Applying a business cell approach to fourth-party logistics freight management in the food service industry

The article presents and discusses the application of a business cell approach to fourth-party logistics (4PL) freight management in the inbound chain of the largest food service company operating in Brazil. The research conducted was an exploratory, descriptive case study, involving about 70% of this company's suppliers. This supply chain comprised the food service (focal) company, 69 material suppliers and 5 logistic service providers. A proposal for a business cell approach for the 4PL freight management for the food service company studied was developed and implemented. The application of the proposed approach provided a significant reduction in freight costs in the supply chain. This approach is a way of involving various agents in an inbound supply chain and, therefore, goes beyond the client and third-party logistics relationship. The approach developed also displays potential for being adjusted and applied to other industrial sectors, such as meat, beverage and packaging.