Title: A combination of Russell model and neutral DEA for 3PL provider selection

Authors: Majid Azadi; Kamyar Hosseinzadeh Zoroufchi; Reza Farzipoor Saen

Addresses: Faculty of Management and Economics, Islamic Azad University - Science and Research Branch, Tehran, Iran ' Faculty of Management and Accounting, Department of Industrial Management, Islamic Azad University - Karaj Branch, Karaj, Iran ' Faculty of Management and Accounting, Department of Industrial Management, Islamic Azad University - Karaj Branch, Karaj, Iran

Abstract: The main advantages of logistics partners are to allow the outsourcing company to focus on the principal competency, augment the efficiency, improve the service, reduce the transportation cost, restructure the supply chains and establish the marketplace legitimacy. Determining the appropriate third-party reverse logistics (3PL) provider is a crucial strategic consideration in supply chain management. One of the techniques that can be used for selecting 3PL provider is data envelopment analysis. The objective of this paper is to propose a combination of Russell model with neutral model for 3PL provider selection. A numerical example demonstrates the application of the proposed model.

Keywords: third party logistics; 3PL providers; reverse logistics; Russell model; cross-efficiency; neutral DEA; data envelopment analysis; aggressive model; benevolent model; supply chain management; SCM; 3PL provider selection.

DOI: 10.1504/IJPQM.2012.047940

International Journal of Productivity and Quality Management, 2012 Vol.10 No.1, pp.25 - 39

Published online: 31 Oct 2014 *

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