Redefining the boundaries of the firm: the role of 4PLs.

Summary Purpose – The purpose of this paper is to analyse the specific valuable partnership between human capital-intensive firms (HCIFs) and fourth-party logistics (4PLs), and in particular, to explore the way boundaries of HCIFs are changing as a consequence of the growing importance of 4PLs. Design/methodology/approach – The paper represents the viewpoints of the authors as far as the role of 4PLs in the changing boundaries of HCIFs is concerned. It is based on a literature review, especially on the analysis of the recent works on organizational boundaries developed by Garicano, Santos and their co-authors. It establishes the prerequisites on the actors of the phenomenon and provides a knowledge-based conceptual framework to understand their dynamic relationship. Findings – The authors show that the relationship between a HCIF and a 4PL represents a balance of power between two partners based on the co-specialized human capital provided by each of them. From four main propositions, the authors explain that the.