Study of Manufacturing Logistics Outsourcing Decision

Abstract

No matter at home or abroad, logistics business outsourcing has reachedcertain scale. With the promotion and application of supply chainmanagement theory in enterprise, the trend of logistics businessoutsourcing will be further strengthened. The object of logisticsoutsourcing gradually changes from single function to multifunction,from simple to complex development; third-party logistics businessgradually expands outwards from link of material supply between upstreamand downstream enterprise, from storage and transport graduallydeveloped into order management, customer relationship management,information system management, inventory management, managementconsulting and other aspects. To make use of the logistics outsourcingto improve the production of enterprise and value of service activities,to enhance competitiveness of enterprise, the enterprises shall givepriority to a right outsourcing decision Manufacturing enterprise'choosing logistics outsourcing is becoming a trend, and how to ensurethe smooth progress of logistics outsourcing has also become a problemthat manufacturing enterprise must consider. At present, manufacturingenterprises are less satisfied with logistics outsourcing serviceproviders, logistics outsourcing service providers need to enhance theservice level to meet the needs of outsourcing party. At the same time,manufacturing enterprises also need to strengthen the management ofservice provider to promote their logistics activities in accordancewith requirements of enterprise. An appropriate third-party logisticsservice provider becomes the most important step for manufacturingenterprise to successfully manage service provider, especially under theactual condition that the level of third-party logistics serviceprovider of China is good and bad mixed together, and it seemsparticularly important for manufacturing enterprise to choose. Ifmanufacturing logistics outsourcing is used properly, it can reduce thelogistics cost of enterprise, share risks, and enhance corecompetitiveness; otherwise, the companies will face many risks.