Research On The Evaluation And Selection Of TPL Supplier

With the development of core competency theory and outsourcing theory, more and more enterprises outsource their non-core business so as to concentrate on enhancing their core capacity. Besides, the development of theory and practice of logistics in recent years convinces the enterprises that they would be beneficial from outsourcing their logistics business. These benefits mainly include increasing the circulation of materials, saving the cost of transportation, warehousing and inventory, etc. However, in practice, as many enterprises have no appropriate method to evaluate and select the third party logistics suppliers (TPLs), which cause to increase the cost and risk of management. So it is very important and urgent for the enterprises to develop a reasonable and scientific method to evaluate and select the TPLs.Firstly, this paper introduces the relevant theory of TPL, especially the advantages and disadvantages of three kinds of logistics mode. Then it establishes the decision model of how to select the logistics mode. Secondly, it researches the selection principle and process of TPLs, and builds an evaluating index system on the basis of analysis of the factors that affect the selection of TPLs. Thirdly, after analyzing the existing evaluating and selecting model, it constructs the evaluating model with the combination of analytic hierarchy process and entropy weight coefficient method. Finally, to demonstrate the feasibility of this model, the paper applies it to an enterprise to select its best third party logistics supplier as a case.To sum up, this paper brings forward the decision model of the selection of logistics mode and establishes the evaluating index system of third party logistics supplier, through making use of the theory of supply chain management, logistics management, operation research, synthesizing evaluation, etc. Furthermore, after analyzing the disadvantages of most existing evaluating models, it sets up the evaluating model with the combination of analytic hierarchy process and entropy weight coefficient method, which provides a method for the enterprises to evaluate and select their TPLs.