all of which may have policy implications. Research limitations/implications – As most of the logistics companies in the study are located and dominating in the Eastern and Southern China, it may be useful to conduct similar study in the new emerging western and central regions of China for comparison. Practical implications – Managers and investors will appreciate the challenges and opportunities in logistics services in China and have a better insight into Chinese logistics development. Originality/value – While China has been viewed as a cost effective place for manufacturing, the logistical costs in China are still very high as compared to other developed countries. This research will highlight the key reasons for the high logistical cost in China.
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Govindan, Kannan, Roohollah Khodaverdi, and Amin Vafadarnikjoo. "A grey DEMATEL approach to develop third-party logistics provider selection criteria." Industrial Management & Data Systems 116, no. 4 (May 9, 2016): 690–722. http://dx.doi.org/10.1108/imds-05-2015-0180.
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Purpose – Third-party logistics (3PL) plays a main role in supply chain management and, as a result, has experienced remarkable growth. The demand for 3PL providers has become a main approach for companies to offer better customer service, reduce costs, and gain competitive advantage. This paper identifies important criteria for 3PL provider selection and evaluation, and the purpose of this paper is to select 3PL providers from the viewpoint of firms which were already outsourcing their logistics services. Design/methodology/approach – This study utilized the grey decision-making trial and evaluation laboratory (DEMATEL) method to develop 3PL provider selection criteria. Because human judgments are vague and complicated to depict by accurate numerical values, the grey system theory is used to handle this problem. Findings – The findings revealed the structure and interrelationships between criteria and identified the main criteria for 3PL provider selection. The most important criteria for 3PL provider selection are on time delivery performance, technological capability, financial stability, human resource policies, service quality, and customer service, respectively. Practical implications – The paper’s results help managers of automotive industries, particularly in developing countries, to outsource logistics activities to 3PL providers effectively and to create a significant competitive advantage. Originality/value – The main contributions of this paper are twofold. First, this paper proposes an integrated grey DEMATEL method to consider interdependent relationships among the 3PL provider selection criteria. Second, this study is one of the first studies to consider 3PL provider selection in a developing country like Iran.
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Mitra, Subrata. "The 2008 Survey of Indian Third-Party Logistics (3PL) Service Providers." International Journal of Applied Logistics 2, no. 1 (January 2011): 57–75. http://dx.doi.org/10.4018/jal.2011010104.
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This paper presents a survey of Indian third-party logistics (3PL) providers and compares the state of the industry with that in 2004 based on an earlier survey. The 3PL industries of India and North America are also compared. The survey finds that the Indian 3PL industry lags behind North America in terms of global reach and breadth of service. Indian 3PL providers also underperform in key variables that determine performance levels. Other problems identified by the survey are the lack of awareness among Indian shippers, shortage of management talent, inadequate infrastructure, complex documentations, and multiple tax systems. Despite these limitations, the Indian 3PL industry is growing. Many global players are entering the Indian market through direct investments, acquisitions, and alliances. The Indian government is also improving the infrastructure, reducing paperwork, simplifying taxation systems, and implementing economic policies conducive to growth. This paper provides significant insights for logistics managers, government, and other stakeholders.
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Cook, Robert Lorin, and Brian J. Gibson. "Management development and retention programs in U.S. third-party logistics firms." Journal of Transportation Management 12, no. 1 (April 1, 2000): 1–18. http://dx.doi.org/10.22237/jotm/954547320.
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To provide quality logistics services, it is essential for third-party logistics (3PL) firms to develop an effective human resource program that ensures successful development and retention of qualified managers. By reporting the results of a survey of current U.S. 3PL firm development and retention practices and experiences regarding junior managers, this article provides a benchmark for 3PL firm managers who seek to improve management development and retention programs. Efforts to improve human resource programs should focus on improving orientation programs, mentoring, job enrichment, formal career planning, job relocation assignments, educational support, training and compensation.
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Shou, Yongyi, Jinan Shao, and Anlan Chen. "Relational resources and performance of Chinese third-party logistics providers." International Journal of Physical Distribution & Logistics Management 47, no. 9 (October 2, 2017): 864–83. http://dx.doi.org/10.1108/ijpdlm-09-2016-0271.
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Purpose Drawing upon the theory of the resource-based view, the purpose of this paper is to examine the relationships among relational resources, innovation capability and firm performance in the third-party logistics (3PL) industry. Design/methodology/approach Based on data collected from 203 3PL providers in China, this study adopts the approach of structural equation modeling to examine the hypothesized relationships among relational resources, innovation capability and firm performance. Findings The results of this research confirm that relational resources have a positive effect on firm performance. However, the effect is not direct, but realized through the mediation of innovation capability. This study indicates that relational resources are important for 3PL providers to achieve superior performance, and innovation capability plays a mediating role between relational resources and firm performance. Originality/value The main contributions of this paper to the literature are twofold. First, it extends the extant research by highlighting the mediating mechanism of innovation capability in relational resources’ influence on firm performance. Second, it advances the existing perspectives on 3PL firms in the Chinese context and this sheds light on logistics research on emerging markets.
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ÖZOGLU, Buket, and Arzum BÜYÜKKEKLIK. "An Analysis of Third Party Logistics’ Performance and Customer Loyalty." International Journal of Marketing Studies 9, no. 6 (November 28, 2017): 55. http://dx.doi.org/10.5539/ijms.v9n6p55.
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Althought all over the world 3PL service providers has been an emerging demand; it is a developing business for Turkey. The main aims of this study are to identify of the logistics performance dimensions and to explore the impact of 3PL service providers’ performance dimensions on the customer loyalty. Data has been collected from manufacturers which is the most important customers of 3PL service providers. The results of the study showed that logistics performance is a three dimensional structure; (i) cost performance, (ii) operational performance and (iii) relationship performance which explain 76% of logistics performance. These three dimensions have almost equal and positive impact on customer loyalty. Logistics performance explains an important part of customer loyalty, corresponding to 48% of variance. Cost performance (b=0.476) has the greatest positive and significant impact on customer loyalty. Operational performance (b=0.394) and relationship performance (b=0.349) have the positive and significant impact on customer loyalty.
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Lau, Kwok Hung, and Haibo Huang. "A Survey-Based Study on ICT Adoption in the Third-Party Logistics Industry." International Journal of Information Systems and Supply Chain Management 5, no. 4 (October 2012): 65–85. http://dx.doi.org/10.4018/jisscm.2012100104.
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Information and communication technology (ICT) is an important tool to enhance efficiency and responsiveness in modern-day supply chains. Owing to fierce market competition and rapidly changing business environment, organizations are forced to focus on their core competency and outsource their logistics function to third-party logistics (3PL) firms. In order to work hand-in-hand with customers to meet their day-to-day logistics needs, 3PL companies have to make use of ICT for efficient communication with clients and coordination of activities. Through analyzing the survey results of the Annual Third-Party Logistics Studies from 2007 to 2009, this study looks into ICT utilization in the 3PL industry from a global perspective. To supplement the findings, a questionnaire survey was conducted to investigate the current status of ICT adoption by 3PL firms in China. As a global manufacturing base, China has a burgeoning 3PL industry serving a large number of domestic firms as well as multinational corporations, and is considered a representative developing country for investigation in the subject area.
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Reza, Sajjida, Muhammad Shujaat Mubarik, Navaz Naghavi, and Raja Rub Nawaz. "Relationship marketing and third-party logistics: evidence from hotel industry." Journal of Hospitality and Tourism Insights 3, no. 3 (May 1, 2020): 371–93. http://dx.doi.org/10.1108/jhti-07-2019-0095.
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PurposeThis study examines the outsourcing criteria prevalent in the Hotel industry of Pakistan. In doing so, the study investigates the role of trust in the association between relationship marketing dimensions—communication, opportunistic behavior, reputation, satisfactory prior outcomes and specific investment—and third-party logistics provider’s (3PL) selection.Design/methodology/approachUsing a close-ended questionnaire, data were collected from 97 hotels of various categories operating in Pakistan and involved in 3PL outsourcing. Partial Least Square–Structural Equation Modeling was employed to estimate the modeled relationships.FindingsWith a high predictive relevance of the model, communication, satisfactory prior outcome and reputation were found to have a significant effect on the trust, whereas the results showed a significant mediating role of trust in the association between communication, reputation and 3PL provider’s selection.Research limitations/implicationsThe study uses static data from selected firms and cannot be used to analyze behavior over a period of time. Hence, a generalization of results should be made carefully.Practical implicationsFindings imply that for fully capitalizing on the benefits by virtue of their prospective relationship, the managers must streamline their processes and activities according to path directions that endorse a higher degree of trust in their service providers and establish an effective system of communications interconnecting their mutual goals and objectives.Originality/valueThe outcome of the research study illustrated the perceptions of the local businesses with regards to the 3PL service provider(s) selection via the establishment of trust.
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Shan, Hong Bo, Shu Xia Li, and Wei Zhong Tong. "Value Chain-Based Business Process Optimization Modeling for the Third Party Logistics Enterprise." Applied Mechanics and Materials 44-47 (December 2010): 782–87. http://dx.doi.org/10.4028/www.scientific.net/amm.44-47.782.
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Whether the business process and operational activities of the third party logistics (3PL) enterprise is coordinated and optimized is a key factor determining the operational efficiency of 3PL. Based on the value chain theory, a model of the business process optimization of 3PL cooperation is built. By analyzing the relationship between the business process and operational activities, how to allocate cost and value to operational activities is determined. In this way, the business activities with competitive advantages in the corporation are found, and the business process is further optimized accordingly, which can improve the operational efficiency of 3PL enterprise as a result. At last, a case study of business process optimization modeling for a 3PL enterprise that operates steel products is given to validate the effectiveness and practicability of this method.
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Akter, Nasrin, Prem Chhetri, and Shams Rahman. "Understanding the usage patterns, practices and decision process of third party logistics outsourcing in Bangladesh." Journal of Global Operations and Strategic Sourcing 12, no. 3 (November 1, 2019): 329–54. http://dx.doi.org/10.1108/jgoss-08-2018-0027.
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Purpose Bangladesh is becoming one of the emerging destinations for global outsourcing. However, little is known about the usage patterns of third party logistics (3PL) outsourced services. The purpose of this paper is to examine the extent of 3PL usage, the organisational factors affecting 3PL usage, impacts of 3PL and the future trend of 3PL usage in Bangladesh. Design/methodology/approach A survey questionnaire is used to collect data against a number of items pertaining to the extent of 3PL use and its impact on performance. A total of 1,000 organizations were randomly selected from the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) database. The survey resulted in 243 responses, out of which 150 organisations have adopted 3PL services. A chi-square test is conducted to assess statistical significance of the hypothesized relationships among the variables relating to 3PL decision-making process and a regression analysis is conducted to assess the strength of those variables to predict the impact of 3PL usage. Findings Overall, the results reveal that 3PL services are extensively adopted by businesses (63 per cent) in Bangladesh. Freight forwarding, order fulfilment and shipment consolidation are the top three most frequently outsourced 3PL services. However, the extent of 3PL use varies between manufacturing and service organisations. Results also suggest that logistics system performance is the key predictor of the overall satisfaction of 3PL users. Research limitations/implications The key limitation of this study is that both manufacturing and services firms are collectively analysed. Future research will separately investigate the outsourcing 3PL services requirements for two categories of firms. Characterisation of 3PL usage patterns and their drivers has practical significance and strategic implications for logistics practitioners and decision-makers who opt for global outsourcing. Originality/value The implementation in the context of Bangladesh to provide an evidence base to formulate business strategies for increasing the adoption of 3PL usage is novel.
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Xiaomin, Xu, and Liu Yi. "Customer Satisfaction of the Third-Party Logistics Enterprise Based on AHP." International Journal of Information Systems and Supply Chain Management 10, no. 1 (January 2017): 68–81. http://dx.doi.org/10.4018/ijisscm.2017010105.
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This article reports on results of a study on a freight forwarding enterprise engaged in third-party logistics services. The first phase involved establishing an evaluation index system for customer satisfaction of 3PL enterprise based on SERVQUAL model. In phase two, analytic hierarchy process AHP is applied to analyze survey results to find out key factors affecting service quality of 3PL enterprises. Based on these results, some suggestions are given.
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Asian, Sobhan, Javad Khazaei Pool, Ali Nazarpour, and Reihaneh Alsadat Tabaeeian. "On the importance of service performance and customer satisfaction in third-party logistics selection." Benchmarking: An International Journal 26, no. 5 (July 1, 2019): 1550–64. http://dx.doi.org/10.1108/bij-05-2018-0121.
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Purpose Developing strategic relationships with third-party logistics (3PL) providers has long been one of the key challenges in automotive supply chains. The purpose of this paper is to propose a new approach for evaluation and indexing 3PL providers using the Kano model. Design/methodology/approach The statistical population used in this research comprises managers from the Iranian automotive industry. The Kano evaluation approach is used to analyze the data collected and to classify the criteria used in selection of the preferred 3PL providers. Findings The results suggest that the proposed framework, based on the Kano classification, can be a powerful tool for the automotive industry in evaluating 3PL providers. Moreover, the analyses indicate that 3PL providers need to improve their service offering in aspects that are to be found in the Kano model’s requirements, namely, must-be, one-dimensional and attractive. Originality/value This study contributes to the supply chain management literature by being the first to classify selection indices of 3PL providers in the automotive industry using the Kano model.
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Raut, Rakesh, Manoj Kharat, Sheetal Kamble, and Chandra Shekhar Kumar. "Sustainable evaluation and selection of potential third-party logistics (3PL) providers." Benchmarking: An International Journal 25, no. 1 (February 5, 2018): 76–97. http://dx.doi.org/10.1108/bij-05-2016-0065.
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Purpose The purpose of this paper is to efficiently assist the decision makers in evaluating and selecting the most appropriate third-party logistics (3PL) provider from environmental sustainability perspective using a two-phase model based on data envelopment analysis (DEA) and analytic network process (ANP). Design/methodology/approach The study uses an integrated approach of DEA and ANP as an evaluation and selection methodology to select an efficient and requisite 3PL. The integrated model is a sound technique for 3PL evaluation and selection. DEA effectively screens the maximally efficient 3PLs, whereas ANP easily performs the cumbersome process of weighting diverse criteria and ranks various alternatives according to their performance on the basis of these criteria. This study lists the prominent evaluation and selection criteria taking into consideration the environmental sustainability. Finally, a real-life industrial application is presented to demonstrate the proposed method. Findings The current research work is devoted to the emerging research topic of environmental sustainability in logistics industry and supply chain management. The results of study indicate that eco-efficient transportation and 3PLs lead better transportation planning, better inventory and warehouse management, lower inventory cost and sustainable supply chain operations. Also, the applied approach enables the decision makers to better understand the complex relationships of the relevant criteria in the decision-making process. Research limitations/implications This study does not investigate the relationships between environmental performances and differentiation advantage from the perspective of 3PLs. Also, sensitivity analysis is not performed. Practical implications The developed integrated model enables decision analysts to better understand the complete evaluation process of 3PL evaluation and selection considering environmental sustainability perspective. Furthermore, the developed approach provides a more flexible, simple, accurate, effective, and systematic decision support tool for 3PL evaluation and selection. Originality/value The current study is first of its kind to use the integrated approach in evaluation and selection of 3PLs from environmental sustainability perspective considering the inter-dependencies among the evaluation and selection criteria.
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Karbassi Yazdi, Amir, Thomas Hanne, Juan Carlos Osorio Gómez, and Jorge Luis García Alcaraz. "Finding the Best Third-Party Logistics in the Automobile Industry: A Hybrid Approach." Mathematical Problems in Engineering 2018 (November 18, 2018): 1–19. http://dx.doi.org/10.1155/2018/5251261.
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Given the current economic climate, many companies are considering outsourcing some activities to reduce costs and to focus on their core competency; thus, by adopting a competency-focused approach they enhance their chances to survive in a growing and competitive market. Third-Party Logistics (3PL) is a system that facilitates logistic activities. First, however, the organizations need to assess which companies are suitable for outsourcing. The aim of this paper is to depict a structural system for 3PL selection and validate it in real-world automobile companies. We use the Delphi method to determine criteria for 3PL selection and apply Evaluation by an Area-based Method for Ranking (EAMR) to prioritize the candidate alternatives. This method is used in combination with a Shannon Entropy based approach for determining the required weights. Computational analysis shows which criteria and companies have high priority, and based on that candidate alternatives for outsourcing are evaluated. The results suggest how automobile companies select 3PL companies and allocate their work to them.
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Kritchanchai, Duangpun, Albert Wee Kwan Tan, and Peter Hosie. "An Empirical Investigation of Third Party Logistics Providers in Thailand." International Journal of Information Systems and Supply Chain Management 3, no. 2 (April 2010): 68–83. http://dx.doi.org/10.4018/jisscm.2010040104.
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Third Party Logistics (3PL) in Asia emerged as an important trend in logistical management and Thailand continues to develop in this service rapidly. While a great deal has been written about the dissemination of information technology (IT), few empirical investigations address the use of IT in relation to 3PLs in Thailand. In this article, the authors use an empirical study to investigate the profiles of 3PLs in Thailand and their company strategies for providing logistics service and use of IT. Survey results show that Thailand’s 3PL companies must expend more effort to strengthen basic IT and infrastructure to enhance competitiveness. IT capabilities in Thailand are increasing rapidly and its effective adoption has the potential to significantly enhance the competitiveness of small 3PLs. Still many barriers exist to the successful adoption of IT by these providers. Given the importance of such companies in supply chain management, these issues must be fully understood.
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Gürcan, Ömer Faruk, İbrahim Yazıcı, Ömer Faruk Beyca, Çiğdem Yavuz Arslan, and Fahrettin Eldemir. "Third Party Logistics (3PL) Provider Selection with AHP Application." Procedia - Social and Behavioral Sciences 235 (November 2016): 226–34. http://dx.doi.org/10.1016/j.sbspro.2016.11.018.
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Lieb, Kristin J., and Robert C. Lieb. "Environmental sustainability in the third‐party logistics (3PL) industry." International Journal of Physical Distribution & Logistics Management 40, no. 7 (August 10, 2010): 524–33. http://dx.doi.org/10.1108/09600031011071984.
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Vivaldini, Mauro, Silvio Pires, and Fernando Bernardi de Souza. "Collaboration and Competition between 4PL and 3PL: A study of a fast-food supply chain." Journal of Operations and Supply Chain Management 1, no. 2 (December 29, 2008): 17. http://dx.doi.org/10.12660/joscmv1n2p17-29.
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This paper analyzes, in the form of a case study, the coordination of ten 3PL (Third-Party Logistics) by a logistics leader (4PL - Fourth-Party Logistics). The study contributes to the understanding of the factors that differentiate 3PL as collaborators and as potential competitors, revealing that the services they render complement each other within the same operation.
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Sharma, Satyendra Kumar, and Vinod Kumar. "Optimal selection of third-party logistics service providers using quality function deployment and Taguchi loss function." Benchmarking: An International Journal 22, no. 7 (October 5, 2015): 1281–300. http://dx.doi.org/10.1108/bij-02-2014-0016.
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Purpose – Selection of logistics service provider (LSP) (also known as Third-party logistics (3PL) is a critical decision, because logistics affects top and bottom line as well. Companies consider logistics as a cost driver and at the time of LSP selection decision, many important decision criteria’s are left out. 3PL selection is multi-criteria decision-making process. The purpose of this paper is to develop an integrated approach, combining quality function deployment (QFD), and Taguchi loss function (TLF) to select optimal 3PL. Design/methodology/approach – Multiple criteria are derived from the company requirements using house of quality. The 3PL service attributes are developed using QFD and the relative importance of the attributes are assessed. TLFs are used to measure performance of each 3PL on each decision variable. Composite weighted loss scores are used to rank 3PLs. Findings – QFD is a better tool which connects attributes used in a decision problem to decision maker’s requirements. In total, 15 criteria were used and TLF provides performance on these criteria. Practical implications – The proposed model provides a methodology to make informed decision related to 3PL selection. The proposed model may be converted into decision support system. Originality/value – Proposed approach in this paper is a novel approach that connects the 3PL selection problem to practice in terms of identifying criteria’s and provides a single numerical value in terms of Taghui loss.
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Jothimani, Dhanya, and S. P. Sarmah. "Supply chain performance measurement for third party logistics." Benchmarking: An International Journal 21, no. 6 (September 30, 2014): 944–63. http://dx.doi.org/10.1108/bij-09-2012-0064.
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Purpose – The purpose of the paper is to explore the applicability of the Supply Chain Operations Reference (SCOR) model and to identify the key performance indicators (KPIs) for the service-oriented sector – namely a third-party logistics (3PL) service provider. Design/methodology/approach – The performance attributes of SCOR model (reliability, responsiveness, flexibility, cost measures and asset management efficiency) are used as the basis for defining the KPIs. A questionnaire was sent to relevant decision makers. Findings – This paper illustrates the use of the integrated approach of SCOR, fuzzy analytic hierarchy process (FAHP) and Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) for measuring the supply chain performance (SCP) in the light of a real life case study company. Research limitations/implications – This method forms the basis for performance measurement using the SCOR model to evaluate strategy. In this work, the performance of the company has been compared with its own previous performance. The work can be extended to external benchmarking and also to other sectors. Practical implications – The paper attempts to overcome the conflict between the top-down strategy and bottom-up implementation process. The paper links the strategic objective with operations which would aid managers at different levels of an organization with decision making. The KPIs, when implemented in a business intelligence (BI) tool, would result in real time performance measurement. Originality/value – The paper focusses on 3PLs. It provides a base for measuring the SCP using SCOR model. The paper also identified KPIs for three domains of 3PL, namely freight forwarding, customs and warehousing.
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Eaidgah, Youness, Amir Abdekhodaee, Manoochehr Najmi, and Alireza Arab Maki. "Holistic performance management of virtual teams in third-party logistics environments." Team Performance Management: An International Journal 24, no. 3/4 (June 11, 2018): 186–202. http://dx.doi.org/10.1108/tpm-05-2017-0020.
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Purpose The purpose of this paper is to investigate the use of an integrated approach for performance improvement of virtual teams (VTs) in third-party logistics (3PL) through the integration of performance management (PM), visual management (VM) and continuous improvement (CI) initiatives into one coherent system. The paper will also propose a methodological framework to establish such a system. The intended integrated system is called as integrated visual management (IVM) throughout this paper. Design/methodology/approach This research is based on a case study that took place in a 3PL context with 19 VTs of different sizes spread across Australia. Many major 3PL companies provide their services either internationally or nationwide and therefore use VTs on a regular basis. The selected company does the same. This case was picked as representative of the many complexities which VTs face in 3PL settings, e.g. geographical and temporal separations; different skill levels within the team and between different team bases; multi-teaming system; high staff turnover; recurring performance problems and firefighting approach to problem-solving; and highly demanding performance requirements from clients. Further, this case study, being of a newly established contract and team, enabled the observation of the team dynamic and complexities from the earliest stages. In addition, as the main author of the paper was part of the managerial layer of the studied VT, this provided it a unique opportunity to escape the usual bureaucracy and rather focus on the research. This study also includes a literature review on VTs along with PM, VM and CI, which comprises IVM. Findings It was found that an integrated approach to PM, VM and CI was effective in systematically improving the VT performance. The framework for implementing IVM was productive and enabled to successfully plan and deploy the improvement intentions. Even though the team was highly virtual and encompassed a range of situational challenges, including different skill levels, a multi-teaming system and a high staff turnover, nevertheless, through IVM, the results met and exceeded performance targets on a sustainable base. Inventory record accuracy, dispatch on time, delivery in full on time and dock to stock were improved by 45, 62, 22 and 25 per cent on average, respectively. Originality/value The originality of the paper comes from its methodological approach to performance improvement for VTs in 3PL contexts through integrating PM, VM and CI systems into one coherent system, IVM.
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Sergeev, S. M., and R. V. Starchenko. "АЛГОРИТМ ОПТИМИЗАЦИИ УЗЛА ТРЕТЬЕЙ СТОРОНЫ ЛОГИСТИКИ." СИСТЕМЫ УПРАВЛЕНИЯ И ИНФОРМАЦИОННЫЕ ТЕХНОЛОГИИ, no. 4(82) (December 1, 2020): 39–42. http://dx.doi.org/10.36622/vstu.2020.44.39.009.
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The modern trend of logistic business development is orientated on the improvement of the digital transport corridors concept. Its practical implementation is based on machine-to-machine interaction and systems for making intellectual management decisions. Such methods are software implemented in enterprise resource planning, supply chain management solutions, which are unstoppably updated. The basis of such information control systems is a set of digital interaction algorithms. The present research is devoted to solving the problem of the distribution center optimization as the base node of the activity of 3PL network operator. The results of mathematical modeling and computer calculations are presented. Современный тренд развития логистического бизнеса направлен на расширение концепции цифровых транспортных коридоров. Его практическая реализация основана на межмашинном взаимодействии и системах принятия интеллектуальных управленческих решений. Такие методы программно реализованы в ERP, SCM решениях, которые непрерывно обновляются. Основу подобных информационных управляющих систем составляет набор алгоритмов цифрового взаимодействия. Настоящее исследование посвящено решению задачи оптимизации распределительного центра, как базового узла деятельности 3PL (третья сторона логистики) сетевого оператора. Представлены результаты математического моделирования и компьютерного расчета.
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Rosiana, Elya, Annisa Kesy Garside, and Ikhlasul Amallynda. "Integration of Rough SWARA and COPRAS in the Performance Evaluation of Third-Party Logistics Providers." Jurnal Teknik Industri 22, no. 1 (February 28, 2021): 31–42. http://dx.doi.org/10.22219/jtiumm.vol22.no1.31-42.
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Currently, the use of logistics service providers in companies has become a decision chosen by several companies. Companies use Third Party Logistics (3PL) to focus more on other essential activities in the company. Evaluating the performance of a 3PL provider is an essential process in determining performance of a 3PL provider. A wrong evaluation process could lead to company’s loss. The main objective of this study was to propose a 3PL performance appraisal procedure. This study integrated the Rough method Step-wise Weight Assessment Ratio Analysis (SWARA) and the Complex Proportional Assessment Method (COPRAS) to assess the performance of 3PL providers. The SWARA Rough method was used to assess the ranking of the criteria. The results of the Rough SWARA ranking were utilized by the COPRAS method to assess supplier performance. A case study was conducted in an animal feed production company in Indonesia. The results showed that there were criteria for product safety; on-time delivery, responsiveness, and flexibility with the greatest weight among the 16 criteria used.
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Durst, Susanne, and Pietro Evangelista. "Exploring knowledge management practices in third-party logistics service providers." VINE Journal of Information and Knowledge Management Systems 48, no. 2 (May 14, 2018): 162–77. http://dx.doi.org/10.1108/vjikms-05-2016-0030.
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Purpose This paper aims to explore knowledge management (KM) practices implemented by third-party logistics service companies (3PLs) and the main barriers slowing down the adoption of such practices. Design/methodology/approach The methodological approach used in this paper is based on a multiple case study analysis involving a set of 3PLs operating in Italy and Sweden. The empirical analysis has explored the KM practices used by 3PLs and the main barrier hindering their adoption. Findings In spite of some adoption, the findings suggest that 3PLs are not sufficiently realizing the full potential of KM. The evidence also indicates that there is a link between the type of 3PL company (in terms of the breadth and complexity of the services supplied) and the sophistication of KM tools adopted. Research limitations/implications From a research point of view, further research should focus on the validation of the link between the number and sophistication of KM tools used and the breadth of services supplied. Further research should also focus on exploring how KM can support 3PL companies in enhancing their performance. Practical implications From a practical point of view, the findings may help the management of 3PL companies to take a more strategic approach to KM and thus its contribution to the firms’ overall goals. Additionally, it is critical to conduct a careful analysis of current and future KM needs to identify the most suitable KM solutions linked to the specific characteristics of the business in which 3PLs operate. Originality/value This study provides fresh insights into the adoption of KM practices in logistics service organizations. The findings advance the limited body of knowledge regarding this topic and contribute to the further development of the study of KM.
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Moschuris, Socrates J., and George F. Velis. "Customer Perceptions on Service Satisfaction with Third Party Logistics (3PL) Service." International Journal of Applied Logistics 3, no. 4 (October 2012): 33–47. http://dx.doi.org/10.4018/jal.2012100103.
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Today, more firms are focusing on core competencies and turning to external specialists (Third Party Logistics – 3PLs) for sophisticated logistics solutions. The 3PL service industry is characterized by customer relationships that can extend over several years, involving multiple instances of service delivery. Customers’ satisfaction level has a profound impact on attracting new customers and customer retention. This research investigates customer perceptions regarding the service offered by a medium-sized 3PL operating in Greece. Results indicate that customers are satisfied with the outfit of personnel, adequacy of knowledge, speed of service, quality of services offered, and politeness of personnel at the point of sales as well as during the delivery. The major problem stated by the respondents was the long hold on time at the call center, which causes intensity and confusion among the customers.
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Tontini, Gerson, Klaus Solberg Söilen, and Ricardo Zanchett. "Nonlinear antecedents of customer satisfaction and loyalty in third-party logistics services (3PL)." Asia Pacific Journal of Marketing and Logistics 29, no. 5 (November 13, 2017): 1116–35. http://dx.doi.org/10.1108/apjml-09-2016-0173.
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Purpose The purpose of this paper is to study the nonlinear impact of quality dimensions of third-party logistics (3PL) services on customer satisfaction and loyalty. Design/methodology/approach By interviewing 167 small-size companies, and using penalty and reward contrast analysis, the paper explores the nonlinear impact of seven dimensions of 3PL services (safety, fault’s recovery, reliability, speed, flexibility, communication, and friendliness) on customer satisfaction and loyalty. Findings The results confirm the existence of the dimensions’ nonlinear impact on customer satisfaction. It also shows that some quality dimensions have a direct and nonlinear impact on loyalty. The dimension “friendliness” has a direct impact on loyalty if the company has a below market average performance, which may lead customers to switch service providers. “Flexibility on collection and delivery” has a direct impact if the company has a higher performance, contributing to customers’ intention to continue using the service. Another finding is that, if the company delivers good service recovery after the customer found faults in the service, and if customers trust the company service, they say they intend to continue to work with the company. Research limitations/implications The present research focused only on small companies in one country (Brazil). Further studies should be carried out to explore different countries, with different realities, and different size of companies. Practical implications 3PL companies should not only deal with customers’ satisfaction, but also with other quality aspects that directly affect customer intention to continue doing business with the 3PL service provider. These are friendliness, flexibility regarding time and frequency of collection and delivery and faults’ recovery. Originality/value The present research confirms that the personal relationship is a crucial aspect to be managed in order to keep customers in the long term. In addition, as opposed to most research looking for the antecedents of satisfaction and loyalty of 3PL customers, the present research shows that there is a direct nonlinear impact of the dimensions’ performance on customers’ loyalty, what should be taken in consideration by 3PL managers. It also shows how penalty-reward contrast analysis may reveal nonlinear antecedents that could be used for better understandings companies’ success in the long term.
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Sundarakani, Balan, Yin Sian Lai, Mark Goh, and Robert de Souza. "Studying the sustainability of third party logistics growth using system dynamics." Journal of Modelling in Management 14, no. 4 (October 11, 2019): 872–95. http://dx.doi.org/10.1108/jm2-12-2018-0224.
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Purpose In this Industry 4.0 era, third-party logistics (3PL) industries face huge cost pressure to deliver their service. With increase in competition among the players, constant mergers and acquisitions (M&A) have been taking place to sustain competitive advantage. Therefore, this study aims to investigate the growth dynamics among the 3PL service providers. Design/methodology/approach In this research, the system dynamics methodology was applied to the study of the growth of 3PL industry in Singapore. A population growth model incorporating the predator–prey interaction is developed to account for growth through M&As among 3PLs and their interaction phenomenon are modeled through modified Lotka–Volterra method. The two-species system model consisting of small and medium logistics service providers (SMLSPs as the prey) and the lead logistics providers (LLPs as the predator) are gauged according to the firm size. Findings Results from the baseline model indicates that Singapore’s logistics industry looks very optimistic for SMLSPs for another 6 years from 2018, while the LLP population will achieve a peak at about 12 years from 2018. Further sensitivity analysis through macroeconomic and microeconomic changes reveals increase in trend of M&As. By varying competitive pressures between firms, results indicate that the LLP population experiences a decreasing rate of increasing SMLSP population falls. Research limitations/implications The research provides guidance for logistics and supply chain managers to better understand the critical factors that impact and determine competitive dynamics. The paper further recommends managers to build sustainable logistics strategies to retain competitive advantages. Originality/value The research contributes to both economic and social dimensions of logistics sustainability of how resilient the industries are during uncertain conditions. Some of the limitations of this research include the geographic coverage of the study region and other methodological aspects. The research value thus helps policymakers for developing strategic policies for sustainable industrial growth.
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Vatumalae, Vellian, Premkumar Rajagopal, and Veera Pandiyan Kaliani Sundram. "Warehouse Management System of a Third Party Logistics Provider in Malaysia." International Journal of Economics and Finance 12, no. 9 (August 25, 2020): 73. http://dx.doi.org/10.5539/ijef.v12n9p73.
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This study aims to explore the significant benefits gained from the implementation of the Warehouse Management System in 3rd Party Logistics Service Provider. A qualitative research approach been adopted by conducting an in-depth case study in one of Halal third-party logistics (3PLs) company located in central Malaysia, offering most of the logistics services, including transportation and warehousing. Information obtained from the warehouse operations managers in understanding the overall benefit of the warehouse management system. As a result of the highly competitive in 3rd party logistics market, environment companies are continuously forced to improve their warehousing operations into a system based applications. Many 3rd party logistics companies have also customized their value proposition to meet better customer demands, which has led to changes in the role of warehouses. The findings of this study have significant implications for both academicians and the 3PLs organizations to further explore the theories, practices, and the implementation of the Warehouse Management System in the warehouse operations. The future studies may lead to an investigation of the relationship of the warehouse management system with 3PL business competitiveness among the 3PL’s organization.
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Ngah, Abdul Hafaz, Marhana Mohamed Anuar, NorLinda Nohd Rozar, Antonio Ariza-Montes, Luis Araya-Castillo, Jinkyung Jenny Kim, and Heesup Han. "Online Sellers’ Reuse Behaviour for Third-Party Logistics Services: An Innovative Model Development and E-Commerce." Sustainability 13, no. 14 (July 9, 2021): 7679. http://dx.doi.org/10.3390/su13147679.
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The increase in customer complaints on the reliability of 3PL services among online sellers has become prominent in the industry, as confirmed by 3PL service providers in Malaysia. The increase in customer complaints increases the tendency to switch to other 3PL service providers. As Asian markets lead the growth of e-commerce, covering approximately 50% of the global e-commerce market, whether the customer will continue to shop online or not is no longer the issue. Although having the proper logistics provider to support online sellers’ business is crucial, most studies have focused on the online shopper’s perspective and employ the service quality theory. Observably, the satisfaction and reuse intention of the 3PL from the online retailer’s perspective is largely neglected. This study identified the factors influencing the satisfaction and reuse intention of 3PL services among online sellers in Malaysia by employing and expanding the stimulus–organism–response (SOR) theory. A purposive sampling method was employed, and the data were gathered via an online survey among online sellers. Additionally, smart partial least squares (SmartPLS) was applied to test the hypotheses. The results indicated that reliability had a positive effect on satisfaction, and satisfaction had a positive relationship with the reuse intention of certain 3PL services. Moreover, satisfaction mediated the relationship between reliability and reuse intention, whereas price fairness strengthened the positive relationship between satisfaction and reuse intention. The findings enhance studies that employed the SOR theory, particularly relating to online sellers’ behaviour on 3PL services. The findings also benefit online sellers and 3PL service providers to create attractive marketing strategies for business sustainability.
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Carrus, Pier Paolo, and Roberta Pinna. "Information Technology and Supply Chain Management Coordination." International Journal of E-Services and Mobile Applications 3, no. 4 (October 2011): 21–36. http://dx.doi.org/10.4018/jesma.2011100102.
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Logistics Service Providers (3PL) have become important players in supply chain management. In a highly competitive context characterized by “time compression”, a successful strategy depends increasingly on the performance of Logistics Service Providers as they play a key integrative role linking different supply chain elements more effectively. However, the role of the information technology capability of these 3PL has not drawn much attention. The research question is: can IT be viewed as a fundamental supply chain management coordination mechanism? If so, does IT capability of third party logistics providers to improve performance in the supply chain and become a bigger factor in a strategic buyer-3PL relationship? By drawing on earlier research on the supply chain management coordination mechanism, the IT capability of third party logistics providers, a case study is conducted.
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Adeiye, Ajani Love, Ajani Olumide Faith, Sanni Olaniyi Felix, Abiodun Olaiya Paul, Justin Onyebuchi Nwofe, Kaniki Freddy Rukema, and Shadi Kafi Mallak. "Expanding access to viral load testing in Nigeria; the impact of third party logistics." International Journal Of Community Medicine And Public Health 7, no. 1 (December 25, 2019): 28. http://dx.doi.org/10.18203/2394-6040.ijcmph20195828.
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Background: Access to viral load testing in Nigeria remains a key challenge in achieving the Joint United Nations Program on HIV/AIDS (UNAIDS) 90:90:90 targets in the fight against HIV/AIDS. This study investigates the impact of 3 party logistics (3PL) on expanding access to viral load testing.Methods: This exploratory, case study research was carried out in Abuja in December, 2018, using in-depth interview method. Open-ended questions were used to interview nine staff from the three polymerase chain reaction laboratories in Federal Capital Territory. The audios of interviews were recorded and transcribed on paper. The data was analyzed using SPSS version 24.Results: This study revealed that the adoption of 3PL services has helped to overcome major challenges of viral load testing such as late delivery of samples, late collection of results, and rejection problems; thereby reduced sample rejection frequencies, increased efficiency, reduced turnaround time and ease viral load testing processes. Though the adoption of 3PL has helped to overcome major challenges of viral load testing, however, the challenges still facing viral load testing include the 3PLs bringing samples at any time-even at closing hours, not delivering results to facilities on time after pickup, poor medical backgrounds and inability of 3PLs to enforce instructions on facilities. However, respondents expressed satisfaction with the services of the 3PLs.Conclusions: The findings of this study revealed that the adoption of 3PL service into viral load transport logistics has positive impacts on the process. However, only one of the laboratories uses two 3PL providers while other two use only one.
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Huang, Yijun, and Kaikai Yin. "Research on the Evaluation and Selection of Third-Party Logistics Providers in B2C E-Commerce Mode." Journal of Electronic Commerce in Organizations 12, no. 2 (April 2014): 74–88. http://dx.doi.org/10.4018/jeco.2014040106.
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For B2C e-commerce enterprises, it is of great importance to select the third-party logistics (3PL) providers. The paper, focused on the concept of “logistics capability”, took full account of the characteristics of B2C e-commerce and its logistics service and referred to the research findings of scholars. As a result, on six dimensions, the evaluation indexes of 3PL providers' logistics capability in the mode of B2C e-commerce were identified. Besides, Case studies were conducted with multi-index decision and evaluation methods based on Relative Approximation, showing that the final results are reliable.
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Samanlioglu, Funda, and Sylivan Boakai. "A MCDM Approach to Third Party Logistics (3PL) Provider Selection." International Journal of Logistics Systems and Management 1, no. 1 (2021): 1. http://dx.doi.org/10.1504/ijlsm.2021.10038550.
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Bolumole, Yemisi A. "Evaluating the Supply Chain Role of Logistics Service Providers." International Journal of Logistics Management 14, no. 2 (July 1, 2003): 93–107. http://dx.doi.org/10.1108/09574090310806620.
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The shift from traditional and functional third‐party logistics to comprehensive supply‐chain relationships has significant implications for the role of third‐party logistics service providers (3pls). Extending previous research in which four factors were found to influence 3pls' supply chain function, this paper contains an assessment of the varying role(s) 3pls can play in the supply chain. The factors include: the strategic orientation of the outsourcing organization; its perception of 3pls' roles within the logistics strategy; the nature of the resultant client‐3pl relationship; and, the extent to which logistics is outsourced. The supply chain impact of these factors are evaluated based on the findings from case study research. Each different 3pl role (conceptual and empirical) is examined and implications for practical implementation are provided.
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Chu, Zhaofang, Linlin Wang, and Fujun Lai. "Customer pressure and green innovations at third party logistics providers in China." International Journal of Logistics Management 30, no. 1 (February 11, 2019): 57–75. http://dx.doi.org/10.1108/ijlm-11-2017-0294.
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PurposeThe purpose of this paper is to investigate how customer pressure influences green innovation in the context of Chinese third-party logistics (3PL) providers, and especially the role of organizational culture in moderating this relationship.Design/methodology/approachBased on survey data collected from 165 3PL providers in China, hierarchical moderated regression analysis was conducted to test the hypotheses.FindingsCustomer pressure is an important driver of green innovation amongst 3PL providers. Flexibility-oriented organizational culture strengthens the effect of this driving force, while control-oriented organizational culture weakens this force. Green innovation significantly contributes to financial performance and flexibility orientation strengthens this contribution, while control orientation weakens it.Research limitations/implicationsThis research examines the contingency effect of organizational culture in helping to resolve inconsistencies in the relationship between customer pressure and green innovation. Although the inconsistencies cannot be resolved completely, the research opens an avenue to explore other contingency factors or the possibility of a non-linear relationship.Practical implications3PL firms could undertake green innovation to satisfy customers’ environmental requirements. To develop their green innovation initiatives, managers should allow their employees greater autonomy and design (or re-design) operations procedures and regulations to be more flexible, thus enabling the diffusion of green innovation and avoiding or reducing the potential influence of control-oriented organization culture.Originality/valueThe study considers the conditional effect of organizational culture to reconcile the mixed results in the literature regarding the relationship between customer pressure and green innovation of logistics service providers.
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Park, Yoon-Hwan, and Yoon-Say Jeong. "An empirical analysis on the performance of the third-party logistics in the Korean exporter." Journal of Korea Trade 20, no. 1 (March 7, 2016): 97–114. http://dx.doi.org/10.1108/jkt-03-2016-006.
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Purpose – The purpose of this paper is to analyze the process of enhancing logistics performances in Korean exporters’ utilizing “third-party logistics” (3PL) in area of delivery service to overseas buyers. Design/methodology/approach – A research model was designed on the mechanism of Korean exporters’ utilizing 3PL and the collaborative relationships (CR) between exporters and “logistics service providers” (LSPs) in supply chain management context. The mechanism means what triggers the Korean exporters to choose LSPs in overseas trade. Conclusions were drawn from survey data gathered from 146 exporters in Korea. Structural equation model with partial least square was employed to measure the statistical significance of the hypothesized model paths. Findings – This study provides evidence that exporters’ evaluation on the customization of LSPs’ service capacities, the reasonability of LSPs’ service fees and the information sharing are three important prerequisites to CR between exporters and LSPs. This study is focussed on exporters’ performance such as consistency of secure delivery (SD), exporters’ logistics cost savings (CS) and exporters’ satisfaction. The results show a strong support for this study, with positive and significant effects of CR on the consistency of SD, exporters’ logistics CS and exporters’ satisfaction. Practical implications – This study proves that exporters’ performance derived from the CR results in exporters’ loyalty to LSPs, which means LSPs’ performance. Originality/value – There are very few studies on utilization of 3PL related to delivery of export goods to overseas buyers and relevant exporters’ performance. However, this study has particularly explored the mechanism in the relation of exporters’ using 3PL and its performance.
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SALMAN AHMED, DR. MUHAMMAD ASIM, and SALMAN MANZOOR. "FACTORS AFFECTING THE SELECTION OF THIRD-PARTY LOGISTICS SERVICE PROVIDERS IN THE EDIBLE OIL INDUSTRY OF KARACHI." CenRaPS Journal of Social Sciences 2, no. 1 (February 15, 2020): 122–33. http://dx.doi.org/10.46291/cenraps.v2i1.14.
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Purpose: Logistics plays an important role in integrating the supply chain of industries. But given the volatility and dynamic nature of supply chain management as a field, the factors that need to be considered when choosing a 3PL can vary based on geographic location, type of industry, nature of the product and so on. Therefore, this study aims to identify which factors impact 3PL Service Provider selection the most in the edible oil industry specifically based in Karachi.
Design: The study describes and the theory of core competencies and how these competencies are used in the selection process of 3PL Service Providers. A survey was carried out through questionnaires to determine which competencies are best suited to choosing a 3PL Service Provider in the edible oil industry.
Findings: The findings showed the Selection of 3PL Provider was most significantly impacted by two of the five variables Cost of Service and Operational Performance. Financial Performance showed a weak relationship while the last two variables were proven to have little or no relationship with the independent variable.
Originality and Value: The study will help the supply chain professionals of the edible oil companies focus on certain factors while outsourcing their work most importantly selecting a 3PL service provider.
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Huo, Baofeng, Chen Liu, Mingu Kang, and Xiande Zhao. "The impact of dependence and relationship commitment on logistics outsourcing." International Journal of Physical Distribution & Logistics Management 45, no. 9/10 (October 5, 2015): 887–912. http://dx.doi.org/10.1108/ijpdlm-04-2015-0109.
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Purpose – The purpose of this paper is to develop a theoretical framework involving dependence, relationship commitment, logistics outsourcing and service quality to exhibit the roles of the relational factors involved in logistics outsourcing and their outcomes. Design/methodology/approach – Based on data collected from 361 companies in Greater China, the authors use the structural equation model approach to examine the hypothesized relationships. Findings – Both normative and instrumental relationship commitment are necessary for third party logistics (3PL) users to cope with their goal dependence on 3PL providers. However, only normative relationship commitment is necessary when users perceive switch dependence. Normative relationship commitment also plays a more important role than instrumental relationship commitment in facilitating the adoption of 3PL logistic outsourcing. In addition, both basic and advanced outsourcing practices have a positive effect on service quality. Originality/value – This study contributes to both 3PL theories and practices by clarifying how relationships between 3PL users and providers in China are managed.
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Grant, David, Jouni Juntunen, Jari Juga, and Mari Juntunen. "Investigating brand equity of third-party service providers." Journal of Services Marketing 28, no. 3 (May 6, 2014): 214–22. http://dx.doi.org/10.1108/jsm-06-2012-0104.
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Purpose – The purpose of this paper is to apply theory and techniques from the services and marketing literature to a supply-chain context consisting of a shipper or seller, a customer or buyer and a third-party logistics service provider (3PL) to investigate corporate brand equity resulting from service quality, customer satisfaction and customer loyalty towards the 3PL. Design/methodology/approach – A conceptual model was developed from the literature and tested with Finnish industrial firms using an online survey. Data were analysed using structural equation modelling to examine relationships among the four constructs. Findings – Hypothesised relationships among the four constructs in the conceptual model were supported; however, the relationship between loyalty and corporate brand equity was weak. Research limitations/implications – This investigatory research is based on a one-country sample making transferability and generalisability to other countries difficult. Practical implications – The findings of this research should enable 3PL managers to determine those service offerings most important to shippers and customers, develop a service package using such offerings to satisfy their needs and thus build loyalty and corporate brand equity with both. Originality/value – This paper adds to our knowledge of these constructs in a supply-chain context, particularly for 3PLs, and provides an interdisciplinary approach to research in the supply-chain domain.
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Lu, Fuqiang, Wenjing Feng, Mengying Gao, Hualing Bi, and Suxin Wang. "The Fourth-Party Logistics Routing Problem Using Ant Colony System-Improved Grey Wolf Optimization." Journal of Advanced Transportation 2020 (October 15, 2020): 1–15. http://dx.doi.org/10.1155/2020/8831746.
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The fourth-party logistics routing problem (4PLRP) is an important issue in the operation of fourth-party logistics (4PL). In this paper, the study of fourth-party logistics (4PL) path optimization considers that more third-party logistics (3PL) undertake transportation tasks. Under the condition that the 3PL transportation time, transportation cost, node transit time, and transit cost are uncertain, 4PL provides customers with a set of transportation solutions to transport transportation tasks from the initial node to the destination node according to the customer’s risk aversion preference. The transportation scheme not only meets the customer’s time and cost requirements but also meets the carrying capacity and reputation constraints of 3PL. Between the two nodes, one or more 3PLs will undertake the transportation task. The customer’s risk preference will be measured by the ratio utility theory (RUT). An ant colony system-improved grey wolf optimization (ACS-IGWO) is designed to solve the model, and the grey wolf optimization (GWO) is improved by the convergence factor and the proportional weight. Problem analysis is conducted through simulation experiments.
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Azadi, Majid, and Reza Farzipoor Saen. "Developing a Chance-Constrained Free Disposable Hull Model for Selecting Third-Party Reverse Logistics Providers." International Journal of Operations Research and Information Systems 4, no. 4 (October 2013): 96–113. http://dx.doi.org/10.4018/ijoris.2013100106.
Full textAbstract:
Demand of third-party reverse logistics (3PL) provider becomes an increasingly significant topic for corporations looking for enhanced customer service and cost reduction. To select the best 3PL providers in the presence of stochastic data, this paper proposes an innovative approach which is based on free disposable hull (FDH). FDH model is one of the classical models in data envelopment analysis (DEA). In many real world applications, data are often stochastic. A successful approach to address uncertainty in data is to replace deterministic data via random variables, leading to chance-constrained DEA. In this paper, a chance-constrained FDH (CCFDH) model is developed and also its deterministic equivalent which is a nonlinear program is derived. Furthermore, it is shown that the deterministic equivalent of the CCFDH model can be converted into a quadratic program. In addition, sensitivity analysis of the CCFDH model is discussed with respect to changes on parameters. Finally, a numerical example demonstrates the application of the proposed model in the field of 3PL provider selection.
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Et.al, Awoyemi Adebare Omotayo. "Reviews and Propose Model for the System Dynamics in Contemporary Tendencies of Third-Party Logistics towards Business Performance in Malaysia and Thailand." Turkish Journal of Computer and Mathematics Education (TURCOMAT) 12, no. 3 (April 10, 2021): 1569–76. http://dx.doi.org/10.17762/turcomat.v12i3.966.
Full textAbstract:
The present Third Party Logistics (3PL) service providers in Malaysia and Thailand are expending their effectiveness and efficiency in several spheres from contemporary logistics services offers towards the series of value-added services to their customers. There is a need to forecast their key performance indicators growth using a systematic approach in resource management, as their quality indicators. Hence, this paper discovers on the current propensities of 3PLs service providers in respect of issues connected with their performance, resources and quality to establish on the 3PLs indicators of resources, quality and processes. It is also sought to develop a model of systematic dynamics for internal resources and company processes optimization based on the best practices. The methodology of the research is based on literature reviews which focusing on the performance measurement, quality and resources of 3PL. Using a System Dynamics, a model of optimization and management of 3PL, the internal processes and resources were developed. This model comprises of Nine (9) segmentations, which are operations, commercial activities, administration, personnel management, procurement, quality management, Resources, Performance Measurement and Financial models. The model is indicating all areas of activities of 3PL service providers. This study proposes a new model for Third-party Logistics (3PL) performance indicators for future guidelines in related industry.