Third party logistics services: a Singapore perspective

TLDR

The study focuses on three constructs—extent of use, decision‑making process for selecting a provider, and the impact of contract logistics services on the organization—as primary determinants of future usage of third‑party logistics services. An empirical investigation was conducted in Singapore to examine how these factors influence the future use of third‑party logistics services. Analysis of 126 Singapore‑based firms shows that most users are satisfied with their providers, perceive positive organizational developments, and are likely to increase usage of contract logistics services moderately or substantially.

Abstract

Focusses on three constructs that we believe are the primary determinants of the future usage of third party logistics services. These constructs are: extent of use of the third party logistics services; decision making process for choosing contract logistics services provider; and impact of the usage of contract logistics services on the organisation. An empirical research was carried out in Singapore to study the impact of these three factors on the future usage of third party logistics services in Singapore. Results based on an analysis of data relating to 126 Singapore‐based firms indicate that most users of these services are satisfied with their providers and believe that this has led to positive developments within the organisation. With a high current level of satisfaction, a large number of these firms are likely to increase their usage of contract logistics services moderately or substantially.