Logistics Service Provider Selection Research Articles

Examination of the selection of logistics service providers

The selection of logistics service providers plays a crucial role in the success of an organization's supply chain management. The new industrial revolution taking place today provides solutions that prioritize the issue of quality and also raise reliability to a new level, both on the service provider's and user's sides. As businesses grow and expand, the need for efficient and reliable logistics services becomes increasingly important. This study examines how to determine the criteria for the selection of logistics service providers in the current technological environment. The choice of logistics service provider has significant implications for an organization's operations and overall performance. Optimum selection can lead to enhanced customer satisfaction, cost savings, improved efficiency, and a competitive advantage. However, poor selection can result in logistical inefficiencies, decreased customer satisfaction, increased costs, and negative impacts on organizational reputation. Hence, careful consideration and evaluation of potential service providers are crucial. The digitized environment offers a solution for accessing large-scale databases, which provide well-founded decision evaluation plans based on a large number of samples. The quality characteristics influencing the logistics parameters were examined and weighted from the perspective of customer requirements. By exploring various aspects, we aim to shed light on the intricacies of this process and provide insights that can assist organizations in making informed decisions. We attempt to make the indices that appear as bottlenecks in the specified order more efficient using an optimization procedure.

Enhanced cross-entropy framework for multiple-attribute decision-making with type-2 neutrosophic number and applications to cross-border e-commerce logistics service providers evaluation

In recent years, the lack of coordination in cross-border logistics has been one of the challenges and challenges faced by cross-border e-commerce. As the primary link in cross-border logistics, the selection of logistics service providers is an important foundation for promoting the development of cross-border e-commerce, and also a key link in improving the competitiveness of cross-border e-commerce enterprises. How to choose suitable and effective cross-border e-commerce logistics service providers has important theoretical significance and practical application value. The cross-border e-commerce logistics service providers evaluation is a multiple-attributed decision-making (MADM) problem. In this paper, the Type-2 neutrosophic number cross-entropy (T2NN-CE) technique is designed with help of cross-entropy and Type-2 neutrosophic number (T2NN). Furthermore, Then, T2NN-CE technique is built to solve the MADM. Finally, a numerical example for cross-border e-commerce logistics service providers evaluation is given and some comparisons are conducted to illustrate advantages of the designed T2NN-CE technique. The research contribution of the paper is outlined: (1) The T2NN-CE is managed under T2NNs; (2) the T2NN-CE method is implemented for MADM under T2NNs; (3) the T2NN-CE technique for cross-border e-commerce logistics service providers evaluation is constructed and were compared with some existing techniques; (4) Through the comparison, it is known that T2NN-CE technique for cross-border e-commerce logistics service providers evaluation is effective.

Hybrid Multi-Criteria Decision-Making Model for Optimal Selection of Cold Chain Logistics Service Providers

Hybrid Multi-Criteria Decision-Making Model for Optimal Selection of Cold Chain Logistics Service Providers

Development and Practical Application of Hybrid Decision-Making Model for Selection of Third-Party Logistics Service Providers

Abstract In this study a problematic of logistics service provider selection is discussed. Traditional decision-making techniques are functionally limited and must be adjusted. Modern approach must be based on contemporary tools and information. The aim of this study is to develop a modern, industry-oriented decision-making model for selection of strategic logistics service providers. Main tasks of this study include: to perform critical analysis and comparison of multiple-criteria decision-making methods; to adapt decision-making framework for specific needs of selection of third-party logistics service providers; to collect and analyze industry data related to procurement projects; to develop modern decision-making model for selection of logistics service providers; to perform practical application of developed decision-making model based on collected industry data. The key novelties of this study are developed methodology for collection of industry data for decision-making process, developed hybrid decision-making model for selection of third-party logistics service provider, as well as application of the model. As the result, there is developed decision-making model for selection of 3PL service providers that includes 6 steps.

Fresh food supplier selection for global retail chains via bipolar neutrosophic methodology

Due to increases in world population, rapid urbanization, increasing environmental pollution, and poorly managed food supply chains (FSCs), supplying clean and reliable agri-food has become more critical. Furthermore, increasing concerns of the urban population on healthy and balanced nutrition have increased their demand for fresh foods (FFs). Also, the retail industry has become the leading sector responding to almost all requirements of individuals, including FFs. Heightened awareness of individuals on health, reliability, and quality forces retail chains to provide more qualified, sustainable, and reliable FFs for their customers. Retail chains try to construct and manage well-structured global fresh food supply chains (FFSCs) to respond to customers' needs satisfactorily. Thus, selecting logistics service providers performing FF logistics operations (i.e., cold transportation, warehousing, and other logistics activities) from farms to retailers is essential for reliable and sustainable FFSCs. Because FFSCs are pretty sensitive, and minor mistakes or delinquency may cause severe costs.Global retail chains, in particular, only focus on meeting short-term demand and not on a sustainable fresh food supplier selection; fresh food suppliers are essential to determine sustainability performance. In this context, a more holistic approach is needed, focusing not only on the global retail chain level's direct impacts but also on the positive impacts at the overall system level. While this study fills a gap, it also assesses the long-term and lasting impact of choosing a fresh food supplier.In addition, the impacts of logistics service providers on FFSCs' overall performance have not been addressed adequately in the relevant literature. This work aims to analyze the factors identified by the extended form of the Delphi method developed in the present article, influencing the selection of logistics service providers producing logistics services for fresh fruits and vegetables with the BN-VIKOR procedure. The paper's main significant finding is that the logistics firms' service capacity is the determinative and most influential factor. The current study provides insights and beneficial road maps to the practitioners and decision-makers in retailing industry to structure FFSCs. The results contribute to the literature on criteria for selecting sustainable fresh food suppliers in global retail chains and identify strategies and improvement opportunities that can lead to improvement in practice.

Selection of Logistics Service Provider for port enterprises: Combination of the weighting-grey synthetic decision-making method

The purpose of this paper is to explore how port enterprises can scientifically select a better logistic service provider (LSP) to achieve a high efficiency. An empirical study is conducted to verify the effectiveness of the combination weighting-grey synthetic decision-making method by helping the LSP selection of a port enterprise in China. Data are collected from questionnaires administered to port logistics’ industry professionals. The method is proposed, which associates the analysis network process method with the entropy method to determine the combined weights of the evaluation indexes. The improved centre-point triangular whitenization weight function is introduced to cluster the alternative port LSPs and judge the corresponding grey classes. Subsequently, the synthetic weighted decision-making vectors are used to determine the grey synthetic decision-making coefficient vectors. The grey synthetic clustering decision-making coefficients are calculated to establish a synthetic decision-making rank of the alternative plans. The combined method can help the port enterprises realize the selection of better LSPs in a scientific manner.

Logistics services outsourcing decision making: a literature review and research agenda

Logistics plays important role in any firm’s supply chain. Outsourcing allows firms to focus on core business. Logistics outsourcing to third party logistics or logistics service providers (LSP) helps the companies to reduce costs, improve performance, sustainability, customer satisfaction and profitability. Logistics assessment and selection of LSP is a complex and important aspect of outsourcing decision. The purpose of this paper is to provide a review of logistics outsourcing literature to provide an insight to the trend, opportunities, criteria and techniques adopted in logistics outsourcing decision-making. This paper is based on literature review of 62 research articles published related to LSP evaluation and selection during 2010-2020. The analysis includes publications in journals, year, selection criteria and evaluation methods. It has been found that 44 major selection criteria have been used by different authors but most commonly used are: price, on-time delivery, service quality, reliability, flexibility, equipment and technology, customer relationship, while environmental and social criteria are rarely adopted. It is also observed that multi criteria decision making (MCDM) methods have been adopted by majority of researchers wherein Analytic Hierarchy Process (AHP), Technique for order of preference by similarity to ideal solution (TOPSIS) and their fuzzy variant are highly applied. Conclusion, implications for researchers and practitioners, limitations, and direction for future research are provided.

An approach of selecting cold chain logistics service provider based on SNAand FCE method

In this paper, an integrated decision-making methodology is proposed to solve the subjectivity and fuzziness in the selection of cold chain logistics service providers (LSPs). Firstly, the social network analysis (SNA) method is applied to select the evaluation criteria of cold chain LSPs, which is based on the systematic literature analysis. Then, a novel combination weighting method that combines the advantages of entropy weight (EW) method and improved analytic hierarchy process (AHP) is constructed to calculate the weight of criteria. Further, the fuzzy comprehensive evaluation (FCE) method is utilized to generate a ranking order of providers and recommend the optimal provider. Finally, the illustrative example and comparison analysis are provided to prove the validity and feasibility of the approach. In addition, a sensitivity analysis is presented to discuss the stability of the proposed method. In conclusion, this paper innovatively constructs an index system of cold chain LSPs evaluation and selection, and the process of evaluation and selection is also objective.

Bulanık Analitik Hiyerarşi Süreci ile Proje Lojistik Operasyonları için Hizmet Sağlayıcı Seçimi

The transportation of non-standard cargoes and related logistics operations are considered as a niche area that requires expertise. Logistics operations of non-standard cargoes must be carried out carefully in order to deliver the cargo on time and in undamaged conditions. Although a significant amount of literature has been published on service provider selection, there is no study in the field of project logistics. For this reason, it is necessary to investigate and determine the selection criteria for project logistics service providers. In the study, fuzzy analytical hierarchy process (FAHP) is used for project logistics service provider selection. The results are that for project logistics management, logistics service providers need to improve vehicle availability, cargo security, on-time delivery, etc. to become more competitive.

Decision Model for Prioritising Logistics Service Provider Selection Criteria with Sustainability Consideration in Manufacturing Industry

Decision Model for Prioritising Logistics Service Provider Selection Criteria with Sustainability Consideration in Manufacturing Industry

Decision model for prioritising logistics service provider selection criteria with sustainability consideration in the manufacturing industry

Decision model for prioritising logistics service provider selection criteria with sustainability consideration in the manufacturing industry

A Hybrid Multi-Criteria Decision Framework for Selecting Fourth-Party Logistics Service Providers in Fleet Transportation Management: A Case Study in Plastic Resin Manufacturing

Since the selection of the fourth-party logistics service providers (4PLs) has become a crucial strategic decision to innovatively enhance the logistics processes and to reduce logistics costs. Despite a growing interest among practitioners and academicians in shifting the outsourcing of the logistics service to 4PLs, few studies have focused on developing a framework for selection and evaluation. This paper contributes to the literature in proposing a hybrid multi-criteria decision framework to select the best 4PLs in fleet transport management service. The proposed framework is divided into four phases. First, the 4PLs selection criteria are identified through literature review and industrial experts in the field. Second, Decision Evaluation and Experimental Laboratory (DEMATEL) is employed to explore the inter-relationship among selection criteria as well as to analyze the relative importance weights of criteria. Next, a multi-objective optimization model based on ratio analysis (MOORA) is utilized to rank and select the best 4PLs applicant. Finally, the sensitivity analysis is performed to validate the robustness of the proposed framework. One of the major plastic resin manufacturers in Thailand is used as a case study. This study provides the useful insights for selecting and evaluating 4PLs to practitioners and academicians working on this subject.

Analythical Hierarchy Process (AHP) method in the selection of logistics service provider in Jakarta

E-commerce is a system of buying and selling through applications that are supported by the Internet system. Buying and selling on E-commerce relies on logistics services for shipping goods to customer locations. The logistics used to send goods to locations in one area or surroundings is known as city logistics or urban logistics, while the delivery service is called a logistics service provider. This study aims to enable customers to choose which logistics service provider is suitable for customer needs. The analytical method that can be used for the selection of city logistics companies is the Analytical Hierarchy Process (AHP) method. This study aims to select the best online-based logistics service provider by selecting the logistics service provider based on criteria and sub-criteria. The results of this study indicate the importance of the criteria in the selection of logistics service providers, resulting in the following priority/weighting scale: the first priority is price, followed by company image, delivery reliability, service features, and finally, employee competence. From the results of the assessment of the level of alternative importance in the selection of logistics service providers, the priority/weighting scale is as follows: the first priority is Gojek, Grab is followed, and the last is Lalamove.

Selection of Third-Party Reverse Logistics Service Provider Based on Intuitionistic Fuzzy Multi-Criteria Decision Making

The scientific selection of a third-party reverse logistics service provider (3PRLP) is helpful for enterprises to obtain the expected ecological and economic benefits. Different enterprises have different requirements for 3PRLP selection and, thus, should adopt personalized and simplified evaluation criteria. However, there is a lack of research on criteria screening. Therefore, this paper proposes a criteria screening method based on a rough set for the first time. The 3PRLP selection is a multi-criteria decision making (MCDM) problem in essence, and different criteria can be expressed in different forms. The existing research mostly uses one method for 3PRLP selection, lacking the comprehensive application of various methods. In this paper, various criteria values are transformed into intuitionistic fuzzy numbers (IFNs) for the comparison and combination of various intuitionistic fuzzy MCDM methods. In terms of criteria weighting, a subjective weighting method based on an analytical network process (ANP) is proposed due to the possible correlation between the criteria at the same level. Meanwhile, an objective weighting method based on intuitionistic fuzzy entropy is proposed. The subjective and objective weights are integrated to form the more scientific combination weights. Combining the modeling principles of different intuitionistic fuzzy MCDM methods, the representative methods under each principle are chosen to build a combination evaluation idea that integrates multiple single evaluation models, and the specific evaluation steps are given, including the single evaluation, Kendall compatibility test, combination evaluation, and Spearman consistency test. An illustrative example of 3PRLP selection is provided to verify the feasibility of the methods of criteria screening and weighting and the combination evaluation idea.

An Industrial Blockchain-Based Multi-Criteria Decision Framework for Global Freight Management in Agricultural Supply Chains

In view of increasing supply chain disruption events, for example the China–United States trade war, the COVID-19 pandemic, and the Russia–Ukraine war, the complexity and dynamicity of global freight management keeps increasing. To build a resilient and sustainable supply chain, industrial practitioners are eager to systematically revamp the freight management decision process related to the selection of carriers, shipping lanes, and third-party logistics service providers. Therefore, this study aims at strengthening decision-making capabilities for global freight management, in which an industrial blockchain-based global freight decision framework (IB-GFDF) is proposed to incorporate consortium blockchain technology with the Bayesian best-worst method. Through the blockchain technology, pairwise comparisons can be conducted over the international freight network in a decentralized and immutable manner, and thus, a secure and commonly agreed-on pairwise comparison dataset is acquired. Subsequently, the pairwise comparison dataset with multi-stakeholder opinions is analyzed using the Bayesian best-worst method in order to prioritize the selection decision criteria related to carriers, shipping lanes, and 3PL service providers for global freight management. To verify the methodological feasibility, a case study of an Australian agricultural supply chain firm was conducted to support the development end-to-end (E2E) supply chain solutions originated from Australia. It was found that port infrastructure, ports of call and communication effectiveness were the major criteria for the selection decision, which can be emphasized in future global freight collaboration. In addition, an immutable and append-only record of pairwise comparisons can be established to support the visibility of time-varying stakeholders’ preferences.

Logistics Service Provider Evaluation and Selection: Hybrid SERVQUAL–FAHP–TOPSIS Model

Production and business enterprises are aiming to improve their logistics activities in order to increase competitiveness. Therefore, the criteria and decision support models for selecting logistics service providers are significant to businesses. Fuzzy theory has been applied to almost all industrial engineering fields, such as decision making, operations research, quality control, project scheduling and many more. In this research, the authors combined fuzzy theory and a Multicriteria Decision Making (MCDM) model for the evaluation and selection of potential third-party logistics (3PL) providers. The goal is to take the advantages of these approaches and allow for more accurate and balanced (symmetric) decision making through their integration. The main contribution of this study is that it develops a complete approach to assessing the quality of the logistics service industry. The combined method of the SERVQUAL and FAHP–TOPSIS models not only provides reasonable results, but it also allows decision makers to visualize the impact of different criteria on the final outcome. Furthermore, this integrated model can provide valuable insights and methods for other areas to define service quality.

Supply chain operation evaluation and management decision by fuzzy cognitive map model

AbstractThe components of the logistics and supply chain are analysed to meet the needs of supply chain management and decision support, aiming at the complexity and uncertainty of the supply chain system. First, the characteristics of logistics demand and logistics service types of some enterprises are analysed. The factors affecting supplier selection are obtained through the questionnaire survey of some enterprises. Second, the mutual feedback relationship between the influencing factors of logistics service demand is analysed, and a fuzzy cognitive graph model of the selection process of enterprise logistics service providers is established. Finally, the fuzzy cognitive map (FCM) model is used to conduct an empirical study on the choice of logistics service providers. The results show that the ranking results of the three candidate logistics service companies based on FCM are WL1 (0.7233) > WL3 (0.6823) > WL2 (0.6764). When each node of the concept does not affect each other, the ranking result of the three candidate logistics service companies based on analytic hierarchy process (AHP) is WL1 (0.7265) > WL2 (0.6949) > WL3 (0.6920). The final evaluation result will be affected by the mutual influence relationship between the concept nodes. Overall, the lowest evaluation score is WL2, and the highest is WL1. The most suitable logistics service provider for the enterprise is WL1. The FCM model selected by the manufacturing enterprise logistics service provider is reasonable and feasible. The mutual feedback between evaluation factors affects the selection of logistics service providers in a company. The FCM can get a more accurate evaluation weight value and can realize the optimal choice of logistics suppliers. It provides reference and decision support for other enterprises.

Selection of Cold Chain Logistics Service Providers Based on a Grey AHP and Grey COPRAS Framework: A Case Study in Vietnam

Choosing the most suitable cold chain logistics service providers (CLPs) is a vital strategic decision for businesses aiming to achieve an effective and sustainable cold supply chain. A sustainable CLP is one that integrates sustainable practices across its whole operation cycle to achieve product quality, on-time deliveries, and satisfied customer requirements, while preventing products from going to waste, which is especially important in the context of a developing country. This study aims to evaluate and select the best CLP regarding their sustainability performance. For this evaluation, a multi-criteria decision making (MCDM)-based framework is proposed that integrates the grey analytic hierarchy process (G-AHP) and grey complex proportional assessment (G-COPRAS) methodologies, in which grey numbers are used to express the linguistic evaluation statements of experts. Initially, the evaluation criteria based on service level, economic, environmental, and social dimensions were determined by means of a literature review and experts’ opinions to employ the MCDM approach. The G-AHP was utilized to identify the criteria weights, and then, G-COPRAS was used to select the best CLP among the alternatives. A case illustration in Vietnam is presented to exhibit the presented approach’s applicability. From the G-AHP findings, product quality, logistics costs, innovation, and effectiveness of cold chain processes, customer experience, and CO emissions of refrigerated vehicle were ranked as the five most important criteria. From the G-COPRAS analysis, Yoshida Saigon Cold Logistic (CPL-05) is the best CLP. The robustness of the applied integrated MCDM approach was also tested by conducting a comparative analysis, in which the priority rankings of the best CLPs were very similar. The assessment in this study is directed towards enabling managers, practitioners, and stakeholders of cold chain businesses to assess the most efficient CLP in the supply chain in the market and also to devise suitable strategies toward sustainable development.

Research on the Selection of Green Cold Chain Logistics Service Providers Based on Combined Weighting-Cloud Model

For enterprises whose products need to be frozen and refrigerated transportation, the selection of green cold chain logistics service providers is one of the indispensable links, cold chain logistics service providers are involved in many different levels, so how to reasonably select cold chain logistics service providers is particularly critical. In this paper, the evaluation criteria system of green cold chain logistics service providers is established from five dimensions: cold chain logistics service quality, cold chain logistics service cost, cold chain logistics service capability, cold chain logistics green competitiveness and cold chain logistics enterprise management status. Combined weighting method based on minimum information discrimination principle, including BWM method and CRITIC method to determine comprehensive weight, avoids the limitation of single weighting method to determine index weight. Aiming at the randomness and fuzziness in the evaluation process of green cold chain logistics providers, a cloud model evaluation method of cold chain logistics providers is proposed. The case study shows that the proposed combined weighting method overcomes the one-sidedness of the single weighting method and improves the rationality of the weights. The cloud model evaluation method of cold chain logistics suppliers proposed in this paper is helpful to deal with the randomness and fuzziness in the process of weight combination, and improve the effectiveness and scientific rationality of the weight combination results.

Factors Affecting the Selection of Logistics Service Providers of Electronic Commerce Entrepreneurs in the Upper Southern Part of Thailand

This research aims to study 1) the behavior of logistics service providers of e-commerce entrepreneurs in the upper southern part of Thailand and 2) the influence of marketing mix factors and service quality factors affecting the services of logistics service providers in the upper southern part of Thailand. Questionnaires were distributed to 370 e-commerce entrepreneurs in the upper southern part of Thailand, which has a 0.93 reliability value. The statistics used to analyze data were frequency, percentage, mean, standard deviation, and multiple regression analysis. The research result indicated that 1) Most of the e-commerce entrepreneurs in the upper southern part of Thailand chose logistics service providers with the fast delivery services, which deliver the products are shipped 1 - 3 times/week, during 1.01 - 4.30 p.m., and the average expenses are 301 - 500 baht/time; and 2) Marketing mix factors had affected on the decision to choose a logistics service provider, such as products, place, physical evidence, and process. In terms of service quality, factors had affected choosing a logistics service provider at the statistical significance, with a prediction coefficient of 40.2 and 46.6%, respectively. This research shows that logistics service providers should pay attention to rapid delivery for e-commerce entrepreneurs to be impressed and come back to use the service again.