Figure 1 shows the logistics supply chain diagram depicting the typical actors
involved in the transportation of goods from shipper to importer. The role of the LSPs is
crucial in logistics services as they integrate the various parts of the logistics supply
chain. These LSPs can be asset or non-asset based. The asset-based LSPs usually own
one or more of the assets such as warehouses, trucks, ships, and aircraft. They provide
services such as cargo handling, storage and warehousing, customs brokerage, and
supporting and auxiliary transport services. These LSPs may also provide services such
as customs brokerage, reverse logistics, warehouse and transportation management.
The non-asset based LSPs are providers of contract logistics services and operate as an
intermediary between the shipper and the various LSPs. These contract LSPs may also
provide services such as supply chain planning, transportation management, supply
chain management, warehouse management and various other IT-related services.
Included in the logistics supply chain are also port operators and operators