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Fifth-Party Logistics (5PL): Mastering Digital Supply Chain Ecosystems

In: Level Up Your Logistics

Author

Listed:
  • Scott McDonald

    (RMIT University)

  • Minh Duong Kim Ngo

    (RMIT University)

Abstract

This chapter explores the evolution of Fifth-Party Logistics (5PL), representing the most advanced tier in logistics service provision. Unlike 4PL providers, who orchestrate supply chains through direct intervention, 5PL providers create digital ecosystems that enable autonomous, self-optimizing supply chain networks. The chapter presents comprehensive frameworks illustrating the journey from current capabilities to fully realized 5PL operations across four dimensions: technology integration, decision autonomy, ecosystem scope, and intelligence evolution. The architectural foundation of 5PL operations—a sophisticated digital platform enabling real-time collaboration and autonomous decision-making—is examined in detail alongside necessary talent requirements. Through the case study of Gledhill Global Logistics’ transformation, the chapter demonstrates how organizations can navigate key implementation challenges and measure success. The discussion extends to emerging business models and monetization strategies unique to platform-based logistics ecosystems. Finally, the chapter looks toward future developments in 6PL, where cognitive supply chains and complete supply chain autonomy represent the next frontier in logistics service provision.

Suggested Citation

  • Scott McDonald & Minh Duong Kim Ngo, 2025. "Fifth-Party Logistics (5PL): Mastering Digital Supply Chain Ecosystems," Springer Books, in: Level Up Your Logistics, chapter 0, pages 509-546, Springer.
  • Handle: RePEc:spr:sprchp:978-981-95-0533-3_13
    DOI: 10.1007/978-981-95-0533-3_13
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