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Third-party logistics selection problem: A literature review on criteria and methods
Affiliation:1. Department of Industrial Engineering, Tsinghua University, Beijing 100084, China;2. School of Economics and Management, Southwest Jiaotong University, Chengdu 610031, China;1. Department of Management Sciences, University of Iowa, Iowa City, IA 52242-1000, USA;2. PingAn Bank, No. 5047 East Shen Nan Road, Shenzhen, Guangdong, China;1. School of Business Administration, Southwestern University of Finance and Economics, Chengdu, Sichuan 610074, China;2. LeBow College of Business, Drexel University, Philadelphia, PA 19104, USA;3. Kelley School of Business, Indiana University, Bloomington, IN 47405, USA;1. Department of Mechanical and Manufacturing Engineering, University of Calgary, 2500 University Drive NW, Calgary, Alberta, Canada T2N1N4;2. Haskayne School of Business, Scurfield Hall, University of Calgary, 2500 University Dr. NW, Calgary, Alberta, Canada T2N1N4;1. School of Economics and Business Administration, Chongqing University, Chongqing, China;2. School of Mathematics and Information Engineering, Chongqing University of Education, Chongqing, China;3. School of Computer, Dongguan University of Technology, Dongguan, China
Abstract:This paper presents a literature review on Third-Party Logistics (3PL) selection decision in terms of criteria and methods. Based on the analysis of 67 articles published within 1994–2013 period, this review reveals that 3PL selection is empirical in nature and is related to a region/country, industrial sector, and logistics activities outsourced. In terms of 3PL selection criteria, 11 key criteria are identified; each one is defined by a set of attributes. Cost is the most widely adopted criterion, followed by relationship, services, and quality. In terms of methods for 3PL evaluation, they can be categorized in 5 groups, namely: MCDM techniques, statistical approaches, artificial intelligence, mathematical programming, and hybrid methods.
Keywords:Third party logistics  Logistics outsourcing  Performance measurement  Decision making process  Multicriteria
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