A Data-Driven Decision-Making Model for the Third-Party Logistics (3PL) Industry

14 pages•Published: October 25, 2019

Faith Moyo, Brenda Scholtz and Mohammed Alhassan

Abstract

The evolution of the supply chain has resulted in a growth in the usage of technology and data generated and distributed within the industry. Third-party logistics (3PL) companies operating within the supply chain industry are not maximising the capabilities of data to make well- informed decisions. The purpose of this paper is to address this gap and to develop a prescriptive, theoretical model for data-driven decision-making (DDDM). To address the gap, a literature review of DDDM in 3PL industry and in other contexts was conducted. The proposed model is built based on the consideration of existing DDDM models and frameworks; data and data analytics principles to collect, store, manage and analyse data; and the Cynefin framework. Existing models and frameworks for DDDM do not provide explicit guidelines on how to apply DDDM in a 3PL and supply chain context. The proposed DDDM model constitutes of three phases, namely: (1) the setup phase, that considers data knowledge and decision-making knowledge; (2) execution phase; and (3) the learning phase. The application of the model in 3PL companies can support the decision- making process in these companies, with a consideration of the challenges and opportunities that exist in the supply chain. The decision-makers in 3PLs can thus make better-informed decisions that positively impact their enterprises and the supply chain.

Keyphrases: cynefin framework, data analytics, data driven decision making, prescriptive model, third party logistics

In: Kennedy Njenga (editor). Proceedings of 4th International Conference on the Internet, Cyber Security and Information Systems 2019, vol 12, pages 213-226.

Links:	https://easychair.org/publications/paper/DXHB
	https://doi.org/10.29007/4v3j

BibTeX entry

@inproceedings{ICICIS2019:Data_Driven_Decision_Making,
  author    = {Faith Moyo and Brenda Scholtz and Mohammed Alhassan},
  title     = {A Data-Driven Decision-Making Model for the Third-Party Logistics (3PL) Industry},
  booktitle = {Proceedings of 4th  International Conference on the Internet, Cyber Security and Information Systems 2019},
  editor    = {Kennedy Njenga},
  series    = {Kalpa Publications in Computing},
  volume    = {12},
  publisher = {EasyChair},
  bibsource = {EasyChair, https://easychair.org},
  issn      = {2515-1762},
  url       = {/publications/paper/DXHB},
  doi       = {10.29007/4v3j},
  pages     = {213-226},
  year      = {2019}}

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