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Third Party Logistics in The Function of Centralized Distribution

Đuro Horvat and Sasa Rendulic ()
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Sasa Rendulic: Agrokor vina

Business Logistics in Modern Management, 2011, vol. 11, 73-78

Abstract: The basic task of the third party logistics consists of providing external company services for a part of the supply chain or for the entire process of the supply chain. Third party logistics works in function and by order of the service recipient who is a physical owner of the goods, that is, who manages a part or the entire process of the supply chain. The responsibility for the fun ctioning of the entire process, which provides third party logistics, bears the service provider, that is, the third party logistics operator. This model proves the advantages of the centralization of goods from a number of companies through the usage of third party logistics, as well as demonstrating the savings in storage, transport and handling goods. IT integration between companies which are service recipients, centralized third party logistics, the entire process from the order to delivery to the final customer becomes much faster, therefore enabling achievement of maximum results in the sense of efficiency and effectiveness. The objective and aim of this research is to indicate the importance and justification of third party logistics through centralized distribution and Integrated Informatics.

Keywords: supply chain; third party logistics; centralized distribution; Integrated Informatics (search for similar items in EconPapers)
Date: 2011
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Handle: RePEc:osi:bulimm:v:11:y:2011:p:73-78