An Intelligent Decision Support System for Outsourcing Delivery Service Providers in Navigating Last-Mile Deliveries

Hokey Min

Abstract

In today’s digital economy, consumers are increasingly shopping online, driving the need for efficient last-mile delivery solutions. As one such solution, many e-tailers have begun to use delivery service providers (DSPs). Despite the DSP’s critical role in the final step of the e-logistics process, research on its utilization has been rare. To address the current research gap, this paper proposes an intelligent decision support system (IDSS) to aid DSP users in developing a systematic framework for implementing strategic DSP plans. This paper is one of the first attempts to develop a systematic decision-aid tool for DSP outsourcing by synthesizing the roles, functions, and benefits of DSPs, discussing the opportunities and challenges associated with DSP outsourcing, and offering practical guidance on the best use of DSPs for last-mile delivery services in the e-tailing sector.

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