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An analysis of third party logistic selection criteria in oil and gas sector: an integrated SWOT-AHP approach

Author

Listed:
  • Sharfuddin Ahmed Khan
  • Radi Mohd. Radi
  • Syed Mubashir Ali
  • Esam H. Zahran
  • Amro Hayder Al Sahtout
  • Saad Aldin Esam

Abstract

Outsourcing logistics activities has become an essential topic and is considered by several academicians and practitioners in literature. In this paper, we have considered a problem that an oil and gas company in the Middle East is facing in their logistics selection criteria for outsourcing. Our proposed research methodology adopted both qualitative and quantitative approach. A well-structured integrated method based on strengths, weaknesses, opportunities and threats (SWOT) and analytical hierarchy process (AHP) have been used to identify relevant criteria of third-party logistics service provider (3PLSP) and subsequently rank them. Proposed research methodology has been implemented in an oil and gas company as a case study. Results show that the highest ranked criteria under strength, weakness, opportunity, and threats of considered case company are operational accuracy (20.4%), operational speed (51.6%), transportation costs (12.4%), and insurance costs (15.6%) respectively. This study has several managerial and practical implications which are discussed at the end.

Suggested Citation

  • Sharfuddin Ahmed Khan & Radi Mohd. Radi & Syed Mubashir Ali & Esam H. Zahran & Amro Hayder Al Sahtout & Saad Aldin Esam, 2022. "An analysis of third party logistic selection criteria in oil and gas sector: an integrated SWOT-AHP approach," International Journal of Logistics Systems and Management, Inderscience Enterprises Ltd, vol. 43(1), pages 20-47.
    • Handle: RePEc:ids:ijlsma:v:43:y:2022:i:1:p:20-47
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