3PL practices: an Indian perspective

Selection of third-party logistics in supply chain finance under probabilistic complex hesitant fuzzy sets and distance measures

Fierce global competitiveness and heightened expectations of customers are forcing companies to forge collaborative partnerships with Third Party Logistics (3PL) service providers. Most companies cite greater flexibility, operational efficiency, improved customer service levels, enhanced supply chain performance and better focus on their core businesses as part of the advantages of engaging the services of third party logistics providers. Despite the endless advantages of third party logistics and supply chain activities, a lot of relationships either fail or are dissolved. The paper attempts to analyse the management of 3PL relationship and the impact on overall satisfaction of user organisations with the expected business performance and productivity of relationships. Research findings indicate that high-involvements in 3PL relationships, leading to collaborative partnerships, will have a positive impact on increased usage of 3PL services.

Due to globalization and rising competition, supply chain services (3PL) are crucial in managing logistics, decreasing operational and non-operational expenses, and managing client and vendor relationships. Suppliers who offer 3PL services aim to improve sustainability and foresee client demand. Thus, this study examines 3PL service provider performance characteristics. Consequently, this study aims to Investigate the elements that affect the performance of third-party logistics (3PL) service providers. The study employed a descriptive research approach to evaluate how warehouse efficiency, transport efficiency, logistics competence, and Disruptive technology efficiency impact the success of 3PL service providers. A questionnaire survey of 126 clients was conducted using quota sampling, and the hypothesis link between the constructs was statistically analyzed. The empirical findings demonstrate warehouse efficiency, packaging efficiency, transportation efficiency, and order fulfillment efficiency. Disruptive technology efficiency and logistics integration systems favorably impact the performance indicators of 3PL service providers. The findings suggest that Disruptive Technology is the most prevalent domain factor. As a result, service providers should develop an appropriate strategy to improve service quality by encouraging sustainable disruptive technology tools and improving operational accuracy. This study can improve production and supplier performance through cost reduction, logistics improvements, and inventory management. This study will help policymakers and logistics managers create an effective framework for selecting third-party logistics providers.

Improving the efficiency in the links in the supply chains of agri-food products is relevant in terms of the assessment methodology and practical aspects for ensuring and supporting sustainable supply chains of products not only in individual channels of product movement but also in the end-to-end supply chain of products, i.e., from the field to the end consumer. However, it is still unclear which supply chain opportunities in commodity distribution channels are more effective for creating end-to-end sustainable supply chains for agri-food products. The purpose of the study is to develop a methodology for assessing the impact of agri-food supply channels on the efficiency and link in supply chains, taking into account the factors affecting them and developing recommendations for their improvement. Quantitative methods based on correlation and regression analysis using the EViews program on the basis of Kazakh statistical data for 2008–2022 were used. A methodology is proposed for assessing the effectiveness of the functioning and links in commodity movement in the supply chains of agricultural products at the macroeconomic level based on the consideration and use of important factors affecting the efficiency and links: production and sales volumes, total costs, and profitability for each supply channel: “production–processing–industrial production–trade”. The relationship between the efficiency and the links in supply chains and also the key factors that affect them have been established. The results showed that the increase in the efficiency in supply channels in the commodity distribution system leads to a decrease in the coefficient of the link in commodity movement and inventory availability. To reduce the link ratio in the supply chains of agri-food products, it is necessary to increase the efficiency in supply chains in each supply chain link and reduce the share of retail trade in the gross turnover. Recommendations are proposed to improve supply chain efficiency and reduce links to support and create end-to-end sustainable supply chains of agri-food products. The study makes an essential contribution to providing empirical evidence of the relationship between the effectiveness of agri-food supply channels and the link in the supply chain. Since few works describe the relationship between the links of product distribution and the efficiency in supply chains in the literature, in this work, it was possible to propose a methodology and identify factors and gaps in research to identify potential areas for future research.

Purpose The purpose of this paper is to identify the factors and most significant reasons leading to supply chain inefficiency with respect to high cost, high lead time and poor quality at wholesale stage of mango supply chain in India, and also to find out the measures which may be taken to improve supply chain efficiency. Design/methodology/approach The paper opted for an exploratory study using the quantitative and qualitative method of research. The study was conducted at Asia’s largest and world’s second largest fruits and vegetable wholesale market (Mandi) in Azadpur, Delhi. Factors have been identified using factor analysis and the measures to improve supply chain efficiency in fruits sector have been found out through semi-structured interviews with agri- and food-supply chain experts. Findings Based on the factor analysis, three factors were identified for high cost, namely, operational charges, labour and resources; four factors were identified for high lead time, namely, operational issues, labour, resources and infrastructure; and four factors were identified for poor quality, namely, operational issues, infrastructure, resources and poor ambience. It was also found that operational factor is the most significant factor leading to supply chain inefficiency. The study also highlighted the measures for improving supply chain efficiency based on the outcome of the interviews. Research limitations/implications This study is limited to the wholesale stage of fruit supply chain with the focus on Azadpur Mandi, Delhi, India, with specific reference to mango. Also, the measures have been identified for only the most significant reasons under each factor leading to supply chain inefficiency with respect to cost, time and quality. Originality/value There is a dearth of literature on improving the supply chain efficiency pertaining to the wholesale stage of fruits and vegetable sector in India. This paper tries to fulfil the gap and contributed to the literature on agriculture supply chain, which may be helpful for the researchers as well as the practitioners to improve food supply chain pertaining to developing countries.

Research aims: This research aims to determine the influence of innovation leadership on supply chain efficiency mediated by process improvement.Design/Methodology/Approach: The objects of this research were micro, small, and medium enterprises (MSMEs) players in the creative economy sector in the Yogyakarta Special Region, Indonesia. Measurements of the outer model, inner model, and hypothesis testing (directly and indirectly) were carried out on the data sample of MSME actors in the creative economy sector in Yogyakarta Special Region utilizing the SmartPLS statistical tool. The sampling employed purposive sampling with a total sample size of 267 creative economy MSMEs.Research Findings: The results uncovered that innovation leadership positively affected supply chain efficiency, implying that innovation leadership could significantly improve supply chain efficiency. Innovation leadership also positively influences process improvement, showing that if the innovation leadership is good, process improvement will increase significantly. In addition, process improvement positively impacted supply chain efficiency, indicating that process improvement could significantly improve supply chain efficiency. Lastly, process improvement could mediate the effect of innovation leadership on supply chain efficiency significantly, denoting that process improvement has a highly important role in improving supply chain efficiency. Theoretical Contribution/Originality: This study indicates that innovative leaders are highly important in improving their supply chain efficiency, and process improvement as a mediating variable, a novelty in this study, has a very significant role for innovative leaders in improving supply chain efficiency.Practitioners/Policy Implications: Creative economy MSMEs must become innovative leaders in their businesses to increase efficiency in the supply chain. In addition, MSMEs need to continuously improve their business processes, especially in the supply chain.Research Limitations/Implications: The independent variable in this research was only one, i.e., innovation leadership, so it is less comprehensive. To be more comprehensive, other independent variables, such as intellectual capital or moderating variables of government policies, can be added.

Third-party logistics (3PL) denotes ‘a relationship between a shipper and third party which, compared with basic services, has more customised offerings, encompasses a broader number of service functions and is characterised by a longer-term, more mutually beneficial relationship’. Previous studies on 3PL generally fall into two categories. The first group examines the willingness of shippers (users), and the respective benefits and costs to them, of using 3PL services, whereas the second group concentrates on devising winning strategies for 3PL providers to better fulfil the requirements of users. This paper attempts to provide new insights on the relationship between 3PL providers and shippers by examining the impact of the performance of 3PL service providers on the user logistics and export performance of manufacturers and traders in Hong Kong. The results reveal that the timeliness of the service; pricing; and the quality of delivery of 3PL service providers are positively related to the users’ logistics and/or export performance. However, performance in customised supplementary services is not related to any aspect of the users’ logistics or export performance. The overall findings suggest that users should focus primarily on the timeliness of 3PL services, followed by the quality of delivery and pricing when selecting service providers. On the other hand, 3PL service providers are advised to focus primarily on core logistics activities, that is timely deliveries and quality handling at reasonable prices, and to downplay offerings of customised supplementary services unless they are engaged in long-term relationships with the users.

The Impact of Modular Assembly on Supply Chain Efficiency

Third party logistics (3PL) service providers play a growing responsibility in the management of supply chain. The global and competitive business environment of 3PLs has recognized the significance of a speedy and proficient service towards the customers in the past few decades. Particularly in warehousing, distribution, and transportation services, a number of customers anticipate 3PLs to improve lead times, fill rates, inventory levels, etc. Therefore, the 3PLs are under demands to convene a range of service necessities of customers in an active and uncertain business environment. As a consequence of the dynamic environment in which supply chain must operate, 3PLs should sustain an effective distribution system of high performance and must make a sequence of inter-related decisions over time for their distribution networks. Warehouses play an important role in sustaining the continual flow of goods and materials between the manufacturer and customers. The performance of the 3PL supply chain network can be effortlessly enhanced by a balanced allocation of customers to warehouses. In this paper, the authors develop a genetic algorithm and a particle-swarm-optimisation algorithm for solving the balanced allocation problem and the results are encouraging.

The Company should collaborate with supply chain members to support business process activities and increase competitiveness. Company collaboration with suppliers is essential in supporting the adoption of supply chain practices and total quality management to pursue product innovation and enhance business performance. This study investigates the role of supplier-buyer relationships in enhancing business performance through supply chain management practice, total quality management, and product innovation. The research surveyed 150 companies implementing total quality management with ISO certification in East Java. Data processing employs partial least squares using SmartPLS software version 4.0. The research found that supplier-buyer relationships positively and significantly influence supply chain practice by 0.800, total quality management by 0.438, and product innovation by 0.293. The company's ability to implement supply chain practices positively affects total quality management by 0.443, product innovation by 0.206, and business performance by 0.263. Total quality management adopted by manufacturing companies by obtaining ISO certification has an impact on increasing product innovation by 0.412 and business performance by 0.276. The company's ability to build a supply chain strategy to produce innovative products affects business performance by 0.446. The research results contribute practically to managers who build coordination with supply chain members, especially purchasing and marketing managers, to be able to read the capabilities and advantages of external partners to be communicated internally in the company—theoretical contribution in enriching supply chain strategy theory in increasing competitiveness.

Cross-border e-commerce (CBEC) is becoming critical for a strong supply chain. Using data from Chinese listed firms and a difference-in-difference (DID) model, this paper examines the impact of CBEC development on supply chain efficiency from the perspective of enterprise inventory. CBEC significantly reduces enterprises’ non-finished goods inventory and improves supply chain efficiency. The mechanism tests reveal three ways in which CBEC optimizes enterprises’ inventory and enhances supply chain efficiency: improving the performance of upstream-facing sourcing, increasing the efficiency of enterprises’ product transformation, and optimizing downstream-facing demand coordination. The heterogeneous results suggest that CBEC has a greater impact on the supply chain efficiency of firms with high operational volatility and capital intensity and low digitization levels. Further, the effect of CBEC on the reduction of non-finished goods inventory is more significant in regions with weak infrastructure development and location endowment. This study provides empirical evidence for the emerging development topic of new international trade patterns empowering industrial supply chains.

With the deepening of globalization and technological innovation, the concept of new quality productivity has gradually come onto the agenda, profoundly affecting the efficiency improvement of logistics supply chains. This study systematically analyzes the application and strategies of emerging technologies such as information technology, artificial intelligence, and big data analysis in enhancing the efficiency of logistics supply chains from the perspective of new quality productivity development. By constructing a Data Envelopment Analysis (DEA) model and a multi-indicator comprehensive evaluation method, this paper quantitatively assesses the role of new quality productivity in improving supply chain efficiency and verifies the effectiveness of related strategies through simulation optimization. The research results show that the Internet of Things (IoT) and big data analysis play a key role in supply chain information sharing, inventory management, and demand forecasting, while artificial intelligence and machine learning technologies significantly improve supply chain responsiveness by optimizing the decision-making process. In addition, this paper explores the potential of blockchain technology in ensuring supply chain transparency and security and proposes precise improvement plans for the supply chain agglomeration effects in different regions. This study provides insights for formulating improvement strategies and guiding supply chain performance management and offers decision-making references for policymakers. Future research can further explore new supply chain management models under competition and cooperation, assess the impact of new economic forms on the stability of supply chain systems, and predict the long-term trends of global supply chains in the context of changes in the global political and economic landscape.

The growing complexity of global supply chains and the rising demand for efficient logistics solutions have made Third-Party Logistics (3PL) services a strategic necessity for modern businesses. This study explores the impacts of 3PL services on a logistics company, focusing on four key dimensions: operational efficiency, cost reduction, service quality, and scalability. By collecting and analyzing primary data from internal stakeholders, the research evaluates how outsourcing logistics functions—such as transportation, warehousing, and inventory management—affects overall organizational performance. Statistical tools such as Chi-square tests, ANOVA, and Regression Analysis are employed to interpret relationships between key performance indicators and 3PL outcomes. The findings reveal that 3PL services significantly enhance operational flexibility and cost-effectiveness, while also improving delivery performance and customer satisfaction. However, the study also identifies certain challenges, such as coordination issues and risks associated with service dependency. The insights generated aim to guide logistics firms in making informed decisions regarding 3PL adoption, ensuring strategic alignment with organizational goals. KEYWORDS: Third-Party Logistics (3PL), Company Performance, Supply Chain Management, Logistics Outsourcing, Operational Efficiency, Cost Reduction, Service Quality, Technology Integration, Inventory Management, Transportation Services, Warehousing Solutions, Logistics Optimization, Business Competitiveness, Organizational Growth

Outsourcing integration and third party logistics services: An appreciation of two ‘classic’ articles in industrial marketing management

The research focuses on the optimization of closed-loop supply chain (CLSC) network design in intelligent manufacturing systems, to achieve sustainable development goals by optimizing resource utilization, and reducing environmental impact and operating costs. The research focuses on constructing and optimizing supply chain networks, and the proposed algorithm is applied to multi-objective optimization of intelligent manufacturing supply chains. The experimental results show that the optimized supply chain efficiency has increased from about 81% before optimization to 96.13%. The total cost is controlled between 2.30654 and 3.38452 million yuan, which is 8%-12% lower than traditional methods. The profits are maximized to 1.42387 million yuan. The utilization rates of raw materials and remanufactured materials have increased to 83.78% and 69.21%, respectively. Energy consumption is controlled between 1442.672 and 1524.567 MWh. Carbon emissions are reduced to 126.564 tons. The highest product recycling rate is 74.52%. The total logistics distance of the supply chain is optimized from 1147.932 to 1389.432 km, and the production cycle is shortened from 44.982 to 49.782 h. By modeling and optimizing parameters such as logistics nodes, production cycles, and utilization rates of raw and remanufactured materials, the algorithm proposed by the research performs excellently, with a stable running time ranging from 18.732 to 19.564 s. The significance of the research lies in providing a dynamic, efficient, and sustainable CLSC design model for intelligent manufacturing systems, and demonstrating the significant advantages of this method in improving supply chain efficiency, optimizing cost control, and achieving environmental sustainability.