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Importance of A 3PL Service Provider For A Business

3PL may be a new phenomenon for a lot of people and there is a huge possibility that a lot of people are unaware of the importance of the 3pl or its usefulness. This article is dedicated to tell you about the basics functionality and features of a well organized 3PL company.

3PL or Third Party Logistics Company is basically a non-asset based company that can help your business a great deal by reducing the cost of your business and the risk involved in implementing all the functionality itself. You might feel that the cost of a 3PL provider is a bit competitive with the amount that you are already paying for that service. Because when it comes to 3PL, rates are more dependent upon the market value and its price. This is a fact that you as a company know the market price better than any 3PL provider so you are the best judge of what is the most reasonable price of that kind of service. You should have a detailed discussion with the service provider about the cost and your budget so that service provider can offer you a well balanced package that is reasonable enough for both you and them. So you must be wondering that what is the benefit of using a 3PL is. The best benefit of using them is the mode shifting, time saving, improved management and risk reduction.

By utilizing the services of a 3PL company we can leverage on their tracking system that will help you in analyzing the patterns that require consolidations into shipments. Just take it as an example if you are shipping one truck from London to Birmingham two times a week, than it would save you a lot of money by utilizing the services of a 3PL and send only 1 huge truck a week instead of 2. Also 3PL will provides you with software that will help you in learning the patterns and make the most out of that service.

With a  normal shipping manager the problem is that they are using software that are only responsible for truck loading, for them, order is finished as soon as the product is loaded into the truck, they don’t realize that the core of any business is a happy customer who receives the product without any hassle and difficulty. Whereas a 3PL can provide you with cutting-edge applications that can track your product from start to finish and they can also offer you (the company) internet access to that application where you can actually view the status of a particular order. This also provides you the flexibility of being in touch with the shipment process on the go from anywhere (e.g. your home or from Blackberry in your car).

In short 3PL provide you with lots of features and benefits that can really help you in expanding your business and make sure that your customer is satisfied with the service that you provide.

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