The effect of outsourcing and situational characteristics on physical distribution transportation efficiency
Bienstock, Carol C.
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This research examined the outsourcing decision for the logistics function of motor carrier transportation. A full factorial design was executed on a simulated transportation network to investigate how the efficiency of motor carrier transportation was affected by how it was structured (private/leased fleet versus contract carrier transportation) and the characteristics of the transportation activities. Transaction Cost Analysis (TCA) offered a useful theoretical framework for consideration of this make or buy decision by suggesting the independent variables of asset specificity, uncertainty, and frequency/volume. Seven two-part research hypotheses examined the relationships among the independent variables to gain a greater understanding of the factors which drive the make versus buy decision for motor carrier transportation.
- Doctoral Dissertations