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Article
Publication date: 26 September 2023

Yanhong Wu and Renlan Wang

From a supply chain perspective, logistics firms collaborate with other supply chain members to extend their business scope. Investment in circular economy projects in the supply…

Abstract

Purpose

From a supply chain perspective, logistics firms collaborate with other supply chain members to extend their business scope. Investment in circular economy projects in the supply chain can not only broaden the scope of business but also increase the value of the entire supply chain. Third-party logistics companies are gradually participating in the construction and operation of many circular economy projects. How to coordinate multiple circular economy supply chain projects is at the core of its operation.

Design/methodology/approach

This paper first analyzes some typical supply chain projects in China and summarizes the main features of these projects. Secondly, considering the benefits of the project and the stakes of each project, a multi-stage stochastic programming model is established. Finally, Cplex, nested decomposition, LocalSolver and other methods are adopted to simulate and analyze the model.

Findings

The final experimental results find that the importance of coordinating multiple circular economy supply chain projects to increase the value of the entire supply chain. The multi-stage stochastic programming model presented in this research can provide a useful tool for logistics enterprises and third-party logistics companies to optimize their investment decisions and maximize their profits in the context of a circular economy.

Research limitations/implications

There are still some limitations to this study; for example, it is limited to the analysis of circular economy supply chain projects in China. The study focused on third-party logistics companies, and other enterprises in the circular economy supply chain were not considered. The research also assumed that the benefits of each circular economy project and the stakes of each project were known, which may not always be the case in real-world scenarios.

Originality/value

This manuscript found that investing in other circular economy projects in the supply chain can broaden the scope of business and increase the value of the entire supply chain. Third-party logistics companies are gradually participating in the construction and operation of many circular economy projects, such as recycling and repurposing initiatives. It highlights the importance of coordinating multiple circular economy supply chain projects to increase the value of the entire supply chain. The multi-stage stochastic programming model presented in this research can provide a useful tool for logistics enterprises and third-party logistics companies to optimize their investment decisions and maximize their profits in the context of a circular economy.

Details

Management Decision, vol. 62 no. 9
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 4 September 2024

Gongbing Bi, Yue Wu and Hang Xu

This paper aims to investigate the impact of quality loss in transit on e-commerce supply chain pricing, production and financing decisions.

Abstract

Purpose

This paper aims to investigate the impact of quality loss in transit on e-commerce supply chain pricing, production and financing decisions.

Design/methodology/approach

The authors consider a Stackelberg game model with a supplier, logistics firm and e-commerce platform. The logistics firm is capital-constrained and obtains funding from the e-commerce platform by debt financing or equity financing. Through backward induction, this paper first solves the equilibrium results under the two financing schemes and then reveals the financing preferences of all parties.

Findings

The results demonstrate that equity financing reduces financing costs and promotes production significantly. However, it may also lead to overproduction, particularly in markets with poor profitability and high cost factors. When the percentage of product quality loss is large, equity financing is preferable. With the increasing of transportation level, the benefits of debt finance are steadily growing. In addition, equity financing is the Pareto dominant scheme for all firms under certain circumstances. The extensions consider hybrid financing and another quality loss type.

Practical implications

The paper derives the equilibrium solutions and financing preferences, then specifies the threshold for applying financing schemes. Provide guidance for logistics firms’ finance model innovation and core enterprise involvement in the logistics industry.

Originality/value

The paper investigates how logistics firms’ financing strategies are impacted by product quality loss.

Details

Journal of Modelling in Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-5664

Keywords

Article
Publication date: 6 June 2024

Rongrong Shi, Baojun Yang, Zhaofang Chu and Fujun Lai

Digitalization brings complexity and challenges to the relationship governance between logistics outsourcers and their providers. Drawn on resource dependence theory (RDT) and…

Abstract

Purpose

Digitalization brings complexity and challenges to the relationship governance between logistics outsourcers and their providers. Drawn on resource dependence theory (RDT) and resource-based view (RBV), this study aims to examine the role of relationship commitment in simultaneously managing dependence and improving operational performance in logistics outsourcing in the digital economy, as well as the contingent factors (i.e. communication, relationship length, and company size) that affect the effectiveness of relationship commitment.

Design/methodology/approach

Based on data collected from 130 third-party logistics (3PL) users in China, our model was tested with the partial least squares (PLS) approach.

Findings

First, relationship commitment is necessary for 3PL users to manage dependence on 3PL providers and improve operational performance in the digital economy. Second, communication helps 3PL users to develop higher relationship commitment but weakens the motivating effect of dependence on relationship commitment. Third, a long relationship history develops inertia to diminish the effectiveness of dependence on driving relationship commitment while it boosts the impact of relationship commitment on operational performance. Last, company size is an important signal to amplify the effectiveness of relationship commitment for operational performance enhancement.

Originality/value

This study contributes to the logistics outsourcing literature by integrating RDT and RBV to explain the twofold roles of relationship commitment, simultaneously tackling dependence and enhancing operational performance in the digital economy. Additionally, it expands the understanding of the boundary conditions (e.g. communication, relationship length, and company size) on these twofold roles.

Details

Industrial Management & Data Systems, vol. 124 no. 7
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 13 September 2024

Ifeyinwa Juliet Orji and Chukwuebuka Martinjoe U-Dominic

Cybersecurity has received growing attention from academic researchers and industry practitioners as a strategy to accelerate performance gains and social sustainability…

30

Abstract

Purpose

Cybersecurity has received growing attention from academic researchers and industry practitioners as a strategy to accelerate performance gains and social sustainability. Meanwhile, firms are usually prone to cyber-risks that emanate from their supply chain partners especially third-party logistics providers (3PLs). Thus, it is crucial to implement cyber-risks management in 3PLs to achieve social sustainability in supply chains. However, these 3PLs are faced with critical difficulties which tend to hamper the consistent growth of cybersecurity. This paper aims to analyze these critical difficulties.

Design/methodology/approach

Data were sourced from 40 managers in Nigerian 3PLs with the aid of questionnaires. A novel quantitative methodology based on the synergetic combination of interval-valued neutrosophic analytic hierarchy process (IVN-AHP) and multi-objective optimization on the basis of a ratio analysis plus the full multiplicative form (MULTIMOORA) is applied. Sensitivity analysis and comparative analysis with other decision models were conducted.

Findings

Barriers were identified from published literature, finalized using experts’ inputs and classified under organizational, institutional and human (cultural values) dimensions. The results highlight the most critical dimension as human followed by organizational and institutional. Also, the results pinpointed indigenous beliefs (e.g. cyber-crime spiritualism), poor humane orientation, unavailable specific tools for managing cyber-risks and skilled workforce shortage as the most critical barriers that show the highest potential to elicit other barriers.

Research limitations/implications

By illustrating the most significant barriers, this study will assist policy makers and industry practitioners in developing strategies in a coordinated and sequential manner to overcome these barriers and thus, achieve socially sustainable supply chains.

Originality/value

This research pioneers the use of IVN-AHP-MULTIMOORA to analyze cyber-risks management barriers in 3PLs for supply chain social sustainability in a developing nation.

Details

Journal of Enterprise Information Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 26 July 2024

Siqi Han, John P. Ulhøi and Hua Song

The purpose of this study is to examine how existing supply chain finance challenges confronting SMEs are affected by the emergence of smart fintech providers. In so doing the…

Abstract

Purpose

The purpose of this study is to examine how existing supply chain finance challenges confronting SMEs are affected by the emergence of smart fintech providers. In so doing the paper aims at uncovering critical role of fintech service provision in SCF and associated mechanisms that affect the SCF partners.

Design/methodology/approach

An in-depth case study approach has been applied in this study. The overall design is informed by a 5-stage-based case study approach developed in operation management, including the literature review and research question, followed by case selection and instrument development, the data gathering, the analysis and findings and dissemination.

Findings

The study shows that fintech service provider is capable of offering different digital technologies adapted to specific needs while concomitantly orchestrating the information flow across the partners. Key mechanisms that influence the establishment of trust-based relationships among the SCF partners, and related service processes and value creation based on the platform system architecture are explained.

Practical implications

Several practical implications for digital platform management and other key digital SCF partners are identified.

Originality/value

This paper contributes a novel perspective on the importance of digital trust in SCF and also contributes to the existing literature by filling up a gap with a new and fine-grained understanding of the role of fintech companies in SCF.

Details

Journal of Enterprise Information Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 23 August 2024

Wenyao Niu, Yuan Rong and Liying Yu

The purpose of this study is to establish a synthetic group decision framework based on the Pythagorean fuzzy (PF) set to select the optimal medicine cold chain logistics provider…

Abstract

Purpose

The purpose of this study is to establish a synthetic group decision framework based on the Pythagorean fuzzy (PF) set to select the optimal medicine cold chain logistics provider (MCCLP). Fierce market competition makes enterprises must constantly improve every link in the process of enterprise sustainable development. The evaluation of MCCLP in pharmaceutical enterprises is an important link to enhance the comprehensive competitiveness. Because of the fuzziness of expert cognition and the complexity of the decision procedure, PF set can effectively handle the uncertainty and ambiguity in the process of multi-criteria group decision decision-making (MCGDM).

Design/methodology/approach

This paper develops an integrated group decision framework through combining the Decision-Making Trial and Evaluation Laboratory (DEMATEL) technique and combined compromise solution (CoCoSo) approach to select a satisfactory MCCLP within PF circumstances. First, the PF set is used to process the ambiguity and uncertainty of the cognition ability of experts. Second, a novel PF knowledge measure is propounded to measure the vagueness of the PF set. Third, a comprehensive criterion weight determination technique is developed through aggregating subjective weights attained utilizing the PF DEMATEL approach and objective weight deduced by knowledge measure method. Furthermore, an integrated MCGDM approach based on synthetic weight and CoCoSo method is constructed.

Findings

The outcomes of sensibility analysis and comparison investigation show that the suggested decision framework can help decision experts to choose a satisfactory MCCLP scientifically and reasonably. Accordingly, the propounded comprehensive decision framework can be recommended to enterprises and organizations to assess the MCCLP for their improvement of core competitiveness.

Originality/value

MCCLP selection is not only momentous for pharmaceutical enterprises to improve transportation quality and ensure medicine safety but also provides a strong guarantee for enterprises to improve their core competitiveness. Nevertheless, enterprises face certain challenges due to the uncertainty of the assessment environment as well as human cognition in the process of choosing a satisfactory MCCLP. PF set possesses a formidable capability to address the uncertainty and imprecision information in the process of MCGDM. Therefore, pharmaceutical enterprises can implement the proposed method to evaluate the suppliers to further improve the comprehensive profit of enterprises.

Details

Journal of Enterprise Information Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0398

Keywords

Open Access
Article
Publication date: 10 September 2024

Liang Ren, Zerong Zhou, Yaping Fu, Ao Liu and Yunfeng Ma

This study aims to examine the impact of the decision makers’ risk preference on logistics routing problem, contributing to logistics behavior analysis and route integration…

Abstract

Purpose

This study aims to examine the impact of the decision makers’ risk preference on logistics routing problem, contributing to logistics behavior analysis and route integration optimization under uncertain environment. Due to the unexpected events and complex environment in modern logistics operations, the logistics process is full of uncertainty. Based on the chance function of satisfying the transportation time and cost requirements, this paper focuses on the fourth party logistics routing integrated optimization problem considering the chance preference of decision makers from the perspective of satisfaction.

Design/methodology/approach

This study used the quantitative method to investigate the relationship between route decision making and human behavior. The cumulative prospect theory is used to describe the loss, gain and utility function based on confidence levels. A mathematical model and an improved ant colony algorithm are employed to solve the problems. Numerical examples show the effectiveness of the proposed model and algorithm.

Findings

The study’s findings reveal that the dual-population improvement strategy enhances the algorithm’s global search capability and the improved algorithm can solve the risk model quickly, verifying the effectiveness of the improvement method. Moreover, the decision-maker is more sensitive to losses, and the utility obtained when considering decision-makers' risk attitudes is greater than that obtained when the decision-maker exhibits risk neutrality.

Practical implications

In an uncertain environment, the logistics decision maker’s risk preference directly affects decision making. Different parameter combinations in the proposed model could be set for decision-makers with different risk attitudes to fit their needs more accurately. This could help managers design effective transportation plans and improve service levels. In addition, the improved algorithm can solve the proposed problem quickly, stably and effectively, so as to help the decision maker to make the logistics path decision quickly according to the required confidence level.

Originality/value

Considering the uncertainty in logistics and the risk behavior of decision makers, this paper studies integrated routing problem from the perspective of opportunity preference. Based on the chance function of satisfying the transportation time and cost requirements, a fourth party logistics routing integrated optimization problem model considering the chance preference of decision makers is established. According to the characteristics of the problem, an improved dual-population ant colony algorithm is designed to solve the proposed model. Numerical examples show the effectiveness the proposed methods.

Details

Modern Supply Chain Research and Applications, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2631-3871

Keywords

Article
Publication date: 13 August 2024

Mohammad Akhtar

Logistics service provider (LSP) selection involves multiple criteria, alternatives and decision makers. Group decision-making involves vagueness and uncertainty. This paper aims…

Abstract

Purpose

Logistics service provider (LSP) selection involves multiple criteria, alternatives and decision makers. Group decision-making involves vagueness and uncertainty. This paper aims to propose a novel fuzzy method for assessing and selecting agile, resilient and sustainable LSP, taking care of the inconsistency and uncertainty in subjective group ratings.

Design/methodology/approach

Eighteen agile, resilient, operational, economic, environmental and social sustainability criteria were identified from the literature and discussion with experts. Interval-valued Fermatean fuzzy (IVFF) sets are more flexible and accurate for handling complex uncertainty, impreciseness and inconsistency in group ratings. The IVFF PIvot Pairwise RElative Criteria Importance Assessment Simplified (IVFF-PIPRECIAS) and IVFF weighted aggregated sum product assessment (IVFF-WASPAS) methods are applied to determine criteria weights and LSP evaluation, respectively.

Findings

Collaboration and partnership, range of services, capacity flexibility, geographic coverage, cost of service and environmental safeguard are found to have a greater influence on the LSP selection, as per this study. The LSP (L3) with the highest score (0.949) is the best agile, resilient and sustainable LSP in the manufacturing industry.

Research limitations/implications

Hybrid IVFF-based PIPRECIAS and WASPAS methods are proposed for the selection of agile, resilient and sustainable LSP in the manufacturing industry.

Practical implications

The model can help supply chain managers in the manufacturing industry to easily adopt the hybrid model for agile, resilient and sustainable LSP selection.

Social implications

The paper also contributes to the social sustainability of logistics workers.

Originality/value

To the best of the authors’ knowledge, IVFF-PIPRECIAS and IVFF-WASPAS methods are applied for the first time to select the best agile, resilient and sustainable LSP in a developing economy context.

Details

Journal of Modelling in Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-5664

Keywords

Open Access
Article
Publication date: 21 May 2024

Matthew Tickle, Sarah Schiffling and Gaurav Verma

This paper aims to explore the impact of fourth-party logistics (4PL) adoption on the agility, adaptability and alignment (AAA) capabilities within humanitarian supply chains…

Abstract

Purpose

This paper aims to explore the impact of fourth-party logistics (4PL) adoption on the agility, adaptability and alignment (AAA) capabilities within humanitarian supply chains (HSCs).

Design/methodology/approach

Semi-structured interviews with individuals from a large non-government organisation were combined with secondary data to assess the influence of 4PL adoption on AAA capabilities in HSCs.

Findings

The results indicate that HSCs exhibit some of the AAA antecedents but not all are fully realised. While 4PL positively affects the AAA capabilities of HSCs, its adoption faces challenges such as the funding environment, data security/confidentiality and alignment with humanitarian principles. The study suggests an AAA antecedent realignment, positioning alignment as a precursor to agility and adaptability. It also identifies three core antecedents in HSCs: flexibility, speed and environmental uncertainty.

Practical implications

The study shows the positive impact 4PL adoption can have on the AAA capabilities of HSCs. The findings have practical relevance for those wishing to optimise HSC performance through 4PL adoption, by identifying the inhibiting factors to its adoption as well as strategies to address them.

Originality/value

This research empirically explores 4PL’s impact on AAA capabilities in HSCs, highlighting the facilitating and hindering factors of 4PL adoption in this environment as well as endorsing a realignment of AAA antecedents. It also contributes to the growing research on SC operations in volatile settings.

Details

Journal of Humanitarian Logistics and Supply Chain Management, vol. 14 no. 4
Type: Research Article
ISSN: 2042-6747

Keywords

Open Access
Article
Publication date: 26 June 2023

Petter Haglund and Mats Janné

The construction industry shows an increased interest in how to manage logistics within construction projects. Often construction logistics is outsourced to a logistics service…

1501

Abstract

Purpose

The construction industry shows an increased interest in how to manage logistics within construction projects. Often construction logistics is outsourced to a logistics service provider (LSP). However, construction logistics is normally approached either as a strategic decision or as an operational issue and rarely as a tactical concern. The purpose of this study is to explore how to organize the logistics outsourcing decision at strategic, tactical and operational levels.

Design/methodology/approach

This study is performed as a single-case study within a construction corporation, containing (amongst others) a building contractor (BC) and a construction equipment rental company (CERC) offering logistics services.

Findings

The study shows that to procure construction logistics service successfully, BCs need logistics capabilities at strategic and tactical levels to maintain an alignment between the use of logistics services and operational characteristics. Simultaneously, CERC’s need to design their service offerings to correspond to the needs of the BC.

Research limitations/implications

This study builds on a single-case study of a Swedish construction corporation. Further research is needed to better understand current logistics outsourcing and development practices and how these can be improved to foster better logistics management at the project level.

Practical implications

BCs find suggestions of different logistics organization structures and suitable outsourcing arrangements. CERCs and LSPs can use the findings to understand their customers’ needs and adapt service offerings.

Originality/value

To the best of the authors’ knowledge, this study is one of the first studies of how two companies within a corporation can work together to develop construction logistics service offerings.

Details

Construction Innovation , vol. 24 no. 7
Type: Research Article
ISSN: 1471-4175

Keywords

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