Logistics outsourcing: solution for small and medium enterprises in Vietnam
Nguyen, Hoang Bao Khuyen (2005)
Nguyen, Hoang Bao Khuyen
Lahden ammattikorkeakoulu
2005
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-200904272211
https://urn.fi/URN:NBN:fi:amk-200904272211
Tiivistelmä
After officially becoming the 150th member of World Trade Organization, Vietnam has been witnessed to rapidly grow. Together with the growth of the economy, the logistics market in Vietnam also operates ebulliently. Recently, the term logistics outsourcing has been mentioned together with the blossom of logistic service companies.
Despite a large number of logistics companies being established, the right meaning of logistics is hardly understood by a majority of population, even those who are currently working in this field. The abuse of the word “logistics” is manifested clearly when lots of companies change their names into Logistics Company even though their area of operations are purely freight forwarding.
This thesis deals with the logistics activities in Small and Medium Enterprises (SMEs) and the role of logistics service providers (LSPs) in Vietnam. Due to their small size and financial shortage, SMEs hardly have their logistics operations done effectively in house. And logistics outsourcing becomes a helpful tool for SMEs in terms of cost and time saving, increasing the efficiency and effectiveness.
In order to answer the research question “Should SMEs have their logistics operations outsourced?” the author has conducted a small survey and interview with staffs from both SMEs and LPSs. The result shows that logistics outsourcing is a common trend that nearly 80% companies have their activities done by external providers. However, despite the large demand, local logistics companies are not able to provide full range services and therefore lose for foreign opponents.
Based on the achieved data, the author ends the study with recommendations for SMEs and LSPs. Further researches on the development of LSPs are suggested.
Despite a large number of logistics companies being established, the right meaning of logistics is hardly understood by a majority of population, even those who are currently working in this field. The abuse of the word “logistics” is manifested clearly when lots of companies change their names into Logistics Company even though their area of operations are purely freight forwarding.
This thesis deals with the logistics activities in Small and Medium Enterprises (SMEs) and the role of logistics service providers (LSPs) in Vietnam. Due to their small size and financial shortage, SMEs hardly have their logistics operations done effectively in house. And logistics outsourcing becomes a helpful tool for SMEs in terms of cost and time saving, increasing the efficiency and effectiveness.
In order to answer the research question “Should SMEs have their logistics operations outsourced?” the author has conducted a small survey and interview with staffs from both SMEs and LPSs. The result shows that logistics outsourcing is a common trend that nearly 80% companies have their activities done by external providers. However, despite the large demand, local logistics companies are not able to provide full range services and therefore lose for foreign opponents.
Based on the achieved data, the author ends the study with recommendations for SMEs and LSPs. Further researches on the development of LSPs are suggested.