Study On Bidding Decision-making Of Outsourcing Logistics Project

In order to acquire material needed in production process, such as the raw material, the detail and so on, the manufacturer procures those from the supplier in mass, which bring about so much logistics service. Recently, more and more industry and business corporations outsource logistics service from outside via a bidding so as to provide so much market opportunity for logistics enterprise. The logistics corporation beating the competitor in bidding is very important for grasping the market opportunity. So it is the key to logistics supplier to carry out the scientific and justified bidding decision for winning the outsourcing logistics project and improve earnings.This paper firstly expounds the tending and bidding activity of the general logistics project, at the base of which explains the procedure, step, and so on, and provides theoretical basis for expounding the following tending and bidding activity of outsourcing project. Secondly, this paper makes an analysis over the effect that outsourcing logistics brings to manufacturers' production process, and the impulse inside by which the manufacturers outsource logistics service via a bidding. Thirdly, on the background of the specific outsourcing logistics project, this paper expounds the cost estimation method and model used in the logistics corporation bidding the outsourcing logistics project, which provides the mathematical evidence for following bidding decision. Then, this paper looks back the traditional models of the bidding decision, and expounds Monte Carlo simulation method used for bidding decision. Finally, the writer adopts Monte Carlo simulation in practice through calculating the specific example, and concludes the optimized tending offer and the probability of getting the bid, so as to provide decision support for bidding pragmatic outsourcing logistics project.