Research on Logistics Outsourcing Decision-making Model Based on Cost and Competence

Abstract

How to scientifically choose logistics modes and outsourcing strategies is an important decision-making problem in the current enterprise operation. Based on Transaction Cost Theory and Core Competence Theory, this paper studies and constructs logistics outsourcing decision-making model. The model mainly includes four decision steps: strategic evaluation, specificity evaluation, logistics capability evaluation and costeffectiveness evaluation. And in the decision process, all kinds of factors should be taken into account, including core competence, business specificity, capability similarity, complementarity, stability, asset specificity, uncertainty, and transaction frequency, etc. Using this model, enterprises can flexibly and correctly choose logistics operation strategies, including self-operation logistics, transaction logistics, contract logistics and strategic alliance. Keywords—transaction cost; core competence; logistics outsourcing; decision-making model