Tuesday, September 27, 2005

Maintaining a 3PL Relationship

There are many advantages to outsourcing the management of your supply chain to a logistics company, but it is important to do your homework before entering into a partnership with your selected 3PL provider.

Identify what you are trying to achieve and establish goals.
Before entering into a relationship with a third party logistics provider map out what you are trying to accomplish and what you are going to expect from a 3PL. Using this information will aid you in finding a better match that more effectively fits your company. Some of these criteria include: customer service, technology offerings, inventory management practices, facility and staff size, and where your company will fit in with a provider's other clients.

Develop an Implementation Plan
In order to ensure a smooth transition moving from your current operations to your selected logistics company it is essential to put together an implementation plan. Establishing requirements for service and developing performance metrics for assessment of your 3PL are initial recommended ways for starting account implementation. It is also important to establish strong open communication both internally within your operations group and with key contacts at your logistics provider's warehouse facility.

Evaluate and Measure 3PL Performance
Especially when beginning a relationship with a 3PL it is important to meet regularly to discuss your distribution program. Upon initial startup everything will not always run as smoothly as you might expect. It is important to work with your provider to get off the ground with a solid program and work to iron out any initial kinks you may come across. Once you are up and running assess your provider using performance metrics to ensure that you are receiving optimal supply chain coverage.

Tuesday, September 20, 2005

List of Third Party Logistics Companies

Over the last couples months I have been hard at work creating a list of third party logistics companies to aid companies in the selection of a dependable 3PL provider. I have created lists for warehousing companies, value added services, third party logistics companies as well as a list of reputable logistics trade publications, and associations representing the logistics community.

In addition I have begun the task of creating individual lists for 3PL companies separated by U.S. states. This has proven to be a time consuming process but I have managed to build lists of logistics companies for 5 different logistics markets. As I build this site up I will continue to add new states, so be sure to check back periodically. Here is a list of what I have compiled thus far:

Tuesday, September 13, 2005

Selecting a Logistics Provider

Because of the increased demand for the top third party logistics providers these companies are becoming more selective regarding the selection of new business opportunities. Leading 3PL's are on average selecting 15-20 new accounts per year with companies that show a high probability for success.

In order to gain the attention of respected logistics companies it is essential to go through a formal RFP process. During this process it is important to give your selected logistics providers a detailed and accurate look into your company's operations. Without this information even the best 3PLs will not be able to provide you with a customized solution to fit your needs. On the other end find everything you can about these companies. Ask for references, do the adequate research.

You may be inclined to rush through the RFP process but more times than not you will end up with inaccurate responses because you have not provided companies with the adequate time or information to create the proper warehousing and transportation solution that best fits your company.

Selecting a logistics company is an important decision and it is essential to find a true partner who is ready to help grow your business and develop savings through operational efficiencies.

Recommended Links
Minding Your RFPs and Q's - World Trade Magazine
The Consultants Role in Outsourcing Logistics - Global Logistics and Supply Chain Strategies

Monday, September 12, 2005

Benefits of Third Party Logistics Companies

Selecting the right logistics company to manage your company's supply chain is of vital importance to the future of your company's operations.

Outsourcing logistics has been and will continue to be a source of competive advantage for most companies. Some of the many benefits of using a 3PL provider include:

  • Greater flexibility(variable cost)
  • Improved operational efficiency
  • Enhanced customer service capabilities
  • Reduction of capital expenditures (equipment, distribution centers.)

Wednesday, September 07, 2005

Logistics Directory

Logistics List is a comprehensive directory and buyers guide with a simple layout created specifically for logistics and supply chain professionals.

The main focus of this website is on third party logistics or logistics and supply chain outsourcing. As a logistics professional, I find this to be one of the most important decisions a company can make. By selecting a 3PL provider to manage and operate your company's warehousing and transportation program it allows you to focus on your core business and work with a trusted partner who specializes in providing quality logistics services.

Presently there are thousands of third party logistics companies operating in the United States and sometimes finding a solid resource to aid in your RFP process and final selection can be a challenge when reviewing the endless amounts of information regarding our industry available on the internet. Logistics List was created with this in mind.

Logisticslist.com is a source for warehousing and logistics outsourcing information in a compact and easy to use website directory. No registration or email address is ever required to view this site and all company links go directly to each of individual company's web sites.