What exactly is a 3PL Logistics Company? You take the orders, and your 3rd party logistics company (3PL) fulfills them. It’s really that simple and if it’s seamless, customers never need to worry about the handoff between received orders or their fulfillment. A 3PL logistics company is a link in the supply chain that companies will use to outsource a portion of or even all of their distribution and fulfillment needs. The miss-step most companies make is to inquire about prices immediately. Rates are among the last questions you should ask in the beginning. A quality 3PL logistics company is worth every penny. Because minimal mistakes and timely deliveries mean satisfied customers, and happy customers order much more…
3PL Logistics Services & Companies Definition
Third-party logistics or 3pl’s in logistics and supply chain management is a company’s use of third-party companies to contract distribution, warehousing, and fulfillment services. 3rd party logistics companies will typically concentrate on integrated operations of warehousing and transport services that can be scaled and personalized to clients’ requirements, based on market conditions, to satisfy the demands and shipment service requirements for their products. Services frequently extend beyond logistics to include value-added services connected to the production or procurement of products, such as services that integrate parts of the supply chain. A service provider of such integrated services is referenced as a third-party supply chain management company (3PSCM), or as a supply chain management provider (SCMSP). 3PL targets particular functions within supply management, such as warehousing, transport, or raw material arrangement.