An Integrated Approach for the Evaluation and Selection of Third Party Logistics Providers Using SVM-PSO

Author(s):  
Yan Zhang ◽  
Chunjie Qi
2017 ◽  
Vol 12 (2) ◽  
pp. 224-242 ◽  
Author(s):  
Abhijeet Haldar ◽  
Umer Qamaruddin ◽  
Rakesh Raut ◽  
Sachin Kamble ◽  
Manoj Govind Kharat ◽  
...  

Purpose The purpose of this paper is to propose a framework for evaluating and selecting the most optimal third-party logistics (3PL) service provider vendor among the available ones. Selection is done based on the performance values of the vendors on certain predefined criteria. Design/methodology/approach An integrated approach involving data envelopment analysis (DEA), technique for order of preference by similarity to ideal solution (TOPSIS) and linear programming (LP) problem has been used to develop a new model for the selection of 3PL vendor. First, DEA is used to evaluate the efficiency of each vendor according to the identified criteria. Second, TOPSIS is applied to rank the maximally efficient vendors. Finally, LP problem is stated and solved to ascertain the quantities to be allocated to each maximally efficient vendor in the context of multiple logistics provider. The proposed DEA–TOPSIS–LP (DETOLP) model is finally tested with real-time industry data for 3PL vendor evaluation and selection. The study, thus, proposes a three-step hierarchical technique for selection of 3PL vendor based on the multiple criteria decision-making approach. Findings The paper focuses on assessing the performance of 26 vendors using a combined approach of DEA, TOPSIS and LP. It is observed that vendor V4 outperforms all the considered vendors, which exactly corroborates with the present scenario within the company. Research limitations/implications Exclusion of qualitative criteria for 3PL vendor selection and the judgment of weights for TOPSIS can be considered as the limitations of the present work. The study has significant practical implications for organizations belonging to any sector or industry. It can help them in evaluating the existing 3PL vendors and selecting the most efficient among them. Originality/value This paper deals with a framework modeled for 3PL vendor selection. It is the first attempt to utilize an integrated approach, i.e. DETOLP model for evaluation and selection of 3PL. For assessment of the model, real data from an Indian company has been taken to analyze the result and compare it with the present scenario within the company.


2018 ◽  
Vol 25 (1) ◽  
pp. 76-97 ◽  
Author(s):  
Rakesh Raut ◽  
Manoj Kharat ◽  
Sheetal Kamble ◽  
Chandra Shekhar Kumar

Purpose The purpose of this paper is to efficiently assist the decision makers in evaluating and selecting the most appropriate third-party logistics (3PL) provider from environmental sustainability perspective using a two-phase model based on data envelopment analysis (DEA) and analytic network process (ANP). Design/methodology/approach The study uses an integrated approach of DEA and ANP as an evaluation and selection methodology to select an efficient and requisite 3PL. The integrated model is a sound technique for 3PL evaluation and selection. DEA effectively screens the maximally efficient 3PLs, whereas ANP easily performs the cumbersome process of weighting diverse criteria and ranks various alternatives according to their performance on the basis of these criteria. This study lists the prominent evaluation and selection criteria taking into consideration the environmental sustainability. Finally, a real-life industrial application is presented to demonstrate the proposed method. Findings The current research work is devoted to the emerging research topic of environmental sustainability in logistics industry and supply chain management. The results of study indicate that eco-efficient transportation and 3PLs lead better transportation planning, better inventory and warehouse management, lower inventory cost and sustainable supply chain operations. Also, the applied approach enables the decision makers to better understand the complex relationships of the relevant criteria in the decision-making process. Research limitations/implications This study does not investigate the relationships between environmental performances and differentiation advantage from the perspective of 3PLs. Also, sensitivity analysis is not performed. Practical implications The developed integrated model enables decision analysts to better understand the complete evaluation process of 3PL evaluation and selection considering environmental sustainability perspective. Furthermore, the developed approach provides a more flexible, simple, accurate, effective, and systematic decision support tool for 3PL evaluation and selection. Originality/value The current study is first of its kind to use the integrated approach in evaluation and selection of 3PLs from environmental sustainability perspective considering the inter-dependencies among the evaluation and selection criteria.


Author(s):  
Papasotiriou Dimitris

The project of pricing logistics services in the Logistics-Services-Provider sector is extremely difficult due to the absence of adequate technical knowledge in the Logistics market. This knowledge is not taught in special and integrated approach. The Logistics market is in need of a sector responsible for recording all pricing methods as regards the provision of pricing services. This sector has to be fully functional, efficient, and rational. This chapter aims at the development of an integrated record for the identification and classification of the advantages – disadvantages and key criteria as regards the selection of pricing methods in the third party logistics (3PLs) market sector. The key finding of this chapter contribute to the identification and classification of pricing methods, possibly applied in future 3PL projects.


2021 ◽  
Vol 12 (1) ◽  
pp. 135-146
Author(s):  
E.A. Ejem ◽  
C.M. Uka ◽  
D.N. Dike ◽  
C.C. Ikeogu ◽  
C.C. Igboanusi ◽  
...  

Abstract This paper is focused on solving the evaluation and selection of 3PL’s by applying multi-criteria decision-making methods. Nigerian Breweries, Nigerian Bottling Company (NBC), AG Leventis, Kobo logistics, and Flour Mills of Nigeria (FMN) were understudied. The main criteria on which evaluation is based were established: Cost, Service level, Financial Capability, Reputation and Long-term relationship. A combination of two quantitative models was adopted in the study. Relevant data were collected through an oral interview with managers and key decision-makers at the companies. SWARA was first applied to the collated data to determine the relative weights of the criteria. Afterwards, the TOPSIS was applied to the weights developed using SWARA and on the performance of the selected service providers. After the analysis, the best service provider was identified as supplier 2 while the worst was supplier 5.


2017 ◽  
Vol 13 (1-2) ◽  
pp. 34-42 ◽  
Author(s):  
Anchal Gupta ◽  
Rajesh K. Singh ◽  
P.K. Suri

Due to wide growth of digitalisation and globalisation, organisations need to serve customer demand with quality services, domestically as well as globally. Organisations always preferred to outsource their supply chain and logistics operations to third-party logistics (3PL) for the purpose of timely delivery and better service quality. This article aimed to find out the key parameters that affect the quality of services provided by 3PL to the organisations. Assets, processes and services are the three broader categories desired by organisations at the time of selection of best 3PL. The evaluation of parameters under these categories has been done by using Analytical Hierarchical Process (AHP) and the ranking of parameters may help the organisations to make the best decision regarding selection of best 3PL among all the available alternatives.


IEEE Access ◽  
2020 ◽  
Vol 8 ◽  
pp. 199111-199119
Author(s):  
Jianping Fan ◽  
Runan Guan ◽  
Meiqin Wu

2018 ◽  
Vol 24 (3/4) ◽  
pp. 186-202 ◽  
Author(s):  
Youness Eaidgah ◽  
Amir Abdekhodaee ◽  
Manoochehr Najmi ◽  
Alireza Arab Maki

Purpose The purpose of this paper is to investigate the use of an integrated approach for performance improvement of virtual teams (VTs) in third-party logistics (3PL) through the integration of performance management (PM), visual management (VM) and continuous improvement (CI) initiatives into one coherent system. The paper will also propose a methodological framework to establish such a system. The intended integrated system is called as integrated visual management (IVM) throughout this paper. Design/methodology/approach This research is based on a case study that took place in a 3PL context with 19 VTs of different sizes spread across Australia. Many major 3PL companies provide their services either internationally or nationwide and therefore use VTs on a regular basis. The selected company does the same. This case was picked as representative of the many complexities which VTs face in 3PL settings, e.g. geographical and temporal separations; different skill levels within the team and between different team bases; multi-teaming system; high staff turnover; recurring performance problems and firefighting approach to problem-solving; and highly demanding performance requirements from clients. Further, this case study, being of a newly established contract and team, enabled the observation of the team dynamic and complexities from the earliest stages. In addition, as the main author of the paper was part of the managerial layer of the studied VT, this provided it a unique opportunity to escape the usual bureaucracy and rather focus on the research. This study also includes a literature review on VTs along with PM, VM and CI, which comprises IVM. Findings It was found that an integrated approach to PM, VM and CI was effective in systematically improving the VT performance. The framework for implementing IVM was productive and enabled to successfully plan and deploy the improvement intentions. Even though the team was highly virtual and encompassed a range of situational challenges, including different skill levels, a multi-teaming system and a high staff turnover, nevertheless, through IVM, the results met and exceeded performance targets on a sustainable base. Inventory record accuracy, dispatch on time, delivery in full on time and dock to stock were improved by 45, 62, 22 and 25 per cent on average, respectively. Originality/value The originality of the paper comes from its methodological approach to performance improvement for VTs in 3PL contexts through integrating PM, VM and CI systems into one coherent system, IVM.


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