Research On Risks Of Enterprise Logistics Outsourcing In China

In the current competitive market environment, the enterprises have to focus their resources and energy on the corn business, and put the unimportance of the logistics service out to professional logistics service providers, with the purpose of maintaining their competitive advantages. Practice reveals that logistics outsourcing can reduce operating costs, optimize the organizational structure, strengthen the corn competitiveness and improve flexible operation of enterprise. However, meanwhile there also exists arrange of risks in logistics outsourcing process. Then the formation& type of logistics risks and the measures to effectively control the risks are the key components of the research.The method of literature analysis has been employed to define the notions of logistics outsourcing and logistics risk. Furthermore the mechanism of risk generation and risk type are analyzed. Logistics Outsourcing Risk Evaluation System is designed and set up on the basis of the analysis and finally the questionnaires are designed to establish the Risk Assessment Model, which is further used to assess the risks of logistics outsourcing.The main conclusions as listed as follows: logistics outsourcing risks from logistics needs of enterprises and logistics service providers in the principal-agent relationship, with the resulting logistics risks including external environment risk., the internal environment risks, process of risk management, risks of transmission of information and financial control risks. On this basis, it is proposed that the government should strengthen the construction of logistics infrastructure and the training of logistics personnel; while enterprise should establish a series of related risk prevention measures, such as an early warning system of logistics outsourcing, and performance rating mechanism for logistics outsourcing.It is advisable that businesses can actively employ logistics outsourcing to promote the development of their enterprise rather than avoid it and take measure to prevent the logistics risks to achieve the ultimate purpose of improving the core competitiveness of the enterprises.