Evaluation Of Third-party Logistics Service Provider For A Company

With the development of supply chain management theory, the economic environment faced by enterprises is more complexed, which has evolved into the competition between supply chain and supply chain. As an important part of the supply chain, logistics plays an irreplaceable role between the upstream and downstream. For A company, it has no warehouse and transport fleet, where are the products that are produced and how to deliver to customer. So, A company chose to cooperate with the third party logistics service provider. During the internship in the company, there are seven logistics service providers which have business relationship with A company, but the comprehensive ability of these services are not the same. Therefore, it is necessary to evaluate the logistics service providers. But the assessment of the safety indicators are mostly qualitative indicatorsEvaluation of logistics service providers can be said to be a selective decision problem, it is bound to involve two aspects: evaluation indicators and methods. Therefore, this paper uses the literature reading method to sort and summarize the evaluation index, which are commonly used. Secondly, I make the pre-selected indicators to further screening after communication with tutor inside and outside school and other management personnel. There are both quantitative indicators and qualitative indicators in the evaluation index system. however, A company belongs to the chemical industry, because of the particularity of chemical industry, the safety index is very important to the evaluation of chemical logistics service provider. In view of quantitative indicators, it is easy to quantify but cannot be ignored, and some qualitative indicators are difficult to quantify but also very important for the assessment of logistics service providers. So, this article adopts the method of two-step: I firstly use TOPSIS method to analyze the index system of quantitative indicators to preliminarily screen of logistics service provider by getting the data. Considering that the qualitative indicators is difficult to be described with accurate digital representation, and people’s thinking habit, we like to use language to evaluate things, So this paper uses the multi-attribute decision model of uncertain language to analyze the qualitative indicators, and then determine the logistics service provider with better comprehensive ability. This method is suitable for decision making under the condition that the information is not clear.In this paper, through literature reading method, interview method and empirical study, the following results were obtained:Firstly, twenty-nine indicators are pre-selected after sorting out the commonly used evaluation indicators, then I communicate with tutor inside and outside school and other management personnel, the paper finally constructs the evaluation index system which consists of five first-level indicators and twenty-six secondary indicators;Secondly, based on the obtained data, after using the method of TOPSIS to analysis quantitative indexes, I preliminarily selected five logistics service provider from seven logistics service provider according to the close degree Ci, it is a foundation that to determine the logistics service provider with better comprehensive ability by analysis qualitative indexes.Finally, the paper uses the multi-attribute decision model of uncertain language to evaluate the rest of logistics service providers. Depending on the comprehensive attribute of each service providers, possibility degree matrix and ordering vector are built between service providers, three optimal service providers is determined.The purpose of this paper is to evaluate logistics service providers which have a business relationship with A company in order to identify better logistics service providers.