Evaluating the Service Quality of Thirdparty Logistics Service Providers Using the Analytic Hierarchy Process

Abstract

In this study we apply the analytic hierarchy process (AHP) to evaluate the service quality of third-party logistics (3PL) service providers. We first conceptualize five dimensions of 3PL service quality (i.e. tangibles, reliability, responsiveness, assurance and empathy). We then apply the AHP method to determine the relative weights of the five service quality dimensions and eventually select the best 3PL service provider. To implement this idea in practice, we conduct an empirical case study on four companies providing 3PL services in Korea. The results indicate that Responsiveness out of the five service quality dimensions is the most important factor in the perception of 3PL customers.