A METHODOLOGY TO SELECT INTERNATIONAL THIRD-PARTY LOGISTICS PROVIDERS OF AN INTERNATIONAL SUPPLY CHAIN Dieter Goebel Francisco Gildemir Ferreira da Silva Abstract In a global way, fragmentation of production processes at global level has led to the outsourcing of logistics services and the contracting of Third-Party International Logistics Providers (TILP). To companies that adopt Supply Chain Management (SCM), analyzing the outsourcing companies to be prepared for a break in the Supply Chain is extremely necessary. Therefore, this paper proposes a methodological procedure to select a TILP, taking into account the strategic entrepreneurial thinking, observing production internationalization, using indicators that could converge to an index, and translating the systemic way in which SCM works. This procedure results in the contractor’s being prepared to negotiate with TILP in such a way that the contractor’s vulnerability to TILP is decreased. Resúmen La fragmentación de los procesos de producción, a nivel global originó la subcontratación de servicios logísticos y la contratación de Proveedores Logísticos Internacionales (PLI). En las empresas que trabajan con Supply Chain Management (SCM), los contratantes de los servicios deben evaluar bien a la empresa subcontratada, evitando que una ruptura en algún eslabón de la cadena de suministro afecte negativamente a todo el conjunto. En este trabajo se propone una metodología para la selección de Proveedores Logísticos Internacionales, a partir de una visión estratégica de la empresa dependiendo de la etapa de internacionalización de la producción en la que cada empresa se encuentra, utilizando indicadores que converjan en un índice y traduzcan el comportamiento sistemático del SCM. Mediante el uso de la metodología el contratante de PLI estará preparado para negociar y disminuir la vulnerabilidad del contratante frente al contratado. 1. INTRODUCTION The increase in international trade in the past fifty years reflects the constant international specialization in production. Therefore, the growing fragmentation of production processes at global level has led to the outsourcing of logistics services and the contracting of Third- Party International Logistics Providers (ILP) (Goebel, 2006). Berglund’s market segmentation of Third-Party Logistics Providers (1999) classifies them as “Service Providers”, which specialize in traditional logistics activities, such as transportation and warehousing, and “Solution Providers”, which specialize in managerial skills. Nevertheless, despite the fact that these companies have different dimensions and offer different services along the supply chain, their main concern often involves integrating the processes of their clients’ core-business, from the end user to the original supplier, providing them with services and information and adding value to the clients’ business. Thus, when hiring a TILP, companies should evaluate carefully the type of firm that will meet their needs. In a global market, Third-Party International Logistics Providers must be perfectly integrated with the supply chain, for their services, whether as “Service Providers” or as “Solution Providers”, might harm links of the intercompany business process appointed by Lambert & Cooper (2000). Therefore, when choosing a TILP, the outsourcing company