Levers of logistics service providers’ efficiency in urban distribution

Abstract

This paper identifies the most important factors that influence the productivity of the urban fleet of a Logistics Service Provider (LSP). Through a regression analysis on a dataset from distribution warehouses of a single LSP, three main levers are shown to have significant impacts on productivity, namely the network design, the vehicle loading strategy, and the business environment wherein the operations are carried out. This paper contributes to bridge the gap about the lack of works addressing the efficiency of LSPs operating in urban areas, by performing a detailed empirical analysis instead of taking an aggregated company perspective.