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This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Article
Factors Impacting on the Selection of Third Party Logistics Provider
Author(s)
Tu Van Binh
Nguyen Thanh Kien
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DOI:10.17265/1537-1514/2016.12.004
Affiliation(s)
University of Economics Ho Chi Minh City and CFVG, Ho Chi Minh City, Vietnam
CFVG, Ho Chi Minh City,Vietnam
ABSTRACT
With 200 firms interviewed,
who use logistics services, interesting findings show that firm with different
sizes have different demands toward logistics services. There are key factors
impact on firm’s 3PL selection, e.g. cost of service, reputation, operation
performance, and long-term relationship, in which they are mostly depended on
cost of service. This means that they agree with the best choice depended on
cost of service of 3PL providers. Reputation is concerned as the second
ranking, operation performance of 3PL provider as the third ranking and
long-term relationship as the fourth ranking. Unlucky, there is no evidence to
confirm financial performance of 3PL providers is considered by firm toward selection.
This case is not surprised, because financial performance of the provider is
internal information, it isn’t easy to let its customer know that.
KEYWORDS
third party logistics, enterprises, suppliers, Vietnam
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