contact-btn

5 Reasons why to use a 3PL service provider

When company is growing, they usually run into challenges to meet the demand of their supply chains. On the other end of the spectrum, big companies need more time to focus on their core capability. Whether it’s assembly needs, inventory & storage management, contract packaging and shipping. This is where a third party logistics (3PL) provider comes in light.

3PL providers offer customize solutions to meet company specific requirements for assembly, packaging, warehousing, and onsite integration. Good 3PL service provider has thorough knowledge of logistics and an array of resources to help identify and fill any noticeable gaps which a company might have.

Depending on companies’ specific needs and goals, 3PL providers offers variety of benefits.

Save Time & Money 

3PL service providers are being more efficient in terms of saving time and money to the organizations. Without spending money on building warehousing, hiring additional   employees, facilitating transportation, and installing various technologies. Companies can reduce their costs, while simultaneously putting more time to focus on core business initiatives.

3PL service providers not only save company’s time and money in the short term, but in the long term as well. Additionally, 3PLs also exclude the hassle of paperwork, billing, audits, training, staffing, and optimization that are typically involved with supply chains.

Market Expansion 

3PL service provider  provide the ability to easily position your supply chain in the markets where you don’t have a presence. It provide access to distribution centres and warehouses in various regions this allows companies to grow in new areas by being able to ship goods efficiently to anywhere in the world.

Being able to locate and keep track of products and inventory in a new market without having to spend money on warehousing, equipment, and additional labour can save companies money while giving them the chance to strategically place themselves to better serve their customers.

Resource Network 

Third party logistics providers have a large resource network available that provides advantages over in-house supply chains. With access to a 3PL provider network, supply chains can be expanded quickly, efficiently, and in a cost-effective manner. The relationships that many 3PL providers have with those in their network can open up opportunities for companies to receive volume discounts, lower overhead costs, and timelier service.

Scalability and Flexibility 

Depending on companies needs, 3PL providers have the ability to expand space, labour, and transportation on the bases of inconstancy of inventory. Whether company is dealing with seasonal inventory or new product releases, 3PLs can help provide  appropriate space and resources between your busy and slow times, giving you maximum amounts of flexibility during any time of the year. 

Continuous Optimization

With any business, 3pl service provider ensuring the happiness of customers by optimising the services. By partnering with a 3PL provider, manufacturers can ensure the happiness of their customers by offering faster delivery times and more accurate order fulfilment.

Leave a Reply