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1、Thecurrentissueandfulltextarchiveofthisjournalisavailableatwww.emeraldinsight.com/1463-5771.htmBIJBenchmarkingthird-party16,5logisticsprovidersusingdataenvelopmentanalysis:anupdate572HokeyMinDepartmentofManagement,CollegeofBusinessAdministration,BowlingGreenStateUniversity,BowlingGr
2、een,Ohio,USA,andSeong-JongJooHasanSchoolofBusiness,ColoradoStateUniversity-Pueblo,Pueblo,Colorado,USAAbstractPurposeThepurposeofthispaperistoassessthecomparativestrengthsandweaknessesofleadingthird-partylogisticsproviders(3PLs)intheUSAwithrespecttotheirfinancialefficienciesduringthepe
3、riodof2005-2007.Italsointendstoidentifyvariousfactorsthatsignificantlyaffectthefinancialefficiencyofthe3PLsovertimeandproposewaystoimprovethecompetitivenessof3PLs.Design/methodology/approachThispaperproposesdataenvelopmentanalysistomeasurethefinancialefficiencyof12leading3PLsintheUSA,rel
4、ativetotheirkeycompetitors.Inparticular,thispaperdevelopstheCharnes,Cooper,andRhodes(CCR)modelthatisdesignedtoderiveweightswithoutbeingfixedinadvance.ItalsoemployestheBanker,Charnes,andCooper(BCC)modeltomitigatetheimpactof3PLsizesonthe3PLsfinancialefficiency.FindingsTherapidexpansionof
5、thebusinessscopecanunderminethefinancialefficiencyof3PLsduetohugestart-upinvestments.Inparticular,businessexpansionthroughmergersandacquisitionscanhurtthefinancialefficiencyof3PLsduetorestructuringandre-brandingcosts.Thenon-assetbased3PLshavethelessfinancialburdenthantheirasset-basedcoun
6、terpartsduetotheirlimitedinvestmentinassets.But,theasset-based3PLssuchasJ.B.Huntcanstillovercomesuchaburdenbystreamliningtheirlogisticsservicesandfocusingontheirnicheareas.Researchlimitations/implicationsThispaperprimarilyusesfinancialmeasuresasthemajoroutput.Thus,itcanbeextendedtoin
7、cludesomenon-financialmeasures.Owingtothedifficultyinfindingsomesecondarydatasourcesaboutthe3PLindustry,only12leading3PLsarecomparedtoeachotherwithrespecttotheirrelativefinancialefficiency.PracticalimplicationsThispaperprovidesseveralpracticalguidelinesastohow3PLscancopewithincreasingcom
8、petition,costpressu
