Logistics Outsourcing: Change from a service-provider to a business partner and Leveraging partnership models to create sustainable bottomline

Wanchoo, Rajat (2010): Logistics Outsourcing: Change from a service-provider to a business partner and Leveraging partnership models to create sustainable bottomline.

Abstract

A New model for „Partnership’ based Outsourcing:

The growing emphasis on efficiency and integration between customers (shippers) and third-party outsourcing firms, has given rise to a unique collaborative model of Logistics outsourcing.

Principle: “The focus on end-to-end supply chain effectiveness and optimization will lead to lower unit costs, which in turn will lead to lowest total costs”.

Instead of an inward-looking focus on ownership of hard assets and „do-myself‟ approach; we need to focus on total supply chain effectiveness and process optimization by utilizing the extended value-proposition of the „logistics partner‟.

• Item Type: MPRA Paper
• Language: English
• Keywords: Rajat Wanchoo Logistic Outsourcing ISB Business Model
• Subjects: M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M5 - Personnel Economics > M55 - Labor Contracting Devices; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L22 - Firm Organization and Market Structure; A - General Economics and Teaching > A1 - General Economics > A11 - Role of Economics ; Role of Economists ; Market for Economists; E - Macroeconomics and Monetary Economics > E2 - Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy > E20 - General

References

[1] Laura Goddard (2005), “Outsourcing Logistics – The latest trends in using 3PL providersThe Future Of Outsourcing”, Outsourcing Logistics report, January, 2005.

[2] IBM Institute for business Value (2005), “Building value in logistics Outsourcing”, IBM Business Consulting Services, 2005.