A multi‐objective 3PL allocation problem for fish distribution

Purpose – The primary objective of this paper is to show how mathematical modeling can be used for solving a third party logistics (3PL) allocation problem. Design/methodology/approach – The solution approach consists of finding a compromise solution for the six different strategies, defined in the paper by using lexicographic goal programming involving three objectives under some realistic constraints related to capacities of the markets. Findings – This study investigates the usefulness and efficacy of the proposed method for a 3PL allocation problem for a case example of a typical fish supply network. The decision‐makers can evaluate the alternative solutions with respect to a set of decision criteria. The result indicates substantial improvement by reducing the number of 3PL service providers and reallocating them to the case fish markets. Practical implications – The work provides a useful decision model for practicing managers, policy makers and researchers of this area. Originality/value – This model would help a decision maker to resolve the issues related to selection of 3PL under a set of conflicting multi‐objective criteria.