Third Party Logistics Service Project Risk Management Research

With the development and progressing of society, more and more giantmanufacturers and retailers accept logistics service from third party. However, manythird party logistics enterprises are born from lagging transportation, warehouseenterprises resulting in lack of advanced marketing ideas and scientific management.Especially the lack of risk awareness causes overspending, customer dissatisfaction,delayed delivery and so on. The reason to the above problems is lack of riskmanagement for the third party logistics service project. Obviously, the third partylogistics enterprise, the manufacture and the retailer all want to know the reason whylogistics service is lousy, how the reason affects the service quality and how to controlthe factor. According related theory, the research of the above problems belongs toproject risk management.Project risk management is a process including risk identification, risk evaluation,risk plan formulation, risk tracking and take action to avoid risk. For third partylogistics service, we can do research on the whole process of the third party logisticsenterprise serving a given enterprise including taking part in biding. The process is aperiod of time and ends when the goal is realized. The research offers a reference forfuture similar logistics service.Combining the project risk management theory with the operating experience oflogistics service complete with home and abroad research achievements, the author ofthis essay elaborates the related definitions, methods, tools and how to use the toolsstraightaway. In the essay, the author identifies, evaluates, tracks and handles projectrisk with professional risk management theories and tools. After analysis and conclusion,a complete management system and strategy for the third party logistics service projectcomes into being. Finally, the author takes company A and company S as example.Company A provides third party logistics service to company S. A couple of strategies isbrought out to guide company A to mange risk to increase work efficiency, level up customer satisfaction and reduce cost. Then the third party logistics enterprise and theclient get a win-win landscape.