Enhancing third-party logistics providers partnerships: An approach through the D.L.A.R.C.S supply chain paradigm

Abstract

The effective selection of third-party logistics providers (3PLs) is crucial for achieving optimal supply chain performance. This study addresses the challenge of 3PL selection by adopting the comprehensive Digital, Lean, Agile, Resilient, Circular, and Sustainable (D.L.A.R.C.S) supply chain paradigm, which encompasses dimensions vital for managing modern supply chains, including digital, lean, agile, resilient, circular, and sustainable aspects. Recognising the interconnectedness of these dimensions, this paradigm emphasises their collective importance in enhancing supply chain operations. Utilising fuzzy SWARA (Step-wise Weight Assessment Ratio Analysis) and BWM (Best Worst Method) techniques, the study evaluates and ranks 3PLs based on their performance within these dimensions. The analysis reveals pivotal criteria such as purchasing price, transportation cost, removal of wastes, service costs, reduction in costs, and crisis and risk management as paramount considerations in the 3PL selection process. These criteria not only provide specific insights but also serve as a foundation for a data-driven approach to decision-making. This research, beyond offering strategic alignment insights for outsourcing, contributes substantively to the broader discourse on supply chain management. The methodology employed in this study integrates diverse dimensions, offering a robust framework for 3PL selection, thereby enhancing operational efficiency and sustainability across industries. The findings offer valuable insights for tyre manufacturers seeking to optimise their logistics operations within the D.L.A.R.C.S. framework, contributing to the advancement of supply chain management in the tyre industry and beyond.