Research On Risk Assessment And Control Of Logistics Outsourcing

Logistics outsourcing comes from the application of the core competence theory. It has been proved that logistics outsourcing develop rapidly to a new management tactic due to the advantage of reducing costs, strengthening the core competence, restructuring the organization and improving the flexibility of enterprises. However, logistics outsourcing may cause enterprise to face more risks which hard to be forecasted than ever before. Managers should take some measure to control those risks; otherwise they will suffer big losses. Therefore, to identify risk, measure risk, evaluate risk and control risk are much valuable.Firstly, the literature review is made up in three aspects, which are the research actuality of the risk theory, business outsourcing risk and logistics outsourcing risk. Secondly, the logistics outsourcing risks are analyzed using the Transaction Cost Theory and Principal-agent Theory. Risks occurred in the procedures of decision making and implement are discussed. The risk frame of logistics outsourcing is put forward from outsourcing enterprise, logistics service provider and outsourcing transaction. Thirdly, risk assessment system is established based on Risk Matrix and Borda Methods, and the logistics outsourcing risks are evaluated combined by data from launching questionnaire investigation. Fourthly, the risk factors of logistics outsourcing are arranged according to conclusion of risk evaluation matrix, results in key risks of logistics outsourcing; some mitigation mechanisms are also put forward to those key risks, which provide the pertinent, accurate and effective warrant for making the outsourcing risk management plan, and offer a principal reference for enterprise risk decision-making; it has reference value to controlling and reducing the risk of logistics outsourcing in reality.