Third-party logistics selection problem: A literature review on criteria and methods

This paper presents a literature review on Third-Party Logistics (3PL) selection decision in terms of criteria and methods. Based on the analysis of 67 articles published within 1994–2013 period, this review reveals that 3PL selection is empirical in nature and is related to a region/country, industrial sector, and logistics activities outsourced. In terms of 3PL selection criteria, 11 key criteria are identified; each one is defined by a set of attributes. Cost is the most widely adopted criterion, followed by relationship, services, and quality. In terms of methods for 3PL evaluation, they can be categorized in 5 groups, namely: MCDM techniques, statistical approaches, artificial intelligence, mathematical programming, and hybrid methods.