Abstract
Purpose: This paper aims to examine the opportunity for third-party logistics providers (3PLs) to develop further value-added services for their clients, focused on purchasing. The provider perspectives on third-party purchase (3PP) services are examined in conjunction with their business environment, with a survey informed by transaction cost economics.
Design/methodology/approach: New Zealand 3PL providers were surveyed, and 166 responses were received. Structural equation modeling was used to test the conceptual model.
Findings: From the perspective of 3PL providers, uncertainty, frequency and transaction size, but not asset specificity, are significantly associated with client value from a 3PP service. While asset specificity in investments is not required by 3PLs, they need a high frequency of orders, sufficient order size and low levels of uncertainty as supporting conditions for the development of 3PP services.
Research limitations/implications: The sample focuses on 3PL providers and therefore does not address the behavioral characteristics of users or customers of the services.
Originality/value: This study shows that 3PP services may be further developed by 3PL providers to improve the value offered to their clients.
| Original language | English |
|---|---|
| Pages (from-to) | 40-57 |
| Number of pages | 18 |
| Journal | Supply Chain Management |
| Volume | 22 |
| Issue number | 1 |
| DOIs | |
| Publication status | Published - 1 Jan 2017 |
| Externally published | Yes |
Keywords
- Logistic service providers
- New Zealand
- Outsourcing
- Purchasing
- Structural equation model