Abstract

Although transport outsourcing decision-making and collaborative transport management (CTM) have been “hot topics” for years, their links are still not thoroughly explored. The purpose of this paper is to contribute to a better understanding of the relationship between them. In particular, we focus on the conflicting and complementary features of these concepts with regard to their capability to hedge against transport outsourcing-related risks. Transport outsourcing is often a tool for transferring part of the demand risks from the primary parties in supply chains to transport service providers. However, new relationships introduce some new risks - outsourcing contract risks. It is important to identify, estimate and compare such kinds of risks. Transport collaboration may decrease both the demand risks and the outsourcing contract risks, although the relationship with the latter is more complex. It is used an exploratory research based on a combination of a literature review and empirical examples.

Highlights

  • In many ways, the development of collaborative transportation management (CTM) in supply chains seems to be a trend opposed to transport outsourcing

  • CTM is treated as a tool for strengthening links between carriers or logistics providers and their customers to cross over the boundaries, i.e. to make new, “extended enterprises” (Jagdev & Thobern, 2001)

  • If we focus on given transport outsourcing risks, the gap is even more obvious

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Summary

Introduction

The development of collaborative transportation management (CTM) in supply chains seems to be a trend opposed to transport outsourcing The latter has usually started as an arrangement whereby a carrier performs services for a firm that were originally performed in-house (i.e. vertical disintegration), see e.g. Đ. CTM is treated as a tool for strengthening links between carriers or logistics providers and their customers to cross over the boundaries, i.e. to make new, “extended enterprises” (Jagdev & Thobern, 2001). Both concepts are of strategic importance for al involved enterprises. These concepts represent the most important supply chain trends in transportation which have taken place in recent years

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