Research on Evolution Trend of Criteria and Research Methods of Third-party Logistics Provider Selection
Third-party logistics(3PL)provider selection is a crucial strategic decision for organizations aiming to enhance supply chain performance in today's dynamic business environment.This study explores the evolution of decision-making approaches for 3PL provider selection by analyzing 116 research articles published between 2002 and 2023.The primary objective is to identify the methodologies used in 3PL pro-vider selection and propose a comprehensive evaluation framework for future decision-making.A comprehensive systematic review was conducted over the research articles,supported by descriptive analysis and keyword co-occurrence analysis overlaid with average publication year and the average normal-ized number of citations,to track the evolution of 3PL provider selection methodologies and highlight changes in criteria prominence and relationships over time.The study divided the decision-making methods into three main categories:multi-criteria decision mak-ing(MCDM),mathematical programming(MP),and artificial intelligence(AI).MCDM emerges as the most preferred approach among scholars.Findings reveal that these methodologies have advanced significant-ly by addressing traditional limitations,adopting data-driven approaches,integrating hybrid methods,manag-ing uncertainty,and refining criteria development processes.The study analyzed criteria distributions using data from reviewed publications,highlighting considerable diversity in selection criteria throughout the literature.This emphasizes the need for a unified and coherent framework to guide effective 3PL provider selection.Therefore,the study proposed a universally applicable three-layered criteria framework focusing on five key aspects:business strength and prestige,service excel-lence,cost and pricing,technology capabilities,and sustainability(measured by environmental,social,and governance metrics).This framework is developed based on an analysis of 1,552 selection criteria extracted from reviewed publications.Its credibility,completeness,and practical relevance are further enhanced by ref-erencing reports from globally recognized top 3PL companies,RFPs related to 3PL provider selection,and insights from industry experts.Detailed cost breakdowns,financial health,recognition and client references,proven performance record,and operational timeliness are the top five most frequently used sub-criteria in current literature.Notably,the study found that while criteria associated with technology capabilities and sus-tainability were less prominent in past researches,they are receiving significant attention in both academia and industry,reflecting a shift towards more holistic evaluation for matters of higher priority in 3PL provider evaluation.This study contributes to the existing literature on decision science and management by presenting a sys-tematic classification of scientific methods and a thorough criteria framework for effective 3PL provider selec-tion.The findings are also beneficial for professionals in supply chain,logistics,procurement,executive man-agement,and operations,enabling them to make informed decisions by factoring in a broader range of evalu-ation criteria and fostering a deeper understanding of efficient 3PL provider selection models.Several areas for future research are highlighted,including developing a robust framework with clear,se-quential steps for the criteria selection process.The study suggests combining subjective and data-driven ap-proaches to balance experience and objective insights for more robust criteria weight determination.Addi-tionally,it calls for exploring industry-specific differences in 3PL provider selection criteria,the impact of technology adoption and sustainability practices,how company size and maturity influence 3PL provider se-lection,and the effects of external factors such as government regulations and geopolitical risks.
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